HEY dears. wishing you all a good day. today i just come with some  common factor which every one should notice ,that is ,our money management.

Every individual makes financial decisions all their life. parents think of education loans for their children and make plans for repayment of loans. they may also plan for the marriage expenses of their children, medical insurance plans and tax saving schemes. Each individual  or family is different and hence will have their own financial plans. one person cannot be expected to have the same financial plan as another even though the two people are earning the same amount of salary. This is because the financial decision and risk taking ability are different.

so financial decisions must take deliberately other wise it would goes wrong and people bear huge loss. 

The factors which affect personal finance are

1. Financial education and literacy:  If you are going to invest your money then the decision about it will be wise one. if any of you are investing in fixed deposit or bonds or shares or debentures you should take decision include how to generate, invest, spend and save money. if  you are going to spend on a particular product, you should have a good knowledge about the product or services.
2. Age and positioning on life cycle: the age of yours also influence your personal finance matters. If you are from higher income family you will have more risk taking ability than a middle or lower income family group. And also the youth and elder peoples personal financial arrangemnt will also different. 
3. Focus on financial matter: this means always study about the income generating and spending things . Get a good knowledge about it. You should invest more income generation investments and avoid loss giving investments.
4. Cognitive functioning: the lack of attention or information in spending or investment, the inability to correctly process the available information, uncertainty or other such elements sometimes leads to adequate financial decisions.
5. Psychological elements: The criteria for investment decision are examined through psychological factors such as defence mechanisms, personality traits, emotional intelligence and financial literacy. Defence mechanisms and certain personality traits of the people have become important for risk taking in investment decision making.
6. Gender and health factor: This is the difference between youth and elder people. their preference patterns are different in products and services.
7. Social and political changes: individual investment decisions affect social and political changes in country. the instability in these matter will create change in the investment pattern of people. that means price increment and decrement in products and services. example petrol price.

so here i  briefly explains some factors which always affect our money mangement. SO today onwards everyone should aware about such things and manage your money well and create a good personal finance.

its all about today. see you all on my next vlog.