ASSIGNMENT

TOPIC: MONEY, FINANCE

AND YOU
How do students learn to manage their finance? Why
do they think this is important?
 What is finance really? What role it plays in our lifes? In Vietnam, if you do not
learn or learn about economic specialties, you probably will not have the opportunity
to understand it. Knowledge of finance is still a very vague thing for the majority of
Vietnamese people, the limitation of financial knowledge is a big disadvantage,
especially for most university students today.
However, many Vietnamese students always make mistakes, saying, "I have
been spending well with the money I have set for this month, I am a good financial
manager." Indeed they did very well but what they have just done is trying to put
themselves in the framework of savings, they only do one of the criteria for good
financial management. A person who knows how to save money cannot completely
become a good financial manager, but if you are a good financial manager, you know
how to put money in your pocket. Which is actually used here are flexible ways to
transfer money in your account.
The pressure to spend is a major problem for youngsters. By hiding the truth
about their limited resources, youngsters only add to their money worries. So, how do
you tell your friends that you can’t go out because you are short on cash? Proposing
inexpensive alternatives is one way. Say, if you are invited for dinner, tell your friends
you would instead like to have them over for a cup of coffee or a barbecue. This will
convey that you want to spend time with them but cannot spend on eating out.
Escaping peer pressure does not mean forgoing friendships or having no fun.
Balance needs & wants
Spending behaviour of millennials is drastically different from that of the
previous generations. They often end up spending on things they don’t need due to too
much brand awareness. Experts say poor budgeting skills is the reason why
youngsters fail to distinguish between needs and wants. “In college, aspirations are
high but the money available is limited. Students must learn to prioritise,” says Suresh
Sadagopan, Founder, Ladder7 Financial Advisories. Listing expenses in the order of
their importance is a simple way of ensuring that you spend on the necessary things
first. Having paid for your needs, if you are left with some cash, you may look at
addressing some of your wants.
Make the most of your money
For students, savings come in handy during emergencies, especially if they do
not stay with their families. They also enable one to make discretionary purchases.
You can stretch the little money in your pocket by cutting avoidable expenses. For
example, books are a major expense for college students, but buying used books can
substantially reduce this expense. Used books are available at local book markets and
also online at Amazon India, Aberuk, etc.