Everyone of us has that cliché dream to work hard till 40, retire early and then revel in the money earned. But most of us find ourselves toiling till the age of 60 with not enough time to do what we were always passionate about. The safest bet to fulfil your passion is by making your passion your profession but that isn’t possible always. So what does one do? One aims for financial success. How does one achieve financial success? Read on to know…
We all need to focus on saving. Here saving does not mean to cut down on important activities. Cut down irrelevant expenses. We should make sure we are getting our talent’s worth income and then start saving it. The simplest way to do this is cost cutting. Cut down your expenses. Spend less and you will save more.
Remember how in our childhood we would be given Rs 5 or 10 every week as pocket money. We would often budget our purchases and the remaining amount was usually spent on the samosa parties with our friends at the end of the term. That’s the earliest lesson on budgeting that we taught ourselves. We are to apply the same in our daily life. Budget your purchases and make sure you set aside a minimum amount every month that will go in your savings.
Invest in the right places – savings plan, pension plan, insurance plan etc. This income though gets deducted now from your salary, but will ultimately contribute to your dreams post retirement. And here a pro tip would be to invest in a money back insurance policy wherein you will get some amount every month post a set number of premiums. This income can be then used as your disposable income.
Systematize your earnings and expenditures. Keep a record of your taxes and returns. This way you get to analyse your deductions and make a claim on your deductions as well. Also, systematizing your financial data saves you your efforts and time spent in shuffling through the heaps of paper. If systematizing is not your forte, you can seek help of a chartered accountant.
5. Vision board
Success is first visualized and then you set your mind to achieving it. Make a vision board. Vision board is technically goal setting. You can set monthly or yearly goals but make sure you are obsessed with achieving it.
6. Stop the toxicity
Spending on addictions or in places where you will get no returns, that’s not how you succeed. Be calculative always. Stop toxicity. By this, I also mean, stop negative thoughts about easy money. Easy money comes easy but goes out the hard way. And you want your money to stay with you and grow for you.
8. Credits and loans
When you seek a loan make sure you pay the instalments on time. Same goes for your credit card bills. The more they pile up, the more money you will have to empty from your pocket.
9. Seek advice
Always seek an expert opinion. Make a financial calendar; seek a sane financial advice from a Chartered accountant to make sure you are on the right track.
Heed these tips and see yourself succeed financially.
For more information on how to plan your financial year ping [email protected]