Financial Education | The 4 Rules Of Being Financially Literate

 

1. Understanding Financial Education Financial education is the possession of the set of skills and knowledge that allows an individual to make informed and effective decisions with all of their financial resources. It is also called financial literacy and it's extremely important in order for you to make progress and get ahead in life.

2. The Concept of Financial Confidence

If you are looking for improvement in your personal and financial life, you might be looking for financial freedom and financial independence. It means that you want to reach a point in your life where you no longer have to depend on family, a job, or a company that you don't like for money. But there is another concept that I like you to understand. It is financial confidence.

3. Dispelling the Myth of Money Scarcity

Most people think that there is a money scarcity. They think that there is no money and making more money is impossible. But this is deeply untrue. The truth is the world is littered with money but only those with the skills and knowledge can acquire it. Money is like a game and it has a bunch of rules that you just have to follow. Play according to the rules and you will become the master of your financial life. Guaranteed.

4. The Importance of Financial Literacy

In this video, I'm going to teach you the four most important rules of money which are the basics of being financially free, financially confident, and financially literate. These simple rules that I will give you today will elevate your money game and take you to a whole other level you've never seen before as long as you're hungry and dedicated.

5. Overcoming Financial Ignorance

I'm going to give you all of this information for free. I don't sell books, webinars, or online courses. All the knowledge on this channel is free so if you want to show your appreciation, click that like button and the subscribe button right now. It is actually very fascinating how all this information is becoming more and more available every day for very cheap or even for free. And everything is easily accessible with a couple of Google searches. So even if everything is at their fingertips, more than 90% of the population is still financially ignorant.

6. Reasons Behind Financial Illiteracy

• Conventional Wisdom
• Comfort Zone and Self-Esteem

Here's the truth, financial education is not conventionally okay. Most people will give you a mindset of scarcity, and if your mindset is wrong, you will never attract money. For example, growing up, your parents might have been telling you, money doesn't grow on trees, and money is the root of all evil. These lies that people tell their kids are stopping people from taking the necessary steps to a better life financially. Another conventional concept that is widely thought, but is extremely wrong, is the negative connotation towards debt. Debt is not that bad, if you know how to use it, but still, people demonize it because they don't have the appropriate education. So, you have to stop listening to those that aren't financially literate and financially confident. You should start listening to those that actually know how to generate money, because they are the ones that can give you tips on how to become financially educated.

Just like in a sport, for example skiing, you don't want to learn how to ski from someone that has never skied before, you want to learn from somebody that already knows how to do it. Apply this to your financial education and you'll learn very fast.

7. The Journey to Financial Education

In order to generate money, it's believed among the rich that, you need to be confident and have decent self-esteem. Self-image is important, and you have to first of all, believe that you truly deserve to be wealthier and happier. If you don't, you will never become rich. Think of it like a self-fulfilling prophecy, you have to see yourself rich first. This confident, charismatic, rich image you see yourself in your mind will give you the needed confidence to continually act out of your comfort zone, which is very important. A very successful person once said, most people are not successful because they are afraid of success. This is true. In order to become successful, you have to step out of your comfort zone and take risks.

8. Essential Rules for Financial Success

• Rule 1: Understanding Investments
• Rule 2: Leveraging Debt Wisely
• Rule 3: Cultivating a Wealthy Mindset
• Rule 4: Developing Income-Generating Skills

For example, if you want to start your first business, but you don't have any money, you might first of all have to take the risk of getting a loan from your bank and putting yourself in thousands of dollars in debt, which is out of a lot of people's comfort zone. Charisma and confidence are some of the key ingredients you need to become rich. If you don't have the confidence to take action, you'll never become rich. So, before actually getting into financial education, you have to first work on yourself and your mind when it comes to risk-taking and failure. Confidence will give you the strength and the courage to take risks and perform under pressure.

9. Conclusion and Call to Action

So, now that you know all about why people don't get financially educated and the importance of it, let's get started with the four most important rules of being financially educated.

Well, that's it for today's video. I hope you enjoyed it and gained value from it. If you did, give it a big thumbs up. Also, leave your thoughts down below, I'd love to hear them. With that said, don't forget to subscribe and enable notifications. Thanks for watching and I'll see you in the next one.