Personal finance
is a general term regarding all the financial aspects of an individuals
or families financial situation and financial decision making.
The three key components of personal finance are income, spending
and savings. These components include many sub components such
as bank accounts, investments, loans, retirement plans, insurance
etc'.
Most people interested in personal finance are actually talking
about personal finance planning, which is the on going process
of handling one's financial situation. Personal finance planning
begins with assessing the financial situation, setting goals for
the future, planning the right way to achieve these short and
long term goals and then executing the plan.
One of the key tools for personal finance is the personal budget.
How to manage personal finances? |