EDUCATING THE YOUNGER GENERATION ON FINANCIAL MANAGEMENT [Part 2]

In the last post, we established the importance of teaching how to manage finances to our young ones from when they are young, as it will help them make better financial decisions when they are older. We also mentioned that a lot of schools have adopted this idea already by introducing the "business studies" subject in their curriculum. We also shared some tips that can help the younger generation better manage their finances.

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In today's post, I will be sharing with us more financial tips that will be of great benefits to our younger generation especially in the area of managing their finances.

1. Save some of your income:

Don't be in a habit to spend all that you make. There are some people, although they don't borrow, but they spend all that they make without saving. Although this habit is better than those who spend all that they make and still borrow, it's still unadvisable because life can be unpredictable, and we may suddenly be faxed with some situations that requires finance to solve, if we don't have any money saved already, how do we began to solve the problem? This is why it's important to save at least 10% of any money we make, so that we can have something to fall back on in the days of trouble or money for investment.

2. Protect your finances:

Making money is one thing, but being able to protect it is a different thing altogether. So many people think that it's harder to make wealth than to maintain it, only for them to realize, after they have made wealth how wrong they are. This is why you find a lot of persons who were once millionaires, but today, they wonder where all that money went.

The surprising thing is that some of them were not careless with their finances, they were deliberate about it spending only when necessary, yet still they cannot tell where they money went. Others are actually spend their money lavishly and are to be blamed for their woes.

Protecting one's finances is deliberate. You should get yourself to account for every money you spent (whether on yourself or on someone) you must be able to account for all your expenses. Life is really mysterious. At a point in our lives, we earn more and our finances keeps becoming robust, but there is a season that comes when we won't be earning as much as before, and the only thing that can sustain us in such situation is if we were able to protect the ones we have already made.

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In summary, it's never too early to start learning about how to manage ones finances. The earlier you learn, the less mistakes you will make all through your life. You can begin to teach your kids and younger ones, the importance of saving as well as protecting their income when they start receiving one. Starting early to teach them how to manage their income will go a long way in preparing them for the financial challenges of life.

Thank You.

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