Financial management is a compulsory subject that is not taught in school

Mondo Education Updated on 2024-03-06

Manage your finances and become a better version of yourself.

Before we get into the main topic, let's listen to a little story.

In the 90s, Lao Zhang went to the sea, got up early and greedy for darkness, saved a lot of hard money.

He saved this money, didn't dare to move a penny, and put it at home for fear of being remembered, so he deposited it in the bank, thinking that there would be interest in the bank every year, and when his son grew up, he could also be his wife to buy a house.

Time flies, ten years have passed, and his son has grown up, but what Lao Zhang didn't expect is that his son grew up faster, and the house price grew faster, and the original average price of 2,000 square meters of house has now risen to 20,000, and the money in the bank could have bought a two-bedroom apartment, but now he can't even buy a kitchen.

Lao Zhang wondered, why is his money not less than a penny, but the things he can buy are very different? To give a small example in our lives, in the past, ice cream cost five cents a piece, and five pieces were already very luxurious, but now it is three or five yuan at every turn, and the amount is not as much as before, and the key children do not like to eat it.

So, noticing that money will become less and less valuable over time, in fact, this is economics"Inflation"。

What does inflation mean? In 2017, the inflation rate was 75%, the interest on the bank's one-year deposit is 175%, with a difference of 575%

That is to say, if we keep 100 yuan in the bank for a year, after a year, not only does the money not increase, but evaporates nearly 6 yuan (565%), so, keep the money in the bank, it seems to be insurance, but in fact it is not profitable at all, and it is impossible to reach the point where money makes more money, it can be said that the prices outside the house, housing prices are rising, and their income has not risen at all, and in the end they can only be like Lao Zhang, who could have bought a house, and finally couldn't even afford two kitchens.

Similarly, if the friends who are reading the article still want to live on the dead wage of their part-time job, they only know that they will work hard every nine to six days, and they will eventually become victims of inflation - there are so many wages in hand every year, but the things that can be bought are getting less and less year by year.

Some partners pointed out, then my salary will always rise, send a word to everyone, too stupid and naïve, raise wages, no matter how fast you rise, can you pass the price faster?

So what to do, don't panic, my answer to you is: financial management. Financial management is the first step for us workers to learn when they enter the society, so let's talk about what financial management can bring us

As we said, the inflation rate in 2017 reached 75%, in fact, the inflation rate is about 5% every year.

Now let's imagine that if you have 100,000 yuan and you decide to put it into Yue Bao, Yue Bao, as everyone knows, is easy to operate and the income is higher than that of the bank.

But note that the yield of Yu'e Bao is only 3% at most. Compared with 5%, we still lose money, so what should we do?

If we learn to manage money systematically, learn to invest**, learn to buy more effective investment products such as **, I think the annual rate of return can easily exceed 5%, or even 10%.

Therefore, learning to manage money can help us achieve financial freedom in the future, and most people have to go to work every day, but have you ever thought about what the essence of work is?

In fact, work is to pay the company ** our personal time and energy, the salary, called"Active income"。It is the income we earn from our active work.

Although the name is active income, we all know that most people are not very active, going to work is like going to the grave, especially in the face of the workplace's deception, throwing the pot, being stabbed in the back by colleagues, etc., being a monk for a day, hitting the clock for a day, so is there a way to make dreams come true? There really is.

In addition to active income, there is also a kind of "passive income", also known as after-sleep income, passive income may be the rent of renting a house, it may be buying ** or ** earning money, in a variety of ways, but there is a common denominator, that is, there is no need to work, when our passive income is enough to support our daily expenses, we have also achieved the so-called financial freedom, from then on, I can do what I want to do, and I will leave if I don't want to do it.

Therefore, from the moment we enter the work, we must imprint financial management in our minds, and another benefit of learning financial management is to help us avoid the traps of financial management.

Do you sometimes receive a financial consultant or customer service from a bank, or have you seen advertisements for various financial products, no matter what these products are, they will generally be advertised with high returns and low pay.

If we have basic financial knowledge, we can immediately find these unreliable financial products.

I remember watching a very popular TV series "It's All Good", Su Daqiang in the play, blindly invested, and finally lost all the pension capital, the thing is like this, he listened to the promise of a wealth management company, saying that investing in them guaranteed 20% income a year, Su Daqiang's eyes lit up when he heard the yield, and all the 40,000 yuan he had accumulated so hard invested in this company.

As a result, the company ran away, and in the end the money was also lost, not only did the money not earn, but also went to the hospital to generate income, just imagine, if you know how to manage money, do you know the risks involved, and you will not be deceived.

So there are three points to pay attention to before investing, especially the last one.

Don't invest in investments you don't understand

You don't need to wait until you've saved up enough money to manage your money, just get started

Don't invest all your money

The growth of Xiaobai's financial management

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