Financial Competence

Financial Competence School

Financial literacy courses and one-on-one consulting to the bottom line.
Improve your financial IQ and get richer!

Who needs financial literacy and why

Before answering this question, let’s look around. The role of the most important material value is money. And there are sure to be a million ways to spend it.
But there will be fewer ways to make money and allow ourselves to enjoy life. For 70% of people, work is the only source of money and they don’t know how to make money any other way. We spend a lot of time and effort, but in the end we spend what we earn. If we don’t have enough honestly earned money, we take a loan, borrow from our friends and keep dreaming about luxurious life.

Have you ever asked yourself why this happens? Maybe because no one has ever taught us how to be successful and achieve financial prosperity? Or because we want a beautiful life, but don’t want to take responsibility for our decisions?

To consume or to save?

Let’s not speculate. Do you know why? The answer is simple – a complete lack of knowledge about finance in general and the skills of competent management of personal finances, practical skills of financial planning and achieving financial goals deprives us of the opportunity to achieve success.

Financial literacy is a person’s awareness of the sphere of finance, understanding how money works, the ability and ability to manage your income and expenses, to allocate money competently, to multiply your income and create financial capital.

For a clear understanding, let’s highlight two characteristics of a financially literate person:

  • Total expenses never exceed income;
  • The difference of monthly income and expenses is necessarily used for investments.

Remember, among your acquaintances there are those who earn decent money, but you can’t call them rich? And some of them also manage to get into debt?
Can you remember? I’m sure I know people like that, unfortunately. You know what the most curious thing about this situation is? They themselves don’t understand where their money disappears to.
Finances


Now you and I are ready to answer the question, “Why…” So, financial literacy is needed to:

  • provide a comfortable and decent life (housing, car, quality medical care, regular vacations, etc.);
  • to provide a good education and conditions for the development of children (school, higher education, additional classes);
  • provide financial protection for myself and my family (a guarantee of stability in case of unforeseen life situations);
  • to create sources of passive income;
  • to create an opportunity to live decently after retirement;
  • create equity capital

Also remember that financial literacy boosts self-esteem and builds greater self-confidence.