First-step towards financial independence

by Admin

We’ve just got our first job! This is excellent news for us! Ever since we were in school, it is what we have been working hard for – to get the job that we want, or at least to get any job. So when we get the offer letter for our first job, we are thrilled, to say the least. Within a month into our job, we will get our first paycheck. Our very own money! This is what we all look forward to, the day we can begin to contribute to ourselves, our family, and the community we are a part of.

They say that the money habits that we instill in ourselves at the beginning of our career are what will stay with us in the longer run. Therefore, we have to be careful to form the right ones.

Our first paycheck will no doubt go towards treating ourselves, our family, and our friends. However, from the second one, we have to get more serious about managing our money responsibly.

We should analyze our debts. Do we have any student loans or personal loans (that were taken by our parents for us) that we need to pay off? If we do have them, then we have to set a payment plan for them. The faster you can pay off your loans, the lesser interest you will have to pay, therefore saving you more money in the long run.  We can prepare a payment schedule for our loans and set a time frame for when it needs to be paid off.

We have to create a monthly spending budget for ourselves and do our best not to go over it and spend more than we have planned. This way we can save at least some amount of our earnings every month.

We should aim at creating an emergency fund should we ever need it.

It is important to create a long-term financial goal. For instance, say we should be able to save a substantial amount of money within a certain number of years; or we should be earning a significantly more than what we started off within a fixed number of years.

It is essential to be careful so as to not build any sort of debt. We have to ensure that we only spend what we have and not reach for things or experiences out of our capacity and ability.

From the very beginning, it was would be wisest for us to start planning our retirement. We have to be well prepared for our life beyond sixty. We should be able to support ourselves and not have to depend on other people to look after us when the time comes for us to retire. Retirement is hard enough without having to need the help of someone else.

We are all a part of some community, and as members of a community, it is important for us to give back to our community. We might not have been able to do so for a very long time, but once we get our first job and start earning our own money we will finally be able to do the needful. It does not have to be extravagant or over-the-top. It can be any small way that we can afford to.

From this, we can see that earning our own money comes with many responsibilities. Therefore, we have to be astute and careful while spending our money so that in the long run we can live comfortably!


Take the first step towards financial freedom. Understand your finances better.


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Kshitij ShrivastavaAshwin Recent comment authors
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Planning is the most important part of financial aspect of our life. But most of us fail to plan it at the right time. Planning our finances is something that just doesn’t come naturally.

Kshitij Mohan Shrivastava

Absolutely Ashwin!

Finance has, so far, been largely complex, boring, technical and jargon-filled (aka Scary).

Getting individuals to feel less-repelled and more-comfortable with finances, would really help more people to begin financial planning in some small way.