HOW TO SAVE FIRST 10 LAKHS IN FINANCIAL MANAGEMENT
When it comes to financial management, the hardest part is in investing the first 10 lakhs. You can consider savings and investment in the same arm. This means a complete portfolio achieving 10 lakhs of deposit from your end.
As a beginner, it will be tough and the struggles which you will face are detailed in our previous topic, how to convince your partner towards financial management.
This article will be on a positive and encouraging note to make you save your first 10 lakhs.
WHY YOU NEED FIRST 10 LAHKS IN INVESTMESTMENT?
10 lakhs as a number will be a huge figure. Initially set your target of achieving it. Because there is a long way to go.
Just have in mind the real needs in the next 15-20 years which require a huge corpus.
· Children’s Education.
· Children’s Marriage.
· Dream Home.
· Retirement planning.
These NEEDS require a minimum of 10 Lakhs to a maximum of 10 Crores individually.
On seeing these figures, you get panic. But, practically it is possible to achieve all your goal when you have proper financial management.
Every goal has a variable duration and a corpus. In which, retirement planning has a maximum share.
If you get panic on seeing these figures, how will you achieve the big goals?
STRATEGIES TO ACHIEVE FIRST 10 LAKHS:
· The foremost is looking at the 10 lakh figure a small one and achievable one.
· There are many jobs which pay their employee more than 10 lakhs per month.
· Have a visionary dream that you could earn 10 lakhs at investments.
· Even if you get only Rs. 15000 per month, it is easy for you to accumulate the amount.
· You have to be more patient in accumulating with caution. Once it is achieved, you will get the hope of achieving all the better heights
· Personal finance ethics is more important than being a spendaholic. If you have planned for a cause, do it with full focus and being minimalist.
· You will be having many dreams at your younger age, postpone them, and as you can achieve at any time of your life. But financial security and stability are more important.
· Avoid overspending, even you can invest 50% of your income to accumulate the initial figures.
· If you both couple work, then try to save one’s income completely.
· Avoid investing in liabilities like
§ Electronic gadgets
§ Unwanted home appliances
· Don’t design your life by looking at your neighbor. If they don’t have a proper investment strategy, they will never come out of the lower middle class
· Avoid EMI, loans, and other debt materials. Don’t buy a home for a loan, take home for rent, and save the remaining amount which you planned for EMI.
· Stick to your goal and avoid the things and habits which are not a priority.
· It is all with your mindset on achieving the 10 lakhs on your financial management journey
· Make sure you focus on your goals and track month on month. This will ultimately boost your appetite for saving more.
· Sit and analyze your monthly budget, track your expenses. Avoid all the expenses you do other than your plans.
· You have more things to achieve in life, so 10 lakhs corpus is just a small thing.
· Once you achieve your 10 lakh milestone all the other goals will become lighter.
Wish you all a great future. Start early, save and invest more to lead a life of financial freedom.