Financial illiteracy has plagued and largely impacted the African-American community for many generations. Most of us are lacking when it comes to the understanding of how money works and how to efficiently manage and build wealth. Our impoverished communities continue to rest in this state because there is no transfer of wealth. Wealth continues to be held and dominated outside of our communities because of our low receptivity to financial literacy. Though the tides are beginning to turn on this matter as awareness grows, we as a people still have quite a ways to go. How do we regain prosperity? How do we bring it back to our communities and families? How do we protect it and keep it? How do we go from “new money” to “old money?”
Every great accomplishment begins with careful and strategic planning. While planning may be the answer, it may NOT be the solution. Integrated financial planning as the answer only becomes the solution when it is followed through. You need a plan, it begins with a plan! Wealth building is an ongoing process of structured forced, systematic, efficient and consistent saving habits.
While having a generous income does help, it is not entirely about how much money you make or the lack there of. It is about having the discipline to start today with a meaningful amount that you can commit to monthly or annually regardless of your economic status. Truth is there will always be a reason or rather an excuse NOT to save or invest. You have to conquer that need of immediate gratification by giving up the things you want now, to invest in what you will need in the future. Don’t put it off any longer because there is a huge cost in waiting. Time is our most valuable asset as well as our biggest liability. Due to compound interest of returns over time, essentially the more time you have or the sooner you begin to save, the less it will cost you to achieve your financial goals.
Find a trusted and competent advisor to help you with your financial planning. Google makes it very easy to self-educate, so I am sure that most of us are well capable of doing our own planning. One of the biggest reasons that I recommend you leave it to a professional is that we all have emotional attachments to our money, believe it or not. When it comes to money most of our decisions are made based on emotions and feelings, rather than logic. I have found it to be very helpful to have a fellow colleague as my advisor even though I am in the profession as well. It gives you someone to hold you accountable and to help take out the emotions to make sound financial decisions.
This is my last bit of advice and what I believe will catapult your finances to new unseen levels; pay God first. First and foremost, even before you save or spend, pay God what is due to him. As a devout Christian, I believe that being a faithful tithe payer is imperative to our financial success. With EVERY increase the bible says to give10% to the house of the Lord. In fact it is one of the few areas in our lives that God says “TEST ME!” (Malachi 3:10).
Questions & Inquiries
Laud K. Anderson
Pray, Plan, Persist