What's the Difference & Prepare Young Adults

What is the Difference?

Financial Literacy

• Knowledge, understanding and applying financial skills.

• Budgeting, borrowing and money management.

• Golden rule of financial literacy: Pay Yourself

• Give Your Tithes / Pay Yourself

• Keep U in the Eq-U-ation!

Personal Finance

• Encompasses your entire financial life!

• Take responsibility for your financial future.

• Focus Now to See better Tomorrow!

• Rule #1 Spend Less Than You Make

• I – Am -The-Responsible-One!

• I – Am -The-Responsible-One!!

• I – Am -The-Responsible-One!!!

Whose Advice do You Need?

Financial Counselor (Coach) / Primary Focus

• Help establish skills such as money management and budgeting to become self-sufficient

• Conducts financial assessments

• Developing personalized savings and financial plans for long term financial security

• Debt management – Reducing and/or eliminating debt

• Personalized training. Once skills are taught and plans are made, you are on your own to implement your plans

Financial Advisor/Primary Focus

• Gives investment advice or options to invest in stocks & bonds

• Financial planner for retirement

• Building wealth over time through investments

• Long-term relationships, managing client’ finances for their future use.

• Fee based portfolio

Decide which financial help you need. While both can happen at the same time; you would want to invest time in understanding where you are at this stage in your finances and what are your financial goals. You can contribute now the maximum amount possible in your retirement account and that long term investment will grow over many decades; AND *you can focus on your day-to-day living expenses and money management.

"Experience is not always the best teacher"

Knowledge is Power That No One Can Take Away from You

• Knowledge helps you advocate for yourself and others

• Prepare young adults before they go out into the world. What do they really know about responsibilities.

• If they return home take the time to teach what was not done before they left.

• Let them pay the water or sanitation bill. Show them a version of your monthly expenses

• Some say that “experience is the best teacher”, which is a quote that is often misused and inappropriately applied.

• John Maxwell once said that “experience isn’t the best teacher, evaluated experience is”, meaning that while experience is a teacher, sometimes it is not necessarily a good one. Evaluate – Learn – Proceed to make better choices and decisions. Experience gained through failure should not always be the way to learn when plenty of resources exist to help one learn beforehand.