Dreams into GOALS

• BUY A SWEET HOME for 1 crore

• CREATE A RETIREMENT CORPUS for 5 crore
• THEME WEDDING FOR Ur DAUGHTER IN PARIS
• TAKE A SABBATICAL FOR 2 YEARS
• REDUCE YOUR CREDIT CARD DEBTS by 3 Lakhs
• BUY A DIAMOND NECKLACE to wife for 10 Lakhs
• GIFT A STOCK PORTFOLIO to ur Son for 25 Lakhs
• BUY A FARMHOUSE/HOLIDAY HOME for 50 Lakhs
 SMART GOALS
• GO ON A WORLD TOUR WITH UR FAMILY
• BUY A TESLA/ELECTRIC CAR for 35 Lakhs
• ATTEND A FASHION SHOW@NEWYORK,MILAN
• BUY 1000 SHARES OF TCS & L&T
• DO A CERTIFICATION COURSE IN HARVARD/IIM/IIT
• BUY/GIFT A Royal Enfield BIKE
• ROADTRIP TO LEH & LADAKH in Harley Davidson
 Clarity about Life
• Do you have clearly written financial goals with goal
year and goal amount?

• I have complete clarity about all my goals (Type A)

• I have few financial goals clearly drawn out, but
need to work on other goals.

• I only have vague dates and figures in my mind (B)

• I have no Idea what you are talking about. (Type C)
 Prejudice: Say Yes or No
– All people in finance background save enough money for
the future, because they understand complex financial
modelling.
– All women save every month as saving habit is
incorporated by birth to women.
– Wealthy parents teach personal finance to their kids and
rich kids do a very nice job of managing money well.
– Doctors are the busiest people and every doctor cannot
spend enough time to manage their own money.
– Fixed deposit is the best investment for anyone as
traditionally every father in the family has invested in it.
– Buying a House is the only best investment for the future.
– All Haryanvy People are loud talkers & rude in nature.
– All Poor people don’t have a growth mindset, they live
with a limited mindset.
– All South Indians are hard working and very honest.
– Rich people have choices for every action and all rich
people exercise it.
– Sudden loss of job will happen to people working only in
Private Sector, as all government job people enjoy job
security.
– As an startup, you need a big marketing and advertising
budget to compete with the Fortune 500 companies.
– Jews are the most intelligent people & peace loving in
the world.
– A startup company must have an office complex and
people must have face to face conversation for a startup
company to interact and grow.
– All the Punjabi’s are hard working in field & never resort
to begging for their livelihood.
– All marwadi people are business and money minded and
no one works for government serving people.
– There are no homeless people in the state of California,
as California houses Silicon Valley which has thousands
of startup companies.
– All Arab people are rich & stupid, and they don’t use
their brains.
– Rothchild’s Family controls all the wealth of the world
secretly.
– A CEO & the Board of directors of the company
contributes nearly 80% of the bottom-line as CEO only
takes strategic decisions.
– All bottom of the pyramid employees of the company
rarely work & engage in non productive works such as
gossiping, back biting etc.
– A team of members is required to complete complex
tasks like liasoning with Government for
environmental clearance for projects.
– To start investing, one needs to be rich and you will be
rich only when you turn 40, as people say “Life starts
at 40”
– All men are tech savvy as more men work in Software
Company as they share a deep interest for technology.
 Financial Mistakes
• 1. ) Buying Liabilities – Car, diamond Jewellery
• 2.) Buying immovable asset such as 3 Nos of Flats
• 3.) Average Bank balance – cash lying in 5 saving acc
• 4.) Only Source of income – your Job.
• 5.) Not building passive income sources
• 6.) Maintain Status Quo – Lifestyle creep
• 7.) Grand Wedding/Bday Celebrations – YOLO
 Financial Mistakes
• 9.) Not keeping track of Pennies
• 10.) Not Optimising Taxes – Saving = investing
• 11.) Not having Written Financial Goals
• 12.) Shiny Object Syndrome
• 13.) Life Expectancy above 80 years
• 14.) Small Recurring expenses - Close
• 15.) Not checking credit card statements
• 16.) Equating insurance with investments
 Financial Mistakes
• 18.) Risk averse – Stopping MF, SIPs etc
• 19.) Mediocrity – Not taking Risk
• 20.) Not saving up for downpayment of house
 • SOMEDAY
• Someday I am going to sit with my Financial advisor
and sort out my finances,
• Someday I will go for financial planning,
• Someday I will do something with the idle cash that
I have in my savings account,
• Someday I will alter my investment style,
• Someday I will buy a term plan,
• Someday I will increase my investments,
• Someday I am going to buy my own house,
• Someday I am going to complete all my pending
actions.
• Someday I will read all the nice articles that are
starred in my inbox,
• Someday I am going to read entire article archive
on personal finance,
• And Someday I am going to organize my finances?

• I re-collect a line from a famous movie Day and

Knight “Someday. That’s a dangerous word.
• It’s really just a code for “NEVER”.
• Investment (or) Contribution stage

• Earnings (or) Growth (or) Accumulation stage

• Withdrawal (or) Redemption (or) Maturity stage

• And in each stage the investments/earnings can

either be Taxed (T) or Exempted (E) from the taxes.
So, we can have 6 possible combinations of Es & Ts
for three different stages as below;
• EEE : Exempt –> Exempt –> Exempt (meaning
you can avail tax deductions at the time of
investment, the income earned on this
investment is tax exempted & even the
maturity amount is tax-free)
• EET : Exempt –> Exempt –> Tax
• ETE : Exempt –> Tax -> Exempt
• TEE : Tax –> Exempt – > Exempt
• TET : Tax –> Exempt -> Tax
• TTE : Tax –> Tax -> Exempt
• “Water you need, alcohol you want.
• Fruits you need, candy you want.
• Food you need, delicacies you want.
• Medicine you need, drugs you want.

• Health you need, wealth you want.

• Rest you need, entertainment you want.
• Peace you need, pleasure you want.
• Fulfillment you need, excitement you want.
• Satisfaction you need, feast you want.
• Contentment you need, riches you want.
• Necessities you need, possessions you want.
• Love you need, sex you want.

• Respect you need, attention you want.

• Acknowledgement you need, fame you want.
• Discipline you need, positions you want.
• Character you need, titles you want.
• Truth you need, flattery you want.
• Facts you need, opinions you want.
• Confidence you need, ego you want.
• Self-worth you need, arrogance you want.

• Family you need, acquaintances you want.

• Companions you need, servants you want.
• Friends you need, lackeys you want.
• Spirituality you need, religion you want.
• Charity you need, tradition you want.
• Nature you need, technology you want.
• Creation you need, science you want.
• God you need, the world you want.”

As quoted by Mahatma Gandhi , “The world has

enough for everyone's need, but not enough for
everyone's greed.”

If you buy things you do not need, soon you will

have to sell things you need.” – Warren Buffett..