Empowering People With Financial Skills

Excerpt from an Article I wrote on December 11, 2014 on the N-Trust Investments Financial School

Here is it's Facebook group that you can join 

https://www.facebook.com/groups/NTRUSTIVESTMENTS/

This becoming even more necessary and everyone who gets an opportunity should seek to learn [Learning never stops].

This morning I met 2 security guards around Wandegeya. I asked them why they do sports betting [Gambling] and they said, "You know us guards don't get much" and it can take us a while however we save part of the money we get from the bets.

However I told them that if they managed their finances well and put it into investments that can grow, then they can be able to build some wealth. I gave them an example of how I used to save coins and made about 500k at a certain point.

But they said that in the gambling they do, if they put 1000 ugx and got 40,000 ugx then that's not a bad deal and that they try to save it too but still I asked where they put the money or if they have surely gotten anything out of it. I told them that they have become addicted and it is not good for them, it is not the right way to make money because they need a quick money or get rich quick. I asked them what they would teach their children in regard to finances, because what they do now will most definitely affect also their children.

I gave them a few stories of mine and told them not to look at gambling like climbing a mango tree. Because one of them said that if you climb a mango tree and fall, you can go back, but i told them the mangoes come in a particular season too and that the tree is fixed in the compound, This just showed me there is a great need for continuous empowerment, some people even haven't heard or been taught how to manage finances however small they are. I encouraged them and told them it is possible to change their mindsets, live within their means, save and invest event though it means putting little a side, it can make a difference. I still remember in prayer they taught us "One by One makes a Bundle".

The culture of saving, investing I guess needs serious resurrection otherwise our economy will keep suffering if people are not enlightened.

The Scripture says in Proverbs 21:20 [KJV] There is treasure to be desired and oil in the dwelling of the wise; but a foolish man spendeth it up. [NIV] "The wise store up choice food and olive oil, but fools gulp theirs down."

Here is what Justice Sebutinde had to say in this news journal The wise store up choice food and olive oil, but fools gulp theirs down.http://www.newvision.co.ug/…/662708-justice-sebutinde-calls…

Improving Financial Knowledge

One of the benchmarks of personal finance is the KNOWLEDGE YOU HAVE acquired all over the year in regards to finances. I once wrote and said if reading stops then learning stops.

I am fascinated by this story of Ben Carson [From the Book Gifted Hands]

".......Sonya Carson saw her two kids spending small time on homework, and so much time on the TV. In her head, she was scared; scared that the kids might end up having only a 3rd grade education. She turned off the TV, and from then on, the Carson kids were only allowed to watch 3 shows a week, and at the end of every week, Curtis and Ben were to bring to their mom a written book report on 2 different books of their choice. Mrs. Carson wanted her kids to improve their knowledge, instead of watching TV so much. Mrs. Carson later made them memorize the times table. This system went incredibly well for Ben. His grades started improving tremendously, and at school, people used to make fun of him for his poor grades. Now, all that stopped. Ben actually started to enjoy school. Ben‟s grades shot up, and now the same people who used to make fun of him were coming to him for help on homework...."

From the story Ben's Mother wanted her kids to IMPROVE THEIR KNOWLEDGE, instead of watching TV and indeed it actually worked for Ben and he enjoyed school. This notion of life speaks to many of us and I strongly believe if we put a stop to certain things that take most of our time and lived out a balanced life, then we can begin to see change also in our finances [knowledge Acquisition] and many other things.

If through out the year, you have not even made any strides in acquiring knowledge for an evident problem, then I would encourage you to find a way of IMPROVING, make it you immediate financial goal.

Personally after reading the book "MAKE SENSE OF YOUR MONEY" byJames Abola and his friend, I have made great strides and I did not just stop there, I have continued to search out more and more and the secret has been in applying, which I am trying to do everyday, things like working on a budget, tracking expenses, understanding my cash flow, using my skills to make an extra buck etc and also more so seeing others transformed by what we have taught from what we have learned and applied, Benjamin Tumukunde a friend of mine has a very good testimony of how things have changed in his life. I recommend that book "MAKE SENSE OF YOUR MONEY" it can be found in book shops within Uganda

Proverbs 2:10 says "For wisdom will enter your heart,

and knowledge will be pleasant to your soul."

START Something around the area of your passion

Passion is the Fuel for Purpose, It is needed, the Love to Do and the Love to Will

A GOOD READ for everyone, If you have an idea, it can become your business, Get the skills, be patient and keep growing, After reading the story of these two brothers, I guess it defies the odds that nothing is impossible, even family members can do business together, just have a vision, purpose and passion for what you do... It is the time for young people to RISE.. With God all things are possible.

START Something around the area of your passion as long as you can solve a problem with what you do.. they chose to give quality videos, customer care etc 

http://mobile.monitor.co.ug/Business/Business/Brothers-abandon-careers-for-media/-/2471012/2586648/-/format/xhtml/-/kwd95n/-/index.html

6 Reasons People Stay in Debt by Dave Ramsey

The worst thing that can happen to any man or woman is the DISEASE called DEBT, it is a form of financial slavery that many Banks that loan money never want to educate their subscribers about. The bible teaches that a borrower will be a slave to the lender.

Having read an article from Dave Ramsey, I agreed with many of the reasons listed, they could be more that you yourself knows but here is a list:-

1. They Want to Keep up appearances

2. They are unwilling to sacrifice

3. They fear change

4. They are addicted to stuff

5. They don't know how

6. They are lazy

You could read more from the article and see if anything affects, then DO SOMETHING ABOUT IT, you just need to change your attitude and start off ..

http://www.daveramsey.com/blog/6-reasons-people-stay-in-debt

Compound Interest

The first time I read about compound interest was from the book "MAKE SENSE OF YOUR MONEY" by Mr James Abola. Having understood the principle, I said let me teach my wife what I have found out but more so I gave her the book to read so that she could chew the food and get satisfied on her own. Today as I checked our account, I indeed saw a big change and I must say - knowledge can only be really valuable when put to practice. 

This is what compound interest is from Wikipedia -

Compound interest is interest added to the principal of a deposit or loan so that the added interest also earns interest from then on. This addition of interest to the principal is called compounding. A bank account, for example, may have its interest compounded every year: in this case, an account with $1000 initial principal and 20% interest per year would have a balance of $1200 at the end of the first year, $1440 at the end of the second year, $1728 at the end of the third year, and so on.

Ben Carson says "No knowledge is wasted knowledge" - God bless you as you keep putting to practice these timeless principles - when you read Mathew 25 about the parable of talents, you can see the difference between a person who puts to practice what he has been taught. My wife and I might not be so far in life but we keep growing little by little and one day we shall testify even more because the steps of a righteous man is ordered by the LORD.

Health Is So Important To Work, Service, Business & Financial Management

One person may ask, How does health play apart in my financial management. I would only say one thing ask the people who are sick how much they are spending or how much is being spent on them. If you went to Mulago [Our Referral Hospital] or any hospital in the world, you will agree that one of the greatest asset a human being has is HEALTH. The bible teaches that a merry heart is like medicine to the soul [Proverbs 17:22] and I agree that is very true.

It has been written in the scriptures that we need not to worry [Mathew 6:33] instead seek the Kingdom of God and his righteousness, this is because WORRY can not add anything to your life. One of the things that make us get sick, starts with the state of worry which then brings in stress and we know it's one of the number factors that kills people. Heard of people who get heart attack or high blood pressure, they will tell you they were stressed [worried about this and that].

I write to encourage us to watch what we eat [personally I kicked soda out of my life], I prefer to take juice or water and for the past 1 year now, I have greatly benefited. Find time to exercise and sweat out toxics [every saturday I go to the basket ball court  and I play basket ball which has greatly helped me]. 

The healthier you are, the better you will be to enable you learn and apply the many things you learn. When you are healthy you are able to work. The greatest wealth might actually be your health.

Stay healthy in you mind, soul and body, then you will see the benefits even in your finances.

This scripture puts it perfectly for me: 3 John 1:2 "Dear friend, I pray that you may enjoy good health and that all may go well with you, even as your soul is getting along well."

Some Tips From A Friend "Edward Hire"

1. Pay God first and then pay yourself second. For all income

you earn, take 10% tithe and 10% for saving. Most people

tend to find reasons why they cannot afford to save. Maybe

you are one of them! They often complain of small income

or expensive bills, children are demanding and all kind so

of reasons. How can God bless a storehouse that you do

not have? Deuteronomy 28:8 “The LORD will guarantee a

blessing on everything you do and will fill your storehouses

with grain. The LORD your God will bless you in the land

he is giving

you.” – Edward Hire Yosia

2. Ten to 50 percent of your salary should go to work for you. Money in the purse is only gratifying to the soul; so put your money into you savings plan and less in your purse for immediate and easy spending.

3. Learn to live on less than your purse(i.e what you eventually have left after servicing your savings plan) and learn to live on less than your salary. The Indians are good at this. They are frugal.

4. Don’t be in a hurry to invest. Take a great caution so that you do not lose your money.

5. Analyze your priorities. Discipline yourself to save and invest, and there

by later attain increasing wealth. Money can not quench desires; only.

6. Save for uncertain times such as old age or unexpected circumstances(1 Timothy 5:8 “Anyone who does not provide for their relatives, and especially for their own household, has denied the faith and is worse than an unbeliever”.;6:10 “For the love of money is a root of all kinds of evil. Some people, eager for money, have wandered from the faith and pierced themselves with many griefs.”).

7. Accumulate wealth first in small amounts, then larger amounts as you learn and become more cable.Your goals should be simple and definite.

8. Be focused, and concentrate your efforts to acquire more information, new friends, strategies for better service, and cheaper and better products.

9. Beware of lending out money. You are not a bank, so do not bring others burdens on yourself.