Saturday, 13 July 2024

Money...Money...How Much Should I Have it ??

Money is very important for life, without it we can’t live. From food to Ferrari, a Village hut to a Villa, we need money to get it. We can get everything by money and without it, we can’t even survive. That is why we are conditioned to think from our childhood that money is the solution to everything in life. We are subconsciously in this rat race to earn more and more money without setting a target. More is always better it seems.

However, we should know that although money is very important in life, it is not everything we need to have. We should understand that we can spend a limited amount of money even if we have all the money in the world, because:

                 There is a limited amount of food we can eat in this world

                 There is a limited number of cars we can drive

                 There is a limited number of houses we can live in

                 There is a limited number of vacations we can take

                 And there is a limited number of things we need to have a great life

 

The Dalai Lama once said, what surprised him most about humanity, he said:

Man’s life is really funny...

Because he sacrifices his health in order to make money.

Then he sacrifices money to recuperate his health.

And then he is so anxious about the future that he does not enjoy the present;

the result being that he does not live in the present or the future;

he lives as if he is never going to die, and then dies having never really lived.”

 

So, What should be the role of money in our life:

Rather than getting into a mindless rat race, we should find out how much money will be enough for us to have a comfortable life with sufficient time to spend on other things like family, passion, or anything that we like to do. This is important because whatever time we give to earn money can potentially go somewhere else, Like:

                 If we are working later hours for money, and coming home late night, it means we can’t wake up early and do yoga/ exercise.

                 If we work during festivals to earn extra, then it means we won’t be spending that festive time with our family.

                 If we are working in another city away from family to earn a better income, it means we won’t get enough time for our loved ones

                 If we are just working but not taking our family vacations etc, it means that we will have money in the bank, but won’t have something to talk about years later.

                 If we are not attending a wedding for a close friend, because we don’t want to lose a week pay cut, it means that we may have that money, but will not have that memory of the friend’s wedding.

So how much money do we need?

Well, it is a bit difficult question as every person is unique so as his needs/requirements. However, a back-of-the-envelop calculation says that if we have around 400-500 times our monthly expenses, then it should be enough for the next 30-40 years provided we keep the same standard of lifestyle rather than splurging it out. So, for example, if a person in his 50s has monthly expenses of ₹ 1 lakh then ₹ 5 cr should be enough for his remaining life to enjoy without working for money.

 

Money indeed brings peace of mind and a sense of security. However, we should also look at another perspective on the role of money in life and balance it with the other important things of life rather than running a rat race without a finish line. Earning Money and Managing Money are two different things. It is always better to taken an expert guidance to understand the actual requirement based on our own needs.

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