5 Tips for Becoming Financially Literate

When someone starts discussing finances or bringing up personal questions around how you handle money, you may not want to share any details of your own. Don’t worry, though, this is completely normal and you are not alone. An Intuit survey revealed that 70% of Americans consider money an intimate topic, even more so than politics (36%) or religion (40%).

We get it, it can be difficult to be an open book about your student loan debt or how you don’t have enough money in your emergency account. However, by being more honest and candid with yourself about your financial situation, it makes it easier to get a better grasp on things.

Regardless of if you’re a beginning learner or a knowledgeable expert, it’s always important to understand the fundamentals of your finances in order to reach your financial goals and feel more comfortable having #RealMoneyTalk conversations.

1. Establish simple money habits and reconcile your bank account each month. As soon as your bank statement comes in the mail or appears in your inbox, go over it to be sure that your records agree.
2. Use financial tools. Financial apps are your friend, and they are designed to be user-friendly. Intuit has a great free app called Credit Karma.  Credit Karma can give you free access  to your score at credit reporting agencies  and help you to understand, monitor, and  improve your credit standing.  It can also help you “test drive” various scenarios to help you see how certain financial decisions will impact your credit score.  Credit Karma also helps you watch for signs of potential identity theft and provides tools to help you organize your financial life. It also offers online banking services.
3. Take a course. Most community colleges have community outreach programs in finance, taught by a financial planner in your community over a four to six week period. If you don’t have anything in your area that fits your schedule, search for a course you can do online.
4. Join with friends. Your friends are likely in the same financial literacy boat as you are, so band together to improve your finances. There are tools online such as those at MoneyClubs.com to help you create fun and educational get-togethers where you learn and empower each other. That’s what friends are for!
5. Use your eyes and ears. Read books about finances in areas that interest you — debt reduction, money mindsets, investing basics, or taxes. If reading isn’t your thing, watch financial videos on the internet, or go to free financial seminars in your community.

And once you have started learning more about finances, educate your kids and involve them as much as you can. Financial literacy is best when it’s started young and at home.