Financial literacy is just the ability to manage your finances properly. This entails learning how to create money goals, how to manage your income and expenses, how and when to borrow, save or invest, and preparing for big life events (higher education, marriage, starting a family, funds for the kids, health insurance and retirement).
Take charge of your financial education today by starting with the fundamentals of money management and watch yourself develop into a wise spender and investor.
Spending time on your financial development enhances your decision-making around saving and investing.
5 Financial Literacy Resources For Beginners
No matter what financial literacy stage you are at or wherever you’re based in the world, there are always resources to help you and that are tailored to your situation.
1. Find a Good Book
The easiest place to begin for anyone attempting to develop financial literacy is with a good book.The main benefits of print are that you can take your time and focus on the subjects that interest you the most without power/internet issues. Any good library will have a big collection to choose from, but here are some well-acclaimed financial books with some noteworthy excerpts.
- “The Psychology Of Money” by Morgan Housel
The highest form of wealth is waking up every morning and saying, ‘I can do whatever I want today.’ — Morgan Housel.
- “The Simple Path To Wealth” by JL Collins
Money can buy many things, but nothing is more valuable than your freedom. ― J.L. Collins
- “I Will Teach You to Be Rich” by Ramit Sethi
Spend extravagantly on the things you love, and cut costs mercilessly on the things you don’t. ― Ramit Sethi
- Set for Life by Scott Trench
10 years from now, make sure you can say that you chose your life; you didn’t settle for it. – Scott Trench
As I always say, no matter what you’re going through in life, once you accept responsibility for your financial literacy and commit to build your knowledge, everything is possible. Take advantage of today and get one of these books. You’ll be grateful you did when you’re affluent in the future!
2. Tune In To A Podcast
Podcasting can be a great passive way of learning while you are on the road, at the gym or taking a stroll. Here are some podcasts that can help you accelerate your learning on financial literacy.
- Bigger Pockets (real estate investing)
- More Money Podcast (personal finance)
- How I built this (entrepreneurship)
3. Take a Course to Learn From Expert Mentors
Some people require formal education as a way to enhance and improve literacy. For this purpose, financial courses are the best option. Once enrolled, you can make yourself bound to take the course.
Netwherk Investor Academy offers a 12-week course for people who refuse to let their money control them, are serious about managing finances, learning about investment and taking back control of their time. There are 5 easy modules and you get tons of free templates to help you create a financial plan that works best for your situation.
4. Subscription To A Financial Newsletter
Who says you always have to pay money for a print magazine when so much excellent content is available online?. Why I believe subscribing to a financial newsletter will go a long way in your financial literacy journey is because receiving a publication in the mail once a week or once a month prevents you from getting too far off track with your finances.
5. Join a social group
There are plenty of social media groups (such as on Facebook) that are completely free and provide a space to ask questions and share resources. It’s a great space for virtually meeting others that are on the same journey as you. Not only can you leverage others learnings but it may keep you more accountable to your goals as you see others achieve theirs.
Any advancement in financial literacy will significantly affect your ability to support yourself in the future. Investing to improve your financial literacy ensures that you develop sound financial practices and make wise investment decisions. There are now more sources of valuable information than ever, thanks to the advent of podcasts and other media so take advantage of them! However, no matter what avenue you choose, it’s important to do your research and make sure that you are making informed decisions when it comes to your money!