You spend most of your waking hours working to pay for your day to day expenses and provide for your future.

But most folks barely spend few minutes before making financial decisions.

A 🧵 on financial mistakes that you can avoid early in life -
1. Acting on financial advice from relatives and family.

Buying LIC policy / real estate / fixed deposits. Such investments don't grow with inflation. Concept of compounding & wealth creation are understood very late in life.

Rule - Don't ride on the same bike as every one else
2. Becoming victims of wealth managers assigned by Banks.

Having a wealth manager sounds good. Someone out their to think about our finances. No, Banks only take you for a ride. Always remember, there is no free lunch.

Thumb rule - never buy investments/insurance from you bank.
3. Misunderstanding asset allocation.

Buying a home early in life gives little chance to allocate to assets that can grow and create wealth.

Not only are you stuck with EMIs for life, you also become location dependent.

Rule - Wait till you can pay 50-80% of the cost upfront.
4. On Asset allocation.

While being heavily concentrated on gold and real estate, we get bothered by the volatility of the equity markets.

What works in markets? Fill it, shut it, forget it. If you can't stomach volatility, start with smaller allocation and build your appetite.
5. Not prioritising wealth creation / financial freedom.

A rookie mistake. Buying a house, continously upgrading your gadgets, cars and taking expensive holidays can significantly delay your time to financial freedom.

Everything has a cost, including freedom.
6. We live in an assumption that we will keep our jobs forever & always stay healthy. With this assumption, we fail to provide for emergencies like a job loss, disability due to accidents, etc.

Rule - always have 12-24 months of expenses handy.

7. Investing to save tax.

LIC policies, tax saving fixed deposits are some of the rookie mistakes.

Tax saving investments should be planned considering your goals, not what's easy.

8. Taking expensive loans and spending a life time in repayments.

Personal loans, credit card loans are some of the most expensive ones.

If you need to borrow, always consult to ensure that you are not being taken for a ride.
9. Failing to take the right amount and type of insurance is the biggest mistake of all.

You put the lives of your dependents in danger.

Rule - Adequate term insurance. Adequate health insurance.
Our goal at Turtle Money is to help younger folks avoid such mistakes early.

Join the community to not only learn, but also network with the stalwarts.

At 500 bucks a month, its cheaper than your coffee date.

Students and those earning less than 10 lakhs have further discounts.

DM us to know more.

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You can learn a lot in less than five minutes. We have done the work for you.
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A thread on thinking about emergency funds -

What Exactly Is It?

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It must be an event that needs urgent attention.

It must be unplanned.

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You must assess your current state of affairs to think about the size of your emergency fund. This evaluation must be done at different stages of life.

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