A fool and his money are soon parted

    It's only ₹ 500! How many times have you heard these words in an ad? The word "only" is supposed to make you think that this is a steal! But is it really such a great deal? Look closer. Think about it before you spend your precious pocket money.

    Wish all of us could be this smart while choosing what to take or buy. Well we can be! All it takes is a little patience and some practice.

    We just have to begin by deciding whether we want to get the best value for our money, buy what we really need or just settle for the first available option. The answer is obvious isn’t it?

    Dictionary meaning:
    Spend [spɛnd] - give (money) to pay for goods, services, or so as to benefit someone or something

    • Don't shop as entertainment. When you hang out at the mall on a Saturday afternoon, you see things you don't need. But because you see them, you want them.
    • Wait for the sale. When you see something you like, find out if the item will go on sale anytime soon. But don’t buy something you don’t need just because it is on sale.
    • Shop at places other than the mall. There are plenty of cheaper markets.
    • Don't spend all that money on drinks and popcorn. Eat before you go to the movie.
    • Be a smart consumer. Use the internet and collect all the information and reviews. Be a smart shopper – and save money!
    • Get value for money. Is that extra cheese on the pizza worth another ₹ 200?
    • Spend on needs not wants. Follow the Give-Save-Spend steps and spend on wants only if you have money left to spend after taking care of all other needs.
    • Don’t buy anything just to seem cool. Don’t buy anything just because your friends are buying it or because buying it will make you popular.
    • Don't underestimate saving a little here and a little there. Even if you save ₹ 50 every week. By the end of the year you will have about ₹ 2600.
    • Never borrow money to spend on your wants.
    • Pause to ponder: Do you really need this? Is it ‘really’ worth the money you are paying for it?

      Caution: In a time of credit cards, internet banking and online shopping, you may not see people buying products with physical money like notes and coins. Not seeing money exchange hands may make it harder for you to understand what things cost. You can start seeing this invisible money as an unlimited resource rather than real money coming in and out of your family's bank accounts. Talk to your parents about money often to help them make this invisible money real.

“Never spend your money before you have it.” ~ Thomas Jefferson

“The price of anything is the amount of life you exchange for it.” ~ Henry David Thoreau

“It’s not your salary (pocket money) that makes you rich, it’s your spending habits.” ~ Charles A Jaffe

"The gratification of wealth is not found in mere possession or in lavish expenditure but in its wise application." ~ Miguel de Cervantes Saavedra

The idiom ‘a fool and his money are soon parted’ warns us that foolish people spend all their money without thinking and you ‘pay through the nose’ when you pay too much money for something. ‘Suit your pocket’ means that you can afford something, while ‘living beyond your means’ suggests spending more than you can afford.

TIP is the acronym for “To Insure Promptness.”
The ING Zing Survey conducted in 2014 collected feedbacks from 4,067 parents across the country and asked them their perceptions about children and online shopping. The survey found that though 84 per cent of parents have shopped online themselves, a majority of them were worried when it came to their children. Out of the many reasons, the most prominent ones were:
They are “worried that the child might be tempted to buy items that are not necessary”.
They also felt that children might fall prey to online scamsters.
Forty-nine per cent of parents said they would not encourage their children to shop online.
Always follow the Give-Save-Spend chain. Never spend first. Spend on your needs first. Wants can wait.
Cheaper isn’t always better. Always check for all hidden costs as well before buying anything.
Don’t buy what you can’t afford.
Think of the intangible costs like time spent and things you have to give up, before buying anything. And finally, never buy anything under peer pressure.


  1. Take a print of the expense tracker.
  2. Every time you buy something, record the expense in the tracker.
  3. Make sure you mention the category- Need or Want- so that you are aware of what you are spending on.
  4. With regular use this tracker will help you identify necessary and/or avoidable expenses.
  5. Take a fresh print every time you exhaust the previous one.
  1. MRP
    1. Next time you buy something, check the MRP (Maximum Retail Price) printed on the item.
    2. Make sure you are not paying more than the MRP.
    3. You can however, ask for a discount on the MRP.
  1. Combo offers
    1. Every time you come across a combo offer, do not assume that it will be better.
    2. Check whether you need all the items in the combo.
    3. Also check whether the cost of the items together is less than the cost of what you would have bought if the combo was not available.


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