It may sound overly simple, but it’s true: The more you learn about a topic, the greater the mastery you’ll gain. Whether you want to learn how to swim, change your own oil, paint a masterpiece (at least to your friends and family), or bake pies, you’ll need to crack the books or stream those podcasts (not to mention the YouTube tutorials). And the same strategy that made your blueberry pie the treasure of every get-together can help you grow your wealth.
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How so? Building financial literacy means learning the ins-and-outs of personal finance — specifically how to manage your money in ways that will help you achieve your financial goals.
It goes beyond the basics — from having a high-yield savings account for your emergency fund to asking whether you’re maximizing tax-advantaged accounts like a Roth IRA, or how asset allocation can impact your long-term wealth building.
If you understand what to learn about and where you can go to get that knowledge, you could turn any learning moment — whether it’s a podcast during your commute, a YouTube series over lunch, or a book before bed — into a wealth-building opportunity that pays dividends for decades.
1. Go Beyond Financial Literacy Basics
Sure, you’ve got the budgeting basics down, but true financial literacy takes you deeper into strategies that can unlock real wealth-building potential. Instead of simply tracking expenses, you adopt budgeting techniques that free up enough cash flow to max out your 401(k) contributions — a move that could be worth hundreds of thousands by retirement.
As you keep learning, you’ll move beyond basic money management to master the psychology of spending, seeking out experts and materials that can teach you how to automate your finances for maximum efficiency.
You may also have a basic understanding that a high credit score is important — it can affect where you live or what you drive — but did you know that advanced credit optimization can save you tens of thousands on mortgage rates and unlock premium investment opportunities?
A deep understanding of how compound interest can work for — or against — you, or how tax-advantaged accounts can fast-track your financial independence timeline: that kind of knowledge can open the door to serious wealth-building, and it only takes a few minutes of learning per day.
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2. Invest Beyond Your 401(k)
Investing may seem like the domain of more experienced financial experts, but it’s not. You’re likely already contributing to your 401(k), but investing education can help you optimize your entire portfolio, whether it’s learning to maximize both traditional and Roth IRA contributions or how to tackle more advanced wealth-building techniques like backdoor Roth conversions.
With the right learning material, you can become a more confident investor by demystifying concepts like compound interest, tax-loss harvesting, stocks, bonds, mutual funds and ETFs — like how to build a three-fund portfolio that requires minimal maintenance.
There are so many learning materials out there, from financial educators on TikTok like YourRichBFF who are dedicated to taking the jargon out of investing, to authors and podcasters like Tori Dunlap, who help people who are often frozen out of financial literacy — like women — make empowered choices. If you’re toying with the idea of retiring early, podcasts like “The Mad Fientist” and “ChooseFI” specifically target professionals interested in financial independence and early retirement.
3. Learn To Use Life Insurance for Wealth Building and Estate Planning
Many people think of life insurance as an extra perk they get from their employer — and then they don’t think about it at all. A deeper financial education reveals how life insurance can become a sophisticated wealth-building tool. For those on a mission to build wealth — and accumulating significant assets — life insurance serves multiple purposes beyond basic protection.
As a cornerstone of estate planning, the right coverage ensures your loved ones aren’t left in a financial lurch if you pass away suddenly — and it can make the difference in everything from keeping the family home to covering your children’s education without disrupting your spouse’s retirement timeline.
But here’s where advanced financial literacy pays off: you need to understand how much coverage aligns with your wealth-building strategy, which means you’ll need to find experts you trust. Well-known financial experts like Dave Ramsey and Suze Orman have their own opinions about how much life insurance you could need — and they’re easy enough to Google.
However, there are other ways to use life insurance to meet your financial goals. Some whole life policies accrue cash value that you can borrow against, using the money to support major financial milestones like buying a home or funding a business venture. This strategy isn’t for everyone, and understanding your options requires consultation with a financial advisor or insurance broker.
That said, learning about life insurance strategies through podcasts or other learning resources can at least help you ask the right questions. A simple Google search for “life insurance podcast” yields a plethora of results, including a ranking of the top 20 life insurance-oriented podcasts from FeedSpot.
4. Find the Best Financial Education Resources and Podcasts
Fortunately, we live in an age where nearly everything you need to build your financial literacy — whether you’re just learning to budget or building an investment strategy to achieve early retirement — is right at your fingertips, quite literally. Your daily commute, gym sessions, or evening walks can become wealth-building opportunities. Plugging a search term into your favorite podcast app, TikTok or YouTube can give you a veritable orchard of options.
The key is finding creators who understand your goals. You’ll want to cross-reference the hosts or creators to ensure that they have solid credentials and expertise that you can trust. And while learning online is a great way to continuously upgrade your financial knowledge, you should eventually check in with a fee-only financial advisor to develop a personalized financial plan to help you achieve your specific wealth-building goals.
Looking to build a legacy? Check out our Life to Legacy guide for expert advice and smart moves you can make today.
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This article originally appeared on GOBankingRates.com: Why Your Next Podcast Listen Could Be Worth Thousands
