It is being observed worldwide that schools and colleges are not teaching personal finance despite it is one of the most important things in everyone’s life. Here is Why Schools and Colleges DON’T Teach us About Personal Finance.
You may know there are lots of books written on the category ‘Personal Finance’ such as Rich Dad Poor Dad, The Richest Man in Babylon, Cashflow-Quadrant, Think and Grow Rich and many more.
All these books are best-selling in their category.
Do you know the reason why?
The answer is simple. This topic(personal finance) is completely new. And, it will remain a new topic because no one teaches us how we should manage our money.
Most of us compare the standards of each other by our earning capabilities. But, if you know a bit of personal finance, you will get to know ‘It’s not about how much money we make. It’s about how much money we keep’ by Robert Kiyosaki.
Why Schools and Colleges DON’T Teach us About Personal Finance:
Personal finance is not taught in schools and colleges. Not only in developing countries like India and Bangladesh but also in developed countries like the USA and the UK, personal finance is being ignored by schools and parents as well.
1. Teachers don’t know about Personal Finance:
The teachers generally don’t have sufficient knowledge to teach personal to their students.
That’s why the government cannot include such topic in the syllabus.
2. Difficult to Understand:
Being a financial advisor and student, I have observed that people don’t want to know about investing, insurance, inflation and medical claim.
Even after I explained in the simplest language, most of them feel that it is difficult to understand the things related to investing and insurance.
3. No One Wants YOU to Become a Rich! :
Yes! That’s true.
There are many financially intelligent people out there. But, most of them don’t like to talk openly about personal finance because they don’t want you to become rich.
I love to share my knowledge about what I have learnt after 1.5 years of experience as a financial advisor.
4. Risk-Taking Abilities:
Without knowing about investing, most of the people believe that we may lose all the money if we invest in stocks and equity mutual funds.
People take the opinion of those who also don’t know about investing.
Conclusion:
Personal finance is a way to live a high-quality, safe and secure lifestyle. By understanding the terms like compounding, insurance, medical claim, investing, debt and inflation, you can completely change your lifestyle and the mindset.
So True!