Three Ways The Rich Can Handle Their Money in 2017

The world's "one percent" is depicted as "evil and corrupt" but in truth their ideas involving financial management is nothing short of genius -- with a slight hint of OCD. As with anyone who can financially manage himself or herself well. Should things go beyond their control, they would ask peers for help.

And we need to know how they help themselves to improve their savings. Here are a few things they do to ensure their money grows in 2017 effectively.

Wealth Spread

Crown Global insurance Group Co-Founder Perry Lerner creates a spreadsheet of all his accounts, assets and liabilities making it easier for him to organize things he owes, owns and need to remove. A spreadsheet for your own liabilities is greatly important for good financial disposition.

Emergency Funds

Having emergency funds is a must for any time you might get unemployed or sick. But having emergency funds for investing is also a great thing to have. But before you invest, make sure you understand your financial goals, risk tolerance and assess whether your overall financial situation enables you to invest.

Be Observant

Attention to detail has never failed to supplement anyone's success. For Tiger 21 member Perry Lerner, that also meant to discuss with peers or financial advisers how he can improve his finances better. Services of financial planners can help investors see details seen by a professional eye. They may cost for their services but they will make sure to improve your income.

Three Things That You Should Have Reached Financially by 30 Years

I know it's a bit spiteful, the title. It also says at the same time that you're not a 30-something if you haven't reached these goals.

But again, having goals and seeing the consequences of such attainments is an amazing thing.

So, do you have these three things in check?

Emergency Fund

Everyone needs a six-months' worth of living expenses or even a year to buffer for anything from medical emergencies or unemployment. If you don't have this, you're not de-classified from being a 30 years old but this is an important goal to attain.

Anticipating Big Expenditures

At this point, you are preparing for huge expenses and have adjusted your lifestyle accordingly. You also deal with your budgets using a realistic amount that would not lead you into debt. Often, you would even skip these expenses to make way for bigger, important ones.

Negotiation

A highly-valued skill , negotiation is not only for the flea market. When you get a new job, you know your worth and the worth of your skills. You demand a higher salary for your service.

When running your business, your suppliers and service providers you understand their value and you pay accordingly to their value.

The valuation of everything is an important skill to have.

The Power of Personal Finance Is Power Over One's Life

Sometimes, I wish my mom taught me more about APR.

I didn't know what APR meant when I was 16. They gave me a credit card to use. I never knew it had an APR.

This APR had led to the loss of my car once. After my mother died and my father went sick, I struggled to understand what APR was. In fact, APRs became something I was traumatised with early on.

Annual percentage rates. I spent enormously on standard learning that I never really realised my parents can't repay this amount to their creditors.

So I was stuck with dropping out and paying out these APRs. I'm currently running this blog to pay for my expenses. At least the advertisements and sponsors pay me enough.

I familiarised myself with finance and other terms that I couldn't understand. Or at least life taught me about them.

Encumbrance meant our house would be taken. Foreclosed by the bank, meant taken by the bank.

These words shocked me as I read them on paper. Being my father was mentally unfit, I had to take care of the estate since I was already of the legal age when this happened.

But I wish someone taught me finance early on. Personal finance.

But then again, I wouldn't be the same person I was if they did. Or maybe I would be better.

Regardless, nobody deserves to not know about finance at an early age. They should teach it in schools other than stuffy things we can't use when we're older.

Why Do Away With Low-Earning Bank Accounts?

They tell you that investing and making an investment just takes common sense and a bit of effort of looking into the details more than ever. This is true. And if you've looked through low-earning bank accounts and their performance, it would seem the safety net of low-risk investments are just holding your money back rather than improving its quality of working for you.

So, maybe it's time to move out of your bank account interest rate and let the bigger players dole it out for you.

Your bank should only have what you need for bills and emergencies in a bank. For your checking accounts, you could just place in the minimum balance and maybe just a bit of money that could handle unforeseen expenses that would require a promisory note.

From here, you could start paying off your high-interest debt that you might have. Have a debt consolidator work you out of your trouble.

Once done, focus on saving for retirement. Then open a brokerage account that could help you buy an sell stocks and other financial vehicles that could grow over time.

Don't Take Personal Finance Failures Too Hard

Money problems will always be money problems. Planning is a great way to resolve an issue. But don't be too hard on yourself if things don't go your way with your financial plans.

Sure, failing in your personal finance plan isn't the most rewarding or positively exhilarating phase in life. But like all cheesy meditational lines, it gives you the ability to step up and 'level-up' in your financial management.

According to a study published in the Scandinavian Journal of Psychology, having financial issues on your mind is stressful. But it also found it did not affect all that you have to do because of something called a "working memory."

Essentially, the research team came to the conclusion that worries about money don’t hamstring all of our mental processes, though it may feel like it, and that people with more financial trouble in their lives can perform better in certain cognition tests.

The British Psychological Society’s take on the study lays out an example:

A trucker is likely to rely much more on the relatively automatic and instinctive processes that make up safe, effective driving. This is not to make a facile argument such as “financial stress is good for the poor,” but rather to make the point that even if such stress does impede some parts of poorer people’s lives, in other capacities they will be able to operate strongly in spite of, or even in small part due to, this stress.

But it doesn't mean you have to stop thinking about your money. You have to stay afloat or else you may drown in debt as you go into the future.

It just means that the human body is resilient enough, according to research, to go and stop the impending doom of financial oceans. But like every failure -- and yet again, cheesy lines for recovery and self-help -- all you have to do is get up and pick yourself up and rebuild your ladders methodically and improving on the parts that failed you.

Spain, Portugal Have Violated Budget Laws

Spain and Portugal are in violation of budgeting rules. However, analysts believe that in light of the current economic situation the two countries may likely face light penalties. Others believe the soft penalties are due to decrease anti-EU sentiment in the continent.

The acknowledgement of Eurozone Finance ministers came on Monday and would go to all the 28 EU finance ministers on Tuesday.

The members would vote to support the commission's recommendation for penalties unanimously.

The two countries may submit a no request for no sanctions within 10 days along with pledges to improve their budget outlook.

French Finance Minister Michel Sapin said on Monday that action towards Spain and Portugal should be soft because of the countries' enormous efforts in the previous years. Excessive discipline, according to Mr Sapin, is not needed.

Meanwhile, Spanish Finance Minister Luis de Guindos was optimistic the commission would avoid "a senseless fine against Spain.

The two countries have been under the EU's excessive deficit procedure since 2009. Spain had cut its budget hole in half from nearly 10 per cent in 2012. Despite the cut, it still remains off the 4.2 per cent target set by the commission and above the 3 per cent EU threshold.

China Is Focused on Green Investments

China should definitely get into green investments. If the world is making fun of Canada selling you air in cans so you can breathe fresh air, it's a sign that your country is heading towards trouble.

The Paris Agreement, signed last year by 174 nations including China, aimed to bring down the world's carbon footprints as historic commitments to climate change.

China has dedicated itself to "green finance", which has become a pillar of trouble for its country. 

China has relinquished itself as the global testing ground for innovative green-finance ideas. This priority also allows it to experience the first success of any innovative concepts in green finance.

The program extends to the domestic side of things with a focus on financing green growth and "clean" businesses.

If China is successful, it could mean standardising its systems for the rest of the world when it comes to financial systems, corporations and incentives.

In short, it could make the Paris Agreements bearable or even successful by a far margin.

As Zhou Xiaochuan, Governor of China’s central bank, said during the recent Spring IMF/World Bank meetings in Washington, DC, “green finance is a strategic priority.” Zhou estimates the costs of cleaning up China’s environment alone will run over $600 billion annually for at least five years. The Chinese government can meet only 15 percent of that estimate. Alternate sources of funding must be found — a problem that will be replicated in many countries as pressure to implement the Paris Agreement increases.

Mafioso And Others Using Offshore Accounts Should Be Treated As Terrorists

Not that world leaders and the rich are mafiosi, but everybody involved in offshore accounts usage should be punished.

The system, which lawyers, accountants and everybody involved with legal representation and familiar with the law, had allowed plenty of the world's elite to stuff away their money into companies and enterprises for lower taxes.

This is "common practice" as seen by many rich elites and even some individuals and groups in corporations and in the government.

The saddest thing is that these revelations fail to provoke action from the public to condemn these individuals.

The total global wealth the elites have stolen from the government and the public is now at $21 tn (£14.7 trillion). With that much money provided to governments or to the public as per postulate of capitalism, we can build a better, climate-friendly world.

But instead, aggressive investments in environmental exploitation, even the exploitation of the poor and innocent, have become the norm both over and under the wraps. All because some few in the world, as the Panama papers evidenced, wanted to have more for themselves and their families.

Indeed, man is a greedy animal. And in the end, they would be stealing against each other to be the one who gains more than the other.

Three Common Errors Twentysomethings Financially Commit

When I graduated in my early twenties last five years ago, I could never be more happy. I 

couldn't wait to start on my new job and splurge my first year of finances on things I'd love 

to have that I couldn't afford. Of course, I had to pay off my college loan.

I knew that by the second year of my non-formative years, I had to do something for myself before I am done working in my industry.

Not Investing In Anything (Including Retirement)

One common error we youngsters often commit is not to contribute to my retirement as early as I can. I'm about 26 now, and I'm not really financially troubled despite having a son. 

I know retirement is far away. But my compound interests would do so much for me if I 

invested money in my ISA or other investments, which I did anyway.

And so should you.

Following Product Trends

During college, you see your more well-off peers have the latest gadgets or at least the convenience of digital tools to help them research. During my first year out, I purchased the newest, fastest Apple iPhone out in the market. I was supposed to follow through with the latest until I realised that every young professional I worked with was following this expensive and non-productive trend.

Following product trends is only helping the company and not you. As their value wears out completely in just a single year, they're the most useless investment you'll inject your hard-

earned pennies in.

No Emergency Funds

You know during college when we used to keep some money from our allowance into a sock or back compartment of a drawer for those weekends off or a date with a prospective somebody? Well, that's what an emergency fund is. Why many of my generation forgot about these emergency funds, I don't know. But I suspect it's due to a lack of dates.

But there's always time to place money in an emergency fund. The EF will help you pay off some bills or contribute to retirement. Despite having insurance, liquidated money on hand is a better option during health-oriented mishaps that can happen to you at any time.

Britain Must Introduce New Taxes For Diesel Cars In Britain

Looking at Britain's sinful pollution levels, it's proper that the UK introduce additional taxes for diesel car entries in the country. Only for retail purposes of course. 

Following the huge Volkswagen scandal that led to the recollection of thousands of cars and billions of pounds in environmental penalties, the UK is bound to pay additional money for carbon emissions if it would not resolve its pollution problems.

Analysts at Policy Exchange believe it is high time for the UK government to introduce a £800 pollution tax for the sales of new diesel cars. Air pollution must be reduced in the United Kingdom or else.

“London and many of the UK’s other major cities are facing an air pollution crisis, with residents exposed to illegal and unhealthy levels of NO2 pollution,” said Richard Howard, head of environment and energy at Policy Exchange. “If we are to clean up air pollution, then government needs to recognise that diesel is the primary cause of the problem, and to promote a shift to alternatives.”

Howard said: “I know the government is thinking hard about this.” He said increased vehicle excise duty [VED, or ‘road tax’] on new cars was preferable to increasing the tax on diesel fuel or banning diesels from city centres: “It needs to be done in a way which does not unduly penalise existing diesel drivers, who bought their vehicle in good faith, and gives motorists sufficient time to respond.”

The Most Hidden Financial Transactions From Partners

Bloomberg Business created a study and poll that surveyed the young and elderly about the personal finance product they have hidden from their partner.

About 13 million Americans were found to have hidden a bank or credit card account from their spouse or live-in partner. Younger people are likely to hide their personal finance secrets from their partners.

According to CreditCards.com's Senior Industry Analyst Matt Schulz, millenials are more comfortable talking about their finances given the proper environment and platform.

According to Schulz, the findings were shocking. With over millions of Americans hiding their personal finance accounts from spouses, it could do some "real damage in a relationship" in terms of trust and teamwork.

The survey ran from January 7-10, 2016.

Schulz added that budgets can only function between two people if both respect and follow the budget. If both parties do not know exactly what's coming in and going out, it can cause future troubles, according to Schulz.

To keep your finances and relationship in check, the following is advised:

• Have a sit down with your partner and talk about your finances
• Never be afraid not to share technical troubles you find with your finances.
• Communicate often about your financial plans
• Avoid complaining, provide a solution.