Friday, 10 June 2016

Financial literacy 2

You may be worrying what financial literacy is?

It is understanding how money works in financial world,we are living.Financial literacy is building financial wealth,managing financial goals,look upon financial structures.In depth it deals with depts,investment,pitfalls in finance etc.

This blog is all about financial savings.Mantra for financial saving and insight of assessing one's financial situation.A little effort on financial education now will give a tremondous result at the end of the year.

  1. Make a commitment                                                                                                                     However financially aware you may be, until you are not committed nothing will work.It requires wise decision to be made to tackle any sort of financial problems.The most important step in developing and following a financial plan is to examine your attitudes about money.You are definitely ready and able to start your path to financial wellness; if you are also willing, take the pledge!  
  2. Assess your financial situation                                                                                               One should be true to oneself about his financial situation. Active decision is made accordingly.Start your journey with a self assessment.To develop an accurate picture of the amount of money you will have in the future, take a look back.  Decide if your income will be from the same or from different sources and the amount of income you can expect to earn in the future. 
  3. Make a priority list                                                                                                                        Set your priorities.Creating a list of needs and wants can help you establish your financial priorities.For Ex- EMI,party,Buying a car,Planing a vacation,saving for further studies etc..
  4. Make a smart financial goal                                                                                                         S.M.A.R.T. financial goals should be specific, measurable, achievable, realistic, and time-bound. Make sure all your financial goals are realistic and easy to achieve.
  5. Where does all money goes?                                                                                           Maintain a worksheet/balancesheet of expenditure.Keep an eye on extra expenditure.Plan very-well.
  6. Identify your starting point.                                                                                         Calculating your net worth is as simple as comparing what you owe(liablities) to what you own(assests).But it's a must.Money from different sources must be considered.
  7. Q&A                                                                                                                                      Financial literacy starts with question and answers.Start understanding unwanted spending.Identify ways to reduce spending.
  8. Extra tips                                                                                                                                       There are various ways to save on tax,funds,bonds, etc.One should know them properly.Avail all the schemes in one's office like mediclaim etc
  9. Paying off your debts.                                                                                                          Calculate the total amount of debt that you need to pay in the year, which should include the total amount you owe through your credit cards and loans. Then, identify the debt which carries the maximum interest and pay more than its minimum monthly payment amount, while continuing to pay the minimum monthly amount on other debts.Continue this strategy until the highest debt is completely paid, and then repeat the process with the next highest debt and then subsequent debts.This smart strategy has been tested and recommended by financial experts and proven more cost-effective than simply paying the minimum debt amount every month.
  10. Savings                                                                                                                     Save 10% of your income no matter what.Saving is very important for your future goals.For you and your family saving is must.

That's all, beginners tips for financial literacy

Make sure to comment how these blog is helpful.Any advice,correction will be appreciated.

Wednesday, 8 June 2016

Financial literacy

Tittle tips to save money.
You won't realize how these small tricks can save a lot of bucks.
#littlebylittle  #oneday
  1. Power off your computer instead of keeping it in in sleep mode.
  2. Sell your stuff which are just kept in basements,attic to sites like olx,e-bay and now Amazon also!
  3. Keep a screen guard and case cover for your mobile phones.One of my friend broke his iphone6s screen and had to purchase a new one by payin 27k Rs. and rest was payed by insurance company.Just to show-off his iphone he spent a lot!
  4. Always shop with a list.
  5. Don’t let the water run while brushing your teeth; take shorter showers
  6. Wash your clothes in warm or cold water instead of hot water. 
  7. Replace your regular light bulbs with compact fluorescent bulbs. 
  8. Turn lights off in your house when you’re not using them.
  9. Invest in a good water filter and stop buying expensive water bottles.
  10. Use public transport instead of private vehicle.
  11. Use Bicycle to travel nearby localities. 
  12. If you can carpool with a co-worker, spouse or friend, take advantage of the opportunity. That could mean a buddy to talk to in traffic and savings on gas each week
  13. If your job can be done from home,do it.It save's lot of travelling income.
  14. Is landline telephone really needed?
  15. Compare the telecom tariff rates.Keep a track of your call rates.Ask for the best ones.
  16. Make all payments before due date.If you have to pay why wait for last moment.It will save those fine's.
  17. Regift your stuff's 
  18. Use good quality chargers 
  19. Subscribe book from library.Purchase books which can be resold after use.
  20. Don't eat outside stuff try to take tiffin.
  21. Walk if possible instead of using  vehicle.