Insight Finance Solutions founder, Helen Crapper takes us through some of the common finance facts she wishes we’d all learned at school.
I’ve known I wanted to be an accountant since I was 9 years old (true story! Sad I know…)
Yet that being said there’s a few things I wish I’d personally learned at school.
From my coaching conversations with clients over the years here’s what I think we should teach our children;
Let’s Talk About Money!
This is often evident when we begin working with new clients. Talking about money feels, well, weird at times! It isn’t something we are always comfortable doing. Even though talking about money might feel scary or might feel a bit brash, it is important to discuss it. We are firm believers in learning about finances in order to improve your confidence on the subject of money. More confidence = more understanding. More understanding = less fear.
- It’s important to talk about money!
- It’s not a taboo subject
- The more we talk, the more we learn rather than learning the unspoken actions and beliefs from our parents
Use a Bucket Approach
You can have it all! And buckets can really help you balance your finances. We try and get all of our clients to a point where they have ‘buckets’ for different aspects of their finances. These ‘buckets’ are in the form of different accounts. The beauty of the digital age is you can automate payments to these buckets and so save without feeling like you’re sacrificing your lifestyle.
- fun money (to splurge recklessly each month!)
- necessary money (to simply pay the bills)
- savings for holidays and other fun things
- pension
- long term investments
- money to repay debts or other financial fires
- a ‘safety net’
The Banking Industry is a Business
The glossy brochures and amazing offers on overdrafts, credit cards and loans offered by your bank aren’t there to help you but for them to make money! The banking industry is a business just like any other, even the 0% credit card deals are there to keep you locked in to them. See your bank manager as a sales man and you’ll take a different approach!
Delayed Gratification
We live in a world where finance is fast and we don’t necessarily need to have the cash in the bank to splurge on the things we want, love and perceive to need.
Our grandparents had to save and save to get what they wanted. These days we use credit cards, credit agreements and sometimes never fully own our ‘stuff’. Teaching children (and ourselves as adults) the joy in delayed gratification and saving for the things we love is an important life skill.
Saving doesn’t need to be boring!
You Don’t Need to Work a 9-5 Job
Controversial maybe? At Insight Finance Solutions we are testament to working in a way flexible way. Did you know? The modern working day pattern was derived from old industrial times to take the natural daylight into consideration (it’s why we have Daylight Savings). Is it outdated? Are we better employees and entrepreneurs when we work and think out the box?
Gone are the days of the golden clock and 25 years service. It’s healthy to move around in your career, gain experience and grow in your career. Most importantly, the difference between a ‘career’ and having your own business is your career has a capped salary limit which can rise as you are promoted. Running and growing your own business – the sky is the limit! Every multi billion dollar company started out with a person or handful of people and an idea.
We love to learn and expand our knowledge at Insight Finance Solutions. We love to teach our clients how to get a grasp on their finances themselves and pride ourselves in our caring and understanding approach. Whether you’re looking for a done-for-you bookkeeping service or you want to learn more to help grow your business then we can help!
It all starts with a simple informal chat about you, your business and your current business financial health. It’s confidential and there’s no obligation to instruct us as your accountants but we might just be able to help you see business differently. Get in touch.