Discover your financial personality with this fun quiz
When it comes to financial planning, are you clued-in or carefree? Our quiz won’t just give you answers, but some handy financial tips as well.
We don’t just make money; money often makes us who we are. In one of our previous blogs, we mentioned that your financial personality decides whether money can make you happy or not. So, perhaps it’s a good idea to figure out what money means to you and why. We’ve mapped out a fun way to do this while sharing a few serious strategies along the way.
1. Money is…
a) More calming than yoga
b) The only payment they accept at malls
c) Your spouse’s/parents’ responsibility
d) What you ask for as a birthday gift every year
2. Someone mentions gold, and you think of…
a) How much the jewellery in your locker is worth
b) The gold credit card with no limit
c) What you wore/will wear for your wedding
d) The metal with an average return of 7.21%
3. You’ve unexpectedly inherited ₹5 lakhs! How would you spend your money?
a) Stow it away in your savings account
b) Quit your job and travel across Europe
c) Donate it to charity
d) Divide it up between different funds
4. You’re out for dinner with friends. When the bill arrives you…
b) Graciously foot the entire bill
c) Go along with whatever the group suggests
d) Pull out your calculator and insist that everyone pays only for what they ate
5. A budget is…
a) How you keep your life in control
b) That annoying thing you always exceed
c) What the Finance Minister announces
d) What you do every Sunday instead of the crossword
If you got mostly As you’re a Hoarder
You view money as security, to the extent that saving it gives you immense satisfaction. On the flip side, spending it causes stress and you penny-pinch unnecessarily. This mostly occurs with people who’ve had financial difficulties during childhood and are afraid of facing such a situation again.
What you should do: Since financial security is your priority, consider investing in steady streams such as PPF or a debt fund. They will give you better returns than the interest rate on your savings account while keeping your principal amount safe. Planning for retirement will also put you at ease, as will maintaining an emergency fund.
If you got more Bs, you’re a Spender
You like to live (and spend) large and believe that experiences are more important than money in the bank. Spending money on yourself and others gives you a sense of validation.
What you should do: Having just a minimum balance in your account will leave you exposed during a crisis, so at least keep an emergency fund (with enough to cover 6 months’ expenses) ready. Chances are, you’ve also piled up a significant amount of short-term debt in pending credit card bills.
Clear it with our five-point strategy, since paying the interest is a drain on your finances;
Mostly Cs makes you a Day-dreamer
You view dealing with money as unpleasant or complicated and so prefer the bliss of ignorance. Unfortunately, it’s not a tenable situation, and you’ll be at a disadvantage sooner or later.
What you should do: Take ownership of your money. Figure out how it’s being spent and where it’s being invested. Consult a financial advisor if this feels overwhelming. At Basis, for example, we specialise in helping women with financial planning by offering expert advice, educational content and an online community. Take it slow and give yourself simple tasks towards empowering yourself financially.
Mostly Ds? You’re a Number-cruncher
You’re a pro with finances, but that doesn’t always extend to financial planning. In fact, if you’re over-involved with money, it’s stemming from anxiety. That means you could either be very cautious or too reckless with your investments.
What you should do: Get an expert to look over your investments. If you’re still in two minds, give the Basis app a try. Created for women investors by women advisors it recommends funds for you based on your specific criteria. It runs 2,000 simulations before listing funds that meet your requirements, so you could pick up a couple of pointers from the experience.
Money will always be one of the most influential factors in our lives. It’s only fair that we get to control money as much as it controls us. With Basis, that task just got a little easier.