tag:blogger.com,1999:blog-51557554911395472452012-03-05T02:23:31.752-08:00Subramoney Planning in Your ControlA Personal Finance Blog Triggering Your Knowledge Toward$ Financial ₹ FreedomSubramoneyhttp://www.blogger.com/profile/09331007326056984090noreply@blogger.comBlogger391100tag:blogger.com,1999:blog-5155755491139547245.post-48837247232535630462012-03-01T00:43:00.003-08:002012-03-05T00:41:18.691-08:00CRR and its Effects on Money Supply…
In Continuation
to CRR Reduction by RBI in the
previous post, now it’s time to understand CRR and its Effects on money supply…
CRR Explained
# Cash reserve
Ratio (CRR) is the amount of Cash (liquid cash like gold) that the banks have
to keep with RBI. This Ratio is basically to secure solvency of the bank and to
drain out the excessive money from the banks;
# Cash Reserve
Ratio (CRR) is aSubramoneyhttp://www.blogger.com/profile/09331007326056984090noreply@blogger.comtag:blogger.com,1999:blog-5155755491139547245.post-57902206489498501392012-02-29T02:22:00.000-08:002012-03-05T02:23:31.778-08:00Benefits of Investment Planning
<!--[if gte mso 9]>
<![endif][if gte mso 9]>
Normal
0
false
false
false
EN-SG
X-NONE
X-NONE
<![endif][if gte mso 9]>
Subramoneyhttp://www.blogger.com/profile/09331007326056984090noreply@blogger.comtag:blogger.com,1999:blog-5155755491139547245.post-83539928162021216352012-02-27T23:52:00.000-08:002012-03-05T00:34:04.536-08:00What is Investment Planning ?
Investment Planning Explained…
# Investment
Planning is the Part of financial Planning that pertains to the allocation of
investment assets.
# The basic idea
to save is to use it when we face emergency (i.e., deficit in our cash flow).
To ensure that your saving money's grow well to take care of our future
financial dreams to reap adequate benefits from it, it is very important to
begin a Subramoneyhttp://www.blogger.com/profile/09331007326056984090noreply@blogger.comtag:blogger.com,1999:blog-5155755491139547245.post-74738328252184642102012-02-26T02:04:00.000-08:002012-03-05T00:38:17.124-08:00CRR reduced to 5.5% from 6% with effect from January 28, 2012
After nearly two
years of tight check on money supply to tame inflation, Reserve Bank of India
(India's central bank) took steps on 24.01.2012 (Tuesday) to infuse more
liquidity in the system by reducing a key rate (CRR) to help industry out of
the current downturn.
The Cash ReserveRatio (CRR), the amount against deposits which commercial banks have to keep as
liquid assets such as cash, Subramoneyhttp://www.blogger.com/profile/09331007326056984090noreply@blogger.comtag:blogger.com,1999:blog-5155755491139547245.post-3856318394878660552012-02-19T06:21:00.001-08:002012-03-04T06:40:23.012-08:00Validity of Cheques Reduced from 6 to 3 Months: Saving Sundays
Payment of
Cheques/Drafts/Pay Orders/Banker’s Cheques – Validity period slashed to 3 months from 6 months : RBI Circular
This is to
inform you guys that with effect from 1st Apr 2012, Reserve Bank of India
(RBI) vide its Notification No.RBI/2011-12/251, DBOD.AML BC.No.47/14.01.001/2011-12 dtd. November 4, 2011, has announced a major change in
slashing the validity period for Cheques/Drafts/Subramoneyhttp://www.blogger.com/profile/09331007326056984090noreply@blogger.comtag:blogger.com,1999:blog-5155755491139547245.post-35762700836458503062012-02-12T10:40:00.000-08:002012-03-05T00:42:00.711-08:00Turn off the Television: Saving Sundays
One of the biggest
ways to save money is to watching less television.
If you turn off
your television, you will get the following benefits (financially and mentally):
1) You will not lose the opportunities
2) You will not become TV Shows addictive
3) Will not be induced to buy things
4) Will reduce your Electricity Bill Subramoneyhttp://www.blogger.com/profile/09331007326056984090noreply@blogger.comtag:blogger.com,1999:blog-5155755491139547245.post-9887407382347401132012-02-09T06:05:00.000-08:002012-03-05T00:42:32.470-08:00Steps in Financial Planning Process
In Continuation
to the previous posts regarding What
is Financial Planning and its scope, Benefits
of financial planning, How
To Make Financial Planning Work For You?, now are ready to know the 6 step Financial Planning Process
Guide in this post.
This step by
step Financial Planning Guide is designed to help you overcome all of the
obstacles faced in the way of your personalized financial Subramoneyhttp://www.blogger.com/profile/09331007326056984090noreply@blogger.comtag:blogger.com,1999:blog-5155755491139547245.post-74071699624361365992012-02-05T06:30:00.000-08:002012-03-05T00:44:45.397-08:00Drink More Water: Saving Sundays
Benefits of Drinking Water
Not only does
drinking plenty of water have great health benefits, drinking water has
financial benefits too. Before each meal, drink a glass of water which will not
only help to digest your meal better and also you wonʼt eat too much, leads to saving
on your food bill &
medical bill. You will also find
yourself feeling a bit better as you begin to get adequately Subramoneyhttp://www.blogger.com/profile/09331007326056984090noreply@blogger.comtag:blogger.com,1999:blog-5155755491139547245.post-13687725611170114032012-01-29T04:57:00.000-08:002012-03-05T00:45:18.425-08:00Don’t go shopping without a need for it: Saving Sundays
Just ask a
question to yourself before you go for shopping of something - Do you really
need it? ; If Yes, then look for the sale & go for shopping. Otherwise don’t
waste money by going for window / impulse shopping.
Do not start to
prepare your buying item list after seeing an offer / discount sale rather, get
your shopping list prepared based on your need and search suitable discount /
Subramoneyhttp://www.blogger.com/profile/09331007326056984090noreply@blogger.comtag:blogger.com,1999:blog-5155755491139547245.post-57679085595360421182012-01-22T01:00:00.000-08:002012-03-05T00:45:32.369-08:00Dine Out for Special Occasions Only: Saving Sundays
Make sure you
dine out only for special occasions. This is to be implemented and followed immediately
because you could get a week’s worth of groceries to cook at home for the same
amount that you pay for a single dinner at a restaurant per person.
Besides this, if
you wish to dine out then limit your dining out for once a month and not weekly twice or thrice.
If you do
practice this inSubramoneyhttp://www.blogger.com/profile/09331007326056984090noreply@blogger.comtag:blogger.com,1999:blog-5155755491139547245.post-1648809049375890202012-01-17T08:34:00.000-08:002012-03-05T00:45:59.820-08:00How To Make Financial Planning Work For You?
All of us are
conscious of the phrase ‘Financial Planning’ but few know how to make effective personal financial planning.
If you want to
focus on your financial planning process and to know why is it important for proper financial planning to achieve your personal aim
efficiently, you are in the right place at the right time. As your involvement
in the process is
important to your Subramoneyhttp://www.blogger.com/profile/09331007326056984090noreply@blogger.comtag:blogger.com,1999:blog-5155755491139547245.post-68004529222951106062012-01-15T07:06:00.000-08:002012-03-05T00:46:34.236-08:00Don’t plan vacation during peak tourist season : Saving Sundays
This will always
be more expensive. Instead, “Travel
off-season”. So you can still enjoy the weather along with better rates to
slash away your cost to reduce your budget.
Don’t ever plan
to have your vacations during peak travel times, like New Year, Thanksgiving, Christmas
or Independence Day, where you will pay significantly more for
hotels, rental
cars, and flights than you would Subramoneyhttp://www.blogger.com/profile/09331007326056984090noreply@blogger.comtag:blogger.com,1999:blog-5155755491139547245.post-73178667390128598232012-01-12T07:57:00.000-08:002012-03-05T00:47:26.878-08:00Benefits of Financial Planning
After knowing
what is Financial Planning and its scope, you would be wondering what would be
the advantages over your financial planning. Below are some of the benefits you
might receive when you invest the time, energy and money to develop your own
personal financial plan.
1. Assessing Financial Picture
Financial
Planning helps you to assess your current, complete financial picture (cashSubramoneyhttp://www.blogger.com/profile/09331007326056984090noreply@blogger.comtag:blogger.com,1999:blog-5155755491139547245.post-87669022318412140022012-01-10T06:13:00.000-08:002012-03-05T00:47:43.955-08:00Financial Planning & its scope
# Financial
Planning is defined as the process whereby an individual's personal and financial
goals are achieved through the development and implementation of a
comprehensive financial plan.
# Financial
Planning is not just about making Money. It's about buying/achieving all the
goals of a person and creating opportunities to
achieve your goals.
# Financial
Planning is a process that helps Subramoneyhttp://www.blogger.com/profile/09331007326056984090noreply@blogger.comtag:blogger.com,1999:blog-5155755491139547245.post-27529818898307607212012-01-08T00:39:00.000-08:002012-03-05T00:48:03.270-08:00Pay Your Credit Cards On Time: Saving Sundays
Pay your credit card balances in full on time to
maintain a good credit rating or record & avoid late fees, finance charges.
It is better to use cash as much as possible, unless using plastic card will be
advantageous to have a better deal (like 0 % interest on
purchases, or cash
rebates).
If you have forgotten to pay the credit card bill
for the first time, call the credit card company & trySubramoneyhttp://www.blogger.com/profile/09331007326056984090noreply@blogger.comtag:blogger.com,1999:blog-5155755491139547245.post-91220000791565530792012-01-07T06:30:00.000-08:002012-03-05T00:48:17.212-08:00Investment: Types of Risk
After understanding what is risk associated with Investment in the previous post, now you can understand their types to have better idea - Systematic and Unsystematic Risk.
Systematic Risk (External Risk)
Market Risk,
Interest Rate Risk and Purchasing Power Risk are grouped under systematic risk.
a) Market Risk
Sources of Risk: Market Risk is referred to as stock
variability due to
Subramoneyhttp://www.blogger.com/profile/09331007326056984090noreply@blogger.comtag:blogger.com,1999:blog-5155755491139547245.post-3424603734875874602012-01-05T05:06:00.000-08:002012-03-05T00:48:31.275-08:00Risks associated with Investments
Risk and uncertainty
are an integral part of an investment decision. Technically, 'Risk' can be
defined as a situation where the possible consequences of the decision that is
to be taken are known. 'Uncertainty' is generally defined to apply to
situations where the probabilities cannot be estimated. However, risk
and uncertainty are used interchangeably.
The main focus
contributing to risk Subramoneyhttp://www.blogger.com/profile/09331007326056984090noreply@blogger.comtag:blogger.com,1999:blog-5155755491139547245.post-25566025884044737622012-01-03T05:31:00.000-08:002012-03-05T00:48:52.247-08:00Make Sure Your Money is Safe
Guide to the Deposit Insurance System in India
Deposit
Insurance and Credit Guarantee Corporation (DICGC) (a wholly owned subsidiary
of RBI) guarantees Deposit Insurance Coverage up to Rs. 1,00,000 (Rupees One Hundred Thousand) for all
Leading Commercial Banks.
Each depositor
in a bank is insured up to a maximum of Rs. 1,00,000 for both principal and interest amount
held by him/her asSubramoneyhttp://www.blogger.com/profile/09331007326056984090noreply@blogger.comtag:blogger.com,1999:blog-5155755491139547245.post-39653421475275613012012-01-01T00:01:00.001-08:002012-03-05T00:49:09.613-08:00Use Energy Saving CFL Lights:Saving Sundays
This is my first
post in the Series of Saving Sunday’s .
This series is my initiative to share
practical money saving tips to my friends like you.
Use Energy Saving Lights
Using
energy saving lights like Compact Fluorescent Lamps (CFL bulbs) will consume
60% less energy than incandescent bulbs, but give the same illumination,
sometimes more illumination.
Though
CFL looks like Subramoneyhttp://www.blogger.com/profile/09331007326056984090noreply@blogger.comtag:blogger.com,1999:blog-5155755491139547245.post-85689097920291199052012-01-01T00:00:00.000-08:002012-03-05T00:49:25.228-08:00THE TEN COMMANDMENTS OF SUCCESS IN LIFE
Hello Buddies, Thank
you for staying with this blog for your personal finance basic education.
Happy 2012 to you, dear reader! I hope your new
year is filled with joyful learning, abundant opportunity, and pleasure in all
you do.
Please receive
my 2 Gifts for your successful and fruitful
New Year
1) I would like
to initiate the series of “Saving Sunday’s”
to
share practical money Subramoneyhttp://www.blogger.com/profile/09331007326056984090noreply@blogger.comtag:blogger.com,1999:blog-5155755491139547245.post-67862716212442208342011-12-30T03:45:00.000-08:002012-01-21T07:16:19.302-08:00Personal Income Tax Calculation Tools for India
Though there are
so many personal income tax calculation tools available in the web, I found two
of the cool & useful income tax calculator in Excel which will be useful to
find out a person's total income available before & after tax, savings done
for tax purpose, income tax liability...
They both are
taking efforts to maintain the spreadsheet for each year and it's free for
all!.
These Subramoneyhttp://www.blogger.com/profile/09331007326056984090noreply@blogger.comtag:blogger.com,1999:blog-5155755491139547245.post-29691136595108364842011-12-27T04:08:00.000-08:002011-12-27T04:08:19.763-08:00Shares Vs Stock
Shares
The capital of a
joint stock company is usually divided into certain indivisible units of a
fixed amount. These units are called Shares.
"Share"
means a definite portion of the capital of a company. It includes stock also. A
share is evidenced by a company under its common seal.
It specifies any
shares held by a member and is prima face evidence of the title of the member
to the Subramoneyhttp://www.blogger.com/profile/09331007326056984090noreply@blogger.comtag:blogger.com,1999:blog-5155755491139547245.post-61569371794266035632011-12-25T06:12:00.000-08:002011-12-27T03:59:02.450-08:00Investment Vs Gambling
Merry Christmas to All! May this Christmas become the period of Happy Investing for you :-)
As already we
came to know about Investment in the previous posts, we will discuss
directly here about Gambling.
Gambling
Gambling
involves taking risk without demanding compensation in the form of increased
expected return. Examples of Gambling are horse riding, game of cards, lottery
etc;
Subramoneyhttp://www.blogger.com/profile/09331007326056984090noreply@blogger.comtag:blogger.com,1999:blog-5155755491139547245.post-28153222400559887952011-12-23T00:19:00.000-08:002011-12-25T05:57:17.094-08:00Investment Vs Speculation
Investment can be defined as the purchase of an
asset with the primary purpose of conserving or increasing wealth. The assets
may include shares, debentures, land, residential houses, gold, jewellery,
social security certificates, capital investment bonds, units of UTI, deposit
in banks and companies, silver etc.,
Speculation can be defined as the purchase of an
asset with the primary Subramoneyhttp://www.blogger.com/profile/09331007326056984090noreply@blogger.comtag:blogger.com,1999:blog-5155755491139547245.post-963752952358247112011-12-21T03:48:00.000-08:002011-12-25T05:15:18.948-08:00Kinds of Investments
One can divide
one's investments into parts. One part maybe used for speculate purchase;
another could be used for conservative buying etc. This leads one to the kinds
of investments that one can make.
These can be
broadly classified into the following groups:
a) Very secure
fixed income investments
b) Secure fixed
income investments
c) Fixed income
investments
d) Equity Shares
a) Subramoneyhttp://www.blogger.com/profile/09331007326056984090noreply@blogger.comtag:blogger.com,1999:blog-5155755491139547245.post-53482710873244173222011-12-20T00:12:00.000-08:002012-01-21T07:17:04.119-08:00Top 10 What Not to Do with Money Part2
Here’s Balance Top 6 - 10 in continuation to Top 5 What Not to Do with Money to keep
more of your Money to keep you away from making financial mistakes.…
6. Don't manage your money without a
proper plan
Ensure that you
have a proper financial plan to manage your money and rigidly adhere to the
same. It helps you to avoid unnecessary / impulse spending and safeguard your
money. Do not Subramoneyhttp://www.blogger.com/profile/09331007326056984090noreply@blogger.comtag:blogger.com,1999:blog-5155755491139547245.post-10638020577789958742011-12-19T00:30:00.000-08:002012-01-21T07:17:28.180-08:00Top 10 What Not to Do with Money Part1
Want to Keep/Have More of Your Money?
Though we are
eager to save money, but as you know handling money is not that easy. Here’s Top 1-5 What Not to Do with Money to
keep more of your Money to keep you away from making financial mistakes.…
1. Don't stash your money in a savings
bank account
Don't make the
mistake of keeping all your money as idle in your bank account. Investing and
Subramoneyhttp://www.blogger.com/profile/09331007326056984090noreply@blogger.comtag:blogger.com,1999:blog-5155755491139547245.post-81349696334022748042011-12-17T05:11:00.000-08:002012-01-20T06:58:01.645-08:00Types of Investors
Try to Know What Kind of Investor Are You?
Investor is an
individual who commits money to investment products in hoping to make a
profit/return from it. Generally, the primary concern of an investor is to
minimize risk while maximizing return.
Investors are
classified as follows:
a) A Conservative Investor safeguard capital
to earn an income. They will not play in the market. They will Subramoneyhttp://www.blogger.com/profile/09331007326056984090noreply@blogger.comtag:blogger.com,1999:blog-5155755491139547245.post-82503786491174423122011-12-15T05:29:00.000-08:002012-01-21T07:11:48.070-08:00Why Saving Money is So Important Part2
Importance of Saving Money Part2
Save Money
In Continuation
to Part1 of Why We Save Money, Though there are 'N' number of importance of Saving Money, we can see the remaining most significant reasons to save.
7) For
Retirement: At Present,
Average Life Expectancy has increased to 64.7
(Age) in India, so it is better to start saving earlier to face your
post-retirement Subramoneyhttp://www.blogger.com/profile/09331007326056984090noreply@blogger.comtag:blogger.com,1999:blog-5155755491139547245.post-51763464538329283032011-12-13T04:32:00.000-08:002011-12-15T06:09:43.117-08:00Investment, its characteristics & principles
Investment Basics
Generally, "An Investment is a sacrifice of current
money or other resources for future benefits". Investment means use of
funds fruitfully so as to get an yield.
Investment is a
commitment of person’s funds to derive future income in the form of a) Interest
b) Dividends c) Rent d) Premiums or e) Appreciation of the value of his
principal capital
Subramoneyhttp://www.blogger.com/profile/09331007326056984090noreply@blogger.comtag:blogger.com,1999:blog-5155755491139547245.post-3953732773907731912011-12-12T06:08:00.000-08:002012-01-21T07:12:04.681-08:00Why Saving Money is So Important Part1
Importance of Saving Money Part1
Saving Money
One of the key factors
for your financial freedom is developing the habit of Saving. Saving sounds
simple, but it's not always easy to do with the kind of life we are living. Unfortunately,
majority of people start realizing importance of saving money when it is too
late. Good Financial Planners realize every one need to save today's earnings
Subramoneyhttp://www.blogger.com/profile/09331007326056984090noreply@blogger.comtag:blogger.com,1999:blog-5155755491139547245.post-76359216934775003002011-12-05T06:47:00.001-08:002011-12-13T04:00:27.619-08:00Types of Savings
We can divide
your total Savings into three parts:
1) Sacred Money
- You would never want to risk this part of your savings. You may keep this at
home under the mattress or invest in Bank accounts and in Government guaranteed
schemes
2) Serious Money
- This part of your savings you are willing to expose to a little bit of risk.
You may buy debentures issued by high quality companies, or Subramoneyhttp://www.blogger.com/profile/09331007326056984090noreply@blogger.comtag:blogger.com,1999:blog-5155755491139547245.post-44673581509144716272011-11-28T06:20:00.001-08:002012-01-21T07:18:16.475-08:00Types of Income
In order to understand
more about Money, you must first understand the different types of Income. It’s
really better to understand the below 3 basic types of income, so that you can decide better in which way
you want to Make Your Money.
1) Earned Income:
Earned income
includes all the taxable income and wages that a person receives for work they
have done. There are two ways to Subramoneyhttp://www.blogger.com/profile/09331007326056984090noreply@blogger.comtag:blogger.com,1999:blog-5155755491139547245.post-78505522920648164762011-11-22T21:22:00.000-08:002012-01-21T07:18:59.328-08:00Basic Rules of Money Management
Money management is extremely important to your financial well being. Improper management of money will lead to financial difficulties & bankruptcy. This simply means "spending more than what is earned". The two ways of increasing wealth is to either increase our income, or decrease our expenditure.
“Are you playing safe with money?”.
If not, here are some basic rules to help Subramoneyhttp://www.blogger.com/profile/09331007326056984090noreply@blogger.comtag:blogger.com,1999:blog-5155755491139547245.post-85488665527977929842011-11-07T01:54:00.000-08:002012-01-21T07:19:21.422-08:00Some Basics to be known other than Money
All about your Money Honey… Part 5
You are here just to refresh yourself about some basics to be known other than Money - Income, Expense/Spending, Saving, Investment, Inflation and Deflation
What is Income?
# Income is money earned by means of Employment (through Salary, Wages, Allowance, Bonus) and Investments (derived as Interest, Dividend, Rent, Capital Appreciation).
# Subramoneyhttp://www.blogger.com/profile/09331007326056984090noreply@blogger.comtag:blogger.com,1999:blog-5155755491139547245.post-68465229741833881762011-11-03T20:34:00.000-07:002012-01-21T07:19:51.137-08:00Is Money important for Human Life?
All about your Money Honey… Part 4
Money, Money, Money...
You must know how money is important in our life with continuation to the previous post of Types of Money.
Money lets you live a reasonable, comfortable life so that you can buy the daily necessities and take care of people around you. In that sense, it is important.
Importance of Money in Life
Dawn until Dusk, day Subramoneyhttp://www.blogger.com/profile/09331007326056984090noreply@blogger.comtag:blogger.com,1999:blog-5155755491139547245.post-22472488422353295052011-11-02T22:32:00.000-07:002012-01-21T07:20:08.697-08:00Types of Money
All about your Money Honey… Part 3
In continuation to Money, its functions, characteristics & importance, now let us know the types of Money.
Commodity Money: It is something that performs the function of money and has alternative, non-monetary uses. Money that has an alternative use as a commodity–cattle, gems, and tobacco, for example– is considered commodity money.
Examples: GoldSubramoneyhttp://www.blogger.com/profile/09331007326056984090noreply@blogger.comtag:blogger.com,1999:blog-5155755491139547245.post-71118086474644965222011-11-01T19:43:00.000-07:002012-01-21T07:20:21.314-08:00Money, its functions, characteristics & importance
All about your Money Honey… Part 2
In continuation to Barter System & its disadvantages over Money, now let us understood why was there a need for “Birth of Money to bring an end to the Barter System”
Money is a social convention.
“We accept money as payment because we expect others to accept it from us”.
In Brief, Money is anything that people will accept in exchange for goods Subramoneyhttp://www.blogger.com/profile/09331007326056984090noreply@blogger.comtag:blogger.com,1999:blog-5155755491139547245.post-41202574063112982822011-10-31T23:29:00.000-07:002012-01-21T07:20:44.342-08:00Barter System & its disadvantages over Money
All about your Money Honey… Part 1
Before understanding money, its characteristics & functions, it is better to understand barter system. So first let’s begin with what does Barter System mean and its demerits over Money.
Old Age Barter System
The Barter System was a practice by which people exchanged goods for other goods. It is the oldest method of trading traces back to 6000BC. Subramoneyhttp://www.blogger.com/profile/09331007326056984090noreply@blogger.com