Wealth-Coaching

A recent article from Inc.com explained how wage growth is barely keeping up with inflation. According to the survey referenced in the article, "employees of both small and large companies are feeling more burdened by the combined weight of personal debt and higher costs of living." Data from the survey suggests that employees’ perception of their personal financial security is linked to income levels and occupations rather than the size of the company that employs them. For eight of the past 12 months, inflation has outpaced average weekly wage growth nationwide.

According to Richard Chaifetz, chief executive of ComPsych, “Employers need to be aware that employees are stressed financially, and distracted from their jobs because of it,” Chaifetz said. He advocates personal finance programs to keep employees focused on their job. But finances are just one set of distractions among many, according to Roger Harris, president of Padgett Business Services, a small-business consultancy. And small businesses may not be able to offer financial advisory services to their employees."

The thing I find interesting after reading this article is that there is such a need for training in managing personal finances. The debt load that the average consumer has is getting increasingly difficult to control. We, as a society, have an obligation to help others learn these principles because it effects our economy, as a whole. The trickle down effects of bankruptcies shows that we are affected, either directly or indirectly. For example, company A goes bankrupt. Then companies B, C, and D (who were owed money from company A) have less profitability and depending on the debt that was erased, may experience a major economic loss as a result of Company A. But then there are employees of both companies that were most likely laid off. Then perhaps, those individuals who were laid off start defaulting on some of their payments to the companies that they owe money to. In order to compensate for the loss, these companies raise their prices….. so basically, everyone is affected by the combined loss. It can be a vicious cycle..

However, on the other end of the spectrum, the wheel is turning in the opposite direction. People are being trained in dealing with their finances as well as creating additional revenue sources that can increase their prosperity. As individuals learn the skills to be truly financially independent, they are generating more business for other companies and contributing to their growth. They are also creating opportunities for new employees.

It seems that if the majority of society is involved in the latter upward cycle of prosperity, then we can better help those who may be struggling financially and wondering how they are going to get the money to pay their bills. But the question is which cycle each of us are participating in.

Are we increasing opportunities for others, generating wealth, and enjoying life…. or are we wallowing in the pit of financial despair? Each of us can decide where we are. But, as someone who’s seen success following failure, I know that it involves a choice and it involves being trained in correct principles. Start down the right path and the success will follow.

It would be wonderful if there was more good, practical personal finance training during the education process… If children were raised with a program for managing money effectively, we’d have less bankruptcies, more savings and a much better economy. Nowadays, most people don’t know how to manage their money. Hence, the need for training. Wealth-Coaching.com provides one on one training for those seeking to join the cycle of prosperity.