Grade 9 Life skills : World of Work - Part 18
Dear Children, all of us are aware of the gravity inculcated in financial burdens in life and the significance of proper financial management. Life can be quite uncertain and we never know what awaits us in future. Therefore, it is quite essential that we save money for the future and be prepared to face the challenges from now itself. When you maintain a bank account, especially in the modern days, it facilitates the financial transactions and provides you with financial security when you earn an extra income in the form of an interest from a fixed deposit in a bank.
Savings are quite important in life especially in the cases of potential loss of a job or a fixed income source and emergency situations (Example: Expensive surgeries, medical treatment, medical equipment etc.). You can also spend your savings following the retirement. Savings will help you to live a happy life without troubling others. Although many people are accustomed to the practice of getting loans for the daily consumption purpose, using loans for their basic living expenses is a threat to the financial security and it essential that we manage our expenses within the limits of our income. One must use credit cards in the event that he or she has a fixed and a permanent source of income.
People normally receive a pension or a provident fund (EPF) at their retirement and it should be economically used when they are old. Given that you are not entitled for such funds in your job, you must manage finance accordingly and have a solid plan for the future. It is important to invest for the future as it will help us to be financially stable and live a satisfied life when we reach the latter stages in life. Conclusively, financial management has a significant impact on our future and it is vital to lead a satiated life.
by Mekhala Egodawele
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