The month of new beginnings
Spring is in the air and quite a few states in India celebrate the coming of a new year. India also follows a financial year that ends in March and begins in April. Employees and businesses are aligned to track finances as per this format of the financial year. In this context, March becomes an important month to take stock of money matters.
Planning for the new financial year ahead
So what else should be your concern apart from the tax calculations that invariably dominate end of year money discussions? We suggest using the closing month of the financial year as a beginning point to start anew on the finances front. For salaried individuals, March becomes even more essential considering that you can plan for the entire financial year ahead.
Self analysis on personal finances
Before you start planning, take some time to see how the previous year was in terms of managing finances. Some questions you should try and answer while analyzing the previous year are:
- Was I able to provide for all planned expenditure?
- Was I able to fund any unplanned expenditure?
- Were tax cuts as expected?
- Did I save as much as I wanted to?
- Were the family needs met, if any?
If the answer to all the questions above was ‘Yes’ you are in a good position with respect to personal finances. If you answered any in the ‘No’, then you know that you need to invest more time in planning your finances so you could look forward to a secure financial future.
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