Word of the Day: Financial literacy
We all need it, and very few of us have it. How would you rate your level of financial literacy?
Do you feel that you know enough about making, saving and spending money to make wise decisions that will affect you for the rest of your life? No? Join the club.
In my humble opinion, all of us have been given an insufficient level of financial literacy.
We can all read, write and do the math of course, but when it comes to compound interest, financial hedging or retirement planning most of us are crossing our fingers and hoping for the best.
Most of us know the basics of how money works. We get it, and we spend it, and mostly we spend it faster than we get it.
Between the getting and the spending, some of us can add an extra step called saving, but most of us don’t really know how to make our money work for us.
That’s the secret, and that’s why we all need a better level of financial literacy.