Getting better at managing your finances can do wonders for your relationship with money, but did you know it can also have a huge impact on your work too?
Simply knowing where your money is going – and that you’re doing the best you can with what you have – makes you happier, which makes you feel better at work. However, the skills you learn from personal finance can transalte into your work in other ways as well.
1. You learn to be prepared
One of the first concepts you learn in personal finance is that of the “emergency fund”. The emergency fund is all about preparing for eventualities that may never come, but if they do and you’re not prepared, it might devastate your money plans. Similarly, in business, preparing for future possibilities – even if they never happen – will give you and your employer peace of mind and keep you on track with your goals.
2. You understand how businesses work
Budgeting, cash flow, expenses – all things you learn in personal finance, also applies to business. The more you understand about how to effectively earn, use and invest money for yourself, the better you’ll be able to apply that to a business context, and make better financial decisions for your company.
3. You’re not worried about losing your job
If you’re saving for a rainy day and have an emergency fund to fall back on, you’ll feel a lot less pressured at work knowing that you’ll be covered financially, even if you lose your job. This can help you take certain risks, prioritize your health and avoid stressful or dangerous work environments.
4. You can take better advantage of employer benefits
Employers offer a lot of financial benefits besides your monthly paycheck – and if you’re not financially able to – you might be missing out on them. Many of these benefits – such as employee-match 401ks, subsidized education costs and pro-active healthcare – all require you to contribute financially. If you have a good handle on your finances, you can spare the cash to take advantage of these benefits that you would have to pass up otherwise.
5. You’re able to maximize on opportunities
Let’s say your company is sending you on a business trip that ends on a Friday. With a savings fund, you could afford to move that flight home to Sunday and take an impromptu vacations. Having some extra cash also comes in handy for upgrading free tickets and passes to events, getting better seats on flights and even accessing employee discounts for services you want but couldn’t otherwise afford.
6. You’re able to focus fully at work
It’s not secret that having money problems can seriously mess up your ability to function in everyday life. Those sleepless nights worrying about your finances turn in to distracted and disfunctional days at the offices that only compound your problems. Once you have your finances in check, you can focus on work at work, and leave everything else at the door.
There are many reasons to get smarter about your money and learn everything you can about personal finances, but a side benefit like becoming better at work is definitely high on the list. And the added bonus of being able to make more money from doing better at work means this is a cycle of growth you don’t want to miss out on!
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