Hey guys, For those who don’t know, I started a challenge for myself, which is to enter this area of financial education and I wanted to share with you a little bit of this trail of knowledge about basic skills for personal financial management, that I’ve put together over the years. It’s the strategy that I personally use in my financial management and until then and shown to be quite positive and then, after having helped some people, I thought it would be cool to share more widely all this knowledge and that’s why I’m creating this content, that I’m going to go through in all the points that I consider important for those who interesting to learn the basic skills for personal financial management.
Basic skills for Personal financial management
So here we go what are the five most important steps for those who are starting their financial management to know about the basic skills for personal financial management. We will enter a little more detail each one of them but just an overview for you to have an idea of what will be on this track
First thing: banks. There are many people who still pay to have a bank account, who pay to use the services basic bank and you pay to have a credit card. Nowadays, with digital banks there, you don’t need any of that.
Second thing: credit card. There are many people who warn of financial educator to get away from credit cards but not quite. The credit card is nothing more than a fire, an electricity. If you don’t know how to use it, you will get burned but using it right you will have a great meal, you will take a hot shower. So we’ll see the card part a little better later on in the second topic.
Third point: income generation applications. There are a lot of companies today that are receiving millionaire contributions and end up distributing “a little” of that money for its users as a form of loyalty. So, basically, they are giving money and they are not catching anyone who doesn’t want to. There are at least 5 or 6 apps that do this today and we will enter a little more in the details of each of them later on.
Fourth point: debts. Yes, that topic should be there first but he is here in fourth simply for the reason that I don’t have skin in the game to discuss about it. I have never been through this debt issue fortunately. So what I have to share is all the theoretical part that I learned studying all these years there, but it has really cool content for you who are there needing this information to get out of the red and have at least a little better financial control.
Fifth point: investments. Okay, now you’re not paying anything to the bank anymore, you don’t pay by credit card, and in fact, you use the credit card to your advantage saving and earning extra money that you didn’t earn before and is also earning money from the applications that we mentioned in topic 3. Now you are, if all goes well (and you are out of debt). So, if all goes well, you’re able to save at least a little money a month and I will not discuss about the classic there, treasure or savings and leave earning. Of course, I’ll spend a little bit about that but my focus is going to be a type of investment which for me is zero risk and it is a slightly different investment that will prepare you for bolder investments ahead so we will for a little bit there in the variable income.
However, with virtually no risk. So it’s going to be a really cool experience. In this content, I shared with you everything, that I’ve learned so far and what we’re learning. I’m sure if you follow these five very basic steps in a few months, even less, you will already notice a considerable difference in your budget at the end of the month?