Technology, Money & Questions

How much you earn is not really important. What's more important is, how much you are able to save? People, all over the world earn money in one of the four ways.

1) By working for someone
2) By providing services
3) From their business
4) From their investment

These four categories of revenue generation is present always, even in the industrial age. When we moved out of industrial age to information age, many a things got changed. One important change is the way people looked at their money. In the industrial age, people from the first two category had very less means for investments if they wanted to build wealth. And the major notion was to save money, rather than invest and build wealth. But, in this information age with a global economy, there are umpteen number of tools available for investment.

People from the last two categories - business men and investors, are already well educated financially. Otherwise, there is no way they could be successful. By financial education I doesn't mean a doctorate or a degree from a highly acclaimed university. All you need to know is basic financial instruments and mainly, one should learn to read financial statements and numbers. People who make money by working for someone or by providing services to others are in a real need of financial literacy in the current scenario. Simply saving money in your bank account will not do any good. Though your money is secured, it is hardly working for you. You have to get out of thesaving mode and start investing your money. Your money should work for you. It should generate more revenue. And there are a lot of financial vehicles available to do that. In India, you can invest your money in,

1) Equities,
2) Mutual Fund,
3) Government bonds,
4) Gold funds,
5) Retirement plans
6) Post-Office saving schemes,
7) Real estate etc.,

Every investment instrument has lots and lots of providers. You should be able to pick up the good ones and financial education will really help your brain to see what your eyes cannot see. It will help you to differentiate facts from opinions. Its your hard earned money and I'm sure, you will not prefer a blind date with it.

Well, do not hesitate to invest in yourself. Spend enough time and if needed, necessary money to train and equip yourself with knowledge. Your financial knowledge will pay you off very well in the long run.