Outlook English - Print Subscribers Copy Outlook English, 30 July 2018

Powered by Much More than Just an Account of Expenses A home budget can help you save regularly for ample wealth needed for your big dreams Udayan Ray S o, you are one of those who believe in “look before you leap”. You study the pros and cons before spending the smallest amounts of money. But is your money travelling the extra mile? The reason why the question is important is because your money doesn’t only need to meet your present needs such as monthly groceries, utility bills and children’s school fees but also future needs like buying a home and children’s higher 20 OutlOOk 30 July 2018 education. But how does one achieve the balance? You will be surprised how the old fashioned home budget can play a critical role in this regard. Benefits of a home budget The first benefit of a home budget is rather obvious. “A budget helps one to stay disciplined and not overspend. Only when this discipline is established can one go about investing without worries,” says Suresh Sadagopan, Founder, Ladder 7 Financial Advisories and a leading financial planner. When your expenses are under control in your watch, you are able to achieve the balance between meeting today’s needs and enjoying the present and having ample savings or wealth to meet future needs. “Having a home budget and sticking to it, enables the building of a regular savings plan and investment strategy without the fear of being either overinvested or underinvested,“ says Vishal Dhawan, founder and chief financial planner, Plan Ahead Wealth Advisors and a leading financial planner. “Having a home budget also results in controlling discretionary and lifestyle expenses, as a result of which there are more monies available to save,” he adds. Thus, a budget can be a significant tool in helping us fulfil our aspirations. “A budget helps us identify our goals and work towards them by saving money, tracking our progress and thus bridging the gap between our dreams and reality,” says Ravi Menon, CEO, HSBC Asset Management. A

Outlook English - Print Subscribers Copy Outlook English, 30 July 2018 | Page 20