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It is so ironical .... people plan there 20 days vacation 6 months before and ignore / procrastinate planning for a longest vacation of 20 years ... which is called as Old Age Independence (Retirement ).

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Financial Planning is NOT about Saving Money ... but it is about Spending money towards your Financial Goals and Dreams ...... however Saving is needed to be done to Spend it.

Don't SAVE MONEY

Don’t SAVE MONEY !!!!!

Because Savings will never …

-         Ensure our children a Good Education and Bright Future.

-         Give us a Rich , Prosperous and Old Age Independence .

-         Fulfill our Dreams…..Holidays / Buying House / Marriage of Kids.

We should not SAVE  ….

Because  our….

-         Ancestors have left a Legacy / Fortune for us.

-         Existing / Current Savings are Enough for the REST OF OUR LIFE.

-     Our JOB or Businesses are running Smoothly.

-         Spouse can earn in case of Unforeseen Circumstances.

-         Childrens will take CARE of us the way we have taken care of our Parents.

-         Even Friends, Relatives and Community all will come to help us if needed.

We should not SAVE ......

Because we are  ….

-         Fit and YOUNG and never going to grow OLD. 

-         Immortal.

-         Illnesses will never be touching us as we really take care of OUR Health.

-         Capable enough to take care of our selves if Disability Struck.

So finally Stop thinking about SAVINGS ….

Surely above arguments would have convinced you for not SAVING MONEY because "SOMEBODY" ??? *****  will take care of US. 

So it looks like "SAVINGS is Injurious for Wealth".

However ….. If you DISAGREE with any of the above statements and think it otherwise ....  *%*%* !!!!, ........ please do contact Certified Financial Advisor nearest to your location. 

Quote :

"There is Nobody who REGRETS SAVING MONEY ... however many REGRET NOT SAVING ENOUGH "

Happy Investing !!!!!

LIVE Internet Chat Transcripts by myiris.com

Importance of Financial Planning and Record Keeping of your Financial Documents : Date 12.09.2009

Aadil Kadri is a Manager - Advisory, Continental Financial Services. From humble beginnings as an average academic and struggling salesman, this Indian Professional Financial Advisor has clawed his way to the top of his profession. Aadil is a qualified and result oriented Certified Financial Planner (CFPCM) from Financial Planning Standards Board (FPSB) - India. He has a strong business acumen in advising Individual and Corporate Clients on securing their Financial future based on their personal and professional goals.
Yogita.khatri:024827 : Hello Sir... Good Evening... Welcome to myiris live chat...
aadil.kadri:025810 : Good Evening Yogita
aadil.kadri:025816 :
aadil.kadri:025829 : Good evening
Pahal:025836 : Why one should go for financial planning? Why is it so important? (Especially with regards to low income group people)
aadil.kadri:025916 : Good Evening
aadil.kadri:030221 : Hi Pahal : Financial Planning is important for your expected and unexpected needs of your life.
Mridula:030217 : Hello sir, please suggest some good software which we can use for keeping records.
aadil.kadri:030319 : It does not matter whether we have low income or otherwise
aadil.kadri:030609 : What i normally advise my clients to keep records in a simple excel sheet which can be understood by your beneficiaries.
Mridula:030732 : Sir, could you please tell me about the financial planning process which one should follow?
aadil.kadri:030918 : Basically there are 6 steps of Financial Planning which one has to follow
aadil.kadri:031234 : Normally i meet clients ... understand his needs and then recommend him/ her solutions depending upon his/her objectives.
Mridula:031225 : What are those 6 steps sir?
Saakshi:031720 : How can I plan for tomorrow when I can hardly pay for today?
aadil.kadri:031954 : As per CFP guidelines : 6 steps are Establishing relationship , identifying and understanding his goals, Analysing his current situation, proposing him the solution, implementing the plan proposed and finally keep reviewing the solutions given.
aadil.kadri:032140 : Financial Planning is a continuous process and not one time event. It has to be reviewed at different phases / situations of life.
aadil.kadri:032443 : Hi saakshi, What you don't have you don't miss .... but what you are used to you cannot do without it. I think you need to see some Financial Planner who will help you to come out of the present situation.
naresh:032629 : What type of information do I have to provide to my financial planner for records keeping?
aadil.kadri:032910 : Saakshi ... I have not seen anyone going bankrupt by planning for tomorrow .... but yes i have seen lot of individuals who have not planned for tomorrow. I am sure a good Financial Planner will certainly help you.
aadil.kadri:033038 : There is a saying .... Do let your Doctor, Lawyer and Financial Planner know each and everything relating to the subject.
Manohar:032834 : Should children be also taught to do financial planning? If yes, should fiancial planning workshops be introduced in schools, at primary, seconday
aadil.kadri:033437 : Do let your Financial Planner know Financial related information i.e your existing insurance / investment plans.
aadil.kadri:033647 : Naresh ... This will help your financial advisor understand your mind set about money.
Dharmesh:033632 : What about people who belong to non-finacial background, like arts, science, medicine? How can they do financial planning? Should they seek services of professionals? Are the servcies of professionals affordable to ppl falling in low income groups?
aadil.kadri:034033 : Manohar .... Very Good point. In fact Sart talking to childrens about Financial Planning and its importance from age around 10 -12. Schools does teach about money but they do not teach how to make money with money.
aadil.kadri:034341 : Financial Planning is needed for every individual and best would be to hire a services of certified financial planner. The services of financial professionals are quite affordable.
Sonali:034516 : Did ppl start considering financial planning after `Rich Dad Poor Dad` got published? Was that bestseller and eyeopener for ppl about the need for financial planning?
aadil.kadri:034721 : It is like this ... if i am not well i will take an advise of a Doctor ... and i don't mind paying him the fees. Similarly if a doctor needs to manage his money ... he should approach a certified financial advisor.
Priyanka:034925 : Why should I spend time organizing and keeping my financial records?
aadil.kadri:035221 : Rich Dad poor Dad gives you some of the aspects of Financial Planning ... but it totally depends on case to case basis what is his risk appetite, goals and aspirations in life. One should not only follow the book because books does not know the present circumstances, assets , liabilities etc. of an individual.
Kothari:035513 : How long to I have to keep copies of my income tax returns? How long should I keep my tax records?
aadil.kadri:035607 : Priyanka : Keeping yourself organised with your financial records gives you a PEACE OF MIND. You are making the life of a person who are your beneficiaries EASY if you have kept good and uptodate Financial Records.
aadil.kadri:035654 : 7 years are the idle time to keep records of your Income Tax papers.
yogita.khatri:035756 : That is the end of chat session. Thank you for your time sir. Nice to have you on our live chat session...
aadil.kadri:035914 : But for all other documents 5 yrs are good enough depending upon the usage of financial documents.i.e Medical records : Keep it for Life time.
aadil.kadri:040036 : Thanks a lot Yogita.
yogita.khatri:035733 : We thank Mr. Aadil Kadri for answering all of your questions. Thank you all for participating in the live chat. We welcome you all to our future chat sessions.
Yogita.khatri:040227 : Thanks once again. Have a good day sir…
That is the end of the chat session for today.
Thank you all for logging in.
Till then its bye from us.

Savings should be the 1st Expense of Our Income

Everyone wants to become a Millionaire but to become one, one has to accumulate it. We have to dream and dreams do come true.  To accomplish that dream we need to have a GOAL.  What we need is to be committed to the goal we have set. On a lighter note, my Mentor  once told me “Commitment is like being pregnant — either you are or you aren’t”. There is no middle path.

Discipline and commitment are the key factors if we have to be successful in our quest to save a million dollars. We need to save at the top. “Savings should be the 1^st expense of our Income”. You see, there are two groups of people — Group A and Group B. Group A saves first  and then spends and the Group B  spends first and then saves (if there is any savings left out) . We have seen Group B works for Group A.

Right from the start of the day we  all are  inundated with messages that encourage us to spend – News Paper / Shopping Mall / Radio / TV Advertisements  like — Save Dh500 by buying this camera at Shopping Festival — how can one  save money by spending on something that we probably didn’t need in the first place?

If we have to be successful Savings should be the 1^st expense of our Income”. We have to save at the top.

One of the most simple formula to become a Millionaire is to have a mind set of “Pay Yourself First”.

Let me ask you a question … if your Employer told you today that because of economic downturn we are forced to have a Salary cut of 10% from this very month … what will you do ??????  Assuming your salary of Dh10,000  from this month would be Dh9,000 would you be able to manage?  Most of us would find a way of managing as there was no other option as well.

Why can’t we save this 10% ?

We left our home countries after leaving behind our parents relatives and friends to  save for our future, earn more and to provide ourselves and our families with a better lifestyle. We do enjoy a better lifestyle here till the time we are here in UAE but many a time we forget the other reasons like going back to our home country  and don’t save. Majority of us will face a Huge financial difficulties  if we do not save for tomorrow.

To become Millionaire it is not what we earn is Important … however What we SAVE is of UTMOST importance. In the many years I have spent in the UAE I have come across many individuals who earn Dh50,000-60,000 a month and I know they will not save a million because their habits are not right. And I have met people who earn Dh10,000 and Dh12,000 a month and have saved good amounts of money because they pay themselves first.

Many of us would seriously like to know where does our Salary goes by the time months end. Isn’t it??

Let me take you through the journey where the salary goes.

Specially in UAE during a typical month.

The first 10 days - 30% of Monthly Income - you work for the landlord.

Next         7 days – 25% of monthly Income -  you work for your child’s school

Next          4days – 15% of Monthly Income     -  you work for grocery (LU Lu / Spinneys )

Next          4 days-  15% of Monthly Income - you work for your utility ( DEWA / SEWA) companies,

Next         4 days – 15% of Monthly Income – you work for the bank — to pay your car installments / debts

At the end of the month you’ll find you have worked the whole month for others and not yourself.

Pay yourself first. “Savings should be the 1^st Expense of your Income”

A key to a disciplined savings habit is also to live within your means.

We often come across individuals who spend 100 per cent of what they earn and some who spend 120 per cent or more than their income (Credit Cards do help them / special Offer do help them)

Credit cards, special offers and promotions, advertisements from banks and stores stating: Use this credit card and buy this 70” state of the art LED TV and get a 40” TV free. Or quite often at Gitex we see — buy the latest mobile and pay for it in 12 months. These offers entice us and very often make us spend on items we don’t need or plan to buy. How often have you gone into a shopping mall and come away buying everything else but the thing you went there to buy in the first place?

Buy One get one Free … Except the better half everything comes free.

Living within your means being aware of what you need and disciplined enough to not purchase the things you don’t — no matter how tempting the offer. Sure there are times when it makes financial sense to go for a good offer, but it should be for the things that are necessary or purchases we plan to make in the very near future.

Here are some tips on small things that we can implement to help us have more money to save:

Pack-a-lunch — fast food lunches are not only generally unhealthy, they also can be expensive over time. Make and pack your own lunch before you go to work.

Skip going out to a restaurant — have a candle light dinner at home with your wife or loved one. If you dine out frequently with friends get creative and reduce one outing to a fun evening at home.

Avoid getting trapped into a flashy lifestyle: As my friend would say — he’d be a millionaire by now, only if his neighbour didn’t keep buying newer and bigger things.

Give up smoking — in addition to the health benefits, you also save money.

Make a list before going shopping and stick to it.

Pay your bills on time and avoid late fees.

Making small little changes in our lifestyle can really help increase our savings by maybe 10 per cent. How often do we go to a restaurant and tip the waitress 10 per cent extra just because she was pretty?

There are many more such measures that can be put in place. All of us need to periodically examine aspects of our expenditure and evaluate its necessity. Yes, we have to enjoy life, I am not saying that we have to take away the joy out of our lives but we have to be responsible for our finances as well.

In the next parts we will look at how much you need to save on a monthly basis to achieve a million and also take a look at the real secret to going seven figures large; a miracle ingredient in your investment mix that Albert Einstein deemed “the eighth wonder of the world”. 

Winners - Humourous Speech - Club 7492 / Area 7 / Dist 20