What every independent person needs to know. (Part 1)
No right?
I guessed so.
In the 21st century, education is touted as the most important tool to attain independence, survival and stability in this dog-eat-dog world. That's the reason behind the paper chase and why we are funneled into the education system for a good 20 odd years of our lives. Unfortunately, the most important type of knowledge we need for survival is never ever taught in schools. And that is: financial education.
By financial education, I mean the knowledge of how to manage your finances, budget, invest and make financial plans to ensure you don't have empty pockets at the end of retirement. In the early years, most of us receive our financial education from our parents. It is passed down from generation to generation. And our parent's knowledge is usually derived from their own personal experiences. This includes good (or bad) choices that they make, which they then pass down to us because that is all they know of. Or they might give us advice which everyone is doing at that moment. (Anyone heard of the 'Herd mentality' syndrome?) That's what we're good at and thus prone to doing. So is it no surprise that the rich get richer and the poor get poorer?