Celebrate (F)independence Day on August 15th

Aug 15, 2013 / Harshavardhan Bhusari | 80 Downloaded |  5973 Viewed | | | 3.0 |  10 votes | Rate this Article
Financial Planning article in Advisorkhoj - 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 15th 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.

  •  Earn-Plan-Spend. Do not Earn-Spend-Plan.
  • Adhere to all your bill payment deadlines. Build your Financial character.
  • Early start pays a lot when it comes to investing. However, it’s better late than never.
  • Draw up a goal based Financial Plan on paper, put realistic figures against it and stick to it.
  • If you cannot make the Plan yourself, seek help of a professional who is independent and unbiased.
  • Take decisions regarding money matters. Do not procrastinate.
  • Take loan within limits. Pay off early if you have surplus.
  • Pay your Credit card dues diligently.
  • Inflation is a menace bigger than you can visualize, do not ignore, fight it.
  • Do some Tax Planning to take advantage of provisions made by law.
  • Look at Gold as an investment asset class.
  • Do not be shy of admitting mistakes with your money matters. Learn from it.
  • Rebalancing of your investment portfolio is a sensible way to stay on track.
  • Be financially savvy.
  • Decide whether you are a speculator or investor.
  • Know you Risk appetite and take/retain risk accordingly.
  • Do not have emotional attachment with you investments.
  • Take control of the behavioral aspect of investing.
  • Timing the market is a futile exercise.
  • Plan for your Retirement, NOW!!!
  • Only Life Insurance you require is Term Life Insurance and that too if you have dependents.
  • Analyze and get rid of traditional and junk insurance plans.
  • Do not neglect having your own Health insurance policy although covered by employer.
  • There is no alternative to Personal Accident and Disability Insurance.
  • Consider Critical Illness insurance as well in case of family history of ailments.
  • Read the fine print of any financial document and understand before you sign.
  • Do not pay cash to your advisor/agent.
  • Avoid dealing with multiple banks and multiple agents.
  • Develop multiple sources of income, if possible.
  • Allocate few hours in a quarter to look after your Personal Finance.



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