Financial literacy in the past has never been important on an individual level considering we got to be employed then our employers take over all the large stake in our finances from planning our retirement benefits, our salaries, social welfare and more.
Today the market has drastically changed and that nolonger happens. It is our responsibility to plan our personal finances and plan them accordingly.
More than ever, we now have to plan our pensions, social welfares, health and education insurance for our children, family investments and leisure while still having something left for emergencies.
While content creation is considered non technical, financial literacy is key to foster the efficient running of your blog. As a content creator, financial literacy equps you with the knowledge to manage money effectively, plan your projects upfront and even allow you make better costing decisions when meeting your clients needs.
Financial literacy evidently impacts peoples decisions and financial behaviours especilly savings and expenditure.
Come 2021, digital market based businesses which comprises of blogs will begin paying taxes to the government as is an obligation to the physicals businesses.
Are you aware of how to go about this as a blog or digital content creator? well, without financial literacy, you are likely to be misinformed about this. In the new taxation, digital businesses will have to pay 1.5 per cent of the gross income they receive through the digital platform when they sell their services.
Importance of financial literacy for content creators
Why is financial literacy important for content creators?
Financial litercay is important because, it reduces the indiduvidual debt cahnces in a way, people are fijnancially leteracte tend to organzie their finances well thus avoiding debts at all costs. Good financial planners save money for emergencies and thus, there are less chances of going into debts to fix a bill.
Studies have also documented poor debt behavior to be linked to lack of financial literacy.
Another thing is the growth of financial technology in kenya which largeyly affects the spending of young people. Content creators are belived to be tch savy people and hence are among the fisrts people to try out mobile payments options which on average promotes a more spending culture.
Another effect with mobile money is the difficulty to account for the money used. Without doubt, mobile money takes the bigger chunk on spending. Without enough financial literacy you are likely to go bankrupt.
Getting equipped with financial education helps you in financial decision making before making consequential financial decisions including managing your business risks whenever they occur.
To be honest, we should take financial litarcy as fundamental right and universal need, rather than a career for fianacialists who have special access to financial knowledge or financial advice. In today’s world, financial literacy should be considered as important as basic literacy, as is the ability to read and write.