The New Rules of Money Are Anything But Dated
In a poll conducted by Harris Interactive for the National Council on Economic Education both teens and adults similarly ranked low when asked about personal finance and basic economic concepts. Frighteningly enough, the teens measured an average of 53 which is a failing grade.
Technology has dramatically changed the way we can access and use our money. The effect is the tools with which we manage our money have become more complex – Internet banking, online stock exchanges and personal financial planners, but the rules of spending and saving have not changed that much.
Liz Pulliam Weston from MSN Money offered some unchanging money management basics:
o You need to differentiate between needs and wants. Just because you can buy something does not mean you need it. Determine what's necessary for you personally and for your business and then make educated and resourceful decisions.
o Every money decision has a price of its own. When you choose to spend money in one place, you are choosing to not spend it in another. You may defer full-time work (making money) when you choose to attend college (spending money), but in the long run you'll probably be much more financially sound because of the education you've obtained.
The standard rules of money are as true and applicable today as they were 50 years ago. Not much about the basics has changed. That can not be said for technology and how we can utilize it in our businesses and with our money making decisions.
The new rules of money are similar to the old rules – like do not spend more than you make, and invest in yourself. These are two rules that will never change.