BE 7.4 My Financial Advice...and Yours?
Go over this advice with a partner. Feel free to add some of your own advice. Are you going to talk
about any of these points in your presentation entitled: "My Financial Plan"?
1. Every Little Bit Counts
Save and invest what you can. It doesn't matter how much; it matters that you make progress.
Healthy habits lead to overall financial health. Exercise your body, brain, AND wallet."
2. Write It Down
One of the most common reasons why those who earn a lot of money can't save any is that they don't keep
track of what they spend. Keep records. Know what your assets and liablities are.
3. Don't Spend More Than You Make
The Millionaire Next Door is recommended reading. In the study, who is financially better off,
the doctor or the plumber? Why?
4. Fear and Greed
It is what investing is all about. When markets rise, most get greedy. When they fall, most panic.
Are you the kind of person who can keep your head when others are losing theirs? If so, you have
made one step toward being a smarter investor.
5. "Cash is King" or "Saving for a Rainy Day"
Always have emergency money for the unexpected. The greatest financial changes come when many
of us are unprepared. Don't be that person!
Waiting for the others to catch up?
Take a quiz:
OECD Financial Literacy Test
http://www.oecd.org/pisa/test/financialliteracytest/