Following up on a promise made to Jessie, we delve into the world of personal finance. Every domain of knowledge is built on a few core principles. We introduced them as first principles, one of the conceptual foundations of A Simple Project. Having a firm grasp of the first principles helps you cut through the 3 Cs of your personal finances.
We start our journey in personal finance with the following first principles. We focus on the what and the why of finance. We won’t spend any time on the how because there’s plenty of information on how to do something related to personal finance, but not as much explaining the foundational principles.
The principles explained here provide one perspective, one that is focused on simplicity and clarity. Feel free to tweak this perspective based on your own life experiences and world view. Treat them as starting points.
I’ll link each of these first principles to the corresponding post when it’s published. Please check Recent Posts below for other articles on personal finance.
- Currency and Money
- Power of Compounding
- Credit, Debt, and Growth
- Riches and Wealth
- Risk and Insurance
- Inflation
- Know Yourself
- What are your goals and aspirations?
- How much is enough?
- What is your risk tolerance?
- Thinking about affordability
Recent Posts
- Personal Finance – Risk Management November 17, 2024 - What risks do you face? What are the various types of insurance available to deal with those risks? Dealing with Risks Risks are part of… Read
- Personal Finance — Understanding Social Security Income April 23, 2024 - Social Security is a welfare program in the USA. As with many things financial, it helps to understand the program in some detail to get… Read
- Personal Finance — Riches and Wealth February 4, 2024 - Image courtesy of Wikimedia Commons Sailko, CC BY 3.0 We often hear “rich” and “wealthy”. They are related but different. Let’s explore being rich versus… Read
- Personal Finance — Credit, Debt, and Growth December 23, 2023 - Understanding the concepts of credit, debt, and growth is crucial to grasping how modern economies function. That in turn gives you the bigger picture context… Read
- Personal Finance — Power of Compounding December 19, 2023 - Albert Einstein famously referred to compounding as the eighth wonder of the world. He should know, because his career was a great example of the… Read
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