The Lack Of Financial Knowledge Could Be Costing You That Promotion
The benefits of being financially literate go beyond just helping you manage your family finances and retirement funds. Whether you are new entrant in the job market or seeking your next step up the career ladder, here are the three major ways building your financial literacy skills will help boost your value and hopefully advance your career.
Signifier Of A High-Potential Individual
Understanding business information entails a keen understanding of budgets, costs, revenue projections, cash flow and other financial statements.
When it comes to identifying high-potential individuals and predicting who is likely to become a key driver of organisational performance for management positions, many companies expect some degree of financial literacy. If you have an understanding of basic financial concepts and accounting terminology, it may help you stand out over other candidates vying for that same promotion.
Armed with a working knowledge of financial terminology and concepts aids you in accurately identifying the costs, risks and opportunities of a situation and in turn make right decisions to drive the company forward.
Ability To Thinking Ahead And Future-proof Your Business
In order to ensure the longevity any business, organisations need to anticipate future trends and possible threats by extrapolating existing data and trends. Financial literacy equips you will the ability to anticipate the organisation’s possible future financial needs under various scenarios and assess the potential risks. A financially capable person will have the confidence to contribute meaningful insights into planning for the organisation’s future.
Alleviates Financial Stress and Improves Productivity
A spate of research studies have shown a clear positive correlation between financial literacy and productivity. In fact, both academic and government studies highlight the pivotal role that financial literacy plays in societal stability as well as for corporate profitability.
With money being one of the major sources of stress, any increase in workplace financial literacy will pay dividends by helping employees relieve some of their financial stress, allowing them to perform better at work.