Generation Zers (Those born in the late 90s or the early 2000s) don’t take old money management principles and other life lessons seriously. Instead, they flaunt iPhones and other costly mobile phones, keep binging OTT shows all day, etc. No matter how much these will harm them going forward, they do whatever they feel like. Contrary to many millennials and generations before who still implement life lessons and lead a successful life. These lessons may sound simple yet have a broad scope. Even you can implement them masterfully to ace life challenges. Let’s check how.
Here are Those Life Lessons
Life lessons promoting good habits and abandoning the bad ones lay the roadmap for a successful life. We all may have heard the following, but there’s always a need to remind ourselves.
Wake Up Early
Many of our ancestors may have bored us with this famous line saying – Early to bed and early to rise makes a man healthy, wealthy and wise. But that’s relevant! Following the same ensures you get adequate sleep, important for maintaining good health, which would further translate into a sharp brain. Yesteryear’s parents were heard saying, Subah Subah ki Padhaai Yaad Rehti Hain, which means it is easy to grasp studies in the early morning. You could become rich too by waking up early to investments. A nice and early start will allow you to invest more over time, helping you achieve all your financial goals.
Trust the Most Trusted
You may come across many friends with different attitudes, likings and dislikings. It may seem all are with you at all times. But a very few stand by you in crunch times. Those are your “Friends for All Seasons”. Similarly, mutual funds that have time and again stood tall against market challenges are the ones to trust for wealth creation. And not the ones who may have shone lately but overall stayed dismal. A mutual fund is a pool of money from different investors for one common purpose. That can be capital growth, stability of income, or a combination of both.
When The Going Gets Tough, The Tough Gets Going
Life’s script keeps changing with the change in times; good times see you happy and smiling, bad times create concerns and chaos for you to deal with. Those who stay firm in bad times win the life war with flying colours. Likewise, investments, too, can go off colour based on market dynamics.
For instance, when COVID hit India first in March 2020, stock markets were crashing, investment portfolios were all in red, and there was panic and fear all over. But soon, the market recouped all its losses and made rapid strides forward. For instance, Sensex grew from around 25,000 in March 2020 to 60,000 in September 2021. According to Money Control, a leading financial journal, investors got richer by 65 Lakh crore within eight months. Surely, they must have been patient to have got rewarded in THIS fashion.
And when you invest through mutual fund SIPs, the market fluctuations can be a blessing in disguise for you! During market downturns, you can buy quality stocks at a much lower price. Once the market goes up, you could make serious gains with these stocks. Companies offering such stocks, usually, have robust financials and hence recover sharply from market jitters.
All That Glitters is not GOLD
Things get sold in no time when packaged and positioned well. Marketers work day and night towards the same. But as customers, shall we not go beyond? Why get blown away by the aggressive product promotion? Why not an introspection on whether that will actually help you? For example, why would you require a credit card with awesome travel offers when you hardly freak out? See your needs and then decide.
Every Penny Counts
The money saved during good times helps us prevail through the bad times. So, keep saving 10-15% of your earnings every month without fail. But don’t shy away from breaking this rule either by saving more if you can. Adequate savings require budgeting your expenses masterfully, and something that is doable. Often our credit card purchases remain too impulsive. We can thus be responsible while shopping with credit cards and create space for more savings. Impulsive shopping only creates possibilities of massive interest charges of 30-40% per annum. Yes, if you don’t pay your credit card bills fully on time, such charges will only add to your financial strain. See whether the purchase does any value addition or not.