Personal Finance 101 • 5 must-know things

Personal Finance 101 includes these 5 must-know things.

Personal Finance 101 includes these 5 elements

There are no links anywhere in this article for you to buy any savings plan or insurance or mortgage plans. There are also no links to view a virtual 360 of a property too. Haha. You are reading this in

I write to share what I know, not to sell any courses at the end of the article. Oh yeah, I do not run any course(s) too. Happy reading to understand why Personal Finance 101 is so important to all of us. It starts with getting a decent job…

#1 – Working for good salary

This is the base supporting the next stage; savings. If our current job does not pay well, it is important to either find another job which we could get a second income stream. Else, we should also look for another job if we know our skill and expertise will be valued higher by another company. However, if we could not find another higher paying job because our skill and expertise is not something special, it’s time to think about how to upskill and upgrade ourselves. Then, we will be more valuable in the job market. 

#2 – Spending based on needs, not on wants

If we really do need a car, then buy a car which can help us get from point A to point B. It does not need to be a car which will make us feel better that we are not driving a cheaper car. It does not need to be a car which our friends will approve, they are not the ones paying for it every month. A car appreciates on the first day it is driven out of the sales gallery. Second-hand car need not be a second choice yeah.

If we need lunch, RM10 can be lunch money. RM20 can be lunch money. RM28 for a set lunch with a cup of coffee can also be lunch money. Difference is RM300 if we opted for RM10 versus RM840 if we opted for RM28. This is just ONE meal for the day. It would not kill us to spend even lower for lunches yeah. Perhaps for the image, we do suffer a little from how the colleagues think of us but hey they are not the ones paying for lunch!

Spending based on needs would help us tremendously to have extra money which could then be saved up.


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