Break the mould

A true journey is over when we really cover a distance. This distance will see some discoveries, some additions or some changes along the way. Momeywise is also on a journey, a start of a journey, to be precise; and we are urging fellow women to join us. One thing we are sure about getting out of this journey is Breaking the Mould.

Our financial habits have shaped up due to multiple reasons over time and they won’t die hard. As much as we have wished to get caution in spending and bring discipline in planning or investing, a lot remains desired. However, if we persistently try, we can break the mould & take charge. And much to our surprise, reap benefits too. Here are our top 3 recommended ways:

1. Look at the big picture: You may be a habitual saver but ever increasing prices will outgrow your rate of savings and then what? What you need to do is invest and not only save. Your invested money will grow to give you returns over and above inflation.

2. Tackle the fear: Do you feel the market movement, calculating RoIs or mutual funds is beyond you? They are complex or boring? Seriously think again. Its nothing to be afraid of. There are professionals who can help, tools that are handy and best of all – transactions that are quick.

3. Today is a good day: Age, burgeoning expenses, uncertainties – the more you delay, the more you lose. On the other hand, the longer you give time to investments, the higher the growth. We will start illustrating with simple numbers shortly. But for now, we can’t stress more about starting asap.

 

It’s easy to not to try. But that’s not us women. We are known to adapt to various roles, most times with zero training. If we decide to break the mould, WE WILL.
First blog post

Why should you think hard before buying a car?

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A few years back, a very dear friend had fondly named her red car – ‘Ms. Polo Pandey’. Her love for the car was phenomenal. It wasn’t just her. Everyone loves their wheels, almost as if their dreams are made of just cars.

Times have changed for many of us. We are wiser with age and experience. Habits have changed so much. The millennial wave has caught up, and we are talking experiences more than possessions. We are trading big purchases in favor of Living-Your-Now. A car too, is a hefty buy that can rob bank balance very easily – and one of the reasons, millennials are not big fans of owning a car.

Momeys, whether you think the millennial way or not, but there’s serious thinking required before buying a car. Living in a metropolis (I live in Mumbai), the thrill of driving one’s car can easily give way to backaches and headaches. These are a few things I remind myself, every time I have pangs to get behind some big wheels.

  1. It is a depreciating asset: A car is a consumable and the minute you have driven it out of the showroom, its value has depreciated. No matter how well maintained is the car, it loses value rapidly. So, don’t bank a lot on the resale value.
  2. Expensive financing:Car loans are expensive unsecured loans, and they don’t get any tax rebates either. A hefty EMI can be a real burden. If you are in a situation that driving your car is the only option for your mobility, then keep your loans to least possible. You could opt for a smaller car and pay up maximum available cash as down payment.
  3.  Cabs are convenient:For occasional travelling, consider cabs. I have done the math for myself and found that using cabs for all my travel will cost me around Rs. 10000 per month, which is still lower than the EMI I would pay.
  4. Servicing & Maintenance:It’s never a happy situation paying up fat bills at the servicing center. Every time a servicing is due, don’t we feel it’s too soon?
  5. Traffic sucks:Getting anywhere by road is a test of patience in over-crowded metros. Add to that, nagging health issues that come with long hours of driving. Having a driver comes with added costs. From my experience of keeping a driver, I had to pay overtime to him every single day over and above his salary. To avoid getting stuck in traffic, I would have to start early and leave office late.
  6. Finding Parking is a nuisance:Driving towards city center for a meeting? You must wish good luck to yourself with finding parking. Do you also feel parking charges are getting exorbitant these days? It is one of the reasons cabs are a lot more convenient I feel.

Everything has its pros & cons, and each one of us is in a different situation. All I can say is assess your situation and do think hard before buying a car. A little mind over matter can make you laugh to the bank.