UNDERSTANDING YOUR FINANCIAL STATUS

Knowing what you can do to improve your finances

Iriobe OfunreMarch, 2017

To know thyself is the beginning of wisdom

--

Socrates

To understand your

financial status, you

need to first

understand yourself

Your financial status is connected to your personality

UNDERSTANDING YOURSELFYou need to define your core values. They are the principles that guide your decisions in life. They are your beliefs, habits and priorities

Know your strengths and weaknesses, your passions and fears, your desires and dreams

 

Financial Status• The financial standing of an

individual in respect to the objectives to be accomplished

• The process of measuring a person’s financial activities in monetary terms.

DETERMINING YOUR FINANCIAL STATUSEarnings

Financial status

Attitude towards money

Your financial status is not determined by how much you earn, but by your ability to exercise control over your finances.

A person's financial attitude, value or beliefs can influence

their financial stability and goal setting, and can be an indicator of

financial management practices such as savings, spending, loan delinquency, and

credit card debt (Chien and Devaney, 2001; Parotta and Johnson, 1998).

Anything that attracts your attention over a

period of time. Activities that you enjoy.

Your hobbies, passions etc

Things that shape your financial status

Values: These are principles or standards that govern how you behave. It is your judgement of what is most important to you in life. (Financial security, creativity, excellence etc)

Personal Interest

Your reasons for being in existence and things you want to accomplish in life.

Things that shape your financial status

Temperament

Your nature, in-born preferences.

Mission & Goals

Things that shape your financial status

Strengths

SkillsAbilitiesTalents

Love for learningEmotional intelligence

How to improve your financial status

1. Discover yourself

2. Improve your Financial literacy/ intelligence

3. Save/invest more and control your spending pattern

4. Embrace financial planning

DEVELOPING YOUR PERSONAL FINANCIAL

PLANEvaluate your current financial status

– What is the state of your income compared to your expenses?

Define your financial goal– What are you targeting financially?

Develop a savings/investment strategy

WHEN SHOULD YOU START?

Start now that

you are young,

and still have

time on your

side.

Thank You