Thus, as far as public authorities are concerned, except in commercial fields, the spending decisions are motivated by maximum social benefit. The public authority balances its budget during a given period which is generally a year. Estate planning goes beyond the simple distribution of the inheritance. Borrowing is a common element both in private and public fi­nance. Finance is a science of managing money and other assets. These are: Basic Financial Planning – Savings & Loans, Retirement Planning – Retirement/pensions, What is the purpose of Basic Financial Planning? What is the purpose of Essential Assets Planning? The state has an important role in our financial plan. The Scope of Public Finance: The scope of public finance is not just to study the composition of public revenue and public expenditure. Estate planning goes beyond the simple distribution of the inheritance. A private finance initiative is a method of providing funds for major capital investments, where private firms complete and manage public projects. As typical Nigerians, we are not known for been able to draw up a personal financial plan and religiously comply to it, if we have been able to do so, a lot of us would not be under so much pressure to stay above waters during these difficult period in the life of this nation. Basic financial planning is the most elementary part of personal finance. On the other hand public authorities first estimate the various items f expenditure and then device methods of raising the necessary resources. According to this principle, the government should spend its income in such a way that the total welfare of the community should be maximized. Related NEWS Both tries to balance their income and expenditure. Thus the individual cuts his coat according to his cloth, the state first decides the size of the coat and then sets about gathering the necessary cloths. Thus on important points, private and public finance differ from each other. Usually an individual doesn’t like to expose his financial affairs to others. The difference in adjustment of income and expenditure between private business and public authorities arises, because the individual knows the size of his income, while the government does not know it. On the other hand, the motive of profit and surpluses do not influence spending by govern­ment departments. It also provides direct income for many people. Telephone: 0700 PROSHARE (070077674273), Some of our Trademarks are: WebTV, TheAnalyst, Proshare, Personal Finance, The Nigerian Capital Market Reports, Money Africa, The Nigerian Investor, Making Money in the Nigerian Capital Market, Investor Relations Service, Proshare Investment Clubs, DIGITALTV, Islamic Finance, The Market Opening Gong. Tax planning will help you find strategies that will allow you to lower your regular tax payments. State is a permanent institution. In recent years the process of family oriented financial planning has gained importance in many regions of the world as it is contributing to their progress. In this article we will discuss about the similarities and difference between public and private finance. Likewise a rational government seeks to maximize social benefits from public expenditure. The main scope of public finance may be summarised as under: Revenue. In the case of a public authority, it is a matter of fiscal adjustment based on economic circumstances that will decide whether the budget should be balanced, surplus or deficit. Wheeler Meaning of Business Finance includes those business activities that are concerned with the acquisition and conservation of capital funds in … The state will have to keep in mind the fact that society is a perpetual entity and for the welfare of the people, it has to take up numerous welfare activities, the returns of which may be delayed. Finance and govt.finance … This will help people to determine which contingency measures they can assume directly and which ones they should share with an insurance company.In this part of the world, we have found out that a lot of people are not knowledgeable in this aspect and do not see a need for having an insurance plan in place. Public Finance and Private Finance are two branches of finance. Thus the scope of public finance … What is Private Finance? Take Survey Now - Click here The easiest way to define finance is by providing examples of the activities it includes. This discipline covers the fundamental areas related to theeconomic welfare of a person or a family which covers the eight(8) basic needs of man. According to B.O. … Individuals always seek quick returns from his investment. Scope of Public Finance Public finance not only includes the income and expenditure of the government but also the sources of income and the way of expenditure of various government corporations, public companies and quasi government ventures. The objective is to accumulate the necessary capital to obtain a profit that replaces the regular income when the period of active work finishes. Meaning & Scope of Public Finance Meaning of Public Finance The word public refers to general people and the word finance means resources.So public finance means resources of the masses,how they are collected and utilized.Thus, Public Finance … What is Public Finance?