The Bible tells the story of a rich man who goes away for a while. And leaves his money in the care of his servants.
When the master returns, he asks his servants to account for the money he had left with them.
Now two of the three servants had invested the money wisely. And so, on the master’s return, they made him happy: they not only gave him his money but also a return on the investment.
But the third servant had been lazy and fearful of his master. So he dug a hole and hid the money away.
The master was furious with the lazy servant for not putting the money to good use. And he throws him out of his house.
Like the first two servants, do you make your money work hard? Or have you left your money to lie idle in a hole?
Saving money is the first step towards financial freedom (See Grace Goner).
The more important second step is to put your money to work.
Often, like the third servant, we are afraid to put the money to work. We feel safer letting it “lie in a hole”. Sometimes we are unwilling to learn how to sweat our assets. Nor do we make an effort to find someone who can help us.
But your “master” will appear one day and demand to know what you did with the money.
This “master” is your future self who will need the money for old age and retirement.
The “master” are your children and your inheritors.
You may choose to give your money away for a good cause. Those recipients are your master. And they deserve to get the most out of your savings.
No matter how you choose to use your money — spend it on yourself, leave it for your children or give it away — you have a duty. It is your responsibility to make your money work hard.
Is your money working hard? Here is a quiz to help you decide if your money is working hard or hardly:
Answer with a “Yes” or a “No”. Keep count.
- Do you pay your credit card bills on time?
2. Do you pay off your credit card bills in full?
3. Do you actively save a fixed amount from your income every month?
4. Do you know how much interest you are paying on your loans?
5. Do you invest in the stock market through equity mutual funds or shares?
6. Do you check on the performance of your investments at least once a year?
7. Do you have a way to keep track of where your money is invested?
8. Is your money invested in many places (diversified)?
9. Do you have medical insurance for your family?
10. Do you have a pure life insurance policy (as opposed to money back plans/ULIP plans)?
If you got seven or more “Yes”, your money is working hard. Otherwise, it is hardly working.
Talk to us if you would like your money to work hard. We can help!
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