why save at all


a balance between securing future and having FUN

After I started blogging about personal finance many people asked me questions like :

why do you write about managing personal finance

why do you think we should start saving early

why do emphasize more on investments.

Why don’t u enjoy life rather than breaking your head on personal finance.

Here is what I feel .

Financial requirements

Expenses : gone are those days when a person with ambassador/chetak,LML VESPA was considered being rich enough,when idli was around 6 rs perplate cold drinks were 5 rs per bottle.The cola market is worth about Rs 10,000crore . may be now its pretty more than that.

People now seek to visit Shopping malls, going  to multiplex cinema halls, have credit cards, branded stuff, fast food, and more of new gadgets.

Kids and their education:

It starts with sending them to best play homes to providing them education in the best college till they finish their education these days are so expensive.

Apart from regular school/college expense children are also interested in many co-curricular activities. And to nurture their talents and enhance their skills many parents wish to provide them best training. And that’s also an add on to the expenses

People tend to take loans in many such situations to ease their burden of growing expenses. And sometimes with high interest rates


People also have their expenses to be considered for their marriage initially and in the future their child’s marriage as well

Gold investments can be helpful. Not  necessarily be invested in physical gold.


Please dream of travelling around the country /world

Asset building

People dream of buying home. Earlier people used to buy houses in their retirement money. Now thought process has change. People buy houses in their early stage of life so that they can use that house for their regular income or for themselves to stay after their retirement


People always dream of having peaceful life of retirement, playing with their grand children , spending time talking about politics and other social issues with other senior citizens and then go for an evening walk.

But ever thought of expenses if there is no regular income unlike pensions. And also at the growing 7% of inflation now . think about the rate of inflation 30 yrs later . it may be 10% or more

What people do:

People take endowment policy for 15-20 yrs in early life. It provides life cover, yes  but what about the rate of interest?? Does it cross 6% per annum? I’m not sure but people who have taken endowment policy can guide me.

I somewhere read this an insurance company is under no obligation to reveal where your money is being invested or what portion of your money is being invested

People neglect equities because of its volatile nature. But it is a good option for long term.

People neglect term insurance cover.

People fail to save/invest/buy basically Pure Term Insurance + PPF+Mutual Funds

What people SHOULD do

Start savings/investmenst early:

Avoid unnecessary expenses

Build contingency fund for a rainy day

Grow assets and make it generate regular income in the future

Get adequately insured

Increase ur financial literacy and change the way your earn, spend, save, invest

People can provide more information to the fact why we should save at all