Seesaw of being dependent and becoming independent financially



PS: picture taken from google 


We live in a world filled with hustle and bustle. We want best the best of the best. And just like that Our dreams turn into desires and our desires into goals. But we fail to balance it. We often find it difficult to balance ourselves. 

We don’t know the route. We give up due to family pressure. We get so indulged in emotions that we often forget about the financial part. This may come a bit harsh but here it is no one is bothered, no one cares, everyone wants to become first, and everyone wants to get rich. 

For us to have that financial independence we must first be free from dependence. And being dependent is not good most of the time. Simply put, it means relying on someone for necessities. Being dependent on others limits our ability to think and strategise, loss of self-esteem and generates a loss of identity. 

We have all longed for a life filled with comfort and luxury at some point, but we often achieve that by being dependent on our family or significant other. We get so delved into it that we often forget our roots, leading to failure in planning to achieve our goals.

Financial independence is to control the money. The money you have today might be gone tomorrow. That’s why it’s important to be financially free, especially if you’re starting your investment journey at a young age. If you are in your 20s, or even in your 30s, on your first, second or even third job, and are just embarking on your financial journey, here are some tips to make sure you become financially independent.


PS: so grab a cup of tea and let’s get started :)


1) Educate

First thing is to educate yourself. Knowledge is never wasted. Know matter how much knowledge you have regarding investment you’ll always feel like a fresher when investing. So constantly educate yourself and this can be done through 

  • read newspapers
  • Learn about the market through networking
  • Listen to podcasts
  • Read Books on investing and financing
  • Check out some courses
  • Watch YouTube videos


2) Invest-

Invest, invest and invest consider factors like your age, and risk potential and amplify accordingly.
  • Mutual funds: Mutual funds are a good investment for investors looking to diversify their portfolios. Instead of going all-in on one company or industry, a mutual fund invests in different securities to try and minimise your portfolio's risk.
  • Equity: set aside a small sum of money every month for investing in equities when you get your salary. Ideally, one should invest only that much money in equity which is not needed for at least say 3-5 years. Further, equity allocation largely depends on your risk appetite and age.
These 2 mantras that I’ve mentioned above are your literal pillars for stability.


3) Spend -

Spend on necessities. Spending on luxury once in a while is fine but do not overspend. Since you are new to this contain your excitement. Keep a track of your expenditure. Overspending can become contagious.


4) Emergency Funds- 

One way to be financially free is to let your investments grow and not keep touching them regularly. One of the surest ways to let your investments grow is to have an emergency corpus. This is a small pot of money that you keep aside for emergencies or contingencies.

An emergency or contingency corpus helps if you, say, lose a job or even when you’re on paid leave. That’s when your monthly salary stops but your expenses continue. Rentals, EMIs, insurance premiums, children’s school fees, and grocery and utility bills must be paid. Your contingency fund should be big enough to meet such non-negotiable expenses when your salary stops.


5) Insurance -

Health insurance is just as important. This insurance pays your bills in case of sickness and hospital admission. You could meet your hospitalisation expenses with your savings. But once you dip into your savings, the amount goes down by that extent and it can take years to replenish it. On the other hand, if your health insurance foots the bill, it gets replenished immediately, ready to take on your hospital bills in the next year itself, if the need arises. That is why you need health insurance.



An effective financial plan will keep you secured. For one to have an effective plan they must have the tips that I have mentioned above.

I hope these tips help you in your journey to becoming financially independent. And break the stigma of being financially dependent. 


Quote of the day:

“A big part of financial freedom is having your heart and mind free from worry about the what-ifs of life.”

— Suze Orman


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