By David Berky

Tom Monson, the Vice President of Simple Joe, Inc. was giving a series of free seminars on personal finance to people in his neighborhood. Many couples were scheduled to attend but only two or three were showing up.

Tom and I discussed the situation and wondered why attendance was so low. We knew many people were interested and several had expressed a desire to learn more about finances directly to Tom. But when it came to showing up for the seminar they seemed to find other things to do.

As Tom and I were discussing this he commented on the behavior and attitude of some of the people who had shown up for the first two seminars. At the first seminar, Tom noticed that several of the husband & wife couples seemed a bit uncomfortable discussing financial matters with each other.

Much of Toms seminar involved recognizing and evaluating your current financial situation, setting financial goals and ways to measure your progress. But he was having a hard time getting the couples to discuss financial matters between themselves.

We wondered if these couples may be hesitant to have a frank financial conversation because conversations about money can lead to disagreements and even fights. It has been estimated that over half of all divorces occur to some degree because of disagreements over money and finances.

So maybe these couples were hesitant to get into a public argument about their finances because they know that every time they talk about money they fight. Or they may just have had one or two really bad fights about finances and so now they try to avoid the subject.

I would venture to guess that all fights about money and finances can be boiled down to one of two root problems; lack of communication (or misunderstanding) and selfishness.

Lack of communication occurs when one spouse spends money the other had earmarked for something else. Or when an important financial decision occurs without input from the other spouse. Or when a large purchase is made without the consultation or consent of the other spouse.

Misunderstanding can occur when the couple is hesitant to enter into a financial discussion, has trouble communicating or just has trouble expressing financial ideas. It could be that one spouse does not fully understand a financial concept. Or one spouse is not being patient enough to have a full discussion of the subject.

The need to be right vs. wrong in making financial decisions is often very strong, especially in men. As the historical provider for the family, some men see finances as solely their domain. It can also be a sign of status or ego.

And in a situation where there are financial problems, many men can get defensive easily when the wife questions decisions or situations. This can lead to fights and misunderstandings.

After a discussion breaks down, the husband may feel like the wife is ungrateful for what he does and does not trust him to make correct financial decisions.

Meanwhile the wife may feel like the husband is talking down to her, does not value her contributions to the family and maybe is even hiding something from her.

This can happen when emotions get in the way of communication. It is very important to be considerate of your spouse and be careful how you phrase questions and comments.

Also it is important to ask questions when you dont know or understand a financial situation or decision. Lack of understanding will lead to future confrontations. The husband may assume that the wife knows the impact of the decision they just made. Then if something goes wrong the husband can get angered at his wifes questions because, to him, they could seem like an accusation.

Or the wife may do something that the husband does not fully understand and then the husband gets upset because 'she did not tell' him what it is she was doing or why.

So how do we solve or avoid these problems of lack of communication and misunderstandings?

The first step is to leave your ego outside the door. You dont know everything and neither does your spouse. It is important to make sure that both people understand the financial topic, how it affects their lives and what type of decision is best for them and why.

If the wife is stronger in one area of finances, she needs to patiently explain to the husband what she knows and how it affects them. If the husband is more versed in a financial topic he should patiently explain to the wife what he knows.

If neither of them have a good grasp on the subject, 'shut up' and go learn something more about it. Also dont be embarrassed or ashamed of not knowing something. Just because you are the 'man' does not mean that you were born with financial genius.

Just because you are the 'woman' does not make you an expert on household finances and it in no way means that you are 'not capable' of understanding financial topics and concepts. Dont pigeon-hole your spouse or allow your spouse to gloss over something without an explanation that you both understand and could repeat to someone else.

We all make mistakes and we all have things to learn. Dont let your pride or your ego get in the way of your financial success. Dont let the subject of money become a sore spot in your relationship. If you can remember to talk with your spouse in the same kind of patient and respectful way you talk with your boss, your conversations about finances will go much smoother.

David Berky is president of Simple Joe, Inc. One of Simple Joes best selling products is Simple Joes Money Tools - a collection of 14 personal finance and investment calculators. Visit http://www.simplejoe.com to learn more.

Tags: Financial Problems, Personal Finance

By rick martin

Managing personal finance may not be the easiest job. If you are one of those who manage their finances themselves, you will surely not find this activity as being the most enjoyable in the whole world. It requires a lot of time and attention, but it is indispensable to your or your familys financial well being. You can find a helping hand here, on our website, where you have the updated information you need in order to do a realistic finance comparison.

A key component for efficient management of your personal finance is financial planning. This dynamic process requires regular monitoring and reevaluation. Otherwise, you risk missing points of evaluation and this could damage your finance control. You should keep under control this circular process by repeated verifications and intelligent manipulation. The following five steps should organize and make your planning easier.

The first step is an assessment of ones personal financial situation. You will do it by compiling, onto a piece of paper, all the personal assets, income and outcome. You should use a simplified balance sheet for listing the values of personal assets (for instance, car, house, stocks and bank account) along with the values of liabilities (such as credit card debt, bank loan and mortgage). Moreover, you should make sure you list personal income and expenses, on a personal cash flow statement form.

The second and most enjoyable step is setting the goals. With this stage, one should formulate his or her material desires in a financial language. You can set long-term goals can such as retiring at 65 years old with a significant personal net worth. You can also make short-term plans, for example: buying a house or a car by paying a monthly mortgage for 3 years but no more than 25% of monthly income. You can also establish several goals both long and short-term, in the limit of your financial resources.

After setting the goals, you must develop an efficient plan in order to accomplish them. The plan should detail the exact actions that you need to undertake. This is the third and most difficult part of your personal finance management as it asks for thorough research for the most convenient loan, investment or mortgage deals. An easy way to approach this matter is by using the services we offer here, on our site, where you will find thousands of updated offers available for adequate finance comparison. In this manner, you can avoid or diminish planned financial sacrifices such as reducing expenses or increasing your employment income.

Execution of ones personal financial plan, monitoring and reassessment are the fourth and, correspondingly, fifth steps in efficient personal finance management. Discipline and perseverance are necessary for accomplishing this part of the plan. As time passes, conscious fulfillment of every action included in the financial plan must associate with continuous monitoring and reassessment until the fulfillment of the financial plan.

Managing your personal finance has never been easier. With access to all the pieces of information you need, you can do a realistic finance comparison and you can develop a more efficient personal financial plan. Here, we offer you the possibility to compare thousands of offers on credit card, loans, insurance and investment deals in UK and not only.

Here, on our website, you will find accurate information on all credit card, loans, insurance and investment deals you can use for an efficient finance comparison. Personal finance management has never been so accessible.

Tags: Credit Card, Personal Finance

By Terry Johnson

Firstly, know your current financial status. This can be a little intimidating for some but it is essential to a better financial future. This entails knowing three important things: your expenses, financial problems and financial desires.

Be aware of how much you spend in order to find out how much you can afford. Write down your monthly expenses if you have time, or use a personal finance program. Make allowances for problems that may arise such as unexpected doctors bills, school uniforms, tax returns.

Knowing your lifestyle aspirations is just as important. Taking note of your desires will help you decide which ones are reasonable and which ones are not. Focus on the reasonable ones as they will provide the motivation to manage your personal finances.

Honesty is another key attitude to managing your personal finance plan. If you decide not to accept the facts surrounding your current financial status, you are not likely to move ahead. Be honest with yourself in how much you can afford and how much you owe, otherwise your financial plan will most likely end in financial trouble.

Discipline is perhaps the most important when managing personal finance. Once you have discovered what you truly can and cannot afford, you must learn to say no when needed. This is easier said than done, but if you are determined on having a financially secure future, discipline is imperative.

Knowledge is most definitely power. You must be wise in your investments if you wish for success in your personal finance. Consult accountants and financial planners, research on trends on the market or speak with your friends and co-workers about their investments. This research is sure to pay off whereas lack of it will surely lead to more debts and deviating from your personal finance plan. Also, diversify your investments to reduce risk and leverage out your financial investment.

Very simply, the most effective method to improve your personal finances is to spend wisely. Do not spend more than you can earn. Make sure all your expenses are covered first. Understanding this will allow you to manage your personal finance a little better.

Terry Johnson is a finance consultant for Instant Personal Loans where he specializes in personal finance solutions.

Tags: Personal Finance, Self Management

By ARINDAM CHATTOPADHYAY

What you are doing with your Personal Finance? Like other salaried person, financial planning means tax planning for you. You have invested in endowment insurance , unit link insurance, childrens plan , real estate, public provident fund, mutual funds, shares as per your friends advise. Still you have surplus money and you are clueless.

You are accustomed with hectic and lavish life style also. You have a big dream to buy luxury car, world trip but do not know how to achieve your dream.

Wealth planning with the help of investment advisor is the Solution for you.

How Financial Planner can help you?

Your financial dreams are:-

a. Post tax retirement income Rs 1 lakh/month starting from 2036

b. Corpus of rs.20 lakhs for your kids by 2016

c. Corpus of Rs.10 lakh for your daughter marriage

d. Corpus of Rs. 75 lakh to start a business in 2014

e. Family trip once a year. Budgeted cost Rs.1 lakh.

A professional financial planner can help you to achieve your dream.

Assessment of your current finance by Wealth Planner

Observation by a wealth plannera. An excellent cash flow but not proper investment.

b. Sufficient cash reserves and good liquidity.

c. Unbalance portfolio. It is biased towards tax saving and real estate investment.

d. Tax planning need to improve.

e. Insurance planning need to be improved.

f. No Medical and house hold insurance.

Financial Risk Management

Financial Planners main objective is to multiply your money with sound financial planning. a. Medical insurance cover need to increase to 4 lakh for each family member. b. A term insurance plan of Rs. 50 lakh. c. Home owners all risk policy. d. Marriage woman property right for your wife against your insurance.

Investment Advisors strategy for your personal finance

a. SIP is started for HDFC equity fund, Franlin templeton blue-chip fund b. Debt portion of investment continue to be PPF,EPF, RBI bond. c. Equity portion of their portfolio increased to 30%. d. Real estate portion is reduced as these are not very liquid asset. e. Systematic gold investment is recommended for daughter marriage.

Author is wealth Advisor. You may visit his site http://www.financial-planning-retirement.com

Tags: Financial Planning, Personal Finance

By Oyvind Hennum

Planning your personal finances doesnt always come naturally, and even if youre just beginning to take your financial matters seriously, then you likely need a few personal finance tips.

Evaluate your current financial situation. One of the most important goals for most people is financial independence. Collect accurate information about your personal financial situation. Calculate your net worth which includes the real estate, saving and retirement accounts, and all other assets. This will help you decide how much money you can set aside for meeting future needs and goals.

A basic personal finance tip is to make a budget. A personal finance budget is information made up of your income and expenses and the more accurate this information is, the more likely you are be able to meet your goals and realize your dreams. A personal finance budget should be made for at most one year at a time and include a list of your monthly expenses.

All expenses must be included. To be sure of that go through all your paid bills, check register and credit card receipts to find expenditures that recur every month and expenditures that happen less frequently. Personal finance budgeting requires some small sacrifices. To be able to make good personal financial decisions and set priorities, you must know where your money is actually going. Start your budget and accomplish your goals.

Get an electronic bill pay. This is a very convenient way to pay your bills. You pay them electronically, by direct withdrawal from your bank account. The transaction is processed immediately. You can even link your bill pay service to your personal finance budget, so that your expenditures are automatically entered in the appropriate category. Personal financial management can be really easy.

Make an investment and finance plan. Now that the fundamental state of your personal financial security has been established, the time has come for the more prosperous part of your personal financial life. You need to make a personal finance plan of what you really want in life that money can buy. Your personal financial plan can be as simple or as detailed as you want it to be. Find out how to finally start to implement this plan and get the money to finance it. This is the long term part of your financial. This journey is the most interesting and exciting part of personal financing you can have toward financial freedom.

You can prepare for a secure personal financial future by following these simple tips. When you take control with your money, you dont have to worry about debt taking control of you.

About the author:

Oyvind Hennum runs the site http://www.financial-freedom-made-simple.com/

A large free resource directory containing book reviews, articles, biographies, motivational quotes, affirmations, practical tips, budgeting advice, success tests and free e-books.

Tags: Basic Tips, Personal Finance

By Joel Teo

So the usual question is how someone can increase his financial literacy? This article will therefore list three simple ways for anyone to start increasing their financial literacy.

Firstly, the best way to start is to start browsing an online investing dictionary and start learning simple financial jargon. A great place that you can consider is www.investopedia.com where you can start learning the meaning of basic financial terms so as to be better able to understand financial literature. You would want to spend some effort in learning those pertaining to the stock market first because such terms are most commonly used in the papers when financial analysts talk about the state of the economy.

Secondly, once you have a basic grasp of financial terms, you can then graduate on to reading the financial section of the newspapers. I know of friends who attack the movie section of the newspapers and maybe a little about the crime news but avoid the business section like the plague. These are the same people that gripe about the lack of understanding of the 'recent increase in Initial Public Offerings'. It can be a bit intimidating for the uninitiated but you will gradually start learning more about the particular market that you are in and how it works.

Thirdly, a fast way to learn more about financial terms is to make it a point to listen to the financial news daily before you head to work. This can be on the radio or on the television. Remember to take what the analysts say about stocks and shares in the news with a pinch of salt as sometimes the stock moves in response to what they say and as the scandals have proven, they sometimes actually move against the advice that they tell the general retail customers.

After doing these three simple steps daily, you will find that your financial knowledge will start increasing and you can then subscribe to Forbes and other financial magazines or newspapers like the Financial Times and feed your ever growing interest in financial matters. If you finally reach the stage where you want to know more then you might consider doing a MBA or CFA.

In conclusion, the quest for knowledge in the financial arena is a never ending one. New financial instruments are created ever so often and keeping abreast of such changes can be an almost impossible task. But getting started is ever so important in this fast moving world and you can then manage your own investments better and with more confidence.

Copyright © 2006 Joel Teo. All rights reserved. (You may publish this article in its entirety with the following authors information with live links only.)

Joel Teo is the successful Webmaster of http://www.RealEstateInvestment101.info. Learn how you can make more money today from Real Estate Investment today.

Tags: Financial Literacy, Personal Finance