Understanding the Process of Evaluating Your Statement of Account.

Statement of Account - Title Image

Introduction 

Have you ever received a paycheck or a sum of money from work, only to feel a few days or weeks later that you can’t account for your spending? You might think your bank deducted cash and be unable to reconcile your expenses with your income. After reviewing your transaction history or statement, you realise you were responsible for all the unaccounted spending.

Your statement of account or a bank statement offers the perfect financial diagnostics. It’s like having a health report for your account, empowering you to take control of your financial health. 

The statement above is not an overemphasis at all; in fact, this is how successful companies and organisations have stayed afloat. They have been able to do so by constantly monitoring their account statements to ensure that they are always in profit

What is a bank statement of account? 

A bank statement of account, often referred to as a bank statement, is a monthly financial document prepared by your bank that shows the financial activity of a bank account holder for that period. Even though most banks prepare their statement at the end of the month, customers can request their statement of account through online banking or go to the bank to obtain a printed copy if they need it at any point in time. 

Statement of Account - Review

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In summary, your account statement is healthy or tends towards healthy if, after evaluating your opening balance, deposit and withdrawal, you are not in zero. 

The analogy above does not perfectly describe your financial health, but it shows you that at the end of the month, you probably could not account for any left which could be put into savings or investments. 

Cash Inflow and Outflow

Who stockbrokers are and how they operate

Who is a Stockbrokers

A stockbroker is a financial expert or institution that transacts stocks and other financial instruments through a stock exchange or over the counter for someone willing to pay a fee or a commission in return. Usually, stockbrokers help people make financial decisions and handle their investments. In this instance, They may have legal backing to practice financial activities.

who are stockbrokers

Who is a Discount broker 

A discount broker is a professional who offers brokerage services that buy and sell stocks and other financial assets with very little commission required. A discount broker offers only trading services and does not provide investment advice or mentorship. In the past, getting a broker to work with you used to be a feat for the very wealthy. However, with the advent of numerous online discount brokers, anyone within any class of income can have access to a broker or brokerage firm from the comfort of their home. 

Who is  a Full-Service broker 

A full-service broker is a stockbroker who provides a client with a complete package of brokerage services, which includes trading, advisory and research. The most popular opinion about full-service brokers is that the cost of maintaining the assistance of one is a lot, and this is mainly because they provide both trading services and can feed you up on the happenings in the market so that you can have an idea of the behaviour of the stock market and the future of your investments. They can also offer extra services like tax advice, IPO shares, and details about the international market

Must Check before you trust a Stockbroker!

Formal Qualifications of a Stockbroker

Stockbrokers are generally expected to have a bachelor’s degree in business administration, finance or any other relevant course in finance. Stockbrokers should also have intricate knowledge of the regulatory laws of finance and accounting techniques. A holistic understanding of economics and expert financial predictions based on the behaviour of the market is also an essential requirement for any stockbroker. 

A stockbroker with a global certification will also prove trustworthy. Certifications like Chartered financial analyst (CFA) and Certified financial planner (CPF) are international certifications that can solidify your faith in a stockbroker you want to work with. 

Related Post: The Ultimate Financial Literacy Guide: Six Places to Acquire Knowledge.

Must have skills as a stockbroker

It takes a unique set of abilities and personality traits to make a stockbroker. A stockbroker must be flexible, have excellent verbal and interpersonal skills, and be eager to seize new opportunities. Stockbrokers to be able to take criticism properly and keep their cool under intense time constraints. 

They should also be able to convince customers and offer stellar service. They need to handle working with numbers, think critically, and have a solid grasp of economics and accounting. Stockbrokers also need to be confident in taking risks, skilled negotiators, and quick to act when necessary. Stockbrokers combine the skills of financial analysts, sales assistants, and executives.

FINRA’s role in stock trading

Why trade financial assets worth millions of dollars if you cannot do business in an ecosystem that guarantees security and equity? 

The safest way to do that is to trade under a regulated condition. In the United States of America, The Financial Industry Regulatory Authority (FINRA) is a not-for-profit organisation backed by Congress and saddled with the responsibility of fostering unified confidence in the hearts of investors.

FINRA implements several safeguards to protect investors in the stock market. These include protecting fundamental rights and interests, ensuring securities sellers undergo rigorous testing, qualifying, and licensing procedures, preventing false or misleading information in marketing, offering securities that meet regulatory standards, and providing ample information about the investment product before purchasing. These guidelines form a strong foundation for protecting stock market investors, ensuring they have the necessary information to make informed decisions.

Average income of stockbrokers

Do These 10 Top Tips And Increase Sales For Course Creators

Female Course Creator

Did you know that turning your knowledge into consistent income is easier than you think? Most people believe deciding on the type of knowledge is the hardest part, but we often see how course creators who have spent time creating their courses fail at “sales”. But once you start selling, increase sales for course creators keeps getting better.

You need to understand that with the advantage of Social Media, one can sell any course without appearing physically. For instance, Ali Abdaal, a well-known YouTuber for his productivity tips and content, has been able to influence people all over the world, including myself, without ever having to interact in person thanks to his free and paid productivity community, tips and productivity courses. He is also promoting his new book; you can guess who has already ordered one. I, all because he has successfully hacked the selling of knowledge effectively. I’ve taken the stress off of you by providing six tips to help you make more sales and keep your numbers going up. 

Who is a Course Creator?

Course creator typing  to ensure sales are increased

A Course Creator has the versatile skill set to offer course creation services across multiple niches or specialise in developing courses based on their expertise. Whether crafting educational, entertaining, or informative content. This dual role involves creating courses for clients or independently writing and structuring courses to provide individuals with valuable solutions tailored to their audience’s needs.

In this blog post, we’ve gathered the best tips and strategies for course creators to help them increase sales. Whether you’re a seasoned course creator or just starting out, these insights will help guide your business towards success.

The Top 10 Ways to Earn a Living as a Stay-At-Home Mom

Cover imagery on stay at home moms

Being a stay-at-home mom can be rewarding and challenging, but even in those seasons, financial independence is a must have, especially when you want to afford little luxuries for yourself and your baby. Imagine seeing a cute baby outfit online and not having to worry about your bank account balance.  According to a survey by Bankrate, nearly 39% have a side hustle, and 44% believe they’ll always need one to make ends meet. This blog post aims to help you become financially independent with ten practical business ideas you can do from the comfort of your home.

1. Online Retail Store:

Start up small business, SME female owner checking order online

Do you have a handmade skill?  You could start an e-commerce store selling handmade crafts, clothing, accessories, candles, soaps, jewellery, baked goods, or home décor items. Platforms like Etsy, Shopify, and Amazon Handmade make it easy to sell your products online. According to Statista, the global online market for handmade goods is expected to reach $1 trillion by 2025, and now you see that it’s a profitable skill to venture into. 

More Money or Freedom? Pros and Cons of Salary and Hourly Income. 

Salary or Hourly pay

Introduction

When choosing between a salary-job and an hourly job, people usually base their choice on their personal priorities and lifestyle choices. Both choices have pros and cons that can have a big effect on your financial stability and work-life balance. Knowing the difference between salary and hourly pay can help you make a decision that fits your career goals and personal situation.  (Salary or Hourly Pay Employee).

Who earns a Salary?

An employee earning a salary, such as a marketing manager at a large corporation, enjoys the security of a fixed income, either monthly or, in some cases, yearly. This salary is paid consistently every two weeks and can also be calculated annually for a broader perspective. 

Salaried employees are often referred to as full-time employees and are continually enrolled in the company’s benefit schemes, such as health insurance, leave bonuses, and access to a dedicated working space.  

A salary earner receives the same amount each time the paycheck arrives, except the employer reviews the terms and conditions of employment. This also means that there is no hourly limit to working time. Even though most working hours will usually fall between 8:00 a.m. and 5:00 p.m., an employee is expected to be at work at all times, even if they are done with all the activities for the day or the monthly target.  

Who is an hourly employee?

An hourly employee has the flexibility to earn a wage based on the actual number of hours they spend on their assigned job/role. This freedom allows them to control their earnings, with each hour spent working contributing to their paycheck. 

Practically, if an hourly employee is to be paid 15 dollars per hour- then spending 20 hours at work in one week means that they will be paid 300 dollars at the end of that week for the job that has been done. I.e 

1 hour15 dollars
20 hours(20 hours)(15 dollars) 
Total300 dollars
Breakdown of Hourly Pay

An hourly employee might have varying paychecks depending on the hours committed to the work done. This is because the employer pays for the hours devoted to doing the work. Most employers agree with hourly employees on the maximum amount of hours they are expected to work, and demanding extra work hours will attract an additional amount to the agreed hourly pay. 

This additional amount often refers to ‘overtime pay ‘, and it is usually higher than the regular hourly rate. Most hourly employees will likely get extra dollars per hour for every overtime done and for coming to work during national and public holidays. 

An hourly employee is expected to use a timesheet or other register system to log their total hours spent during the work. This is a crucial part of the job, as it helps the employer keep track of the hours worked and ensures that the employee is paid accurately for their time. (Salary or Hourly Pay Employee).

Pros and Cons of salary and hourly pay 

10 Top Business Ideas of All Time That Move and Make Money Fast

Cover Title: 10 Top Business Ideas of All Time That Move and Make Money Fast

Many entrepreneurs dream of starting a business that can rapidly generate profits. The success of any venture depends on several factors, but there are certain business ideas that have consistently proven to be lucrative and fast-moving. In this post, we will delve into the top 10 timeless business ideas that have the potential to generate quick profits. We’ll provide statistical backing and offer tips to help you succeed in these ventures.

1. E-commerce Store: 

E-commerce Store websites
The potential of e-commerce is truly astounding. With the increasing shift towards online shopping, the e-commerce industry is experiencing tremendous growth. According to Statista, global e-commerce sales are projected to reach an incredible $6.38 trillion by 2024.

An e-commerce store serves as an online platform where businesses can directly sell products to consumers over the Internet. This has to do with several types of products, from clothing, fashion, skincare, and electronics to home goods and groceries.

Building Financial Security: An Easy Guide to Building Your Emergency Fund

Maintaining good financial stability involves having additional funds in one’s account, as life is unpredictable and unforeseen circumstances can disrupt even the most well-planned budgets. Consider the story of a friend whose parents live a comfortable lifestyle and have access to quality education for their children, among other luxuries. Suddenly, the father faced an unexpected financial crisis that almost resulted in the family losing everything, forcing them to sell their properties. Their emergency funds could have mitigated such an urgent disruption if they had known to save some money. Now, you see the importance of building your Emergency Fund.

Reports from Investopedia state that one in four Americans have no retirement savings at all, and the median emergency fund balance among workers is a mere $5,000. Moreover, over the past few years, several reports have also indicated that 50% of Americans would need to take on debt to pay for a $1,000 emergency.

We did a art one on, What is an Emergency Fund, and why you should consider having one? This blog will delve into the importance of emergency funds, how to build one, and financial apps to help you secure your financial future.

Basics of Taxation, Income tax and working principles.

Header Image: Income Tax Fundamentals

Brief history of Taxing

Unlike what we know today, the US used to be income-tax-free. This was mainly because of the absence of the federal government in its infancy years. The US was under a British colony, so it imposed a few taxes on its citizens. Some of these taxes were the head tax, a tax imposed on each adult male, the realty tax, a tax on land and buildings, and the legendary tea tax that ignited the historic Boston Tea Party.

The American Revolutionary War, a significant event in the history of the United States, began in 1775 and lasted till 1783. This war, a military contention between George Washington-led American patriots and the British colony, marked a turning point in the nation’s history. The independence of the American people, achieved through this war, led to the imposition of income tax on the American people, a significant step in the nation’s financial system. 

The United States follows the trend of other developed nations by having high-earning citizens pay a more significant percentage of their income in taxes to the government. In a progressive tax system, higher rates are levied on those who can afford it. Income taxes at the federal level are between 10% and 37%  as of 2023.

What is a tax on income?

Income tax is a tax that governments levy on the income earned by firms and people within their sphere of influence. This tax is used to cater to public services, fund government responsibilities, and provide basic amenities for its citizens. It is a crucial source of revenue for the government, which is then used to fund various public services, such as healthcare, education, and infrastructure development. Individuals’ wages, salaries, and other income are subject to a Personal Income Tax. In contrast, gains earned by small firms, self-employed, companies and partnerships are subject to a Business Income Tax.

Five Crucial Questions To Ask Before Considering a Loan

Detailed Confused Man with Loan consultant

Considering taking a loan can be a significant decision in your financial journey. But the side effects of taking a loan with ignorance are one of the reasons we considered writing this blog post. The recent data from the Federal Reserve, showing that outstanding consumer debt in the United States exceeds $4 trillion, highlights how prevalent borrowing has become. Although, loans play a central role in financial strategies, it is crucial to approach them with a discerning mindset. Reports from the

Reports from the Consumer Financial Protection Bureau (CFPB), also shows that a substantial percentage of consumers lack a comprehensive understanding of loan terms and their long-term financial implications. When considering loans, it is important to have a strategic approach and ask yourself five fundamental questions before starting. This will help you make informed decisions that align with your financial goals. 

1. What is the purpose of the loan?

Understanding the purpose of a loan is critical. The loan might be used for a variety of purposes, including purchasing a property, funding schooling, establishing a company, or reducing debt. For example, if a person or company is looking for a business loan, they must examine particular needs such as equipment purchases, marketing initiatives, or operational growth. It is incumbent upon the borrower to identify and articulate the precise objectives of the loan so that the lender can evaluate the creditworthiness of the borrower and approve the loan. As a result, understanding the loan’s objective is critical to obtaining financing and accomplishing the desired outcomes.

What is an Emergency Fund, and why you should consider having one?

As the name implies, an emergency fund is used for unforeseen emergencies that would be costly if not addressed quickly. Therefore, it is critical to have something to fall back on. As a result, emergency funds (savings) may be seen as financial assistance to turn to when there is a primary or unpleasant financial crisis that arises unexpectedly and needs quick attention or management. A form of savings account that you accumulate over time rather than one that you may use at any moment. 

What this blog covers:

  • Importance of Emergency Funds 
  • How much do you need in your emergency fund to start?
  • How to set up your emergency savings 

Emergency savings aim to have a quickly available pool of money to pay unforeseen needs without having to rely on loans, debts, or credit cards. 

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