Workshop for teachers on Financial Literacy

Posted by on Jul 11, 2018 in School News | Comments Off

While money doesn’t grow on trees, it can nevertheless grow when one saves and invests wisely. To develop financial knowledge, life skills and confidence for managing one’s money, School held a workshop for teachers on financial literacy on Thursday, 28 June 2018. The session was ably conducted by Ms. Prachi Kacker ( VP PTA ) and Mr. Sanat Kacker. The aim of the workshop was to educate the audience about concepts of investment, its benefits and the use of different tools of investments.

The speakers, Ms. & Mr. Kacker highlighted the importance of savings and investment planning. They explained that the first step to maximising gains is to keep a track of one’s income and expenses month to month ( including all expenses like taxes, debts, transportation, utilities, food etc. They asserted that investment should be planned in a way which gives the financial security and simultaneously helps achieve one’s personal goals and lifestyle. There cannot be a guarantee for actual returns, but if individuals are aware about options of savings and investment and then follow through with an intelligent plan, then financial security can be substantially assured.

The speakers explained the various tools of investment like bank fixed deposits, Post office schemes, real estate, insurance, PPF, gold, shares and stocks, mutual funds etc. They also elaborated upon mutual funds, and how these work with their pros and cons.

The teachers were quite surprised to note that the value of money in a savings’ bank account effectively decreases due to inflation, if not invested wisely. They also shed light on life insurance and health insurance. It was specified that tax planning is the basic duty of every individual and should be carried out religiously.

Some important tips for better planning:

• Prioritise goals. Understand whether you have a short-term goal like buying a new car, mobile, property etc or a long-term goal like children’s education, retirement, loan repayment etc.
• Consider the range of financial products and investments available to you. You will need to spend some time understanding these and how to use them to satisfy your goals. There are also some products which claim to help you reach a specific goal, but carry risk- so always remember to buy only the products you thoroughly understand and have a level of risk you are comfortable with.
• Don’t put all your eggs in one basket. Make sure that you spread your investments.
• Carefully research the investment plans you feel inclined towards.
• Review your financial plan regularly and adjust it when your resources, needs and situations change.
• One must have enough savings in a liquid fund or a bank FD to sustain ones’ lifestyle for three months in case of an emergency.
• One must keep some cash at home for exigencies.

In the end, the workshop emphasised upon the importance of protecting our own interests by asking questions and thoroughly investigating the scheme(s)we are opting for. Financial planning is the key to a secure future.

As soon as a child is born, one must open a bank account so that one can start saving from an early age. It is crucial to inculcate the habit of saving and teaching the value of money to our children.

Ms. Mehak Gumber.

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