FINANCIAL LITERACY - A PENNY SAVED
FINANCIAL LITERACY - NO TIME TO BUDGET?

FINANCIAL LITERACY - STORY OR NUMBERS

I'm not a financial expert, or a financial advisor. These are just some things I've learned and think about. 

 

Story or numbers, money and emotions, financial planning, budget

Numbers can tell a story, but can a story help clarify numbers? I don't think so. 

When you are thinking about numbers and budgeting, it may be helpful to think things through with a narrative. It may help clarify your motivation, needs, wants, patterns. But when it comes time to discussing the actual finances, story can get in the way. 

Imagine this conversation about a proposed vacation:

"I work really hard all year and I deserve to go to Bermuda for a couple of weeks.  Just because I will have to go into a little more debt to pay some bills coming due, that's no reason not to go to the beach. It's not that expensive, just air fare and a hotel, but I didn't book the most expensive hotel, and I really need to relax.  Remember that time a few years ago that you wanted to buy a new refrigerator and I thought it was a bad idea? Did I tell you not to?  No I did not. Well I want a vacation. You have no right to tell me how to spend my money."

Cool story. But where are the numbers? How can anyone make a financial decision based on a story? 

How about this, instead?

budget review example

 The caveat. You have to make a budget first!

And, as Suze Orman would say ...."VACATION DENIED!"

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