Skip to main content

How to become Wealthy

Don't we all aspire to work until we reach a point when we have enough money saved that we can live off our investment returns and monthly pension instalments? Better still, build a corpus large enough to sustain our retirement dreams without compromising on a decent living, children education, life insurance and yearly gratification goals.

Unlike the existing money masters of the world, all of us may not have been gifted with the wisdom to make money and multiply it beating inflation and expenses. However, if we try to learn and absorb the pattern of the mavericks that have attained financial independence we can also convert a few snowflakes into a snowball of money.

Here are some of the time-tested money-making attributes towards a road of financial independence through wealth creation:-

1) Learning the power of compounding

The riches from the very start have known the immense power of compounding. Billionaire Warren Buffett's wisdom in his biography by Alice Schroeder reveals that he was captivated with "the way the numbers (invested amount) exploded as they grew at a constant rate over time was how a small sum could turn into a fortune". Compound interest is an interest calculated on the initial principal amount as well as the accumulated interest of the previous period. It is basically an "interest on interest". Moreover, the more the frequency of compounding, the greater will be the compound interest. An amount of Rs 1000 compounded 10% annually will be lower than the amount on Rs 1000 compounded 5% semi-annually over the same period of time. Sounds magical, right?


2) Living a minimal life

The money-masters know that there is no virtue in cluttering. If our life cycle is indicative of work-paycheck-purchase-consume-work, then it needs a serious cosmetic surgery. A research reveals that we only use 40% of the clothes in our wardrobes; we spend most of our disposable income in buying assets with no intrinsic value and later on regret our poverty. The conscious decision of living a minimal life involves purchasing things of indispensable needs and resisting the temptation of upgrading smartphones, laptops and our wardrobes.


3) Frugality is a new virtue

According to a report by consulting firm Deloitte, millennials don't save money. Mostly those who come to metro cities with big dreams and extra small budgets owing to young careers, spend 35% of the money left after paying rent and food for eating out and relaxation. 60% is spent on purchasing new items every month. It is imperative to advise people struggling to strike a balance between saving and spending by adopting a frugal lifestyle.


4) Power of delayed gratification

Our forefathers and two generation before our generation were much happier. The very reason for their happiness lies in practising a superpower named as "patience". They knew that there is no shortcut in life. Also, seeing the economic and political instability pre-liberal era of Indian economy and the great depression of 1929, they knew how important it was to suppress instant desires for a better gratification in future. We can also learn to adopt this financial strategy by simply letting go of 100, Rs. 200 coffee at Starbucks in order to buy a high-quality Rs 20,000 coffee-machine.




SIPs are Best Investments as Stock Market s are move up and down. Volatile is your best friend in making Money and creating enormous Wealth, If you have patience and long term Investing orientation. Invest in Best SIP Mutual Funds and get good returns over a period of time. Know which are the Top SIP Funds to Invest Save Tax Get Rich - Best ELSS Funds

For more information on Top SIP Mutual Funds contact Save Tax Get Rich on 94 8300 8300

OR

You can write to us at

Invest [at] SaveTaxGetRich [dot] Com

Popular posts from this blog

What is Electronic Clearing Service (ECS)?

  As the name suggests, it's an electronic process through which money can be transferred from one bank account to another. According to RBI, this mode is usually used for regular payments and receipts, like distribution of dividend, interest, salary, pension etc. This mode is also used for collection of bills for telephone, electricity, water, various types of taxes, payment of EMIs , investments in mutual funds , payment of insurance premium etc. There are two types of ECS , like most other banking transactions, ECS credit and ECS debit. An ECS credit is used by a bank account holder , usually a large company or an institution for services like payment of dividend, in terest, salary, pension etc. If your mutual fund pays you dividend to your bank account, of all probability it is being paid through ECS credit.ECS debit, on the other hand, is used when a company or an institution is getting money from a large number of people. For example if you are investing in a mutual fund sc...

WEALTH TAX

Download Tax Saving Mutual Fund Application Forms Invest In Tax Saving Mutual Funds Online Buy Gold Mutual Funds Leave a missed Call on 94 8300 8300 WEALTH TAX   WHAT CONSTITUTES WEALTH? For wealth tax purposes, "wealth" means property , urban land, car, jewellery , yacht, boat, aircraft and cash in hand in excess of Rs 50,000. CAUTION POINT | Do not think you will have an easy escape from wealth tax by transferring your `wealth' without consideration to your spouse or minor child. Such assets will also be considered as your wealth. HOW TO DETERMINE YOUR TAXABLE WEALTH Add the taxable value of the above assets (computed as per the detailed rules for valuation) owned by you as on March 31 (for FY 2014-15, it will be March 31, 2015). In case you sold your car during the year, it will not be taxable wealth. Deduct loans if any obtained by you to acquire any of the taxable assets from the value of gross tax out for at least 300 days in a...

Equity Savings Fund

Invest Equity Savings Fund Online   The best part about these funds is that they are subject to equity fund taxation and at the same time are structured like MIP like funds . This new category, equity savings funds , offer a little of everything. They allocate money to equities & equity related instruments, and fixed income. They aim to generate returns by diversification. Such funds invest in fixed income and arbitrage to protect the investors from short term volatility and equity for capital gains. The best part of these funds is that they are subject to equity fund taxation and at the same time are structured like MIP funds.   MIP funds however are subject to debt fund taxation. Investors Equity savings funds are suitable for the following: First time investors who seek partial exposure to equity with less volatility and greater stability Investors seeking moderate capital appreciation with relatively lower risk Those wh...

How to Pick Top Performing Mutual Fund Schemes

Download Tax Saving Mutual Fund Application Forms Invest In Tax Saving Mutual Funds Online Buy Gold Mutual Funds Leave a missed Call on 94 8300 8300   How to Pick Performing Schemes  Funds that continue to stay in the top grade of performance over longer periods are the ones to bet on, advise investment experts   The mutual fund performance charts of the past few months make for an impressive reading. Funds across all categories boast of stellar returns. Sample this: The mid and small cap category has averaged 77 percent return over the past 12 months, with the best fund delivering a staggering 120 percent. The tax-saving funds also average an impressive 51 percent, including a fund which has soared 92 percent. Many of the table-toppers are funds of proven quality and track record. However, there are also schemes that are not that well-known. Some of these have rarely made it to the performance charts in the past, yet, of late, they bo...

8% Government of India Bonds quick guide

For those seeking comfort in safety of returns, the Government of India issued 8% savings bond once again comes to the fore. First launched in 2003, these bonds are issued by the government with a maturity of 6 years. The bonds are available at all times with specified distributors through whom you can apply to invest in them. Here is a quick guide to what the bond offers and its features to ascertain to check for suitability. What are Government of India bonds Government of India bonds are like any other government bonds with specified rate of interest. The rate is fixed at 8% per annum paid half yearly, or you can opt for cumulative payment of interest at the end of the tenure. You can buy these bonds from State Bank of India and its associates, other nationalized banks and some private sector banks such as HDFC Bank Ltd and ICICI Bank Ltd, among others. The bonds can be bought from the offices of Stock Holding Corporation of India as well. They are available in physical form onl...
Related Posts Plugin for WordPress, Blogger...
Invest in Tax Saving Mutual Funds Download Any Applications
Transact Mutual Funds Online Invest Online
Buy Gold Mutual Funds Invest Now