Financial Words Parents Need To Teach Their Children

This list, taken from a Forbes article written by Jennifer Ryan Woods, children are particularly very interested in personal financial management. However, parents do not want their children thinking about such “adult” things at a very young time.

But teaching finances is very important. Ryan stresses in her article the facts that support these ideas. But taken from her context, it is important to learn the following terms:

1. Savings

2. Budget

3. Loan

4. Debt

5. Interest

6. Credit Card

7. Taxes

8. Investment

9. Stock

10. 401(k)

11. Credit Score

All these terms should be taught before children turn into 16. Each, according to Ryan’s article, could be taught at certain points in a child’s life. Savings could be understood by four-year-olds. Budgeting is something understood by five and six-year-olds.

The list goes on, and once your child understands the basic concepts of the following, he or she is on his way to financial success!

Ahead of Eurozone Talks, Tensions Increase

As Europe’s finance ministers proceed to address Greece’s bailout deal, tension develops as Greece continues to lock itself in negotiations with the countries, including the IMF.

Germany’s impatience with Greece’s conduct has continued after the country voted for Syriza to change the country’s fate.

Greece and Germany’s Financial Minister had failed to develp trust with each other, bringing the deal with one of Greece’s bailout sponsors to a close. 

Greek and European attitudes continue to solidify with Germany stressing that a Greek exit from the euro would be easier to manage compared to three years ago. Germany itself is running out of money and may default.

Greece is currently using its central and local government funds to meet its international loan repayments. But it still has the possibility to default.

However, a survey indicate that Greeks still wanted to stay in the Eurozone and were willing to use a compromise instead. However, only half of the country is willing to cut their salaries and pensions to keep the Euro.

The Three Biggest Myths of Personal Finance [Video]

Kiplinger Personal Finance Expert David Muhlbum says that myths spread through the internet on social media. He urges all to be sceptical of what they hear in the internet.

While this video is the US context, he says that social security in all countries won’t be gone soon, home ownership isn’t the fast way to successful retirement and any person can make and need a will.

The Breakdown of An Average Student Budget [Infographic]

Planning your next student budget isn't really rocket science. However, it's not quite an easy task too. It's important to consider your room and board, tuition fees, transportation and if you'll need to do some part-time work.

Despite these figures being in the United States, what matters is that it also tackles the same issue of educational budgeting in the United Kingdom.

Currency Manipulation the Biggest Issue in G20 Meeting

A US official attending the G20 Summit of Finance Chiefs in Istanbul warned that some countries are manipulating their currencies to gain a competitive edge. 

According to the US official, they have seen signs that there is currency manipulation happening. He said it was not an abstract possibility but a “real element of the current reality.”

A group of US Lawmakers are expected to unveil legislation on Tuesday aimed to halt the exchange rate manipulation against their trading partners. The legislation will treat currency undervaluation as foreign government subsidies. It would also allow US companies to seek compensatory duties for imported goods.

Senators are urging legislation to crack down currency manipulation completely. They are citing a Peterson Institute study that argues US workers are the ones to pay the price for currency interventions by foreign governments

Meanwhile, US automakers, the United Auto Workers and the AFL-CIO made the issue a top priority. They are expected to lobby against the Obama administration to include currency provisions and they hope to influence legislation to negotiate a free trade deal to get a vote from congress.

Source

Three Ways To Ensure Your Business Funding Doesn’t Go To Waste

You have investors counting on you to make the business succeed. You have enough business experience to know that your business could work. However, regardless how passionate you are about your funding, you might have some flaws perceiving your accumulated experience. Here are three ways to ensure you don’t waste your business funding.

1.    Success Based on Pattern

Most proprietors anticipate success based on historical perception of patterns. This is a false argument. Businesses that use these pattern-based ideas about their businesses anticipate success as if it was scheduled. The reality is that markets move differently as every business is unique.

2.    Best Practices

Best practices are great as starting tools for business methods. But if you couldn’t adapt these best practices and old formulas to boost your business, you’ll find yourself in some serious trouble. The best way to resolve business issues is to ask directly the opinion of complainants, i.e. your customers.

3.    You Aren’t The Target Consumer

Remember, you are providing the service. It doesn’t mean that the customer identity you’ve pegged, which could be based from yourself, is agreeable with the real consumers who would use your products or services. You are providing the service, you are shaping it and it is the business’ responsibility to provide a solution for the consumers, not about the problems you as the proprietor are complaining about as a consumer.

Is Crowdfunding Becoming More Expensive?

For many entrepreneurs and aspiring business owners, crowdfunding by posting their projects in Indiegogo.com or Kickstarter.com had allowed their dream products and services to flourish online. Thousands of campaigns, both silly and truly beneficial, were completed through the help of backers.

The crowdfunding market is now maturing as a stable, income-generating and profit-based platform. This might be why it is becoming more expensive.

1.    The Example

In a close-knit community, a person could write a business or product plan in a sketchbook, notebook or a napkin. Then, they can post the concept online and share it with others, who could then provide feedback or call on potential contributors to help with the design. Today, many entrepreneurs are spending thousands of dollars and their time to create the perfect example, such as a product prototype or a service test case.

2.    Video Production

Gone are the days where you just need your webcam to show people your plan and how you created your prototype. With thousands of campaigns to compete with, you’ll need a video and an idea that stands out. A professionally-produced video campaign for your crowdfunding project could go from £1000 to even £8,000 in worst-case scenarios. Yikes!

3.    Public Relations

Marketing and public relations also help create more noise for your project. You could actually have some marketing professionals plan and create your internet marketing plan for you for a packaged deal of £420 on average. A celebrity tweet to their followers could cost double or triple this amount. However, this is all about the noise right?

So, is crowdfunding becoming more expensive? I still believe so.