Step Eight Train yourself how money works

Train yourself how money works

Step eight covers such things as compound interest, diversification, leverage and lots of information about how money works. There are some great exercises that will help you and your child think about how money works in society and what can we do to make it work best for each of us as individuals.

Here are some of the Silbo sayings for some of the topics covered in Step Eight:

• Money that circulates, keeps the economy alive
• There are lots of different costs that go into making something
• Learn the difference between low and high risk investments
• Banks and Finance Companies use your money to make their Money
• Use the rule of 72 to show you the power of compound interest
• Understand how credit cards work
• Stay away from “dumb debts”
• Do not borrow money for things that lose value
• Protect your credit rating
• Its never to early to start saving
• Know what return on your investment you are getting
• Make your money earn you more money

• Click here to go to look at a sample page