The National Financial Educators Council personal finance definition is:
“Possessing the skills and knowledge on financial matters to confidently take effective action that best fulfills an individual’s personal, family and global community goals.”
Personal Finance Definition from Other Groups
Listed below are several personal finance definitions that do vary but also do share commonalities.
The Consumer Financial Protection Bureau defines personal finance in four parts: feeling in control, capacity to absorb shock, on track to meet goals, and flexibility to make choices.
What is the definition of personal finance? Investopedia defines personal finance as “All financial decisions and activities of an individual, this could include budgeting, insurance, savings, investing, debt servicing, mortgages and more. Financial planning generally involves analyzing your current financial position and predicting short-term and long-term needs.”
Yourdictionary.com notes “Personal finance is defined as the management of money and financial decisions for a person or family including budgeting, investments, retirement planning and investments.”
A crowdsourced definition of personal finance as shown on Wikipedia states, “Personal finance is the financial management which an individual or a family unit is required to do to obtain, budget, save, and spend monetary resources over time, taking into account various financial risks and future life events.”
The NFEC’s personal finance definition features a uniqe psychological component. The NFEC’s Curriculum Advisory Board contends “since money is directly tied to peoples emotional state we feel including this component in our personal finance definition is critical.”
The NFEC’s financial literacy definition is further described in the whitepaper that you can access complimentary.