The Importance Of Financial Success

Many factors come into play when discussing how people may achieve personal financial success. Some things which can influence how successful people are financially are their abilities to make goals and budget, their career path, education, using credit, and diversifying investments. All of these factors come together to determine how successful someone is financially. To begin to examine how circumstances influence people financially, it is important to look at the idea of creating budgets, and setting goals. Regardless of how much a person makes, creating a budget and setting goals for one’s self is key in beginning to understand financial success. With a good budget, and well crafted goals almost anyone can achieve some form of financial …show more content…
While it is possible to achieve some degree of economic success in almost any career path, it is important to look into fields to see if people are actually employed in that field as well as the earnings of people within that field. If a person cannot find a job in a particular career path then they would obviously not achieve economic success because they would not have, and income. However, this is not the only thing to consider as pay is also important. While pay should not necessarily be the only factor when choosing a career path it is extremely important, and is related to economic success. While economic success is not entirely based upon money, rather it simply means that a person is able to do what they want in life, earnings are not the number one factor in economic success. However, many people value money greatly and see it as a powerful tool to achieve their goals, whether it be retirement, or buying material goods that a person might want. When a job pays more, people have more money to spend on different things, and they also have more money they can invest. This can mean that people can live a higher quality of life, and also that they can better prepare for the future. Thus leading to increased financial …show more content…
While the use of credit can be seen as necessary at times such as college loans, car loans, and house loans. It can also be very troublesome and cause people to spend more money than they would have otherwise. Occasionally people may put too much on credit cards, and be unable to pay it back at the end of the month, or even at the end of the year. This debt builds, and builds, and take years to fully pay off. Many people get caught in this circle of debt and fail at achieving economic success because of poor decision making, and ultimately poor budget making. However, some debt is ‘necessary’ debt that would fall into this category is car loans, mortgages, and college loans. These loans are important because they provide people with things that they need such as transportation, and shelter. While college loans may not provide a specific need, they also are important because they allow people to make more money, which can lead to financial