Economics, finance, accounting, taxes - for many, these are complex and unfamiliar concepts that need to be studied for many years. On the other hand, financial literacy is a means of controlling personal income and expenses, the ability to manage money profitably and reach a new level of material well-being. Success is achieved by those who have mastered the art of not only earning money, but planning their expenses and investments. This can be learned in a few months and then applied for the rest of your life.

What is financial literacy

According to the famous business coach Robert Kiyosaki, economic literacy should include:

• knowledge of the basics of tax legislation;
• ability to use and understand accounting;
• ability to create a simple financial plan;
• have an idea of ​​what money is and how to work with it.

Don’t think that it will take a lot of time to learn this, it’s a matter of several weeks. The main thing is to understand that this is necessary for your own success and to apply the basics of economic literacy in practice. Those who work and constantly strive to implement new useful skills are successful.

The importance of financial literacy for a modern person

Many people believe that if they are not professional economists and accountants, then they do not need to have knowledge of economics. Such illiteracy can lead to dire consequences:

• making decisions that are detrimental to well-being;
• taking ill-considered loans, participating in pyramid schemes;
• ineffective investments, including pensions;
• inability to take advantage of the investment and financial market as a tool for enrichment;
• reduction in personal earnings.

Who needs the ABCs of finance

A successful population is the key to a country’s well-being. The ABC of finance is needed not only by ordinary people; the state will only benefit if people learn to properly distribute their finances and use all opportunities to achieve success. A high level of knowledge in the field of economics and finance leads to increased involvement of the population in consumption, which leads to sustainable economic growth. Increasing material well-being increases the investment opportunities of citizens, which leads to the development of banking structures and the overall standard of living in the state.

The main thing is that financial literacy is needed by the person himself. Understanding the process of saving money, creating passive income, managing expenses - all this will help increase your savings. Do not forget about the regulatory framework; an economically savvy person always pays taxes on time, which makes him a law-abiding and successful citizen.

What does it mean to be financially literate?

It is interesting that government agencies, based on numerous studies, have already compiled a generalized portrait of an economically literate person. So he:

• maintains written or electronic records of income or expenses;
• lives within his means, does not take frivolous loans;
• knows where to look for the necessary information on economic issues;
• before investing money, studies all options and checks them for reliability;
• saves for a “rainy day”, the so-called airbag in case of illness, job loss, force majeure.

How to learn financial literacy

Don’t think that financial literacy is simply the ability to count money and save every month from your salary. This is a broader concept that includes knowledge of the basics of macro and microeconomics, possession of information about credit institutions, the ability to set strategic goals and successfully implement them. Studying the biographies of successful people and their personal successful experiences will be beneficial.

There are several ways to learn this:

• independent study of works on economics and finance;
• obtaining information about the current situation in the country, changes in Russian legislation;
• self-control of income and expenses using specialized programs;
• studying books and video courses on personal economic literacy,
• Attending lectures and classes to improve personal economic literacy.

Where to begin

You always need to start from the beginning, and in this case, by changing your attitude towards money. The vast majority of people treat them as a means to buy food, clothing, cars, and real estate. Consumer psychology does not lead to success; it turns out that money is earned in order to spend it. You need to break this vicious circle and go beyond the philistine instincts, make your own funds work for your success.

Basics of financial literacy at school

The state understands that its well-being depends on the economic literacy of the population, and already in 2019 it is introducing the subject “Fundamentals of Economic Literacy” into the federal school curriculum, as part of the subject “Social Studies.” Schoolchildren will gain basic knowledge in lessons on investing, interaction with credit institutions, strategic planning and generating passive income. Perhaps in the near future, children will teach their parents how to properly manage their own funds.

How to improve financial literacy

Study, study and study again - regardless of the attitude towards the author’s personality, this statement is 100% true. Without additional knowledge, you will not be able to improve your financial education. Various books, seminars, business press, video courses, webinars - now there are hundreds of them, if not more. Absorb new information, but question everything, because in practice everything will be done with your own funds, do not forget about your own experience and common sense.

Books on economics and finance

Literature is one of the most effective ways to learn new information. Some authors conduct detailed research on the topic of profitable investments and increasing personal income, others talk about their own experience:

• Robert Kiyosaki "Rich Dad Poor Dad";
• Napoleon Hill "Think and Grow Rich";
• T. Harv Eker “Think Like a Millionaire”;
• George S. Cason, "The Richest Man in Babylon";
• Bodo Schaefer "The Path to Financial Freedom";
• Vicky Robin, Joe Dominguez "Trick or Treat"
• Alexey Gerasimov “Financial Diary”;
• Ron Lieber "Unspoiled"

Seminars and trainings

There are more than a hundred different seminars and trainings that will help you feel confident in the world of economics and improve your quality of life:

1. Online course from Robert Kiyosaki. It is clear that the training is not conducted by the author himself, but by his certified students, for example, Sulev Pikker, Ilya Brusnitsky.
2. Course from TopTrening Group Personal financial plan. Increasing economic literacy.
3. Economic literacy training from Mikhail Korde. And at a symbolic cost.
4. Economic literacy training from the state program “Genius of Life”.

Financial literacy in life

The good thing about applying the basics of economic literacy in practice is that it is not necessary to completely change your lifestyle, quit your job and become an entrepreneur. Financial literacy teaches you how to make money from your assets, as well as correctly distribute finances, without interrupting your main activity.

Relationships with banks

Many of us forget that financial companies themselves are interested in literate and economically savvy clients. There is an opinion that the bank just wants to deceive and sign for a loan that is profitable for it, but large credit institutions do not practice this. What is important to them is long-term, mutually beneficial and comfortable relationships with specific clients, who will not only be serviced by the bank themselves, but will also recommend it to their acquaintances and friends. As economic literacy increases, the fact is realized that the bank is not an enemy of savings, but a partner with whom one can increase capital.

Personal finance planning

There are a lot of programs that help you keep track of your personal income; choose one to suit your taste. Another thing is that they all have common principles that will help you better understand your tools:

• checking income and expenses;
• cutting off unnecessary spending;
• designation of basic expenses (rent, food, basic necessities, birthday gifts, if any);
• distribution of funds;
• saving some money for investments.

Control of income and expenses

The main rule for accounting for expenses and income is regularity. This needs to be done every day, making it a habit to record the exact amounts of spending. The most convenient way to do this is with mobile applications, here are the most popular ones;

• "Daily expenses";
• "AndroMoney";
• "Money Manager";
• "Toshl Finance";
• "FinancePM";
• “Wallet – finance and budget”
• "MoneyFy"

How to learn to save and save

It is clear that the best way to manage your money wisely is to earn more than you spend. For many, this is an impossible task; the person himself cannot understand where his money went. The most effective way to control this is to record and analyze all expenses without exception. Another interesting point is bank cards, from which money often leaves faster than we would like. Try to take only a certain amount of cash with you, and leave the card at home.

Financial assets and liabilities

This concept was proposed by Robert Kiyosaki, already mentioned above. So, a financial asset is earned money that you can put in your pocket or use it to generate passive income, for example, investing in stocks or bank deposits. Liability requires constant investments (loans, taxes, payment for housing, schools, hobbies, etc.). The ability to correctly distribute earned money between liabilities and assets helps you manage your income and make money on it.

How to create passive income

Another definition of passive income is investment, investing money in a certain field of activity with the aim of making a profit. It does not depend on work activity; the main thing is to find where to invest funds. Don’t forget about the main rule of investing – there should be several sources of passive income, don’t put all your eggs in one basket.

Examples of placing money to generate passive income:

• bank deposit - the higher the deposit amount, the more profitable the annuity;
• buying shares, playing on the stock exchange, do not forget about diversifying your investment portfolio.
• income from advertising on your own website;
• investments in commercial and residential real estate;
• investing money in a business (own or partner);
• creating copyrighted programs, applications, books and receiving dividends from them.

Diversification of investments

The term "Diversification" means taking profits from investments from different sources to reduce the risk of losing money. Experts do not recommend directing cash flows to one area, for example, the purchase of shares or real estate, in order to ensure the safety of funds. It is better to adhere to the principle of diversification - if you purchase shares, then high-yield ones can make up no more than half of the investment portfolio, the rest is better to direct to more reliable mutual funds, shares with minimal profitability.

Hello, friends!

Over the course of decades, a very dangerous stereotype has grown in our country, according to which financial literacy is needed only by people working in the financial markets. And only now is the painful realization beginning to dawn that without her we are like little children who cannot read and count.

The governing authorities also saw the vacuum that had formed in the field of financial education. In 2017, Russia approved a strategy to eliminate illiteracy in financial matters, designed until 2023.

What is financial literacy and why is it important?

While preparing the material for this article, I realized that I could easily slip into the realm of a finance textbook. This will seem boring and uninteresting to people who do not have an economic education and have never heard of compound interest, investments and risks.

It seems to me that my task is to convey to readers in simple language one single idea - financial literacy is needed by absolutely every person.

What is financial literacy and why is it needed?

– this is the necessary knowledge that helps to plan a family budget, save money in conditions of instability in the economy and increase it in order to ensure a decent standard of living for yourself and your loved ones.

Now tell me that you don’t need this, then I can sympathize with you.

Problems that a financially illiterate person may face:

1. Participation in dubious monetary transactions that lead to the loss of invested funds (for example, pyramid schemes).
2. Recklessly getting into debt by taking out loans at inflated rates.
3. Investment that does not protect savings even from inflation, including pension savings.
4. Lack of understanding of the operation of most market instruments, the proper use of which can lead to improved well-being.
5. Unsecured old age on a poverty stipend from the state.

We definitely don't need such problems. Therefore, now let's determine the main reasons for compulsory study of the basics of money literacy:

1. Learn to keep track of your income and expenses for the purpose of further budget planning.
2. Learn to live within your means, and not become an eternal client of credit institutions.
3. Understand existing tools for preserving and increasing your own funds in order to ensure that you receive passive income in the future.
4. Avoid becoming the target of fraudulent activities.
5. Protect yourself and your family from economic crises.

Statistics on the level of financial education of the Russian population

In 2015, the Ministry of Finance of the Russian Federation conducted a study in which it assessed the level of knowledge of the Russian population in matters of the financial sector. Participants ranged in age from 14 to 79 years. Interesting results were obtained:

• 24% of respondents, when asked whether they have at least some amount for unforeseen expenses, answered “No”;
• only 20% are confident in a fair resolution of a dispute or conflict with a financial institution (bank, insurance company);
• 37% of those surveyed who took out some types of loans did not compare these banking products with each other and did not choose the best offer;
• 70% of respondents believe that the state is responsible for a decent level of a person’s pension.

These are bad results, but there are also good ones:

• 64% understand that the higher the return, the higher the risk;
• There has been a positive trend for almost all questions of the questionnaire compared to 2013, when the first studies were conducted.

This is official data obtained from a study, but there is also a subjective opinion of Russians. In 2017, the National Agency for Financial Research (NAFI) conducted a survey among the population of the Russian Federation. Only 12% of Russians believe that they have a good level of financial literacy. This figure has been declining sharply in recent years.

However, the number of families that keep records of income and expenses has increased (from 20% in 2015 to 42% in 2017). If you still do not do this, I recommend reading the article on our blog. She will dot all the i's.

Do you want to test your literacy? Don't be alarmed, there are only 4 questions. In 2013, 33% passed a basic financial literacy test. But in 2015, only 14% did so.

Financial literacy test

The test consists of 4 questions. Choose the correct answer in your opinion. I will give the correct answers at the end of the paragraph.

Question 1: Let's assume that you deposited 100,000 rubles into a bank account for 2 years at 8% per year. How much money will be in your account after 2 years if you don't make any withdrawals or deposits?

1. More than 108,000 rubles.
2. Exactly 108,000 rubles.
3. Less than 108,000 rubles.

Question 2: Let's assume that you deposited 100,000 rubles into a bank account for 5 years at 10% per year. Interest will be calculated annually and added to the principal amount of the deposit. How much money will be in your account after 5 years if you do not withdraw any principal or accrued interest from the account?

1. More than 150,000 rubles.
2. Exactly 150,000 rubles.
3. Less than 150,000 rubles.

Question 3: Let's say you see the same TV model on sale in two different stores. The initial price of the TV in each store was 10,000 rubles. One store offers a discount of 1,500 rubles from the original price, and another offers a 10% discount from the original price. What is more profitable - a discount of 1,500 rubles or 10%?

1. Discount of 1,500 rubles.
2. 10% discount.

Question 4: Let's assume that you took out a loan from a bank for a year in the amount of 10,000 rubles. Interest on the loan is 600 rubles per year. You must repay the loan and interest on it throughout the year in equal installments every month. Estimate approximately what the annual interest rate on your loan will be.

1. Less than 6%.
2. Exactly 6%.
3. More than 6%.

Now let's summarize. Correct answers:

• 1st question – more than 108,000 rubles;
• 2nd question – more than 150,000 rubles;
• 3rd question – discount of 1,500 rubles;
• 4th question – exactly 6%.

Did you manage? If yes, congratulations. You are great. If not, then urgently improve your literacy in handling money, because the questions were not simple, but very simple.

You can find many such tests on the Internet. There are foreign ones, and there are domestic ones. Big and small. You can train as much as you like. The main thing is to learn to apply the acquired knowledge in practice.

Deputy Minister of Finance of the Russian Federation Sergei Storchak in the Izvestia newspaper on October 5, 2017 announced the results of an international study. The Organization for Economic Co-operation and Development (OECD) measured the level of financial literacy of participants from 20 countries. Russia is in 9th place. The leader, France, was only 2 points short. Not a bad result at all.

And the results among schoolchildren are even better. Over the course of 3 years of research, our Russian students rose from 10th to 4th place. They are ahead of the USA, the Netherlands and Australia. So our financial future is not dark at all.

Ways to eliminate financial illiteracy

Where to start improving your education level in finance? There are several methods, choose the one that seems optimal to you:

• Reading specialized literature. For example, I made a good selection.

When I was preparing material from books, I had to read them all. I don't regret the time spent at all. Today, my husband and I have already developed a family strategy for saving money for short-term and long-term goals. We opened a deposit, invested some of the funds in a mutual fund, and some in an individual investment account. We will replenish deposits every month.

• View online lessons, paid and free.

By the nature of my activity, I rotate among information businessmen who organize similar courses. When choosing free classes, you must clearly understand that the main goal of any trainer is not to enrich you with their knowledge and experience, but to attract you to paid training. I'll be glad if I'm wrong.

• Personal consultation.

The consultant will develop for you a personal financial plan, savings and savings strategy, and much more. The services are not cheap. I looked at the price list on Vladimir Savenok’s website. He is the first independent financial consultant in Russia, who has written many books on this topic. I would be happy to schedule a consultation with him.

• Independent study of available materials on websites and blogs.

I’ll tell you more about trustworthy web resources in the next paragraph.

• Personal experience.

Not the best way, but probably the most effective. This is the way to analyze your own mistakes. Personal experience is priceless, but is there time to get it?

Resources to Improve Your Financial Education

There is a lot of information on the Internet and in print publications on filling gaps in matters of handling money. There are thematic websites, blogs, YouTube channels, online courses and entire schools.

It’s easy for those starting to learn the basics of finance on their own to get confused. Let's look first at proven sources of information, which were created either with the support of government agencies or well-deserved financial institutions. organizations:

• Fingramota.org

An educational website created with the support of the expert group on financial education under the Federal Service for Financial Markets of the Central Bank of the Russian Federation. It publishes a lot of useful material on finance. There are articles, videos and presentations.

• Banki.ru

The information portal publishes news, ratings of banks and banking products. You can select debit or credit cards based on your options. There are convenient calculators for calculating interest on deposits and loan payments.

• Fgramota.org

Finnish educational portal literacy with the support of the Russian Economic School and the Citi Foundation. Knowledge of financial management is presented in a fun way in the form of a game, an online book, and tests.

• ABC of finance

The name itself contains the basic principle of the portal - studying the topic of finance from the very beginning. There are examples of drawing up personal financial plans for families with different income levels. The valuable advice that experts give can be applied to creating your own plan.

• School of primary financial education FinStart

The school was created by Andrey Paranich, a member of the expert council on financial literacy and protection of the rights of consumers of financial services of the Bank of Russia. On the website you can access the FinStart Distance Learning Program for free.

It is designed for 2 months of daily classes at a time convenient for the student. The topics are quite interesting. For example, “Personal finance planning”, “Loans”, “Investments. The beginning of the journey”, etc.

Don't forget about the official sites:

• Bank of Russia,
• Ministry of Finance of the Russian Federation,
• Federal Tax Service, etc.

More details about online education are discussed in the article about financial literacy courses.

Financial literacy for pensioners and schoolchildren

As part of the article, I would like to talk about such categories of citizens as schoolchildren and pensioners. Why is it so important to pay special attention to older people and involve them in learning the basics of financial literacy?

1. Pensioners are more likely than others to become victims of scams, ranging from fraud with bank cards to being lured into dubious credit institutions.
2. They are generally conservative in their views on saving and have no investment skills at all. Therefore, large sums of money often lie at home, under the pillow, or, at best, in the bank at a very small interest rate, gradually losing their value.
3. They do not receive information about the benefits they are entitled to on taxes, utility bills, or changes in the pension reform. Only word of mouth works.

For example, my mother accidentally learned information on social networks from other users about the exemption of pensioners from paying property taxes. She went to the tax office, they confirmed it, and my mother wrote an application for benefits. But no one will return the money she overpaid for previous years. Like this...

And this is far from an isolated case when information is spread by word of mouth. The same disgrace is happening with the calculation of pensions. Someone said something, the pensioner rushes to the pension fund, they confirm that a recalculation is due, etc.

The pensioner himself must know and submit an application and documents for recalculation of his pension. No organization is responsible for informing pensioners. It is a disgrace on the part of the state to profit from pensioners’ ignorance of official sources of information.

We live in the age of information technology. Is it really impossible to make the necessary information more accessible? Social banners on the street, distribution through social networks from official government accounts. authorities, advertisements in banks, post offices, shops and clinics. Or is it possible to save the state budget only on pensioners?

A program of assistance in studying financial issues for pensioners must necessarily include the following points:

1. Informing in all possible ways about tax benefits, utility bills and the required recalculation of pensions, about changes in tax and pension legislation.
2. Free seminars and online courses on financial literacy, where you should spend time on issues such as:

• rules for proper use of debit and credit bank cards;
• ways of deceiving citizens by financial fraudsters;
• Internet scammers and how to avoid falling for their tricks;
• paying for purchases and bills via the Internet;
• methods for calculating risk when lending;
• modern tools for preserving accumulated money from inflation and increasing it for your children and grandchildren.

I think it’s a simple excuse that it’s difficult to convey the necessary information to pensioners because they don’t know new information technologies at the proper level. Everyone has a mobile phone, many communicate on social networks, postmen with pensions, social workers and doctors from the clinic come. Everything can be done if there is a desire.

With schoolchildren, no excuses work at all. These are the people who are most accessible to obtain information.

First of all, we, parents, need to understand one simple idea - we need to teach our children how to handle money from a very early age. It is not necessary to start doing this when he has his own funds (for example, a gift from his grandmother). Conversations about the fact that you can’t thoughtlessly spend everything you earn on buying an expensive toy or fashionable sneakers, like Petya’s, should always be held in the family.

Many people don’t understand me, but I pay my eldest daughter money to clean the house. She never had pocket money. But there are gifts from grandmothers for the holidays and hard-earned cash. And in the summer she already worked as a copywriter under my strict guidance. Do you think she spends money on fashionable things? Only for the most necessary. For example, to buy a phone. The rest is saved in a bank deposit.

Give your child the book “Mani, or the ABC of Money” by Bodo Schaefer to read. He, together with the heroes, learns how to earn, save and how to increase money.

When preparing the material for this article, I studied many sites that offer online lessons at home or at school. They were created with the support of our banking structures and government agencies. They are absolutely free, the benefits are obvious.

But what do I see in the examples of my daughters’ schools (they study in different educational institutions)? There is absolutely nothing. Why? What prevents students from applying and conducting lessons online? The answer is indifference.

There are several interesting resources for concerned teachers:

1. Project “Online financial literacy lessons. Financial market professionals will come to every school.” The organizer of the project is the Central Bank of the Russian Federation. Together with him, classes are taught by more than 50 lecturers from banking organizations, insurance companies, universities and government authorities in real time. Ask questions and answer questions from students.
2. A very interesting project “Be Friends with Finance” is being implemented by the Ministry of Finance of the Russian Federation. The partners are the Bank of Russia and the largest banking organizations. For children, information is presented in the form of comics, videos and tests.

Conclusion

Deputy Minister of Finance of the Russian Federation S. Storchak called the lack of discipline and responsibility for risks one of the problems of our population. And I agree with him. No amount of education will help if the basic rules of handling money are not regularly followed: keeping track of your own income and expenses, planning a family budget, saving. Developing these skills is not difficult, but understand why you are doing it.

Vladimir Savenok wrote in one of his books that in 99% of cases he knows why people save money:

• to live on interest;
• not doing what we are doing now;
• do what you love;
• protect your capital.

I'm definitely one of those 99%. And you?

Today, great attention is paid to the financial literacy of the population, and this is done at the state level. Business trainings and promotions are often held that can attract people to improve their level of education in the economic sphere. A financially literate person is a godsend for society and the state as a whole, since he is able to more successfully overcome the crisis and keep abreast of events taking place in the country’s economy. The ability to circumvent an economically unstable situation and be ready to bear responsibility for decisions made is what distinguishes a financially literate person from an illiterate one, but the former, unfortunately, are the majority.

Minimum understanding of financial literacy

The art of managing expenses and income is not taught in school; in higher education institutions they only give theoretical ideas, and business trainings provide exactly half of the knowledge. The best way to become financially literate is to educate yourself and practice as much as possible. Financial literacy helps a person feel more confident in situations of economic instability, rather than rushing at the last moment under the influence of panic.

The minimum level of financial literacy includes:

• An idea of ​​fraud in the financial market;
• Calculating your own budget;
• Making savings.

Having an idea of ​​financial literacy in countries around the world, you will be able to analyze your own level of preparation and decide for yourself how ready you are to keep track of your own expenses and income, how it is possible to make savings and increase their amount, spending minimal time on work.

In an economically difficult situation, the problem of financial literacy, or rather illiteracy, has arisen not only in the regions, but also in large cities. People lack financial knowledge! It is worth remembering the panic attack of household appliance stores, when consumers are buying up needed and unnecessary refrigerators, or clothing sales. This is not a profitable investment in a discounted product, but, on the contrary, a waste of money.

Despite the fact that Russian people most often focus on Western standards of living, there is not a single European country in which residents know how to correctly distribute their income and control expenses. Unlike Asian regions, Australia and New Zealand are far advanced in terms of financial literacy of the population. Chinese culture initially implied the presence of savings, but when analyzing the current economic situation, one can begin to doubt this. In Holland, over 60% of the population have not heard anything about the pension system, and in the UK and the USA, young people of 16-17 years old are already “indebted”, which, fortunately, is not allowed by law in Russia. If they want to buy another new gadget, young people don’t think about saving and decide to set aside part of their monthly profit to pay off their debt, but they don’t always have enough money. A person who grew up in the Soviet Union continues to console himself with the thought that the state takes responsibility for solving private financial problems. If a bad investment was made, 40% of Russians believe that the state should compensate for the costs - a common mistake that prevents many from untangling themselves from a web of debt.

Don't fall into the hands of scammers

Guaranteed honest earnings are funds received in exchange for your own labor. When there is a chance to get rich with minimal investment, be on your guard because it is most likely a scam. The only low-risk ways to invest are through stocks, bonds and investments. A financial pyramid is also an alternative way to earn money, bringing up to 100% of the initial contribution every month. It would seem that the system is extremely simple: bring 100 friends who are ready to invest and get benefits from everyone. The question arises: is it possible to have time to bring the required number of participants before the closure of the financial pyramid? Having reached its apogee, the pyramid most often collapses, taking away all investments with it. You are left with nothing, having experienced the most unpleasant impressions. The only chance to benefit from this type of income is to calculate the time that is worth spending on promoting the pyramid and, anticipating its collapse, stop in time.

Today, financial pyramids are network games, the essence of which can be briefly described in two stages: investing a certain amount of money and inviting new participants. As in financial pyramids, games with real money withdrawal are won by the one who is most active and is among the first. People who come, as a rule, at the time of the heyday of the so-called “business” are left with nothing.

Financially literate people anticipate the possibility of ruin and do not settle for quick money. Only by waiting a long time would you have the opportunity to get rich, so it is better to opt for safe investments.

On investing: is risk a noble cause?

Since investing refers to the long-term investment of capital in the economy with the aim of obtaining benefits in the future, you can always count on reserve funds at a critical moment. Thanks to deposits, you have the opportunity to make a profit without working, but there are certain risks. If you decide to invest, invest only your funds, which are not the last, but reserve ones. The investor will suffer losses along with the company if it is unsuccessful. Risk management technologies have been improving in recent years, but even if something stops you, remember that risk is a noble cause, and even if the first experience is unsuccessful, it will bring you closer to a double win - there is no other way! Since investing has the triune goal of “saving - increasing - receiving”, you need to set priorities and decide for yourself whether you are ready to take a risk and make a profit that is ten times greater than your initial investment? Are you ready to secure an independent future for yourself, protect yourself from financial risks and leave behind a real legacy? Using a simple calculation, you can find out that by investing just one dollar at 26% per annum today, you will receive 10 billion dollars in 100 years.

A financially literate person, having decided to try to live on deposits, must remember the following rules:

1. Rationally distribute your income;
2. Take risks in investments only after receiving a decent income;
3. Invest in risky investments only the money that you do not mind losing;
4. Invest 10-20% of income.

Mark Twain also said: “You can only avoid investing in two cases: if you have money or if you have no money at all!” If you decide that investing is for you, remember that the degree of risk depends on the size of the deposit and income.

It is no secret that about 90% of citizens do not keep a budget and do not see areas of spending where money “flows” in the literal sense of the word. People are surprised that literally in the first days after receiving a salary, funds go to no one knows where. It is certainly necessary to relax and pamper yourself with expensive purchases, but it is more important to know when to stop everything. Not everyone realizes that at least 10% of the budget can be saved. Refuse to pay for your colleague at a restaurant, choose not to borrow money from unreliable people and wait for the seasonal sales, and you will immediately feel how much your monthly income will increase by cutting costs. Try to cut down on unnecessary expenses and start saving now by investing or making essential purchases.

Having savings is especially important in situations of economic instability, when a person is unable to predict what may happen to him in the future. Often, even successful people can lose their jobs by taking on loans - a situation that absolutely everyone without savings can face. As international practice shows, you should have a minimum three-month income in reserve as permanent savings. This is the so-called “financial airbag”, which you can turn to for help at any time. If you want to reduce the risk, use insurance services so that at any unpleasant moment you will have support in the form of insurance payments. If you are still confident in your place of work, do not let this stop you from saving every month in case of an emergency, or, conversely, if you have to make a useful contribution or organize a grand event.

​Since childhood, we are taught to go to work in order to earn money on which to live or survive. If you think about it, it's easy to understand that to get more profit you need to either improve the quality of work or the number of hours devoted to it. A person may encounter certain difficulties that may affect getting the desired salary. You must admit that not everyone can rise to the position of director of a company, and the quality of work of an ordinary employee, even the most successful, is significantly lower than that of a director. As it seems at first glance, the solution can be found in increasing the number of hours, but is it worth sacrificing free space to follow the lead of work? The meaning of life is not to leave early in the morning for work, come and go to bed. There is a limit to human performance that requires minimal fatigue, so it's important to reduce the time you spend working while increasing your income. Ask how? First, decide for yourself who you are according to Robert Kiyosaki, an expert in the field of financial literacy.

1. A person is an employee who has a job (working capacity for 40 years, 40 hours a week; by retirement, at best, receiving 40% of the total income for the entire life).
2. A person is a business owner with his own company and the people who work for him (minimum involvement in the company’s affairs; 99% of free time and full control of the funds earned by employees);
3. The person is the owner of his own company and works for himself (employment is approximately the same as that of an employee; a significant percentage of income for retirement is again invested in the business);
4. A person is an investor for whom money works (complete independence from money and time; by retirement you have substantial capital for yourself and your descendants).

Each of us is in at least one of four categories, our place is a source of cash. Some are employees and work for a salary, some rely only on themselves. The world of business is made up of different people, so it is unthinkable to imagine at least one of the categories empty. It is important to understand that financial freedom can be found in any of the four categories and does not have to be limited to just one.

Financial freedom is achieved from the categories of “a person is a business owner” and “a person is an investor,” and people from the categories of “a person is an owner of a company” and “a person is an employee” should also try their luck.

Financial literacy is a step to success

If you patiently read the article to the end, then you care about how much you are earning now, how you can save and increase your income and invest it in your future. If you patiently finished reading the article, it means that you are ready to slowly but surely wait for money to start working for you, and in the meantime continue to improve yourself in the field of finance. It's up to you to decide who to become now - an employee or a manager of your own business. Don’t fall for scammers and choose the most guaranteed way to earn money, and then you can ensure a happy future not only for yourself, but also for your descendants.

Due to ignorance in the field of economics and money, people are often unable to provide themselves with a decent life, even with a good salary. In addition, other people often take advantage of our financial illiteracy, which leads to dire consequences. It is for these two reasons that it is worth learning the basics of financial literacy. As you will see later, the ability to earn a lot does not mean a comfortable life. If a person earns money only with the help of certain skills (music, medical education), then this is not enough. The ability to manage the money you earn requires completely new skills and knowledge - and this is what can lead you to financial independence.

We are not taught how to manage personal money at school or even at university - and this is the biggest omission both for any state and for you and me. We come across money issues several times a day and at the same time we do not understand at all what money is and how to become a financially wealthy person. Moreover, if you ask almost any person what a financially wealthy person is, the answer will be the same: “The one who has a car and a good house.” In our course, you will understand that this is an incorrect definition of a wealthy person for many reasons and you will learn what kind of thinking you need to develop in yourself in order to achieve a stable financial position after a few years or at least acquire some habits that will help you save wisely and not throw money away .

What is financial literacy?

This is not a very simple question, because different people understand it differently, and this concept itself is rather philosophical and purely subjective. But if we still try to give direction to our course, then we can say that:

Financial literacy is a clear understanding of how money works, how to earn it and manage it. There are two main characteristics of a financially literate person. First: his expenses never exceed his income. Second: any positive difference between monthly income and expenses is used in investments of any form.

Surely you know many people who have been earning quite good money for several years and yet are barely making ends meet. They are great at what they do - it could be programming, art, science, . However, some of them even manage to get into debt. And it would be nice if they bought themselves important things with which they... Typically, these products are completely pointless and purchasing them becomes burdensome.

This may seem strange, but in fact it doesn't matter how much you earn at the moment. In the history of mankind there are thousands of stories about how a completely poor person became a millionaire. There are also reverse stories - people who were hit with wealth managed to lose everything in a short time. Therefore, it is very important to understand that your current income is not a death sentence. This is precisely why financial literacy is needed. It shows how, by acquiring some financial habits, anyone can climb out of a financial hole and get back on their feet.

Economics is a difficult tool to understand. This is evidenced by financial crises, when even the best economists in the world were not able to predict things that now seem obvious. Now economists use the phrase about cycles, abdicating responsibility: “There are cycles, there will always be world crises.” No one can predict the exact date of the crisis, but everyone can prepare for them.

Can a millionaire be financially illiterate? Maybe. For example, this is a Hollywood actor who can receive several million dollars for one role. After some time, his fame fades, and along with it his financial fortune disappears. Therefore, he is forced to spend the rest of his life playing low-paying roles, selling off his property in order to make ends meet. This is a perfect illustration of the importance of financial literacy.

Application of financial literacy in life

Studying the theory, cultivating a conscious attitude towards money and financial thinking - these three things will help any person get settled in life.

Financial thinking is most important, but it is very important to constantly learn and supplement knowledge with practical skills. Some people believe that you need to work as hard as possible to become financially secure. On the one hand, this is true, but on the other hand, you must first of all work wisely. Once you start your financial journey, you are forced to work as hard as possible. But there is one important point: the more money you have, the more intelligently you should approach your work. There is no point in becoming rich and working your ass off. A financially literate person, as his capital increases, works less and at the same time accomplishes more. For example, once you reach the point of becoming an investor, you can work less. Money will work for you. Of course, in this case, no one forbids you to do what you love and continue to work, but now you will decide for yourself how much and where.

Remember that you can apply financial knowledge now. Everything you do with your finances today affects your future. When you stop buying things you don't need, you have new opportunities. A simple thought begins to form in your mind: money should make new money. Simply spending your income gives immediate results and does not move you forward in any way.

Any book about financial independence will first of all make you understand the importance of optimizing expenses in your life. Spending everything you earn is the worst strategy, worse than living on credit.

Our course will help you change your life and attitude towards money. You will learn to think in terms of decades. In any area of ​​life, satisfying immediate desires does not lead to anything good. In the financial sphere, this can lead to the most catastrophic consequences. The financial literacy course is designed to change your thinking and help you become a more mature and human person.

How to learn financial literacy?

No one is born financially literate. You can be born into a rich family, but this does not guarantee you a wonderful financial future.

To develop financial thinking in yourself, you need to devote many months to this. However, you can develop many positive changes in yourself within a few days. The theory of money can be learned fairly quickly, and you can also understand how the stock market or bank works. And only by understanding how finance works will you begin to move forward little by little.

In past times, financial literacy was even worse. Man was forced to work from morning to night in order to at least survive. Financial culture existed in its infancy. To become a wealthy person, you had to use force. Nowadays, a lot has changed and this is a great chance for each of us to succeed in life. There is a lot of freely available materials: books, courses and videos. Any information is available here and now. However, as we know, the availability of information at the same time depreciates it. You must clearly understand that you already have everything you need for financial prosperity, you just need to find the right materials.

Perhaps the most important skill for developing financial literacy is. More than 90% of people in the world spend money completely thoughtlessly and it is for this reason that none of them will become a wealthy person. Nobody guarantees anything to the remaining 10%, but they still have more chances. By developing discipline around your financial habits, you increase your chances a thousandfold of being retired in ten years, having passive sources of income, and doing whatever you want.

Want to test your knowledge?

If you want to test your theoretical knowledge on the topic of the course and understand how suitable it is for you, you can take our test. For each question, only 1 option can be correct. After you select one of the options, the system automatically moves on to the next question.

Lessons on financial literacy

Having studied a large amount of literature and biographies of rich and successful people, we came to the conclusion that financial literacy is a skill. Any skill can be learned. We have developed six lessons for you, each of which will cover a specific aspect of financial literacy. The good news is that we didn't have to target different types of people because financial literacy is not unique to every financially successful person. This is a certain set of knowledge and simple skills that everyone can acquire. All great businessmen had approximately the same philosophy, only the ways to achieve the goal differed.

Purpose of the course: to introduce our reader to planning, financial analysis and investing.

Course Objective: develop financial thinking in the reader, which is not taught at school and university.

We present you with a short overview of each of the lessons.

How to take classes?

At times this course may not seem very easy, but we tried to mix simple and difficult things. Economics is somewhat complex, but once you get to know it better, you will understand that it has its own completely understandable laws. There are also completely illogical things in it, but you will understand this and do everything to be prepared for the unexpected.

The first, third and fifth lessons are more related to theory than practice. You can choose this order of study. The theory will require the least amount of time. The second, fourth and sixth lessons are mostly practice and require more time to study and implement. However, you can study the lessons in order. The symbiosis of theory and practice is the right approach and any professional knows about this. You can think a lot and not act, or you can act thoughtlessly and make a lot of mistakes. When you think and act, you get the best results.

You can complete our course in two ways, related to time periods. For example, if you have time, a week may well be enough for you. However, we recommend that you take the course more thoughtfully and return to it from time to time. Once you've completed the course, come back and reinforce your skills, review the recommended reading list, and move on. However, our course is self-sufficient in itself and will help open your eyes to many things. We tried to make it fun and easy to understand.

Good afternoon, readers of our blog! Blog author Ruslan Miftakhov is in touch. Now people are especially interested in the question of financial literacy, where to start. Why do some people with an average income have no problems, while others have difficulty making ends meet?

Want to learn ways to develop financial literacy? Then check out our article.

There are many materials for schoolchildren and adults that should help improve financial literacy. But besides this, there are various trainers who promise to teach you everything from scratch.

How they actually work:

1. Collect materials.
2. They systematize them a little, take the necessary passages.
3. Seasoned with a pinch of your own dubious experience.
4. They sell tickets for the course for 500-3000 rubles.

Yes, it cannot be denied that among all the “trainers” there are really smart people who can teach you something useful, but they are in the minority. In most cases, you will simply be given slightly revised information that can be found in books or articles on the Internet.

Therefore, remember one simple truth: “No one will teach you to think with your own head.” It is better to study the information yourself, systematize it and draw conclusions.

Minimum financial literacy

The basis of financial literacy includes several points:

• approximate idea of ​​fraud;
• counting income and expenses;
• formation of savings;
• the right investment.

Let's look at the main points for better understanding.

Frauds - important to know about them!

A good place to start developing financial literacy is by studying common fraud schemes. The list of them is huge, criminals are constantly coming up with new ways to take money from the population.

Let's look at some common methods:

A call or message from a relative asking to transfer money. The reasons may be different - the car broke down, was taken to the police, etc. Be sure to contact the person to clarify the situation.

Another scheme is gaining popularity on social networks – asking for a loan. A friend writes to you, wanting to borrow 1-2 thousand rubles. But later you will find out that the page was hacked and the money went to scammers. There is only one way to deal with it - personally contact a friend by phone.

A very common method is to obtain codes to confirm the operation. You are allegedly contacted by an employee of a bank or mobile operator. In various ways, he lures the password from the phone in order to transfer money to another account.

Never share secret codes, including card numbers, with anyone.

Pyramids and pseudo-investments. HYIPs have been alive for many years and projects are constantly updated. I already wrote about MMM and how my relatives fell for scammers.

To learn how to resist scammers and not just part with your money, start treating everything with distrust. Be sure to check the information, then you will not become a victim of another deception scheme.

Counting expenses and income

Today there are many applications that allow you to record expenses and income, and quickly find out how much money is left from your salary. I've been using the service for several years now easyfinance to control all wallets and financial movements.

If funds are stored in a bank account and all transactions are carried out through a card, then in your personal account you can study the data of interest.

Attachments

You can invest the funds you have on your own.

There are several ways to invest:

1. The simplest option is . The profitability is not so high, but the reliability of the deposit is guaranteed.
2. Investing in various projects. But it is important to carefully study all the information, find out whether the solution is viable and whether you can make money from it. Here is an example of one of mine.
3. Investment in new buildings. The scheme is simple - at an early stage of construction an apartment is purchased, after delivery its price increases by 10-30 percent. Real estate is being resold.
4. Purchase of company assets. But you need to create a portfolio of various securities in order to compensate for losses on some positions with income on others. For example, different companies.

You can find a lot of tips in various videos and materials. The information has been systematized, we offer the main points for familiarization:

1. Study more materials, you can read books. It is important to gradually accumulate theoretical knowledge.
2. Learn to save and cut expenses. Give up unnecessary purchases, things that are not needed at the moment.
3. Every month, save 10-30% of your salary, or more. This way you will have savings that will be useful in various situations.
4. It is better to put the accumulated funds into a replenishable deposit in the bank so that interest continues to accrue on them.
5. Try to increase your income in the future; for this you need to grow professionally.
6. Don't skimp on paid training courses to improve your skills. Investing in yourself will allow you to earn more in the future.
7. Avoid loans almost completely. Want to buy a brand new iPhone, but don't have the money? If you can't afford an item, then never go into debt for another trinket. It's better to find a simpler device.

What can you take out a loan for?

Your productivity and professional level will begin to increase, and in the future you will be able to increase your income.

Another example came to mind from life, when we went for an ultrasound to another city with a second child in our tummy, since there was no way to check if everything was okay with us.

Therefore, we were sent to a neighboring city, where we were checked with modern equipment, which cost 40 million rubles, borrowed on credit (the doctor let it slip). There were queues for a week and even months in advance.

This is an example of proper debt; over time, it will all pay off and will only bring profit.

You can attend online seminars (webinars) to get more information about financial literacy. The main advice is to spend money wisely, do not spend money on things that are not particularly necessary.

Be sure to build savings to have an emergency fund to ensure financial stability.

Take the time to watch a cartoon about financial literacy instead of watching all that nonsense on TV.

Also subscribe to our telegram channel. Until next time, we look forward to seeing you again on the pages of our blog!

Best regards, Ruslan Miftakhov