Our CEO’s column in our employee newsletter, Logix Out Loud, is always an enjoyable read. Usually it is filled with big happenings at Logix, ideas for providing great service, or insights about how the credit union is doing. This month, Dave used his column to tell our staff about one of his favorite books, “The Richest man in Babylon.” The financial advice in the book is timeless, and certainly worth sharing with our members. Here’s Dave’s post to our staff:
Topics: money management, Mortgage, Saving, Financial Planning, Consumerism, Buying a Home, Credit Cards, saving money, Student Loans, Investing, Compound Interest, Your Financial Life, Thoughts on Money
In my Finance 101 class, my teacher taught us about the time value of money, also known as “present discounted value.” The general concept is this: the money in your change jar is worth more today than it will be tomorrow because it has opportunity to earn that extra day of interest. The time value of money is, for example, why the government loves sending you a tax refund. They know that you’ve loaned them free money each month, so any interest they gained could have been yours.