[Image generated from Meta AI]
Good day, people of Hive! Welcome to my blog. Today’s topic is “Financial Literacy”. But first, what does financial literacy mean? "Financial literacy in simple words is the ability to manage our money wisely. It involves how to save money, how to spend, and how to budget". So let’s dive in.
When did I first learn about financial literacy?
The first time I learned about financial literacy was from my sister, @princessbusayo, when I was still young. She always told me, “Tosin don’t use all your ten fingers to eat,” which means I should always save part of my money. Also, In her words, “Tosin use one hand to eat and keep the other,” which meant I should spend half and save the other half. Back then, I didn’t understand. I used to ignore her, thinking she just didn’t want me to spend my money. She always told me about the importance of saving, budgeting, and having emergency money, but I didn’t pay attention to her advice.
As I'm growing older, I began to understand what she meant about financial literacy. Back then, if only I had listened to her, I wouldn’t have made so many mistakes by spending my money anyhow. But at that time, I was still a child and didn’t know better.
Like I said earlier as I'm growing older, I saw how my sisters managed their money, especially @princessbusayo, because I was closer to her than my two eldest siblings. I noticed how wisely she spent and how she saved, and it all started making sense to me. So that was when I decided to stop spending money carelessly and stop buying unnecessary things.
Back then when I was young, whenever someone gave me money, I would spend everything at once. And let’s be honest, if someone spends all their money at once, how will they save? It’s not possible. But ever since my sister introduced me to Hive, my mindset changed. I started saving, spending wisely, and budgeting ahead, because I really don’t know what future holds for me.
Now, anytime I get money, I divide it into two. I spend half and save the other half. This habit has helped me so much. Whenever I have an emergency or need something important, I don’t have to borrow or ask money anyone especially from my siblings for help, all I have to do is just withdraw the amount I need from my savings.
In fact, to avoid spending carelessly, I lock my savings account so that I won't be able to touch the money unless it’s very important.
When do I think financial literacy should begin for everyone?
In my opinion, financial literacy should begin as early as age 5. Because children’s minds are fresh and quick to understand. Parents should guide how their children spend money and teach them how important saving is from a young age.
We have some kids who love spending any money they get on sweets and biscuits. But parents can help by dividing the money, by letting them spend half and save the other half. By doing this regularly, the child will get used to the idea of saving. Also, as they grow older and see how their parents save and spend wisely, they will also learn to manage their own money. They’ll know how to save, budget and plan ahead.
In conclusion, Financial literacy is very important because it teaches us how to save, spend wisely, and budget for the future. Also, financial literacy is not for rich people alone, it’s for everyone. Because no matter how much or how little we earn, if we don’t know how to manage our money, it won’t last.
This is my entry for the Hive Learners Featured Content Week 167 Episode 02
Thanks for reading💞💞💞💞💞.