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  • Category: Miscellaneous

    How do you differentiate between conservative nature in spending and financial discipline?

    With the change of life style and the amount of wages and perks we receive, the expenditure bearing capacity of an average individual has substantially increased. Perhaps their brought up and the family circumstances could have made some people to be little bit tough in expending unnecessarily and they think a while to pick out their purse from the pocket. We brand them as conservatives and some of them are categorised as misers also. Also we respect those people who don't hesitate to allow their expenses liberally even though their financial position goes on debit side. Their mere show off business would always be welcomed by some and compared with those who incur expenditure with a proper financial planning. Financial discipline as always necessary for a betterment of future but my point is how one can draw a line between expenditure and fiscal discipline?
  • #590614
    Fiscal discipline is a word generally used for the financial discipline of the government sector, spreading into multi-years so that pre-defined goals are achieved / at least to some extent. In a broader view, if the author, applies the word to the individual, it can be for achieving a major project in his/her life. Major projects for a common man would be: Study in Abroad for self or for his kith and kin, construction of a bungalow, performing marriage to children in a prestigious manner, etc.

    To a draw a line between the expenditure and fiscal discipline:
    One should list out all the requirements he wants to have. From that list, he should eliminate the things first whatever he can eliminate. At this point once again he will have to prioritise the things of requirement. so that some other things would be eliminated. Then he should finalise the things of immediate requirement. At this point he has to check his pocket and he has to re-check whether his pocket would support the list finally arrived at. If not, still he can eliminate the things which can be postponed to some extent even though it is of immediate requirement. Like wise one can draw a line between expenditure and financial discipline.

    Here I would like to quote that for the sake of society and to have a certain dignity of a kind a person want to have, have to be spendthrift and cannot a draw a line between expenditure and financial discipline. I mean to say one has to be wise and flexible in making expenditure.

  • #590616
    My parents and elders used to say me that those who learned to save in the life at the early age, they are the real winners and their prosperity is guaranteed as the saved money would be of helpful during crisis and thus one need not beg or seek favor from others during challenging times. So what I mean here that a strict Financial discipline has to be evolved by balancing the expenses to the income and one need not go for wasteful purchases of things which are not required immediately. Some have the habit of purchasing provisions for two or three months in advance. When the prices are going to stay the same, then why we must invest on provisions for three months and block the money. Moreover when pulses and other items purchased in bulk , there are every chances of getting spoiled through insects and other worms.
    K Mohan
    'Idhuvum Kadandhu Pogum "
    Even this challenging situation would ease

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