Money: Financial, Economic News and Money Saving Ideas

What you really need to know about money


If you consider yourself a fool when it comes to finances, here are the most important and the simplest things you need to know about money.

  1. Common sense will tell you this: don’t spend more than what you earn. This is necessary to come out ahead. Otherwise you’ll always find yourself constantly in debt.
  2. Save early. That’s because you will save more. Don’t procrastinate when you save. The perfect time to save was 10 years ago. But it’s not too late as you can always start now.
  3. The higher the risk of the investment, the higher the reward. Aggressive financial advisers like Robert Kiyosaki would tell you “Don’t park your money. Invest.”
  4. Diversify. Don’t put your money in one basket.
  5. There are scam artists but you can get protection from them. Identity theft is one of these problems. You can protect yourself by monitoring the financial activity on your account every day.
  6. Protect yourself against rainy days. This means you must pay for insurance as you will never know what will happen and how it will affect the financial stronghold you built around you our your family.
  7. Automated savings is better. If you know you can’t trust yourself when it comes to spending, at least automate your savings so your bank will automatically deduct your monthly pay check and redirect it to your retirement funds or saving account.
  8. Minimize your debt load. Don’t take up loans that are beyond your capacity to pay.
  9. Always keep track on your credit score. Errors will sometimes occur that’s why it’s important that you keep track on your credit scores.
  10. Don’t stop learning. The financial world always evolves and you constantly need to keep up. Otherwise you’ll get lost in translation and everything you worked so hard for will be taken away from you because of one financial blunder.

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