Personal Finance Tips For 2024: Experts Guide For Your Financial Checklist

Every person has to manage their own finances sensibly since managing your money is about more than simply keeping track of it. Here are the professional opinions on how to handle your personal finances as we approach 2024 so that you may become financially independent for the rest of your life, not just for the upcoming years.

Personal Finance Lessons Learned In 2023

Mr. S. Ravi, Promoter & Managing Partner at Ravi Rajan & Co. LLP, reflects on the financial ups and downs in the year 2023 and shares 10 invaluable lessons for a brighter 2024.

1.Budgeting Beyond Basics: It's not just about tracking, it's about understanding your finances. Use this knowledge to optimize spending, cut unnecessary costs, and boost savings with purpose.

2. Emergency Fund Lifeline: Life's ups and downs don't respect calendars. Build a 3-6 month buffer to weather unexpected financial storms without derailing your goals.

3. Debt Domination: Prioritize tackling high-interest debt like credit cards. Strategically eliminate these liabilities and strengthen your financial stability.

4.Investing Seeds for Growth: Start small, but start now. Initiate consistent investments, even with modest amounts, and leverage the power of compound interest to watch your wealth grow over time.

5.FOMO vs. Focus: Recognize social media's curated reality and stick to your self-analyzed financial plan. Avoid the comparison trap and stay focused on your personalized journey.

6.Invest in Yourself: Upskilling through education or exploring new income streams strengthens your earning potential and financial know-how. It's an investment that pays long-term dividends.

7.Automate to Achieve: Set up automatic savings and investment channels to build financial discipline effortlessly. Let technology work for you.

8.Joy on a Budget: Explore cost-effective recreational activities like park visits, game nights, or potlucks to find happiness without hurting your wallet.

9.Home-cooked happiness: Opting for home-cooked meals not only saves money but also promotes personal wellness. It's a win-win for your budget and your health.

10.Long-Term Vision, Steady Steps: Don't let distant goals overwhelm you. Focus on consistent, incremental steps towards your financial milestones, like retirement. Each small action accumulates, paving the way for a well-prepared future.

"These lessons are not just for 2024, but for a lifetime of financial well-being. Embrace them, adapt them, and make them your own - let them be your financial compass as you navigate your New Year's journey ahead," added Mr. S. Ravi.

Real Estate Investment Lessons Learned In 2023

Ramashrya Yadav, Founder and CEO, Integrow Asset Management said:

1. Diversification is Key: AIFs, a resilient asset class, taught us to diversify within real estate-embracing commercial, residential, and alternative properties like co-living spaces for a robust and stable portfolio.

2. ⁠Tech Adoption Builds Trust: Early tech adoption, from AI to blockchain, isn't just about innovation; it's a commitment to transparency. Tech advancements build trust and keep us ahead in the game.

3. ⁠Long-Term Vision Prevails: In market fluctuations, maintaining a long-term vision is pivotal. Patience and strategic planning in growth corridors and emerging markets prove crucial, allowing us to weather short-term volatilities and capitalize on long-term value.

Personal Finance Tips For 2024

S. Ravi Promoter and Managing Partner, Ravi Rajan & Co.LLP said, "Every individual must plan their personal finances in a prudent manner. The nature of income and the background of the person has to be considered while they make their investments. The appetite of every individual is different. The age profile of the investor is also equally important. However, there are basic principles of investing which means that a diversified class of assets would enable the investor to manage their personal finances. The class of assets could be movable property, shares, insurance products, Mutual Funds, gold, pensions, paintings, jewellery, etc. Every individual based on their income and their savings must invest in a scientific manner. There are some basic necessities like owning a house, having insurance including health insurance, and having to invest in a pension."

"Different asset classes provide varied rates of return and liquidity. fixed deposits could have good liquidity but have tax deductions. In the case of mutual funds, there could be liquidity but tds. It also depends on the type of investment in various categories of mutual funds. Immovable property investment could be for self-use or for renting it out. The rate of return in the case of rental at this point is not very attractive. investment in immovable property in the long run. Provides good valuation though it is not very liquid" he stated.

"Some of the traditional families believe in investing in gold in a systematic manner as it is a common phenomenon that gold prices increase over a period of time. Investment in stock and shares is a method to get good returns. It is important that penny stocks and liquid stocks should be avoided. Investment made in shares from borrowed funds is not desirable for individual investors. Individuals can also invest in the market through sip so that they beat the unpredictability of the market. In summary, it is important that investors must look at all classes of assets," Mr. S. Ravi further added.

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