Financial Planning: a lost opportunity

Those of you who read my previous posts would remember where I mentioned that much earlier in my life I had read some place that the downfall of a human being undoubtedly starts when he/ she starts running after money. 

That remained one of my guiding principles through life. I can look back and say that this perspective conferred a certain peace through the years that were otherwise filled with struggles on different fronts.

Now life is much quieter. The twilight years are around the corner. My husband has completely retired as of last month. I am flirting with the idea of my own retirement. Last week marked completion of my 24 years at the job. 

In all honesty, all these years I never bothered to look at my paycheck. When someone asks what is your base or gross salary I don’t know the answer. I trusted  my husband to take care of finances. He did it in the most conservative manner. Filing taxes, paying taxes, managing savings everything was managed by him singularly. Carrying no debts on our heads was his philosophy. Children are educated without student loans,house is paid off, no other debts. We were in a good position, we thought. 

 When he was getting ready for retirement we went  for a couple of consultations with our employers’ benefits department advisors. Basically they just explained what would be the retirement income and how to designate beneficiaries etc. 

The real eye opener for me came this week when I sought advice for my own retirement planning. There is so much more than meets the eye. For individuals like me who have been at a salaried job the normal paycheck goes down significantly once you retire and if you wish to maintain the same lifestyle you need to draw from your other invested assets. Being conservative in your lifestyle and spending habits is good but one can do better than being simply conservative when it comes to investing .

Not that the new revelations put me in crisis mode but they surely made me think about a lot of things that had never crossed my mind before. I wished I was wiser about money matters much earlier.

I think I am in a better position now to guide the kids about planning their financial future. Especially women need to become more informed about this subject from an early age. It would place them in a more comfortable position to be self sufficient during the golden years. Not running after money and planning ahead regarding money do not contradict each other. One must know how to balance these two realities to live a life of practical wisdom. The golden years could become much more free of insecurities if the magical balance is achieved.

Saree is a golden yellow cotton paithani.