In real life, as the head of the family, there will be a deep experience:
It's too hard to make money now, but it's too easy to use it.
So how to reasonably allocate the expenses in the family
Not only do you know how to spend money, but you must also understand several factors that affect spending money.
There are only a few factors that affect spending money.
Our little family, with money, will not catch the gold elbow.
The days will become more and more prosperous.
What are the factors that affect spending money?
The first point is to buy something in moderation;
The second point: to buy things to buy for a long time, it is easier to use. You can also compare the use time and requirements of the goods to choose;
Plan before spending the last bit.
These three factors that affect spending money are the use of the law of diminishing marginal utility.
They not only allow us to restrain consumption and reduce waste.
It also helps us make informed decisions.
Make a better choice between different products.
Our usual spending, in addition to being affected by the law of diminishing marginal utility.
People's satisfaction with money is also related to another law.
That is, the degree of satisfaction is also affected by changes in money.
People care more about change than the total amount when it comes to money.
So we do the same with money.
We react differently depending on the state of change.
Different reference points react differently.
Whether it's a sound investor or an aggressive investor.
We all have to understand a little bit. Often our fear of asset loss outweighs the joy of asset growth.
Therefore, we must treat our own desires rationally. Don't follow suit.
Don't speculate because you want to inflate your assets.
This is likely to expose you to risks that are beyond your reach.
In the end, irreparable losses were suffered.
Learn to evaluate the value of wealth management products on your own.
That's what we said earlier:
Think about how much cash return this wealth management product can bring in the future.
How much risk you need to take for this.
So in the specific operation. Big coffee suggests three points when investing:
What is it? Why? How is it distributed?
First of all, understand what is the wealth management product you want to buy?
What are the risks?
Second, figure out why you want to buy this wealth management product.
Is it for higher returns or for a more robust investment?
Finally, figure out how to distribute between different wealth management products.
Only when we think clearly about these three points. Only then can we make clear investments and make reasonable and wise judgments.
In short, through the above content of the study.
We know the degree of human satisfaction, which is in line with the law of diminishing marginal utility.
That is, the degree of satisfaction we feel decreases as the profit loss increases.
So pay attention to the right amount when buying things.
Don't over-consume, and finally we know that satisfaction is affected by changes in money.
Rather than being affected by the total amount.
For the wealthy, assets can increase, but hopefully not less.
This has to do with our investment thinking.
We learn to combine our own actual situation and understand the relevant knowledge.
So as to find the right financial products for you.