Financial Literacy: The Information that could Save or Make you MILLIONS!

 Bills. One of the only things in life that’s guaranteed besides death and taxes. We’ve all been there, when we look at a bill and wish someone else would just magically pick up the tab. Or maybe you just want more money in your pocket instead. Either way, if you want to be the first millionaire in your family, your first step is to become financially literate. This article, as part of a five-part introductory master class will give you a crash course of basic finance skills, and get you on your way to financial stability and possibly making millions in the future!

First things first!

Before we can get to financial literacy we have to level set ourselves in understanding why it’s so important. In life there are two ways in which you can have more money in your pocket: 1. by spending less, and\or 2. by making more. Having financial knowledge will help you understand which areas you lack, and help you develop plans to achieve either goal.

Financial Literacy demands financial responsibility. There’s no point in learning how to move your money if you don’t hold yourself accountable to where you move it to. It also demands self-control and being real with yourself. If you know you can’t handle having a credit card , then you need to create the support groups necessary to stave off self-sabotage. You need to understand that mistakes will happen, but learning how to deal with loss is an integral part to finances. And lastly that organization is key, if your finances are in disarray it will affect your decisions and your bank account.

What is it?

Now that we got our heads into the game let’s define financial literacy and set up some of the goals we hope to achieve by gaining a better understanding of our finances. Wikipedia defines Financial Literacy as “the possession of the set of skills and knowledge that allows an individual to make informed and effective decisions with all of their financial resources”.

Where to get started

With that said the first thing we need to do is familiarize ourselves with some terms and phrases:

Budget: a financial plan that can be tailored to induvial needs to produces a certain outcome.

Projections: a time based outcome based on a budget that changes as the budget changes.

Debt: something owed; a double edged sword that can be used as a tool if understood properly.

Asset: something that generates profit after a setup phase.

Liability: something that takes profit, without the prospect of recouping that profit in the future.

Once you understand those terms we can began with some tools that are going to be massive in your financial journey:

Calculators: At the end of the day, nothing is going to be more essential than a calculator. It tells you the truth whether you like it or not. Struggling to make a financial decision? Ask your calculator and it will tell you, the good, the bad, and the ugly.

Credit Karma: Understanding your credit is one of the many facets of understanding your finances and this website will give you tons of weekly information on your credit score as it changes.

Banking Apps: Take a good look at you banking app, they are chocked full of your expenses, showing you where your money goes in your monthly statements.

Books: If there’s something you want to do, I guarantee there is a book written on how to do it, and how to do it well. That is exceedingly true for financial literacy. There are 1000’s of books on financial subjects, from general knowledge all the way to stocks and options.

Books to Read

Here’s some books to get you started on your financial journey. Take your time and focus on absorbing them and applying them to your personal financial situation and history.

Rich Dad Poor Dad– Robert Kiyasoki

Think and Grow Rich –Napoleon Hill

Start With Why– Simon Sinek

Explore and be Honest

Now that you have these breadcrumbs of wisdom, seek out the whole loaf! When it comes to financial literacy, the sky is the limit. There are so many different techniques to financial stability, early retirement, and financial freedom, that it’s dizzying! Open your mind to new concepts, and allow yourself to expand to new realities about money and how you spend it.

Also, be honest, if there’s something you don’t know don’t be afraid to ask someone for help. If you struggle to make a reasonable budget ask a reliable friend to look it over. If you struggle with accountability, ask a spouse or trusted family member to hold you to task. If you struggle with reading, find a source for audio books to educate while you move. Wherever you need help, don’t be afraid to adapt so you never stop learning and growing.

Content Creators and Finances

Here at Gifted Biscuit we always want to make sure our articles give tools and perspectives that help content creators make better content. As a creator, having more money in your pocket will help you create better content no matter what it is! Whether it is being able to afford better materials, crafting a space to become more creative, or learning how to properly monetize your content, financial literacy will help you make better decisions for your vision.

Conclusion

In conclusion, if you want to make or save millions of dollars, you are going to have to learn financial literacy. Not understanding where your money comes from or goes can be disastrous to your pocket and your goals. Understanding your finances can help you create the fortune you envision and make sure you keep yourself on track to your treasure. Remember to take it slow and ask someone for help when you need it. The resources above are just to get you started so take it at your own pace and move on when you’re comfortable.  Focus on putting the tools to use in your daily life and before you know it you may be rolling in more money than you know what to do with!

Was this article helpful? Was it insightful or did it give you some new ideas? If it did please bookmark this page whenever you need a refresher and consider reading our other articles for more motivation, inspiration, and all the things in between! Also consider letting us know what you thought of the article on our socials Facebook, Instagram, Twitter. Remember, Create Boldly…because you Matter!

Ready to continue? Please visit this next article to learn all about budgeting, projecting, and how to create actionable plans to create financial freedom.

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