Here’s How I Learned (And Built Wealth)
Here’s How I Learned (And Built Wealth)
I Knew Nothing About My Own Money — Here’s How I Learned (And Built Wealth)
Andrew Lisa Wed, April 24, 2024
Financial literacy is the foundation of financial success.
You don’t need a graduate degree in finance to avoid overdrafting your checking account or going into credit card debt, but avoidable mistakes, unhealthy borrowing and missed opportunities are all but certain if you don’t understand the basics of credit, interest, budgeting, banking, taxes, saving and investing.
The good news is that if your financial knowledge isn’t up to par, it’s not too late to learn your way into prosperity — and a new GOBankingRates study of more than 1,000 people is proof.
Can Financial Literacy Cure Money Mismanagement?
Nearly half of the study’s respondents — about 44% — said they never struggled with money due to a lack of financial literacy. On the other end of the spectrum, 36% say inadequate knowledge has held them back and that their finances are still in disarray because of it.
However, nearly one in five — about 19% — had previously struggled but have since recovered after gaining a better understanding of personal finance.
Young and youngish people between 18 and 44 were more likely than older people to have righted a faltering ship through improved financial literacy, and men were more likely than women to say the same.
However, one overarching theme prevails across all demographics: If you’re struggling financially, committing yourself to learning more about the ins and outs of money is the surest way to improve your chances of cutting spending, eliminating debt, building savings and creating wealth.
Another incentive to learn as much as possible about money is that personal finance knowledge transfers seamlessly to business pursuits. GOBankingRates spoke to a successful entrepreneur who applied what he learned about personal finance to his company’s bottom line.
An Entrepreneur Turns Personal Finance Knowledge Into Business Acumen
Daniel Meursing is the CEO of Premier Staff on Sunset Boulevard in West Hollywood, Los Angeles. When he founded the luxury event staffing agency in 2018, he had plenty of industry knowledge, high-level connections and no shortage of ambition — but upon going into business for himself, he realized that his commitment to financial literacy might have been his most important asset of all.
His company has worked with everyone from automotive giants like Bentley and Ferrari to entertainment powerhouses like Netflix and The Oscars — and Meursing’s efforts have helped him build a comfortable amount of wealth along the way.
But he wouldn’t have been able to manage his business’s finances so successfully had he not taken ownership of his personal finance self-education. Although, that’s not to say his journey from monetarily ill-informed to financially savvy was easy.
“I understand that becoming financially literate can be overwhelming, but I believe it’s a crucial step toward achieving financial success,” said Meursing.
It Can Be Hard To Know Where To Begin, but Just Take That First Step
As with anything, the first steps toward financial literacy are the hardest. With so many complex subjects, potential sources of knowledge and conflicting information, it can be hard to even know where to begin.
“For those who are just starting their financial literacy journey, I recommend seeking out reputable sources of information, such as well-established financial publications, educational resources provided by trusted financial institutions, and books written by experienced professionals in the field,” said Meursing, who leveraged his real-world network while also leaning on academic sources.
To Read More:
https://www.yahoo.com/finance/news/knew-nothing-own-money-learned-150112934.html