People always say that gold does not lose its value but that money does. This is because unlike gold the value of money is very connected to time

What WThe theThe The Time Value of Money (TVM) Explained | Faydety

<p>People always say that gold does not lose its value but that money does. This is because unlike gold the value of money is very connected to time.</p><p>Briefly the Time Value of Money (TVM) means that 10 pounds today will not have the same value as 10 pounds a year from now, and this future value will usually be lower not higher.</p><p>The value of money here refers to its purchasing power (how much you can buy with it). For example you can buy a bag of chips and a can of coke for 10 EGP today but in a few years you may only be able to buy a pack of gum with the same amount!</p><p>&nbsp;</p><p>How do you differentiate between genuine and counterfeit money? Check out our article&nbsp;<a href="https://www.faydety.com/en/learn/عالم-المال-1/8-طرق-علشان-تفرق-بين-الفلوس-الأصلية-والمزورة--1874">8 methods to detect counterfeit bills</a></p><p>&nbsp;</p><h2>Present value of money (PV)</h2><p>&nbsp;</p><p>The time value of the money is what makes banking products such as time deposits and investment certificates useful because the bank pays you interest when you agree to deposit your money in it at its current value.</p><p>&nbsp;</p><p>“The future value of the money includes the value of the money if it is invested and the profit that may be gained.</p><p>&nbsp;</p><h2>The future value of the money (FV)</h2><p>&nbsp;</p><p>The future value of the money includes the value of the money if it is invested and the profit that may be gained through that investment.&nbsp;</p><p>For example if you invest 10 EGP and receive 12 EGP in return then the future value of your money is 12 EGP.</p><p>On the other hand, if you decide not to invest your 10 EGP and just put it in a piggy bank then its future value remains the same excluding its reduced purchasing power of course.</p><p>&nbsp;</p><p>Also read&nbsp;<a href="https://www.faydety.com/en/learn/عالم-المال-1/إيه-العلاقة-ما-بين-طباعة-الفلوس-ومشكلة-التضخم--1873">inflation and printing money: what’s the relationship?</a></p><p>&nbsp;</p><h2>The equation</h2><p>&nbsp;</p><p>In order to calculate the future value (FV) of your investments, you must calculate the compound interest value, and in order to be able to use the formula you need 3 things:</p><p>&nbsp;</p><h3>Present Value (PV) of the money</h3><p>Rate of return payout frequency - monthly, yearly, etc. (number of periods- n).</p><p>Rate of return (interest rate) per term as in the rate of return per month or year (rate of interest- r)</p><p>&nbsp;</p><h2>Final equation:</h2><p>&nbsp;</p><p>Future Value = Present Value * (1 + interest rate) <sup>number of periods</sup></p><p>&nbsp;</p><p>FV= PV * (1+r)<sup>n</sup>&nbsp;</p>

Why do we use the expression “money used to be blessed (have more value)”?



What WThe theThe The Time Value of Money (TVM) Explained

<p>A topic, or rather question, which has undergone much scrutiny recently: what’s the difference between a full-time job and freelancing? Is one better than the other? There are varying opinions on this matter, and below, we aim to provide some clarity and insight on each so that you may make a more informed decision if you are considering either option.</p><p>&nbsp;</p><h2>But First, Some Basic Definitions</h2><p>&nbsp;</p><p>A full-time job&nbsp;is when a person is recruited by an organization and works a minimum number of hours per day as defined by their employer, in other words, it is the quintessential nine-to-five job.</p><p>&nbsp;</p><p>On the other hand, freelancing&nbsp;is when a person is self-employed and works for different companies on a per-job/task basis.&nbsp;</p><p>&nbsp;</p><p>Many prefer the nature of freelance work, as they are their own boss; they are free to make their own choices and decisions. However, it is important to assess the pros and cons of both options before deciding which is the better fit for you.&nbsp;</p><p>&nbsp;</p><h2>Advantages of Free-Lancing:</h2><p>&nbsp;</p><h3>1- Work from Anywhere and Everywhere:</h3><p>&nbsp;</p><p>As a freelancer, you are not obligated to work from a specific location; your office is wherever you want it to be. You can travel anywhere and still get your work done. You can work from home, sitting in bed in your pyjamas, on the beach, on a plane or in another country – the choice is yours!</p><p>&nbsp;</p><h2>2- As Many Vacation Days as You Like:</h2><p>&nbsp;</p><p>&nbsp;If you need some time off there’s no need to ask anyone for permission! You’re not bound by a specific number of vacation days as in the case of a full-time employee. As a freelancer, you can take as many days as you want, whenever you want.</p><p>&nbsp;</p><h2>3- No Fixed Working Hours:</h2><p>&nbsp;</p><p>&nbsp;As a freelancer, an essential skill is time management. This is because you are not required to stick to a strict 8-hour workday as you would in full-time employment; you can work at any time you prefer. You know what you need to do, and you set your own deadlines, so you get to finish your tasks whenever you please.</p><p>&nbsp;</p><h2>4-Money:&nbsp;</h2><p>&nbsp;</p><p>Unlike full-time jobs, you don’t have a fixed monthly salary, you get paid per project, and as such, you could always work on more than one project at a time, so your income might even be double that of any full-time fixed salary, depending on your agreement with your client.</p><p>&nbsp;</p><h2>Disadvantages of Free-Lancing:</h2><p>&nbsp;</p><h3>1- No Stable Income:</h3><p>&nbsp;</p><p>&nbsp;Although the money you earn as a freelancer might be better than a monthly salary, there is one catch – it’s not stable. It really depends on what a client needs at any particular time. There could be months where you are working non-stop and earning a significant amount of money, and others with no projects coming your way and thus, no income and you’ll have to live off your savings.</p><p>&nbsp;</p><h3>2- No Benefits:</h3><p>&nbsp;</p><p>&nbsp;Full-time jobs tend to offer employees various benefits, such as medical insurance and paid vacation days. On the other hand, the freelancing does not offer such benefits.</p><p>&nbsp;</p><h3>3-Isolation:</h3><p>&nbsp;</p><p>&nbsp;Freelancers tend to work alone, whereas, in full-time jobs, you usually work as part of a team and have colleagues around you. This is especially useful if you have a task requiring brainstorming and want to bounce some ideas off other people. This option doesn’t usually exist for freelancers.&nbsp;</p><p>&nbsp;</p><blockquote><p>&nbsp;Many prefer the nature of freelance work, as they are their own boss; they are free to make their own choices and decisions.</p></blockquote><p>&nbsp;</p><h2>Advantages of Full-Time Jobs:</h2><p>&nbsp;</p><h3>1- Fixed Salary and Benefits:</h3><p>&nbsp;</p><p>&nbsp;A full-time job guarantees a monthly income and, thus, a stable income to support yourself. You might not earn as much as a freelancer, but at least you know that you will have some money in your wallet at the end of each month. As an added bonus there are the benefits you receive as an employee, such as medical insurance and paid annual leave. Starting salaries for full-time employment range between 3000 EGP to 4000 EGP. The average salary for a person with several years of experience is 8,500 EGP, and employees who have 10 years of experience could earn upwards of 15,000 EGP</p><p>&nbsp;</p><h3>2- Working in Teams:</h3><p>&nbsp;</p><p>&nbsp;For most jobs, teamwork is a very important aspect, and positive work culture is an advantage of working full-time. Colleagues that you can bounce ideas off during tasks and who can offer a helping hand or their advice when needed are an advantage of working fulltime unlike freelancing which tends to be a solo job.</p><p>&nbsp;</p><h3>3- Career Growth:</h3><p>&nbsp;</p><p>&nbsp;As part of an organizational hierarchy, full-time jobs offer career growth in terms of job position and salary depending on how long and hard you work and how many years you spend at the company. For instance, with dedication and hard work, a marketing manager could possibly get promoted to marketing director at a company, an option that is not available to freelancers.</p><p>&nbsp;</p><h2>Disadvantages of Full-Time Jobs:</h2><p>&nbsp;</p><h3>1- Lack of Work-Life Balance:</h3><p>&nbsp;</p><p>&nbsp;As a full-time employee, work tends to consume most of your time. There isn’t much time for any other activities during the week between the commute to work each day on top of your regular 8-hour workday.</p><p>&nbsp;</p><h3>2- No Choice in Tasks:</h3><p>&nbsp;</p><p>&nbsp;Full-time employees are usually obligated to work on specific tasks with specific deadlines set by their employer. You usually do not have a say in the matter. However, freelancers have the privilege of choosing what they want to work on.</p><p>&nbsp;</p><h3>3- Limited Vacation Days:</h3><p>&nbsp;</p><p>&nbsp;By law, full-time employees can only take 21 vacation days each year. This can be quite limiting for certain people, who wish to make each day count and plan everything in advance. On the other hand, freelancers are not limited by such constraints and can take time off whenever and for as long as they like.</p><p>&nbsp;</p><h2>Still, feel that freelancing is the optimal choice for you?</h2><p>&nbsp;</p><p>Then there are several options available for your journey as a freelancer to begin. One of these options is&nbsp;<a href="https://www.toptal.com/insights/rise-of-remote/contingent-workforce?utm_source=faydety.com" target="_blank" rel="noopener noreferrer">Toptal </a>a freelancing network site that connects freelancers and many global leading brands and startups such as Airbnb, Motorola, and the University of Southern California, among others. <a href="https://www.toptal.com/insights/rise-of-remote/contingent-workforce?utm_source=faydety.com" target="_blank" rel="noopener noreferrer">Toptal </a>boasts their “screening process that identifies experts in their domains who have passion and drive” and that they only accept the top 3% of those who apply as freelancers. What’s unique about <a href="https://www.toptal.com/insights/rise-of-remote/contingent-workforce?utm_source=faydety.com" target="_blank" rel="noopener noreferrer">Toptal </a>is that they match their clients and their freelancers as best as they can by conducting a series of interviews prior to each job which allows for a more harmonious work environment while the project is ongoing.</p>

A topic, or rather question, which has undergone much scrutiny recently: what’s the difference between a full-time job and freelancing? 

Which do you prefer Freelancing or working Full-Time?

Freelancing vs Full Time Jobs, Which is the Better Option?

<p>Have your expenses have piled up and put you in a sticky situation, and you have no choice but to borrow from the bank?&nbsp;&nbsp;</p><p>&nbsp;</p><p>You have two options. If you’re not interested in buying an asset such as a car or real estate, your other option is to take out a personal loan or get a credit card.</p><p>&nbsp;</p><p>The main determinant regarding the most suitable option for you is your current position or situation. Do you need quick money in a relatively small amount or a large amount at once?&nbsp;It is important to note that personal loans have a repayment period of 7 years, unlike credit cards, which are due for repayment within a grace period of 45 to 58 days only.&nbsp;</p><p>&nbsp;</p><p>Below, we will tell you when a personal loan is the best choice to consider.</p><p>&nbsp;</p><h3>1. Consolidation of Debts</h3><p>&nbsp;</p><p>If you have a lot of debt you’d like to do away with, you can unite it, pay it off with the loan amount, and then start paying off the loan itself.&nbsp;</p><p>&nbsp;</p><h3>2. Wedding Expenses</h3><p>&nbsp;</p><p>If you’d like to get rid of wedding and furniture expenses, then taking out a personal loan is quite suitable. This is especially practical if you have the option of transferring your salary to the bank in which you will apply for the loan. In this case, you will not need to worry about the repayment process because the bank will withdraw it automatically from your bank account.</p><p>&nbsp;</p><blockquote><p>t is important to note that personal loans have a repayment period of 7 years, unlike credit cards, which are due for repayment within a grace period of 45 to 58 days only.&nbsp;</p></blockquote><p>&nbsp;</p><h3>3. Travel Expenses</h3><p>&nbsp;</p><p>If you are a newlywed and would like to spend you your honeymoon outside Egypt or an avid adventurer who wants to discover the world, why not consider taking out a travel loan that covers all your travel expenses? This is a type of personal loan that is not particularly well-known but entirely feasible.</p><p>&nbsp;</p><p>&nbsp;</p><h3>4. Home Renovations</h3><p>&nbsp;</p><p>Are you a new homeowner, or do you want to spruce up your current home with new décor and furniture? In both cases, a personal loan is a great option to help you with home renovation expenses.</p><p>&nbsp;</p><p>&nbsp;</p><h3>5. Baby Expenses</h3><p>&nbsp;</p><p>Suppose you’re waiting for a new baby and can’t keep up with the many expenses in store. In that case, taking out a personal loan will undoubtedly support you with the first expenses of giving birth, allowing you to purchase all your new-born’s needs without you having to worry. Moreover, you can repay the loan in installments in whichever time period is convenient for you.</p><p>&nbsp;</p><p>To find out more about the expenses of a new baby, check out&nbsp;How Do You Prepare and Manage Your Expenses with a Child at Home?</p><p>&nbsp;</p><p>Apply for a personal loan now for free and in minutes using&nbsp;<a href="https://www.faydety.com/en/borrow/personal-loan">Faydety’s Personal Loan Finder.</a></p>

5 Situations are practical for personal loan include: consolidation of debts and travel expenses Consolidation of Debts Wedding Expenses and

5 Situations encourage you to take a personal loan!

Which situations are practical to take out a personal loan?

<p>Bringing a newborn home is a joyous stressful, and life-changing event. Your biggest priority is that baby and meeting his/her needs in every way and thus, restructuring your life (and your expenses!) accordingly. In celebration of Children's Day on May 2, we will outline the five most important things to do to save your money and make things easier for yourself and your new family.</p><p>&nbsp;</p><h2>1- Take Out A Loan For Maternity Expenses</h2><p>&nbsp;</p><p>Before your newborn baby arrives home, prepare yourself for significant delivery expenses, which range from around 2500 EGP to 10,000 EGP for a natural birth, depending on the hospital. In the case of a Caesarean section, expenses vary between 5000 EGP and 17,000 EGP. If this amount is not on hand, we advise applying for a personal loan before birth to cover these expenses.</p><p>&nbsp;</p><p>Apply for a personal loan now for free and in minutes using&nbsp;<a href="https://www.faydety.com/en/borrow/personal-loan">Faydety’s Personal Loan Finder.</a></p><p>&nbsp;</p><h2>2- Calculate Your Daily Costs</h2><p>&nbsp;</p><p>It would be particularly beneficial to make a monthly budget to define your priorities and outline precisely what, when, and where you will be spending your money. There are various methods you can follow, including the 50-30-20 rule of thumb. This method is a guideline for allocating your budget accordingly: 50% to “needs,” 30% to “wants,” and 20% to your financial goals.&nbsp;</p><p>&nbsp;</p><p>To learn more about this method, check out&nbsp;What is a 50-30-20 Budgeting Plan?</p><p>&nbsp;</p><blockquote><p>Bringing a newborn home is a joyous stressful, and life-changing event</p></blockquote><p>&nbsp;</p><h2>3- Apply For A Credit Card</h2><p>&nbsp;</p><p>With a child at home, you must always be prepared; anything can happen at any time, and you will need to act accordingly. For instance, your child may fall ill and need to see a doctor. This is a potential expense that must be factored in with a child at home. To save yourself the stress and hassle, consider applying for a credit card; that way, you’ll always have money on hand when needed, unlike cash which may not always be readily available. Moreover, credit cards have a 45 to 58 day grace period for repayments</p><p>&nbsp;</p><p>Apply now for the card most suitable for you using&nbsp;<a href="https://www.faydety.com/ar/save/cards">Faydety’s Credit Card Finder</a>.</p><p>&nbsp;</p><h2>4- Apply For An Investment Certificate</h2><p>&nbsp;</p><p>Although having a child has a significant impact on your expenses, there are ways to alleviate this impact. Consider taking out an investment certificate at your bank which will grant you various monetary benefits. You can also open a cumulative certificate in your child's name over an extended period of time, i.e., 10 years, which your child can then use when he/she gets older.</p><p>&nbsp;</p><p>Are you interested in learning more about cumulative investment certificates? Check out&nbsp;What Is A Cumulative Investment Certificate?</p><p>&nbsp;</p><p>Compare investment certificates of various Egyptian banks using&nbsp;<a href="https://www.faydety.com/en/save/deposits">Fadety’s Saving Deposit Finder.&nbsp;</a></p><p>&nbsp;</p><h2>5- Apply for A School Loan</h2><p>&nbsp;</p><p>Suppose your child is at an age where they are about to enter school. This inevitably means that school feels, which are known to be quite substantial, are an added expense which you will have to manage. To do so effectively, consider applying for a school loan; this type of personal loan may cover 100% of the school fees, depending on your circumstances.</p><p>&nbsp;</p><p>Apply for a personal loan quickly and easily using&nbsp;<a href="https://www.faydety.com/en/borrow/personal-loan">Faydety’s Personal Loan Finder.</a></p>

Bringing a newborn home is a joyous stressful, and life-changing event. Your biggest priority is that baby and meeting his/her needs in every way and 

This is for you if you're waiting for a new baby

What WThe theThe The Time Value of Money (TVM) Explained

Why do we use the expression “money used to be blessed (have more value)”?

Present value of money (PV)

The future value of the money (FV)

The equation

Present Value (PV) of the money

Final equation:

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