How Essential it is to Have the Knowledge of the Basics of Personal Finance Our future is really uncertain and unpredictable, which is why it is much better if all of us should try out some useful things which we and our families can benefited from in the future, and one of the common ways that can help us in accomplishing those useful and beneficial things is by having a stable job that not only can provide us for our needs such as our clothes, foods, water and shelter, and expenses in our everyday lives but also can help us in our plans of saving up a lot of money that can be useful in our future lives. The act of managing your finances, savings and extra money is really a very hard, complicated and confusing most of the time, particularly when we are exposed to buying some stuffs that we don’t really need in life such as the modern gadgets, devices, and any other things that we already own, and we don’t have the knowledge and the skills in doing such activity. The common ways of the people who have extra money from their salaries or wages or have extra saving are by placing it in a bank account, but there are far more better ways and methods that are beings designed and introduced in the world, today, which could really be use for future needs and emergencies. Personal finance also encompasses consumer economics and family economics, in which we are taught the basic ways of managing our finances by budgeting, saving and spending our money over time, and the planning process of managing our finances are categorized into various steps such as assessment which includes financial statements, income statements and balance sheets; setting up a short-term or long-term goals which could motivate and encourage us; plan creation which includes the details of how to accomplish our goals; execution which requires the individual’s discipline and perseverance in the process; and lastly is monitoring and assessment which can be done if reassessment or adjustments are needed. The traditional goals of the people in managing their finances usually ended up to be placed in banking products like savings account, checking, consumer loans and credit cards, and those personal finances can also be applied to insurances like life insurance, health insurance and disability insurance; investments like bonds, stocks market and mutual funds; social security benefits; income tax management; and retirement plans. People are also advised to hire the services of an accountant, investment advisers, lawyers and financial planners, for these professionals have the basic and common knowledge and skills in the scope of finances, and the people who wants to find the best professional in their local area that could help them and taught them all about finances can find them through the internet, newspapers and magazines or from the word of mouth of their friends and relatives.