Financial
Counseling and Planning
The Journal of the
Association for Financial
Counseling and
Planning Education
VolumeĀ 15(2),
2004
Personal Financial
Management Education: An Alternative Paradigm
Glenn Muske and Mary Winter
- Personal financial
management education has focused on recommended practices believe to
ensure long-term financial security. Yet studies have found that few
people actually implement such practices. This paper reports the study
of seven family financial managers’ practices to better understand what
families did and why. While these managers had a regular and systematic
cash-flow management process, the system was not what is generally
recommended. The financial manager’s objectives are limited to the
short-term, to pay the family’s bills on time, and to avoid overdrafts.
Development of a practical system requires a paradigm shift built on
the manager’s short-term perspective and definition of life
satisfaction.
Keywords: Family, Cash flow management, Family finance, Family resource
management, Money management, Personal financial behavior, Qualitative
research