Wednesday, May 28, 2014


Above seems to be a pretty silly question at its first go, but let me tell you has a deeper answer to it and its answer if really thought upon takes one, fathoms deep inside, within……I may sound a bit spiritual but that’s the reason why ‘Finance’ is termed as ‘ ARTH ‘ in hindi.
Have you thought upon now? Why do we Earn or Want Money?

Initially you must have got answers like
=To Make more money
=To Invest
=To Spend
=To Enjoy
=To Fulfill desires
=To be Secure
Etc etc……
But now swirl deeper inside and can you get one line answer?
OK, if you have got it excellent, if not a clue, go to above list and find one word for all of the above.
OK, if got it nice or the answer is
Does the above justify or answer my Topic question? “Why do we Earn or Want Money?”
Let’s consider this with few examples-
1.Mr.A and his family requires daily Rs.750 to fulfill their Basic Family Necessity
2.Mrs.S is single and paying yearly Insurance premium of Rs.17678 for S.A. 1.6 cr. To cover her children’s education, marriage and daily exp. needs, in case something happens to her life
3.Mr.V is accumulating Rs.5500 p.m. in SIP of Equity Mutual Fund to fund his U.S.A. Trip 5 yrs.hence
4.Dr.D is paying an EMI of Rs.37472 p.m. for his newly bought clinic
5.Mr.and Mrs. Sindhia are equally contributing Rs.6000 p.m. for their child higher education
6.Mrs. Mili is saving Rs.10000 p.m. for Down payment corpus built-up for her new house buying goal in Surat
7.Mrs. Kavita is buying 5 gms. Of gold in physical form every year for her daughters marriage goal
Etc etc…..
In all of the 7 examples, each one is paying or planning to pay something in future and that is why he/she is earning or wanting Money and not to have safest or highest returns? Am I right?( Please place your comments)
Analyze all the above and now relate it to my one line statement/answer of  WHY WE EARN or NEED MONEY with TO SATISFY RECENT OR FUTURE MOMENT/s NEED/s.
And now one can blame self , why am I thinking so much on return’s , safety etc.?, why am I thinking of Highest returns on whatever one invests rather than, first thinking of whether this investment will help me satisfy my goals with these kind of returns?
The later part should drive any investment decession and not only the earlier…..
Now don't one have to blame self to run after money not knowing what for? Easy, know now, define those recent and future moment/s need/s in Financial Terms in consultation with your financial planner ( its pretty easy as in a sample way described above ) and one can know how much and for how many years one need to earn money ......

Consider the following-
A. If a person tells you I offer you highest returns for next 3 years
B. If a person says “ I can give such reasonable return, which will help you achieve your need/s or Financial Goal/s"

Which would you prefer, leave your comments…..

Now, must have got the ‘ARTH’


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