Articles on Personal Finance

This article explains the importance of personal financial education. It explains how people in America who have not undergone this education are at a significant disadvantage. It also explains how investing in personal financial education is beneficial not only to the person but to the government and even society as a whole.

This article explains the process of financial planning. It also explains the various steps that need to be followed while finalizing the financial plan. The importance of the planning process has also been explained in detail.

This article explains the concept of the financial life cycle. It explains the various stages of the life of an individual as well as explains the goals that a person should have at each stage.

This article explains the three different types of income. It explains the sources of those incomes as well as their tax treatment. Lastly, it also explains how the three incomes can be used cohesively in order to maximize one's wealth.

This article explains the various misconceptions which are present in the field of personal finance. It also explains the root cause of all these misconceptions as well as the right-thinking, which needs to be inculcated in order to avoid these pitfalls.

This article explains how macro-economic factors impact personal financial plans made by individuals and families. The factors with the most impact have been listed and explained in this article.

This article explains the concept of financial planning. It explains how an integrated financial plan needs to be developed from a set of individual goals. The steps that need to be followed and the tasks that need to be accomplished have been explained in detail in this article.

This article explains the different components of a financial plan. It explains how a financial plan is not just an investment plan. It also encompasses various other short term and long term financial needs of a person.

This article explains the concept of the personal financial statement. It lists the three important financial statements from a personal finance standpoint. It also explains the logic behind why the activity of preparing financial statements is considered to be important in personal finance.

This article explains the concept of budgeting. It lists the advantages of having a budget. It also lists the common disadvantages and complaints which are made after following the budgeting process.

This article explains the concept of ratio analysis in personal finance. Some of the most important ratios used in the personal financial analysis have been explained in detail in this article. The article also explains how these ratios can be used as guidelines to build a robust financial future.

This article explains the concept of dollar-cost averaging. It explains how dollar-cost averaging helps in reducing risks and increasing the rate of return. It also explains the various benefits that arise out of using the dollar-cost averaging approach.

This article explains the disadvantages of dollar-cost averaging. It explains that even though this technique is considered to be one of the best mechanisms to invest money in the markets, it is still not completely free from flaws.

This article explains the concept of value averaging. It also explains the arguments which are in favor of value averaging as well as the ones against it. This helps investors to get a balanced view and make an informed decision.

This article explains the key points in the rent vs. buy debate. It explains the points which need to be considered while calculating the true rental cost as well as the true costs of ownership.

This article explains the basic concepts related to financing a home. The amortization process, which governs the working of mortgage payments, has been explained in detail in this article. The various components of a mortgage payment have also been explained in detail.

This article explains the difference between a fixed-rate mortgage and an adjustable-rate mortgage. The pros and cons of both types of mortgages have been explained. It also explains how these different types of mortgages affect the personal financial plan of the investor.

This article explains the concept of house poor. It explains the reasons why some people end up being house poor. It also explains the impact that such house poverty may have on the life of an investor.

This article explains the five-step retirement planning process in detail. It firstly explains how retirement goals need to be set, and then it explains how these goals can be met using various retirement planning tools.

This article explains the concept of 401(k). It lists various advantages and explains why 401(k) is a highly popular investment option. Also, it lists some of the disadvantages of the 401(k).

This article explains the concept of Roth IRAs. It explains what Roth IRAs are how they function. It also explains how Roth IRAs are different as compared to 401(k) investment plans.

This article explains the impact of auto loans on the personal finance of an individual. It explains how auto loans are bad products that prevent people from achieving their financial dreams. The pitfalls of auto loans have been mentioned in detail in this article.

This article explains the concept of earnings power. It also explains how earnings power helps people make important decisions about their personal finance.

This article explains the concept of personal financial planning for small business owners. It explains how small business owners need to take some additional steps in order to plan their finances better.

This article explains the concept of tax planning. It also explains some of the common pitfalls of tax planning i.e. how during the tax planning process, people start following the wrong objectives and end up damaging the overall financial plan.

This article explains the concept of zero-based budgeting. It explains how the envelope technique can be used as a control mechanism to eliminate overspending.

This article explains the concept of financial freedom. It also explains other concepts like the 4% rule which are linked with financial freedom. Finally, it explains the reasons why financial freedom is important.

This article explains the FIRE movement. It explains how the FIRE movement works. It also explains who can take part in the FIRE movement and how it helps reach their goal of early retirement.

This article explains how people who follow the FIRE philosophy tend to bootstrap their expenses. This is done in order to meet their stringent savings goal for an extended period of time.

This article provides a brief introduction to the personal finance book called ‘Rich Dad Poor Dad’. It also explains the basic philosophy behind this book and why this book ended up courting a lot of controversies.

This article explains the ‘pay yourself first’ principle in personal finance. It also explains why this principle is important, why it works and what are some of the steps that need to be taken to make it work better.

This article explains some of the major lessons that Robert Kiyosaki has propounded through his 'Rich Dad Poor Dad' series of books. The lessons have been explained in detail to increase the reader's understanding.

This article explains the concept of estate planning. It also explains the major steps that need to be taken in the estate planning process. The pros and cons of the process have been mentioned in detail.

This article explains the seven basic personal finance mistakes which are made by people. It also explains the mechanisms to avoid these mistakes and to ensure that personal finances are not impacted in the long run.