Photo by Andrea Piacquadio

Recently, while attending an online financial coaches community meet, I came across this idea or concept around managing money and loved it. Many of us who are planners, take the planning to an extreme and stop enjoying the fruits of planning.

Meticulous planning of finances is beneficial no matter when you start. The earlier you start the greater the benefits. Financial planning is all about living an affordable lifestyle, within your means, saving, investing and earning in a way that you look out for your future financial goals and financial security.

But sometimes we get so involved with budgeting and saving, that even when we reach our goals when we are living out the life we are planning for, we continue to live on a budget.

Let go a little

Let’s say you are saving and investing so that you can enjoy annual vacations with your family. But while on vacation, instead of enjoying you are constantly focused on the budget, still in planning mode. Why not let go a little and spend so that you can enjoy the vacation you desire? This does not mean buying all the affordable holiday gifts or going to only the premiumThis is the amount you pay for keeping an insurance policy active. Usually paid in a lump sum at the start of the policy term or annually through the term, it includes all the charges and levies by the insurance... restaurants. Rather, it’s about being conscious of what you can afford, but within that, not counting the pennies. Enjoy the vacation and don’t try to cut corners just to save a few rupees here and there. After all, if you cannot be spontaneous while on a vacation, what’s the use of planning so much in your daily financial life?

It works the same way with bigger goals like buying your home. Unless you plan and save, you’ll end up taking a loan and then cutting corners to afford everything within the budget of your loan. When you plan and save for buying a home with maximum equity and minimum loan, you give yourself the room to be spontaneous when it comes to spending on setting up the interiors of your home. This is important. It’s the home you will live in for many years, then why focus on spending within a tight budget to do it up? You need to be spontaneous and spend on what your heart desires when setting up your home so that you feel satisfied every morning when you wake up and look around. Cutting corners here means every day, the want for more will be staring at you first thing in the morning.

That’s why you must plan your finances in a way that you can be spontaneous with your spending when you reach your goals. Make sure your daily life is filled with everything that is just enough, so your life goals can be filled with all you desire. Spend where it matters most, rather than overspending on trivial expenses which really won’t make a difference in your life and with what truly matters to you.

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