ARE YOU "BURNING" YOUR MONEY

 In a recent training that I attended the trainer warned women against "burning their money". Now I have to elaborate what Iam saying because Bank of Uganda may hunt for me to elaborate my opinion. By "burning their money" she meant that each individual has a predetermined financial temperature. If a person especially a youth is given money that they are not prepared for, they are likely to reveal their true financial character. A person may be humble when he or she does not have money but after receiving money beyond their grasp they may blow it away. There are many cases where youths have received government funds and diverted the funds to unplanned ventures.

This explains why financial literacy is very vital in society. It enables the society to draw a budget before they spend. In corporate circles it has been said that there are employees who spend even before they earn salary. By the time they receive salary they are in arrears. So the term burning money is meant to help us to reflect on whether we have a responsible plan on how we use our money. If one does not have a clear plan for their funds, they are likely to burn the money( a term referring to spending beyond our means or without a plan)

HOW TO AVOID BURING MONEY

1.Develop  a budget that shows your income and expenses. A budget is a road map on how one spends their money.

2.Avoid travelling with hard or excess cash. This is because one is forced to spend it on unplanned expenses

3. Join financial literacy classes. There is a lot of information on financial literacy in books, workshops and internet. This can help in modifying financial behavior.

4.Think long term. In his book Secrets of  a Millionaire Mind, Harv Eker encourages a reader to have a long term perspective towards their money. This can help a person to stay focused on their dream rather than spending money instantly.

The above term was used in a training and it was a lesson that I learnt that a person can burn away their money if they do not have a clear plan.


Do not burn your money.

Phillip Kiryowa

Finance and Leadership Coach

0752615916



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