18 lessons for your personal finance! #money #business #psycology

Category – Business. Reading time – 5 minutes

Personal finance is such a sticky thing. After you grow out if childhood, you come to know about this money thing. Now your dad stops fulfilling your unreasonable demands and starts to expect, that you are going to earn some money now.

Eighteen years of pizza, burgers and your TV recharges needs to be billed to you from that moment.

You were sent to school to learn how to earn. And you scratch your head that school completely forgot to teach you, how to earn money.

You wonder how will arithmetic and algebra and mediveal history, will get food on your plate.

You see towards your friends and they too are under axe of their parents, to earn their living.

In this post let’s discuss few basic concepts, that help in managing personal finance in current scenario.

And that’s the time when one needs to learn about personal finance. Earlier you start, better it is for your lazy body.

Let’s get this stuff.

1. Don’t compare with others. Everyone is running different race with different rules and different rewards. Choose your race correctly, that suits your mindset, skills and personality.

2. Nothing is free. Yes, that free voucher, with that costly phone is indirectly to be paid by you. And, you must also understand that your time and attention are also a form of capital that Marketing people are in pursuit.

3. People, beliefs and culture change with time. So don’t keep your ideas rigid. It was risky to board in car of a stranger, but now it’s fashionable due to UBER.

4. Always leave some room for errors, unexpected events and unknown forces. Don’t be a overconfident. Don’t board Titanic without lifeboats.

5. Past cannot predict future. Experts cannot predict future. No one predicted 2008 or 9/11 or covid.

6. Negatively gets more focus and attention. Try to go beyond all those negative vibes floating in sea of social media.

7. Personal finance is a relatively untouched part of the conventional knowledge. So, start learning about it.

8. Set ceiling of your satisfaction. Don’t keep running. Rest, relax and enjoy. Afterall, that’s why you work.

9. Use power of the compounding. And be aware that it takes time. There are millions of articles and videos that explain compounding to you.

10. Getting rich is easier than staying rich. All those sports stars who retired young can easily slip into poverty.

11. You can do average things and fail multiple times, but you can still become rich.

12. Financial freedom is the biggest success possible.

13. Be rich. Don’t focus on looking rich. Be humble and save money.

14. Dollors saved are equal to dollors earned in value.

15. Go for cash flow instead of capital gains. If you can generate positive cashflow other things will take care of themselves.

16. Try to build assets which put money in your pocket, even when you are not working. That elusive thing is called passive income.

17. Whenever you calculate your gains always keep inflation in mind. It reduces purchasing value of your money. This 100 rupee note will be less useful five years from now.

18. Don’t try to be cheap. Try to be useful to others. Don’t die fighting for pennies. Keep your heart big and vision broad. Don’t be 11 th fruit seller in a row on roadside. Enter business with substantial returns for your efforts.

How to finish almost everything that you start! #personalgrowth #habits#psychology

Category – Business
Reading time – 5 minutes

Starting is easy. Every year millions of people start things. They take resolutions. They start journaling. They even start evening walks and blogs.

Many more testosterone filled souls start revolutions. But it is both frightening and disheartening that 92% of the revolutions fail. Especially violent revolutions.

Non violence has better chance of succeding, as it stays for longer duration and gets more moral support. So we humans are excellent starters but very poor finishers.

Projects, books, loveletters, charities, homeworks, commitments, most of businesses in long term don’t finish well.

So, finishing a thing is an extremely rare skill, that is must for every restless entrepreneur.

What can you do. Here are few things

1. Don’t aim for perfection.

Nobody was perfect and nobody will be. Do best whatever you can do. And just don’t mess up voluntarily. Accept that you are normal ape, that is not perfect.

2. Divide and rule –

Divide big work into small tasks. It frightens less. It remains manageable. It keeps your brain away from panic and chaos. If you want to write a book try to write a page first.

3. Make things fun –

Attach some reward or pleasurable activity with your work. Listen to music. Go out while drinking your coffee if you should. Watch a cricket match on reaching home.

4. Remove noble hurdles –

They represent part of perfectionism. Things like, ” If I do this, then I will… need to be avoided.

5. Measure progress –

You will get idea about how much have you accomplished.

6. Find your space –

Identify time and place, where you are generally most productive. I know you count bathroom in, and it’s ok, if you are creative there.

These things will help you finish a lot more thing. A half done work is not useful to anybody.

Inspiration – Finish by Jon Scuff
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how future leaders should be working? #simonsinek #leaderseatlast

Category – Business

Reading time – 5 minutes

I am not a big fan of leadership books. They are all little bit skewed in their content. They are either very superficial or they paint too idealistic picture of a leader.

As mankind has progressed, rules have changed. We need new type of leadership for future businesses and organisations. Good old paternistic bosses, who wagged their tongue as a whiplash are useless in a generation of individualism.

Leaders of present times need to carry a smile and graditude on their faces and every employee commands a certain degree of respect and freedom. Time and again different studies have confirmed that happy employees lead to happy customers and hence a happy balancesheet for the company.

Few perks and freedom to feel control over their job; leads to more productive workers. This feeling of control erodes away any feeling of insecurity that is prevelent in present job system, where health benefits and pensions are literally absent.

Employees in small teams who trust each other and are free of interteam competition; is a dream of every manager. After 1980, individualism became an accepted theory and fences started appearing between people. This created a dehumanised society; which focuses on profit before environment or poor people.

Rich pay less taxes. They find all possible loopholes to evade taxes. This leads to ever increasing inequality and rich finally end up in such a strong position that they lobby strongly against any change in tax laws.

Self employed and salaried people pay significant part of their income in taxes; as they do not posses knowledge and resources to use tax system loopholes.

So at the end of the day, employee feels good if he had a decent treatment in office. A respecting boss and cordial working environment that permits few human mistakes will make them forget all the odds stacked against them.

So we need leaders who have respectful way of getting things done by their workers and who are ready to handover some control to their workers; so that they feel that they are driving a part of this company.

We need more of oxytocin surge; which leads to feeling of friendship and generosity and lesser levels of cortisol.

Inspiration – Leaders eat last by Simon Sinek.https://www.amazon.in/Leaders-Eat-Last-New-Chapter/dp/0670923176

12 things that businesses produce – Basics of business – #business #money #productivity

Reading time – 3 minutes
Category – Business



If you have started a business. That’s a good thing. Congratulations for your efforts.

All businesses of World produce value, which they provide to the masses. This is the value for which people pay their hard earned money.

Here are various forms in which businesses provide value –

1. Product –

They produce a physical or digital product which solves problems of customers.

2. Service –
They serve to solve particular problem of customers like doctors, financial advisor, lawyers, coaches, teachers etc.

3. Shard resource –
Produces a durable entity that can be shared by multiple users.
Like marriage palace, gym, theatre, mall etc.

4. Subscription –
They have recurring fee for a service or product.
Like Netflix, editing softwares etc.

5. Resale –
Here we buy a product at margin and sell it on a profit.
Like retail stores, online stores etc.

6. Loan –
Money is given with predefined interest on loan.

7. Ticketing or licensing
For a particular fee a specific facility is provided for limited duration.
Like movie tickets, licence of guns, coupons, discount cards etc.

8. Insurance –
Transferring risk from buyer to seller after charging some amount.
You know there are so many of them around. They are continuously spamming your phone and emails.

9. Capital –
Purchase of ownership in a business.
Venture capitalists and investors.
You need to have good knowledge before you do that.

10. Aggregation
Potential buyers are aggregated in a common place to publicise and create some revenues.
Like trade fairs, conferences.

11. Agents –
They don’t produce themselves. They help produces to reach their customers. Like ad agency, PR agency, literary agents.

12. Lease
In it particular assett is given on a fee to use. After customer goes next customer uses it.
Like boat, castle, car, motorcycle etc.


So, whatever business you do try to know what you are creating.

Also it is very important to notice that we might be missing few more things. Will like to hear from your side.

Inspiration – Personal MBA by Josh Kaufman.
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#1- Why idiots are idiots- The Dunning Kruger effect #50brightideas #science

Reading time – 2 minutes.

Category – Psychology

You are generally well versed with excess of idiots around you. It is common habit of homo sapiens to assess IQ level of people surrounding them by observing their behaviour and actions.

So many of them. Some are actually there. Few we assume, as we don’t like them.

Some people are different from us, hence sound idiotic to us and vice versa.

But human population seems to possess the people fully qualified to be labelled as idiots.

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And there is one phenomenon, which explains why they are not aware themselves; that they are idiots.

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Congnitive dissonance or Dunning Kruger effect ( Dk effect).

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It was shown in a study by David Dunning and Justin Kruger that human beings overestimate their ability and that is proportional to their incompetence.

Expert may doubt themselves, but idiot never do that.

There is a fixed pattern, more incompetent somebody is, more competent he feels.

People are very bad at objective assessment of their own ability.

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As they become more competent their overconfidence reduces and they come to senses.

It may be explained, that due to low brain capacity; they are not even able to see themselves clearly.

Hence incompetence and overconfidence is a risky combo. Stay miles away from such people.

According to Duning and Kruger;

there are four stages of competence –

1. Unconscious incompetence-

Person is not aware of his foolishness. Don’t try to reason with him. He will accept any challenge and feels super competent.

2. Conscious incompetence

Gets aware somehow. Due to learning or experience or failures. This is stage of enlightenment. Somebody or some situation opens his eyes.

3. Conscious competence

Person becomes better but still knows there is a lot to learn. Hence keeps learning.

4. Unconscious competence

This is ultimate target. One is expert with little conscious effort.

He still knows that he has many limitation. Risk and benefit analysis gets better.

So next time you see a person you consider idiot; just imagine him being a victim of Dunning Kruger phenomenon. Let him be what he is.

Inspiration – Many books.