Celebrate (F)independence Day on August 15th

 

On the eve of Independence Day, I wish that people of India also vow for being financially independent. Let’s celebrate 15^th August by not only feeling proud of being a citizen of Independent India but furthermore being a Findependent citizen. A Findependent citizen who is free of financial stress, is focused and in control of Personal Finance. Check if the measures mentioned below help.

v Earn-Plan-Spend. Do not Earn-Spend-Plan.

v Adhere to all your bill payment deadlines. Build your Financial character.

v Early start pays a lot when it comes to investing. However, it’s better late than never.

v Draw up a goal based Financial Plan on paper, put realistic figures against it and stick to it.

v If you cannot make the Plan yourself, seek help of a professional who is independent and unbiased.

v Take decisions regarding money matters. Do not procrastinate.

v Take loan within limits. Pay off early if you have surplus.

v Pay your Credit card dues diligently.

v Inflation is a menace bigger than you can visualize, do not ignore, fight it.

v Do some Tax Planning to take advantage of provisions made by law.

v Look at Gold as an investment asset class.

v Do not be shy of admitting mistakes with your money matters. Learn from it.

v Rebalancing of your investment portfolio is a sensible way to stay on track.

v Be financially savvy.

v Decide whether you are a speculator or investor.

v Know you Risk appetite and take/retain risk accordingly.

v Do not have emotional attachment with you investments.

v Take control of the behavioral aspect of investing.

v Timing the market is a futile exercise.

v Plan for your Retirement, NOW!!!

v Only Life Insurance you require is Term Life Insurance and that too if you have dependents.

v Analyze and get rid of traditional and junk insurance plans.

v Do not neglect having your own Health insurance policy although covered by employer.

v There is no alternative to Personal Accident and Disability Insurance.

v Consider Critical Illness insurance as well in case of family history of ailments.

v Read the fine print of any financial document and understand before you sign.

v Do not pay cash to your advisor/agent.

v Avoid dealing with multiple banks and multiple agents.

v Develop multiple sources of income, if possible.

v Allocate few hours in a quarter to look after your Personal Finance.

 

HAPPY FINDEPENDENCE DAY!!! JAI HIND!!!