Strength Training
Financial Speaking
Recap our 4 Fundamentals of
Finance
• Net worth = Assets – Liabilities
• Assets -either are money or things you
own that can become money
• Liabilities – Things that can take away
from your net worth (loans, debts)
Fundamentals Continued
• Expenses – things that cost money
• Revenue – any $ $ $ coming in
Strength in Saving
• Strength training doesn’t work over night
neither does financial strength
• It happens over time and has to continue
happen with SAVINGS
Savings
• The most important tool in shaping your
financial future
– Avoid day-to-day living
– Avoid debt
– Avoid being unprepared for whatever comes
your way
Goals
• Help you direct and encourage savings
– How much do you want to save and by when?
– What is my incentive for getting there?
Savings Account
• Great way to save money
• Low interest rates
• Low risk
Investments
• High interest rates could mean more
money in the end and faster
• Larger risks
• Stocks
• Bonds
Earning Interest
• Sometimes you can make money by
lending it to people or places
• This is called interest
• You can calculate interest and watch your
savings grow