Starting early is one of the big takeaways I got from Financial Management. It is when you start saving and investing the money you earn at a young age, so that you will have far more money when you are older. It is important because it allows one to be far more financially stable and make far more money.
4. Budgeting Money
Writing and Endorsing checks was one of the most important things we learned in class. We learned to write the date, name, amount, and reason for the check correctly and the places to write them in. We also learned the different check endorsements, basic, restrictive, and special, which are used for normal checking, deposit only, and transfering funds to another party.
Knowing how to write and endorse checks properly is very important. It is a life skill that will have to be used, even if it is not often. We can also be more secure now because we know the more safe ways to endorse a check, so as not to have our money stolen.
Index funds are funds that invest in the stock market as a whole. They have lower risk over the long term and do not have very high operating expenses. They are important to me because I want to be able to invest and leave my money alone for a long time. Index funds will allow me to do that, watching my money grow until I am ready for retirement.