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Category: Financial

The Financial Literacy FAIL

Financial literacy fails because it addresses only one problem:   It focuses on facts and figures while largely ignoring behavior.

This is insane.

This is like promoting sex education that talks about penises and vaginas while never discussing what it’s like to be madly in love with somebody so in love that your brain stops working and you just end up being ‘CLOSE’ anyway.  For sex education to be effective, it has to deal with real-world circumstances and behavior.  It has to teach about psychology and emotions, not just body parts!

The same is true with financial literacy.

Literacy = “… the ability to use printed and written information to function in society, to achieve ones goals, and to develop one’s knowledge and potential.”

  1. Folks are too influenced by a barrage of media, admitting they are influenced by it but ADMIT and recognize it and then NOT fall prey to the temptation to buy just because they have great marketing.
  2. THINK about spending. Ensuring that each dollar has a purpose before it even comes into their hand.   Stop spending on impulse and be deliberate about where those dollars go.

Instead of teaching Americans about credit cards and rates of return, we need to be teaching them about behavioral finance.  We need to be showing them how to break free from the marketing messages that are all around.  We need to be showing them how to set (and achieve) personal goals, especially financial goals.  We need to teach skills like conscious spending.

Ultimately, if we want Americans to be smarter with their money, we need to encourage them to consume less media — to avoid advertising — and we need to teach them to master the emotional side of personal finance.  We need to show them how to change their BEHAVIOR.  We need to appeal to their self-interest.  We need to help them find intrinsic motivation to save.

Each of us needs to dig deep inside to find what it is that’s important to us, what it is that brings us joy, and we need to prioritize that instead of all the other garbage.  I’m not suggesting that we abandon traditional financial literacy completely. But I think a constant push for more financial education is a waste of time and is not enough.  To truly be successful, financial education has to address the behavioral side of money because that is absolutely the biggest piece of the puzzle.

What do you think?  Have you seen this happen in your life?   Leave a comment below.

Why Eclipse Financial Services

Eclipse Financial Services

Hi, my name is Reggie Moon.  My wife Sindy and I own a Real Estate Company on the Southside of Atlanta, Georgia.  Three years ago we added financial services to what we do for a very simple reason. Two out of one hundred people are going to buy a house this year, two! Out of those same one hundred people there are eighty five of them that are in for the biggest financial train wreck that has been seen for generations. So if you are in the business of helping people like we are, would it be better to JUST change folks address or change their financial trajectory?  I go with the latter.

Then who are going align with to help folks?    An entrepreneur that has done it maybe NEVER or one that has built not just one but two multi-billion-dollar market-cap financial services companies. We aligned with Hubert Humphrey with Hegemon Group International.    He originally built Primerica Financial Services and World Financial Group.  So if you are going to align with someone then why not go with someone who has already successfully done it.

If you do more than just change a family’s address then give me a call to discuss.  Reggie Moon, Eclipse USA Realty and Eclipse Financial Services.

Call or click 404-Eclipse(325-4773) www.404Eclipse.com

 

 

 

Efficiency Rules for simple Planning & Organizing

Budgeting Like a Boss

When it comes to creating your own monthly budget, sometimes planning is easier than the practice. Keeping track of finances can be tricky, but, with a few guidelines and time, you can take charge of your bank account once and for all.

Adopt a weekly allowance
Parents offer their children an allowance to teach them about saving money, and the same principles can be applied to your own spending as an adult. Set aside a specific amount for treats and other nonessential expenditures, and vow that once the money is gone, extras can wait until next week.Avoid eating your meals out

Planning out your meals for the week and grocery shopping ahead of time may seem like a pain, but it can help you save money in the long run. Eating out at restaurants and fast food places adds up significantly over time. Just remember to be cautious at the grocery store or warehouse store to avoid temptation buys.Consider saving to be a payment to yourself

Adding to your savings account after each paycheck is just as important as paying any other bill, so treat it as such. Choose a set amount to put away from each paycheck you receive and, before you know it, the number in your savings account will be something you can be proud of.

Save all of your receipts

Keeping receipts is a great way to see your spending in action. Sometimes it’s difficult to remember how much a cup of coffee a day or a take-out meal each week adds up by the end of the month, but putting your receipts in a secure spot and adding up the amounts can help prevent you from overspending.