What Are Some Of The Types Of Personal Finance?

[Good-Guy]

The term "personal Finance" is usually seen as a kind of a term that describes capital. In a particular sense, personal capital is a kind of money which is basically "personally owned" by an individual person. I think that there could be many different kinds or types of personal finance because I believe that Finance is a broad term and personal finance could have many different types. I think that one of the basic kinds of personal finance is the savings. They basically refer to capital which is generated when a personal usually saves money and then uses that capital to invest funds.

I think that profits can also fall under the category of personal finance, because people generally re-invest the profits in business many times in order to expand business. So, profits could also be labelled and included in this category as well. One other kind of personal finance is the capital which is present in the form of assets. For example, a person can own multiple properties in real estate business and he could liquidate those assets to invest money in the bushiness and we can say that assets are a form of personal finance. The same goes for bonds, shares, etc. What are some other kinds of personal finances?

 

[Suba]

I've just heard the term Types of personal finance, but after reading your content, it seems that the types of personal finance you mean are assets, both current assets and fixed assets. Of course, besides the most liquid cash, there is also bank savings and we should set aside at least 10% of our total income each month to increase our savings, we also need to set aside money as a pension fund.

When we buy goods with the intention of being an investment, we can categorize assets into 2, namely valued assets and depreciated assets. Valuable assets such as land, gold etc., while depreciated assets such as buildings, motor vehicles etc.