{"id":15501,"date":"2025-02-19T15:39:29","date_gmt":"2025-02-19T13:39:29","guid":{"rendered":"https:\/\/moneyhub.ee\/?p=15501"},"modified":"2025-02-19T16:03:11","modified_gmt":"2025-02-19T14:03:11","slug":"financial-literacy","status":"publish","type":"post","link":"https:\/\/moneyhub.ee\/en\/useful\/articles\/financial-literacy\/","title":{"rendered":"Financial literacy"},"content":{"rendered":"\t\t<div data-elementor-type=\"wp-post\" data-elementor-id=\"15501\" class=\"elementor elementor-15501\" data-elementor-post-type=\"post\">\n\t\t\t\t<div class=\"elementor-element elementor-element-5d7efb58 e-flex e-con-boxed e-con e-parent\" data-id=\"5d7efb58\" data-element_type=\"container\" data-e-type=\"container\">\n\t\t\t\t\t<div class=\"e-con-inner\">\n\t\t\t\t<div class=\"elementor-element elementor-element-32d40bf6 elementor-widget elementor-widget-shortcode\" data-id=\"32d40bf6\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"shortcode.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<div class=\"elementor-shortcode\"><nav aria-label=\"breadcrumbs\" class=\"rank-math-breadcrumb\"><p><\/p><\/nav><\/div>\n\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t<div class=\"elementor-element elementor-element-1e4750ba e-flex e-con-boxed e-con e-parent\" data-id=\"1e4750ba\" data-element_type=\"container\" data-e-type=\"container\">\n\t\t\t\t\t<div class=\"e-con-inner\">\n\t\t<div class=\"elementor-element elementor-element-a047e75 ddddf e-flex e-con-boxed e-con e-child\" data-id=\"a047e75\" data-element_type=\"container\" data-e-type=\"container\" data-settings=\"{&quot;background_background&quot;:&quot;classic&quot;}\">\n\t\t\t\t\t<div class=\"e-con-inner\">\n\t\t\t\t<div class=\"elementor-element elementor-element-20c9d99a elementor-widget elementor-widget-heading\" data-id=\"20c9d99a\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<h2 class=\"elementor-heading-title elementor-size-default\">Financial literacy<\/h2>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t<div class=\"elementor-element elementor-element-18b94166 e-flex e-con-boxed e-con e-parent\" data-id=\"18b94166\" data-element_type=\"container\" data-e-type=\"container\">\n\t\t\t\t\t<div class=\"e-con-inner\">\n\t\t\t\t<div class=\"elementor-element elementor-element-13e8adb2 elementor-widget elementor-widget-image\" data-id=\"13e8adb2\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"image.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<img fetchpriority=\"high\" decoding=\"async\" width=\"1600\" height=\"1083\" src=\"https:\/\/moneyhub.ee\/wp-content\/uploads\/2025\/02\/unnamed-1-e1739973784556.jpg\" class=\"attachment-full size-full wp-image-15502\" alt=\"Financial literacy\" srcset=\"https:\/\/moneyhub.ee\/wp-content\/uploads\/2025\/02\/unnamed-1-e1739973784556.jpg 1600w, https:\/\/moneyhub.ee\/wp-content\/uploads\/2025\/02\/unnamed-1-e1739973784556-300x203.jpg 300w, https:\/\/moneyhub.ee\/wp-content\/uploads\/2025\/02\/unnamed-1-e1739973784556-1024x693.jpg 1024w, https:\/\/moneyhub.ee\/wp-content\/uploads\/2025\/02\/unnamed-1-e1739973784556-768x520.jpg 768w, https:\/\/moneyhub.ee\/wp-content\/uploads\/2025\/02\/unnamed-1-e1739973784556-1536x1040.jpg 1536w\" sizes=\"(max-width: 1600px) 100vw, 1600px\" \/>\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t<div class=\"elementor-element elementor-element-19d502c4 e-flex e-con-boxed e-con e-parent\" data-id=\"19d502c4\" data-element_type=\"container\" data-e-type=\"container\">\n\t\t\t\t\t<div class=\"e-con-inner\">\n\t\t\t\t<div class=\"elementor-element elementor-element-175f64b5 elementor-widget elementor-widget-text-editor\" data-id=\"175f64b5\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<h1><span style=\"font-weight: 400;\">Financial literacy<\/span><\/h1><p><span style=\"font-weight: 400;\">Classes had already started when Arno and his father arrived at the schoolhouse.\u00a0<\/span><\/p><p><span style=\"font-weight: 400;\">This single sentence from Oskar Luts&#8217; <\/span><i><span style=\"font-weight: 400;\">&#8220;Spring&#8221;<\/span><\/i><span style=\"font-weight: 400;\"> must have been well understood by everyone at school and probably still remembered.\u00a0<\/span><\/p><p><span style=\"font-weight: 400;\">But how much does anyone remember about percentage calculations in mathematics they learned in the next class, or do they know the meaning of compound interest?\u00a0<\/span><\/p><p><span style=\"font-weight: 400;\">Based on the data from <\/span><a href=\"https:\/\/www-fin-ee.translate.goog\/uudised\/oecd-uuring-eesti-elanike-finantsteadmised-vorreldes-teiste-riikidega-head-kuid?_x_tr_sl=et&amp;_x_tr_tl=en&amp;_x_tr_hl=et&amp;_x_tr_pto=wapp\" target=\"_blank\" rel=\"noopener\"><span style=\"font-weight: 400;\">a study<\/span><\/a><span style=\"font-weight: 400;\"> conducted in 2016\u00a0 by the Organization for Economic Cooperation and Development (OECD) mediated by the Ministry of Finance, this should also be very clear because, in a comparison of 30 countries, Estonian residents were in third place in terms of their financial knowledge, ahead of Finland and immediately after Hong Kong and South Korea. It would be great if the practical application of this valuable knowledge were not so rare. According to the same study, Estonians are unfortunately only in 24th place, or sixth from the bottom, regarding their actual financial behaviour.<\/span><\/p><p><span style=\"font-weight: 400;\">But how can we better use this knowledge in practice?\u00a0<\/span><\/p><p><span style=\"font-weight: 400;\">The ability to apply mathematics in real life is often called financial literacy or money wisdom. The Ministry of Finance has created a seven-year programme to promote financial literacy. Still, money wisdom could be described as the ability to distinguish wheat from chaff, that is, what, when and how it is more sensible to buy.<\/span><\/p><h1>\u00a0<\/h1><h2><span style=\"font-weight: 400;\">\u201c<\/span><span style=\"font-weight: 400;\">As you sow, so shall you reap.<\/span><\/h2><p><span style=\"font-weight: 400;\">The most important lesson or skill in money wisdom is awareness. People buy with their eyes and are by nature, hoarders. We simply like to stock up, just in case, for rainy days. Therefore, start planning. However, how many families make a shopping list when they go shopping? Probably very few. Planning helps you spend more wisely and frugally, buy only the things you need, and avoid making unnecessary purchases altogether.<\/span><\/p><h1>\u00a0<\/h1><h2><span style=\"font-weight: 400;\">\u201c<\/span><span style=\"font-weight: 400;\">A horse in the summer, a cart in the winter.<\/span><\/h2><p><span style=\"font-weight: 400;\">However, to make essential expenses, choose a suitable time if possible. For example, when the purchase of your desired goods or services is more affordable, there are discounts and end-of-season sales. When choosing, also remember quality, as no one is so wealthy as to buy things that are too cheap. Do not postpone expenses that will help you save money, such as renovating your heating system, which will help you significantly reduce future utility costs.<\/span><\/p><h1>\u00a0<\/h1><h2><span style=\"font-weight: 400;\">\u201c<\/span><span style=\"font-weight: 400;\">Measure nine times, cut once.<\/span><\/h2><p><span style=\"font-weight: 400;\">Another helpful skill worth learning and remembering is choosing correctly. Choosing is not only necessary when making phone calls or voting for politicians. Similarly, choosing is essential every time we decide to buy or not to buy something.\u00a0<\/span><\/p><p><span style=\"font-weight: 400;\">By choosing, we decide in favour of one possible option and simultaneously leave aside all other possibilities. Therefore, knowing and considering the different solutions offered \u2013 alternatives is crucial.<\/span><\/p><h1>\u00a0<\/h1><h2><span style=\"font-weight: 400;\">\u201c<\/span><span style=\"font-weight: 400;\">More precious than treasures of silver,<\/span><span style=\"font-weight: 400;\"><br \/><\/span><span style=\"font-weight: 400;\">More precious than loads of gold<\/span><span style=\"font-weight: 400;\"><br \/><\/span><span style=\"font-weight: 400;\">Wisdom must be acknowledged.<\/span><\/h2><p><span style=\"font-weight: 400;\">However, the alternatives can be very different depending on the person. For example, you can choose one, two or three loaves of bread from the store. You can find it in another store as well. But you can also buy it from a cafe, directly from a baker, bake it yourself or buy bread instead. But the most important thing is to consider the cost or price of all the options and choose the most beneficial for you.<\/span><\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t","protected":false},"excerpt":{"rendered":"<p>In a comparison of 30 countries, Estonian residents were in third place in terms of their financial knowledge. But &#8230;<\/p>\n","protected":false},"author":7223,"featured_media":15502,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"om_disable_all_campaigns":false,"footnotes":""},"categories":[21],"tags":[],"class_list":["post-15501","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-articles"],"acf":[],"blog_post_layout_featured_media_urls":{"thumbnail":["https:\/\/moneyhub.ee\/wp-content\/uploads\/2025\/02\/unnamed-1-e1739973784556-150x150.jpg",150,150,true],"full":["https:\/\/moneyhub.ee\/wp-content\/uploads\/2025\/02\/unnamed-1-e1739973784556.jpg",1600,1083,false]},"categories_names":{"21":{"name":"Articles","link":"https:\/\/moneyhub.ee\/en\/category\/useful\/articles\/"}},"tags_names":[],"comments_number":"0","rttpg_featured_image_url":{"full":["https:\/\/moneyhub.ee\/wp-content\/uploads\/2025\/02\/unnamed-1-e1739973784556.jpg",1600,1083,false],"landscape":["https:\/\/moneyhub.ee\/wp-content\/uploads\/2025\/02\/unnamed-1-e1739973784556.jpg",1600,1083,false],"portraits":["https:\/\/moneyhub.ee\/wp-content\/uploads\/2025\/02\/unnamed-1-e1739973784556.jpg",1600,1083,false],"thumbnail":["https:\/\/moneyhub.ee\/wp-content\/uploads\/2025\/02\/unnamed-1-e1739973784556-150x150.jpg",150,150,true],"medium":["https:\/\/moneyhub.ee\/wp-content\/uploads\/2025\/02\/unnamed-1-e1739973784556-300x203.jpg",300,203,true],"large":["https:\/\/moneyhub.ee\/wp-content\/uploads\/2025\/02\/unnamed-1-e1739973784556-1024x693.jpg",800,541,true],"1536x1536":["https:\/\/moneyhub.ee\/wp-content\/uploads\/2025\/02\/unnamed-1-e1739973784556-1536x1040.jpg",1536,1040,true],"2048x2048":["https:\/\/moneyhub.ee\/wp-content\/uploads\/2025\/02\/unnamed-1-e1739973784556.jpg",1600,1083,false]},"rttpg_author":{"display_name":"Maiko Markus","author_link":"https:\/\/moneyhub.ee\/en\/author\/maiko\/"},"rttpg_comment":0,"rttpg_category":"<a href=\"https:\/\/moneyhub.ee\/en\/category\/useful\/articles\/\" rel=\"category tag\">Articles<\/a>","rttpg_excerpt":"In a comparison of 30 countries, Estonian residents were in third place in terms of their financial knowledge. But ...","_links":{"self":[{"href":"https:\/\/moneyhub.ee\/en\/wp-json\/wp\/v2\/posts\/15501","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/moneyhub.ee\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/moneyhub.ee\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/moneyhub.ee\/en\/wp-json\/wp\/v2\/users\/7223"}],"replies":[{"embeddable":true,"href":"https:\/\/moneyhub.ee\/en\/wp-json\/wp\/v2\/comments?post=15501"}],"version-history":[{"count":0,"href":"https:\/\/moneyhub.ee\/en\/wp-json\/wp\/v2\/posts\/15501\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/moneyhub.ee\/en\/wp-json\/wp\/v2\/media\/15502"}],"wp:attachment":[{"href":"https:\/\/moneyhub.ee\/en\/wp-json\/wp\/v2\/media?parent=15501"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/moneyhub.ee\/en\/wp-json\/wp\/v2\/categories?post=15501"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/moneyhub.ee\/en\/wp-json\/wp\/v2\/tags?post=15501"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}