FINANCIAL INTELLIGENCE

“Those who don’t have to watch their spending got their by watching it” - AFRICAN PROVERB
How much you make is not as important has how you spend it. I have come across people who earn approximately the same income but have different standard of living five years down the line. I know we live in a consumer spending driven economy and broad array of products and services are available in the market. I am also aware that it is sometimes difficult to resist the temptation of spending money. You have to be an educated consumer i.e. someone who knows how and when to spend money.
Managing money through budgeting is a proven method of becoming a prudent consumer. There are a whole lot of techniques out there that could be utilized to make the best of your money; they range from the mundane to the sophisticated – it all boils down to common sense. -------------------------------------------------------------------------------------------------------Here are a few basic techniques for living within your means and curtailing multiple stream of expenditure: BUDGETING TIPS:
 Draw up a budget, stick to it, be prepared to make adjustments in your lifestyle or spending habits and pay yourself first by saving regularly.
 Save through payroll deduction and take advantage of any employer-sponsored savings plan – deferred compensation, retirement accounts, commuter savings program etc. Use a piggy bank to keep your loose change.
 Keep an emergency fund and save any bonus income you earn. Consider whether it is worthwhile to have one or two incomes, if you have childcare expenses.
 Protect your vital assets adequately; home, cars, personal belongings, business, life health etc. – “a stitch in time saves nine”. Carry only one health insurance plan for your family and save on premium payments.
 Car pool when and if possible and use public transportation.
 Learn to do basic repairs or fix simple things in your home, such as decorating, painting, changing light bulbs, etc. the savings would amaze you – check out major home improvement outlets for class schedules.
 Keep lights off when you are not in a room, buy long-lasting energy saving bulbs and appliances – don’t be “fuelish”.
 Conserve and re-circle every material that you can. Use glass instead of paper cups.
 Pack your own lunch as often as possible and cut down on meals away from home. Buy in bulk if discounts are offered. Minimize on snacks or "junk food”.
 To stay healthy, develop good health habits and consider the cost of addictions. Learn to take temperature, pulse and respiration. Learn about symptoms of common diseases to determine whether to see a doctor or not.
 Learn to gift sensibly - give of your time and assets or merchandise when possible instead of always giving cash. It’s not compulsory you buy the aso ebi of every dick, tom and harry. Learn to say no to what you can’t afford.
 Set reasonable amounts for children's allowances and encourage them to save – let prudence be a family habit early enough. Watch your credit limit.

Prudent Man-Prototype Budget
Total Income – 100k (100%)
Savings- 10k (10%)
CHARITY/Giving – 10k (10%)
Transportation- 10K (10%)
Housing- 10k (10%)
Sustenance- 30 (30%)
Investment - 20 (20%)
Continuous education- 10k
Above is the budget of a certain individual. This is what guides his consumption pattern per time. Once any demand is more than the budget for that sector in his life, he either delays it or forfeits it. There's a saying that "you can't help but think about the future because you are going to spend the rest of your life there".
The best time to identify a real investor is during economic meltdown or recession. Investors are consistently buying shares and acquiring real estate. Every month consistently invest without looking at the short term returns. In two decades your financial genius will be evident to all.

ADEOSUN OLUYEMI