Learning Finances the HARD way!

Hi,

You all must have seen my posts on Technology, Industries, promoting my company, sometimes spiritual. In a nutshell, on a diverse range of topics I truly believed in. Today, I write on something which is extremely important, maybe not directly for my readers here, but for them to know the importance of it for their respective kids who are to grow and make something out of themselves.

In our schools, during our elementary education we are taught about a lot of irrelevant (based on my current and Life experience) things like Laplace theorems, Fourier transformations in Mathematics, How to figure parallax errors in Physics, various classifications of Chemistry (in ICSE, We had three separate books), Shakespearean stories and what not. I can continue till I finish the syllabus. Similar approach in our graduation, talking about all sorts of things, honestly I don’t even remember.

My point here is not to devalue the importance of these subjects or to question the Education System (Maybe a little) but to ask a more specific cardinal question to all the parents who believe that what’s taught in school is enough for their kids. Is this the Real knowledge? Or just feeding about the facts which are already incorporated in some books, reciting the same and quarterly testing the students of their remembering capabilities.

I was always a bright student. No, not the one who came first in all grades, the one who understood the idea and the concept without having to mug up anything. But when I came out of college, started working, I got lost.

Now here, I want your attention. Though being a bright student I got lost, in my expenses. Nobody teaches you financial management, in school or in college, missing out THE most important lesson. How to manage the expenses? How to ensure savings? How to differentiate between leisure and necessity and identify when something is an investment. How to manage (save) taxes. Above all, when to STOP. I didn’t know so I couldn’t.

I started with Cognizant with a basic CTC offered to all campus recruits. Having a certain lifestyle that I adhered to, Thanks to my parents, Once I moved out, earned by myself, without realizing much, my expenses blew out of proportion. One thing led to the other and by the end of the year I found myself strangling amidst 2 credit cards and mental stress to cover it all. One of the nightmare moments of my life.

The reason I write this, is, after 4 years into working and 3 job changes, I stand in a position now where I can manage my expense, but that’s because the inflow increased. Had I known how to manage it with what I got, my standing would be different today. And believe me I regret it.

If you want to teach your kids anything, teach them THAT. Teach your kids how to most efficiently manage their expenses irrespective of how affluent their background is. Teach them how to manage their taxes once they have reached the certain point and that should not be procrastinated till the D DAY when it’s actually imperative for them to do that but gradually AND if things do go out of hands, assure them that you will be there to help them if they need you and that free flow conversation is there, always.

I say this with my experience which I do not wish for kids to go when they finally become financially independent. Some learnings are taken the hard way but if YOU are there to talk and support them and teach them, they’ll do much better in life.

Kids afterall are an unmoulded piece of clay. You define how they turn out to be. You are the potter, there to mould the clay until it forms the desired shape. You leave it and it will deform.

I hope this made sense to all the readers who are also a parent to a growing kid. I hope you are able to help them when they need it the most.

Will come up with something I believe in, next time you see an article on my profile.

Till then, Take care!

Sincerely,

A Financially Independent Girl