Personal finance refers to the management of an individual's financial activities, including budgeting, saving, investing, and planning for future financial goals. It encompasses a wide range of topics, from understanding credit scores to retirement planning, and is essential for achieving financial stability and independence. Effective personal finance strategies can help individuals make informed decisions about their money, allowing them to allocate resources wisely and prepare for unexpected expenses. By setting clear financial goals and tracking spending habits, anyone can improve their financial literacy and work towards a secure financial future.