Suggested Objective a: Find and evaluate fiancial information from a variety of sources

Learn to Evaluate Financial Information by CEFCU (Citizens Equity First Credit Union) explains the importance of everyone having a fundamental understanding of finance and not to leave financial decision making to professionals only. All people need to understand and have a voice in determining how their wealth (or lack of it) is spent. It will also allow a person to check that poor decisions are not made regarding finances - personal or business. Basic facts that are presented by CEFCU in this article include the saying "if it's too good to be true..." Make sure you understand all information before you invest in a venture. Do not fall for a "guaranteed sure thing" because there are no "sure things" in investing and financial planning. Always check the facts and check the authority or authenticity of the information. Consider how reliable the information is because there is truth in numbers. Lastly, remember to hold steady with investing. Do not "jump in and out" of a product or service. Read the article for more details.

Learning to read financial statements can be daunting. However, the U.S. Securities and Exchange Commission has posted on the Internet some basic information for understanding financial statements. Click the link to view more.

As you browse the U.S. Securities and Exchange Commission, you will notice several primary financial documents are mentioned and explained. Terminology like assets, liabilities, and equity are defined with examples provided. Towards the end of the page, several key financial ratios that are used to "test" the performance or earning potential are given.

Speaking of financial ratios and terminology, Zender from the University of Colorado posted a PowerPoint on financial information. Look at the PowerPoint provided below by clicking the link to it. The PowerPoint is named Session 3.

Session3-notes.ppt

What Are the Types of Financial Ratios Used to Analyze Performance? is an article from Small Business. James explains thoroughly profitability ratios, efficiency ratios, liquidity ratios, and solvency ratios. Each of these are designed to assist with making informed financial decisions - generally for businesses but could be applied personally (in principle).

Suggested Objective b: Make financial decisions by systematically considering alternatives and consequences

We have looked at information describing tools for analyzing financial information. Now let's consider steps in making better financial decisions in today's world. There are steps or considerations to take before making any financial decisions.

3 Simple Steps to Make Better Financial Decisions Today by Russ Thornton in the Shriver Report states that a person should ask why the financial decision is being made. Then, one should focus on the decisions that can be controlled by the person. After the why and the items that can be controlled are investigated, tune out the extraneous "noise" - advice from others, distractions from TV, and more. Put all the financial pieces together to make a decision.

Mind Tools provides the article Decision Making Skills - Start Here! The article mentions issues that difficult financial decisions will include. A nearly 4 minute video on the page can assist with understanding the information presented. Basically, a person needs to take a systematic approach to decision making. Six steps with detailed information and links for further exploration are provided. Look closely at this page by clicking the link and its accompanying information.

Step 1: Create a constructive environment

Step 2: Generate Good Alternatives

Step 3: Explore the Alternatives

Step 4: Choose the Best Alternative

Step 5: Check Your Decision

Step 6: Communicate Your Decision and Move to Action!

Real Simple presents How to Make Good Financial Decisions. This site provides three strategies to improve the bottom line for your personal wealth. They are to set your priorities, to set a budget and follow it, and to quiz yourself as you go. In other words, before you buy something, ask questions like if I buy this, who will be affected or are there enough benefits to buying this item to justify its purchase.

Suggested Objective c: Control personal information

The last piece of this puzzle to consider for this competency is our personal information. How can you control what personal information is revealed or available? Let's look closely because this is very important to your overall fiscal and personal safety.

What Can You Do? Controlling Personal Information by the Electronic Privacy Information Center provides general hints for controlling access to your personal information. Types of information like medical records and social security numbers are mentioned. Strategies for maintaining your privacy are given on the page. Be mindful of telemarketers and their scams. By clicking links on this page, you can view more information in detail about each area.

The Privacy Rights Clearinghouse provides many fact sheets in their Privacy Survival Guide: Take Control of Your Personal Information. Notice that you are advised to order your free credit reports annually, to restrict access to your credit report, not to participate in unsolicited credit card offers, and to secure computer and portable devices. Other areas that are important for understanding include knowing how your personal information is revealed, how to safe when social networking (not reveal too much information), and how to reduce the amount of junk mail sent to you. Many areas of have links that can be clicked for additional detailed information or fact sheets. Look especially at Fact Sheet 6: Credit Reporting Basics: How Private Is My Credit Report?