Managing My Money

Week 2: Income, Tax and Benefits - Part 1, Episode 3

Share Radio & Open University Business School

'It is better to have a permanent income than to be fascinating'.

Oscar Wilde

Welcome

to Managing My Money presented by Glen Goodman and Annie Weston

Taking control of your finances with the show that's a course ..

Eight weeks of two 25 minute episodes each
A short online test at the end of each pair of episodes
A slightly longer test at the end of the last week, followed by your ..
Statement of Participation Certificate

Income

Having a high income doesn't necessarily mean you're wealthy

Wealth

Having wealth doesn't necessarily mean you have cash to spare

Income and/or Wealth

Bonfire of the Vanities

Equity Release

A method of releasing some of the cash value from a property you own

Different types of Wealth - your 'Assets'

Savings Account, with some interest income
Home ownership, illiquid & no income
Liquid Assets: cash balances, shares in large companies
Pension scheme: illiquid until you're 55+
Sales via e-Bay: pot luck!

Inflation -

Wages chase prices in a spiral of increase: so no-one's better off. Meanwhile money saved becomes worth less.

Ben, Bill's bungling accomplice, and how inflation has eroded their loot ..

Different types of Inflation

CPI (generally lower than RPI)
RPI (includes mortgages: borrowing to buy a house)
What's measured - the basket, what's in, what's out

Listen to Part 2 of Week 2 on Share Radio - then take the Week 2 quiz/test. As you take each week of the course, your results will build up on your personal dashboard.