Understanding the Importance of Financial Education

Money is the best employee. Why?

Because:

• Money does not sleep
• It does not eat
• It does not get sick
• It does not take vacation leaves
• And it works 24/7

The question is, how do we make money work for us?

Simple: Financial Education

Financial Education is never taught in school. It’s ironic that we study so much, get a degree and work or get a job in order for us to earn, but never taught how to handle money after earning them. I have nothing against schools; in fact education is the best gift you can give to your kids or the best gift your parents have given you because nobody can take away what you have learned. What I’m saying is that a lot of people aren’t willing to invest on financial education because they think it is expensive or a waste of time. Sadly, they don’t know the price they are paying for ignorance. They don’t know that everyday we are losing money depending on where we are putting them. With this, people are obsessed of gaining more and more money, working hard for them, and ultimately are controlled by them. Money is just like anything else, we need to understand it in order for us to control it, not the other way around.

Here are some questions you need to ask yourself to test how much you know about money: 

• Do you know how money works?
• Do you know the number of years your money can double?
• Indirectly, we are losing money everyday. Why? Are you familiar with the word inflation?
• If there is such thing as financial freedom, then do you believe that there is a good financial foundation that is needed to be built?
• How is time and money related? Do you know the importance of time in growing money?
• If you want to get physically fit, you need discipline. Do you know what discipline is needed to become financially wealthy?

If you can answer all the questions above, then good. You must be pretty wealthy by now. If not, then invest on education. There are a lot of financial services out there sharing concepts about financial education, look for them, research. Read books, continue to learn.

Remember, most people get scammed, invest on wrong investments, small companies that close with their money in it, and other financial dilemmas all because of lack of financial education.