Islamic Financial Literacy – Has Whizmate ever heard of Islamic financial literacy? Then, to what extent do you know about Islamic financial literacy?
Islamic financial literacy is an individual's understanding of the concept of Islamic finance. In Indonesia, Islamic financial literacy is still considered low. According to data from the Financial Services Authority (OJK) in 2019, Indonesia was at 8,93%.
This is caused by several factors. Starting from the thought that Islamic finance is only for people who are Muslim to being considered the same as conventional finance. Actually, Islamic finance is still universal and can be used for all ages, really.
Thus, this perception must be immediately straightened out through Islamic financial literacy. One of them is about Islamic financial planning. Don't worry! Whizmin wants to tell you about some Islamic financial planning. Come on, see the explanation!
Sharia Financial Planning
1. Manage Cash Flow
To make financial planning, we must be able to allocate money for several purposes. It is the same with Islamic finance.
In sharia financial planning, Whizmate can allocate a minimum of 2.5% for zakat. Then, 30% can be used to pay off debts. Don't forget to put all your responsibilities first. That way, you can more freely use the remaining money for various purposes.
However, you can actually adjust the allocation of the money. As long as the main needs have been met, yes!
2. Applying Assets that are Not Wasteful and Not Stingy
In Islamic financial planning, it is important to control the assets you have. Avoid consumptive nature so that you can make the best use of assets. However, saving money doesn't mean you have to be stingy.
Whizmate must be able to sort and balance needs according to income. That way, Whizmate will not be a wasteful or stingy figure. Just the right thing, Whizmate!
3. Allocating for Sharia Products
If Whizmate is confused about making Islamic financial planning, you can allocate it to sharia products, such as sharia savings and deposits.
In the concept of sharia, savings and deposits do not apply usury which is contrary to Islamic provisions. However, they prioritize the principle of profit sharing or ratio according to the agreement with the customer. Generally, the ratio offered is 60:40 for customers and banks.
4. Heritage Planning
Uncertain conditions make us need to plan finances. This is done so that Whizmate avoids various problems. One of them is the problem of inheritance.
Indeed, who can guarantee the safety of tomorrow? Of course not. Therefore, an inheritance plan is needed for relatives and families.
In addition to avoiding disputes over assets left behind, planning an inheritance will make the distribution of assets more focused.
Heritage planning can also create use value for others, you know! One of them is by distributing part of the inheritance to those in need, such as the poor, orphans, and others.
5. Avoiding Debts
Debt may be done by some people to solve problems. Especially, when there is an urgent situation that requires money in a short time. At first glance, indeed borrowing money is not a problem. However, if you apply Islamic financial principles, debt is not recommended.
Why? Because it can make financial urgency and actually worsen financial conditions. Indeed, with debt, we will quickly get funds. However, Whizmate will feel the bad effects later on, you know.
With debt, we are required to pay it off. Not only that, the interest on the debt will also increase and become a burden for you. So, it would be better if we don't get involved in debt and credit matters, huh!
Well, that's all about Islamic financial planning. How? Islamic finance brings many benefits, right?
For that, let's start to apply financial literacy! If it is not balanced with an understanding of finance, of course it can be fatal because developments in the financial world are very fast.
For that, don't worry! Whizmate can start learning financial literacy through the Whiz Money Management App. Financial recording and management is guaranteed to be more practical! Try it, come on!