Government strives to determine value for foreign aid.

Making sure our financial decisions result in the best value is a part of everyday life.

08:38 28 July 2013

The Commons International Development Committee has requested improved investigation into the types of foreign aid that are supplied to other countries. The department feels that it is in everyone’s best interest to make sure that the value for the aid being given is the best option available.

 

We automatically do the same thing within our own personal finances; trying to determine which decision creates the best return for the investment. The same principle is true for businesses. It’s logical to request such comparisons for government spending as well. Here are a few situations that require us to determine the value of an investment for a financial decision:

 

• Education—choosing a specific career field is one of the most important decisions that we make in our lives. It has the power to propel us to a brighter financial future, or doom us to a more mediocre one. We may often consider the investment versus the average potential for income to make our decision. What we might not consider is whether or not it is something we enjoy. It’s easy to forget that those who love what they do are happier, and very successful, even if the traditional average income is low. 

 

• Housing—when shopping for a home, you don’t always have exactly what you want or need. Finding a good financial value for your investment might be more complicated if you need to build an addition, fix a roof, or put a large sum of money into the improvement of a property. The main task at that point is to determine if it is better to purchase the existing home, keep looking, or build a new one. 

 

• Selecting a vehicle—for many people choosing a vehicle requires an assessment that goes beyond the mere initial purchase price. The reputation of the brand, safety ratings, and potential mileage capabilities all factor into determining true financial value.