High schools previously would hardly teach anything related to money management but it’s getting a bit better now as some states are incorporating personal finance into their school curriculum, and others are including a compulsory class in economics as well.

Dissolve | Schools are now teaching personal finance to young kids to help them manage their money better when they are adults

How to handle money is a very important topic, and it’s even more important to learn about it earlier in adulthood than later because as a young adult, you have the time to make financial decisions that would set you up for financial freedom in your later years.

One important thing you need for proper money management is the ability to control your impulses. The fact that you want to get something now doesn’t mean that you should, especially if you’re even planning to buy it on credit. If you can’t afford to pay for the things you want to buy completely, then maybe it’s a better option to forego it.

You’ll understand later when the interest rates that creep on those tiny things become something huge, and you end up continuously paying for it in years to come instead of simply getting it at once as a whole purchase when you have the complete money.

Delay is not denial and it’s okay to hold off on some things before you get them, don’t be fooled by the convenience of purchasing on credit. The truth is it’s only worth it if you pay it back on time so you can start building a good credit score.

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You also need to be your own personal money manager. Many times, when you’re unable to trust yourself with managing your money you fall into the hands of so-called investment groups that ask you to use a certain amount as capital with the promise of a monthly percentage profit.

You need to be the one in control because no one can ever manage your money better than you will for yourself. Get accustomed with your finances, take the time to read books, and gather knowledge on money management. Don’t let even family and friends decide how and when you spend money because most of the time, your spending will be unplanned and unaccounted for.

Once you start earning, it’s important to know how much you spend out of those earnings, and one way to do that is by budgeting. Having a budget helps you monitor the things that culminate into large sums at the end of a period, and you can always choose the financial adjustments that need to be made so you can spend less and save more.

The Balance | Once you start earning, it’s important to know how much you spend out of those earnings

It’s smart to assume things could go great for you and they could also go bad. It’s not a pessimistic way of life, it’s a realistic one that lets you plan well. Having this in mind especially when it comes to things you can’t control, it would be wise to have some money available for emergencies and you should also go for a health insurance plan once you’ve considered the available options in the event of a medical emergency.