Financial Management Must Have A Good Habit.

Financial management is not always related to money. Many times it depends on your mindset.

Money may not be able to manage your money well, but without money, it does not mean that you can't manage well.

The success of financial management is not only related to personal financial knowledge and investment skills, but also to personal self-control.

Smoking is a habit. Drinking tea is also a habit. Good habits can accomplish you, and only one bad habit may ruin you.

Many people think that financial management is to invest in making money, and find a financial manager to come up and say, "help me to configure healthy and high-yield products."

This financial attitude is quite wrong.

Financial management is not just about making money. It includes many aspects, such as the analysis of income and expenses, and whether security is guaranteed.

Family financial management must first ensure that the normal life needs of the family are met, followed by arranging the remaining assets and making reasonable plans.

And blindly pursue high returns.

It is bound to be accompanied by high risks and must not be risk-taking.

Five little things about wealth

For example, buying a house, buying insurance, buying antiques, calligraphy and painting, or even buying jewelry, although there is a "buy" word, it means that you have to spend money to get it.

But they just invest, that is, money is in kind or written proof, but it can increase assets or get extra compensation. In the end, money is still their own.

And those behaviors like buying cars, traveling and buying clothes belong to consumption. They also have to buy more than ten or hundreds of thousands of cars. But once a new car arrives, even if second-hand cars are used, the market value will be lower day by day.

Therefore, consumption is that we give money to others, and we can never get back the original amount of money.

In short, it is called "investment" that can be appreciated, and then it is called consumption after the depreciation of time.

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To say more, we support the purchase of loans as far as possible, and extend the repayment period as much as possible, but we do not recommend buying cars, but many cars.

They all publicize the 0 interest rate, but they are all businessmen. Who will make a profit?

Plus the car doesn't guarantee value, you borrow 100 thousand, but the car is not worth that much money.

So if you are tight, don't buy a car first. If you want to buy it later, you might as well have the ability to pay the full amount and buy it later.

Although the new society, young people again say, "Oh, you have to frugal ah" is rubbish, but some of the money will be saved in the province, the premise is to ensure that the basic quality of life does not decline.

Some of them are too extreme. They don't eat all day, even they can't eat meat all the year round. They even need to wash their roommates' shampoo.

The money should not be drawn, but instead of spending money.

3.

It is necessary for you to spend your money in crisis time.

To put it bluntly, I need to leave some emergency money in my current account under the bed or in the bank.

This part of the funds must not be invested or consumed. It is necessary to control their own hands and not firm willpower, so that they can leave behind the way for themselves. These are all set in the stock market and can only be glaring when they are in urgent need of money.

This fund is usually deposited in cash, demand deposits or monetary fund, although the interest is small, but the principal is very safe.

Five little things about wealth

Investment is definitely risky, especially with high returns such as stocks and stock funds.

Therefore, from the beginning, investors should start from their actual risk bearing capacity and financial situation, and do not do something "out of the question".

If there is a sudden change in the market, which leads to loss of investment, we must not panic and control our emotions. Do not blindly invest more money. We hope to make the loss back, so that the more we can fill the hole, the more we will eventually become a bottomless pit.

If you make such a decision because you are not calm, it must be wrong.

Who has invested no money? Unfortunately, not only do you have a person, do not compete with yourself, it is necessary to admit defeat and leave the field. It is important to find out the reasons for the failure of investment and draw lessons from it, so that it will be possible to "turn around" in the future.

Five little things about wealth