Eighty percent of American families are only one paycheck away from homelessness, and 60 percent could not pull together $1000 in thirty days if an emergency arose. Most Americans do not know and therefore do not follow the income-to-debt ratios lenders expect when they grant mortgages and other consumer loans. Although the market has improved as the economy has turned upward, one in approximately every 120 homes stands in jeopardy of foreclosure. Perhaps most alarmingly, though, financial analysts say hard-working families like yours put themselves in financial danger simply because no one ever has taught them about managing money. Put your domestic economy on the road to recovery. Take an online financial management class. In the class, you will…
Learn effective budgeting and money management
Developing an intelligent, balanced, and reasonable budget lays the foundation for working your way out of debt and building your wealth. Experts have worked-out proportions and ratios that allow you to satisfy all your desires and have money left-over for savings and investment. When you apply the proportions, your domestic economy takes a dramatic turn for the better. As you learn to budget, you also learn how to manage credit and control your credit score—the magic digits that determine whether or not you qualify for consumer loans and how much interest you pay. An online personal finance course teaches you when and how to borrow, and it helps you develop techniques for negotiating effectively with lenders.
Cut your taxes
No matter your annual income or your tax bracket, you dramatically can reduce your taxes with strategic pre-tax investments, income properties, property depreciation, and other proven, perfectly legal strategies. Learn about how to manage retirement and college savings plans that yield substantial tax benefits, and develop investment strategies that build long-term wealth while minimizing tax liabilities.
Develop investment strategies
Find out when to “buy and hold” a stock, and learn to evaluate the comparative advantages of mutual funds, indexed and fixed annuities, certificates of deposit. Discover the pros and cons of life insurance, and explore a variety of techniques for protecting your assets against all kinds of disasters. Drill down on the significant details of intelligent real estate investments, and find out what “a diversified portfolio” actually includes. Become skilled at calculating risk-reward ratios and managing the risks in your investments according to your age and earning potential. Similarly, outline a lifelong plan for developing wealth and passing it to your children via trusts and other durable financial instruments.
Economize and maximize the value
Operate your household economy strictly on cash to minimize expenditures and optimize savings. Become self-conscious about your spending patterns, and begin aligning your expenditures with your values and expectations. Discover how to shop in-synch with product cycles and retailers’ seasons, and discover a variety of savings tools that require little of your time but save lots of your dollars. Learn to balance the price of your major purchases against the life expectancies of the products you buy, and learn how to find unpublicized discounts, rebates, and manufacturers’ incentives.
Boost your net worth
Your “net worth,” the bottom line on your financial scorecard, increases as you generate income, maximize savings and investments, build equity, and reduce indebtedness. Your net worth influences your credit-worthiness, and it qualifies you for a wide variety of “preferred risk” perquisites—discounts and savings that come with top-tier credit.
Taking a financial management class online has huge advantages for busy professionals: You take the class according to your own schedule, and you complete study modules at your own pace. Repeat and review different kinds of instruction, taking time to apply the principles to your own finances and learn what works best for you. You study in the privacy and comfort of your own home, and all of the details about your personal finances remain perfectly private. Best of all, online financial management courses cost less than big, impersonal, fast-paced and high-pressure seminars. Look at the websites offering instruction in personal finance, and find the one that works best for you.
Author Info: Thomas Hathaway is a financial consultant and content contributor to a payday loans site providing information and advances when you may need money before your regular paycheck arrives.