How to Improve your Financial Literacy

With so many daily distractions in our lives, it’s no wonder that some people have a difficult time achieving their financial goals. That said, financial literacy tends to be on the back burner for many people as it is easier to pay someone to take care of your financial future even though this adds up over time. Quite simply, the more that you learn about making and saving money, the more likely you are to follow through and increase your savings rather than blaming a younger and inexperienced you for not learning earlier. Although this might seem boring, the benefits you will get will far outweigh the time it will take to learn, here are some steps you can take to improve your financial literacy.

Learn Everything

You probably already expect that if you read more about topics of money and finance that this will improve your financial literacy. It is important to note that everyone is different, some people, myself included, have difficulty getting into a book and have trouble grasping and remembering the information. Others are able to absorb everything. For those of you that might not be able to get through a full book, you should also take the time to read magazines like The Economist, blogs, and any other publications covering financial literacy. You might also look at watching shows or podcasts that cover financial literacy for those who prefer to develop this skill while multi-tasking. At the end of the day, it does not matter the medium that you use to learn, it comes down to the fact that the more content you consume, the more information you will remember and understand.  

Take a Virtual Course

The best part about the internet is the fact that you can learn anything and everything from the comfort of your own home! You no longer need to enroll in an actual school to take classes on subjects that interests you. It’s now even easier to improve your financial literacy knowledge and skills through the internet. Some of these courses can be found on major university websites like MIT or Harvard for free. It is definitely worth looking into online financial literacy courses that you can take for free and without any pressure of exams. With so many to choose from, the odds are very good that you will find a perfect course that fits your skill level, goals and lifestyle.

Social Media is your New Best Friend

If you are active on social media, you probably know that there are hundreds of groups on platforms like Facebook or Reddit that explore very specific topics that you can learn quickly. You will also see that there are many groups devoted to discussing financial literacy and some even have experts in the subject who participate and lead discussions. It is definitely worth joining a few of these groups where you can begin asking specific questions that you might have, allowing you to get insights on topics that interest you. As a note of caution, not everyone who says they are an expert actually knows what they are talking about so take the time to review their posts before asking them your questions.

Find a Real Life Mentor

Turning to a friend or a family member who has been able to manage their money wisely can also be a very simple way of learning new knowledge and helping to fill gaps in your learning. 

Financial Management Apps

Most people hate budgeting apps because they do not appreciate seeing monthly reviews of how much money they spent on eating out, but financial management apps have made it easier to understand where your money is coming in and where it is being spent. These apps are made to help you develop a better understanding of financial management concepts and will help you manage your money better. If you need help with starting a budget, you can look online or see my other posts on budgeting.

Comments

Overall, the most important part to remember is that learning about financial literacy is not the same experience for everyone and that it does not need to be difficult. Go at your own pace and ask questions, it might take a bit of time but the effort that you put in will be greatly rewarded.

Have any questions? Comment down below and ill answer any questions you might have!