Is it enough to just understand financial management?

[alastantiger]

If you must manage your finances then you need to build a budget,don’t get enticed by flashy expenses,most persons have been unable to keep to their budget list because they want to get the most trending outfits,cars and so on.It isn’t wrong to get new items beyond your budget but it shouldn’t be an all the time thing.Lastly spend wisely.

Understanding financial management gives you a very big advantage over managing your finance, not every body has that ability to manage their finance and that is why they struggle financially. Everything you said are correct because if we are unable to manage our finance despite how small they are it becomes difficult to manage our finance when it becomes bigger. You need to delay buying some of your wants instead focus on buying the things you need so that you can save your money and invest and then when that investment gives you big reward, you can then buy the things that you want but also try not to waste money instead make a budget so that you can track your money.

[Fortify]

I know we can learn financial management through management courses or we can learn informally through our experiences or common sense. But applying financial management skills is by choice, it's not enough to know how to plan your finances and how to make feasible budgets for it, what matters is applying it. What you know doesn't matter so much as what you do with it, knowing that you should live bellow your means (earnings) yet you spend everything is poor management. Without discipline you cannot save and invest, no matter how much you earn you can blow everything if you don't have focus.

Financial management centeres on having budget for your total income, what is not in the budget is either carried forward or cancelled. Budget helps you to spend within your planned expenditures, if you must add something to your expenses outside of your budget it means that you have to remove something from your budget. You need to priotize your needs to know what will go into what you earn and what doesn't, it helps you to spend prudently. Yet knowing all this things is just theory if you don't have the self control to practicalize them, you need to be very disciplined about financial matters if you must succeed financially.

You can do all the reading you want, but real financial progress relies on many things. One is real time learning by putting your money as risk, having confidence to leave it exposed even during the harshest contractions. People can get wiped out for all sorts of reasons, but a common one is running scared when the markets stop acting happy and that is the true test - watching assets drop 30%+ but knowing the right move is to hold and ride out the wave. Almost contradictory you'll need to learn to cut your losses if you assess you made a wrong decision on a company, because if you sell out with a 20% loss it's much better than losing 80% as a share price continues to crumble. These are all experiences you will only learn by doing, rather than just reading constant theory.

[AuchanX]

I know we can learn financial management through management courses or we can learn informally through our experiences or common sense. But applying financial management skills is by choice, it's not enough to know how to plan your finances and how to make feasible budgets for it, what matters is applying it. What you know doesn't matter so much as what you do with it, knowing that you should live bellow your means (earnings) yet you spend everything is poor management. Without discipline you cannot save and invest, no matter how much you earn you can blow everything if you don't have focus.

Financial management centeres on having budget for your total income, what is not in the budget is either carried forward or cancelled. Budget helps you to spend within your planned expenditures, if you must add something to your expenses outside of your budget it means that you have to remove something from your budget. You need to priotize your needs to know what will go into what you earn and what doesn't, it helps you to spend prudently. Yet knowing all this things is just theory if you don't have the self control to practicalize them, you need to be very disciplined about financial matters if you must succeed financially.

We can easily learn about our cash management by discussing with everyone from this forum. But that is not something to be proud of unless we follow it in our real life. It is a common thing that almost everyone knows that we need to reduce unnecessary expenses, save and keep debt under control. But if you cannot control your emotions at the moment of shopping, then even that knowledge is of little use.

[Taricoins]

If you want to become rich from the scrath, then it involves more process than just anyone and yeah learning about financial management also comes under but not just learning they need to implement it in their life to see the changes.

I doubt any courses about finance is teaching about these to their students, it is something only we can learn from the experience of others not from books unless it explains about the wealth generation. But it is getting harder for every year passes, so start as soon as possible or you can never reach what you have planned for.

Innately I think everybody have the concept of financial management ingrained in them, unless you were born into wealth, and I think educations and schools just helps broaden the already established concept with different successful ideas from different people. Like alot of people have already said that if you want to start wealth from scratch, it is paramount that we have this ability to be able to manage finance adequately especially for someone into the business of trade.

But I don't think financial management is enough, I think it's the bare minimum needed with other ability for someone to prosper