The thrift plan
(this article was written for our firms magazine for its inaugural edition)
Preface
It was a big task for me to find a topic which suits the magazine, that too being its introductory edition,
published by a professional firm like ours.
The challenge behind writing does not end with topic selection, but also extends to issues like the
language to be used and how it will convey the idea, if I write it in our local language
But the pressure from my editorial team forced me to start the article by keeping my challenges aside and
with the following temporary solution:-
Compile the article in your own style whether as a story or a dissertation, but keeping in mind that the
idea is effectively conveyed to the reader.
Thanks to the editorial team for giving me this opportunity.
Chapter 1 –Vishukkainneettam
“Acha….. How much will you give me if I deposit my savings in your bank?”
-the little kid Manikandan asked his father, a bank employee while he was active with his morning
gardening.
He, with a smile answered
“I will double your amount if you deposit it for five years”
“WOW”
little manikandan screamed with happiness
“Double”
“that means I will get rupees 98 during my 8th standard summer vacation”
“hahaha”, dad laughed at Manikandan (might be because of the ‘big’ amount involved) and he
resumed his gardening activities
The kid was thinking since the Vishu days, where he would spend his ‘Vishukkainneettam’-
He had many alternatives like buying a set of gotti/goli (a small marble), or a leather football (the
one he was having was not made of leather), or …(many more)
The information that even a kid can deposit in a bank sounded very amusing to him. This influenced
so much in his future decisions that he planned to increase his pocket money. He sacrificed the red
stone washed shirt worth Rs 230 offered to him during the wedding of one of his uncles for a
normal poly-cotton white shirt to increase his pocket money by an amount of fifty. After a few days he observed that his mom was giving some money to ‘Madhavikutty’, the wife of ‘Kannaada mash’.
Preface
It was a big task for me to find a topic which suits the magazine, that too being its introductory edition,
published by a professional firm like ours.
The challenge behind writing does not end with topic selection, but also extends to issues like the
language to be used and how it will convey the idea, if I write it in our local language
But the pressure from my editorial team forced me to start the article by keeping my challenges aside and
with the following temporary solution:-
Compile the article in your own style whether as a story or a dissertation, but keeping in mind that the
idea is effectively conveyed to the reader.
Thanks to the editorial team for giving me this opportunity.
Chapter 1 –Vishukkainneettam
“Acha….. How much will you give me if I deposit my savings in your bank?”
-the little kid Manikandan asked his father, a bank employee while he was active with his morning
gardening.
He, with a smile answered
“I will double your amount if you deposit it for five years”
“WOW”
little manikandan screamed with happiness
“Double”
“that means I will get rupees 98 during my 8th standard summer vacation”
“hahaha”, dad laughed at Manikandan (might be because of the ‘big’ amount involved) and he
resumed his gardening activities
The kid was thinking since the Vishu days, where he would spend his ‘Vishukkainneettam’-
He had many alternatives like buying a set of gotti/goli (a small marble), or a leather football (the
one he was having was not made of leather), or …(many more)
The information that even a kid can deposit in a bank sounded very amusing to him. This influenced
so much in his future decisions that he planned to increase his pocket money. He sacrificed the red
stone washed shirt worth Rs 230 offered to him during the wedding of one of his uncles for a
normal poly-cotton white shirt to increase his pocket money by an amount of fifty. After a few days he observed that his mom was giving some money to ‘Madhavikutty’, the wife of ‘Kannaada mash’.
From his mom he learned about a new method of savings, which sounded more interesting to him,
the post office savings scheme-recurring deposit.
Chapter 2 – The conclusion
The above story is an excerpt from the child hood of none other than the writer. He was exposed
to share trading at the age 21, started SIPs at the time of their inception in the country. He is
currently enjoying very good relationships with a few new gen banks.
What I am trying to express is the necessity to build a saving habit in our youths. Even our stipend is
more than enough to start a SIP. Guys should be rational in the trade off between the good and the
branded.
A saving suggestion
Age Action to be taken
18-21
Open at least a bank account. Starting banking relationship with
private banks like HDFC or ICICI at this age may help you to enjoy
many facilities in the later years, provided you maintain minimum
financial disciplines like keeping the minimum balance, carrying out
at least 3-4 transactions in a month etc.(Otherwise results will be
negative)
22-24
Start a SIP (Systematic Investment Plan), Invest 10 to 25 percent of
your income in it. Selection of the right plan is the only (small)
challenge here.
25-27 Commence an insurance policy, preferably in LIC.
28-30 Open a share trading account and concentrate only in middle and
long term trading and avoid speculation
31-33
Start a Chitty in any recognised organization (Like KSFE,). Avoid
private companies/firms. Invest 5-10% of your income in it. Plan
the withdrawals and deposit the fund in different schemes like
mutual funds, shares, FD’s etc.,
Don’t put all your eggs in one basket
(NB:- Starting SIPs while in the above mentioned age group may help you choose more beautiful honeymoon
locations later )
“The habit of saving is itself an education; it fosters every virtue, teaches self-
denial, cultivates the sense of order, trains to forethought, and so broadens the
mind.” —T.T. Munger
the post office savings scheme-recurring deposit.
Chapter 2 – The conclusion
The above story is an excerpt from the child hood of none other than the writer. He was exposed
to share trading at the age 21, started SIPs at the time of their inception in the country. He is
currently enjoying very good relationships with a few new gen banks.
What I am trying to express is the necessity to build a saving habit in our youths. Even our stipend is
more than enough to start a SIP. Guys should be rational in the trade off between the good and the
branded.
A saving suggestion
Age Action to be taken
18-21
Open at least a bank account. Starting banking relationship with
private banks like HDFC or ICICI at this age may help you to enjoy
many facilities in the later years, provided you maintain minimum
financial disciplines like keeping the minimum balance, carrying out
at least 3-4 transactions in a month etc.(Otherwise results will be
negative)
22-24
Start a SIP (Systematic Investment Plan), Invest 10 to 25 percent of
your income in it. Selection of the right plan is the only (small)
challenge here.
25-27 Commence an insurance policy, preferably in LIC.
28-30 Open a share trading account and concentrate only in middle and
long term trading and avoid speculation
31-33
Start a Chitty in any recognised organization (Like KSFE,). Avoid
private companies/firms. Invest 5-10% of your income in it. Plan
the withdrawals and deposit the fund in different schemes like
mutual funds, shares, FD’s etc.,
Don’t put all your eggs in one basket
(NB:- Starting SIPs while in the above mentioned age group may help you choose more beautiful honeymoon
locations later )
“The habit of saving is itself an education; it fosters every virtue, teaches self-
denial, cultivates the sense of order, trains to forethought, and so broadens the
mind.” —T.T. Munger