Money Management Guide
by Georgia Hemphill
*** Important Concepts of Objective 2 ***
"YOU ARE BETTER OFF BEING IN A COMMUNITY THAN BY YOURSELF."
"UNDERSTANDING TAXES IS AN IMPORTANT PART OF MONEY MANAGEMENT."
LEARNING TO READ A STATEMENT OF FINANCIAL POSITION IS IMPORTANT.
It tells you your net worth, assets, and liabilities.
Assets - Liabilities = Net Worth.
THE INCOME & EXPENSE STATEMENT SHOWS YOU HOW YOU'VE HANDLED YOUR MONEY.
THERE ARE CERTAIN WAYS TO HANDLE NET LOSS AND NET GAIN.
"A SPENDING PLAN IS AN ESSENTIAL PART OF FINANCIAL PLANNING."
It helps you to manage your money in a positive manner, increase your net worth, set and reach goals, and analyze the opportunity costs of your trade-offs to maximize financial well-being.