Personal Finance tips from 2022 to keep you happy in New Year 2023

Dec 23, 2022 Rajeev Kumar

Big events of 2022 has given us many financial learnings. Let’s dive into these lessons to become financially safe and happy in 2023

Crypto Crash

Crypto market crash in 2022 exposed the risk of investing in unregulated assets. Crypto market crash in 2022 exposed the risk of investing in unregulated assets. Lesson: Never invest in something you don’t understand. Lesson: Never invest in something you don’t understand.

Market Volatility

The stock market witnessed sharp declines in first half of 2022. But in second half, stocks made a strong recovery. The stock market witnessed sharp declines in first half of 2022. But in second half, stocks made a strong recovery. Lesson: Aim for the long term, be patient Lesson: Aim for the long term, be patient

Interest Rate Hike

Starting May 2022, key interest rates increased by 225 basis points, EMIs went up and loans became expensive. Starting May 2022, key interest rates increased by 225 basis points, EMIs went up and loans became expensive. Lesson: Prepayment of loans is key Lesson: Prepayment of loans is key

Rising inflation

Inflation disrupted household budgets in 2022 as costs of food, medicines, clothing, transportation, education increased. Inflation disrupted household budgets in 2022 as costs of food, medicines, clothing, transportation, education increased. Lesson: Invest to raise purchasing power Lesson: Invest to raise purchasing power

Rising FD rates

Following repo rate hikes, loans became costly in 2022 but fixed deposit rates spiked. Following repo rate hikes, loans became costly in 2022 but fixed deposit rates spiked. Lesson: Ladder your FDs to enjoy higher returns. Lesson: Ladder your FDs to enjoy higher returns.

Big Layoffs

Looming fears of an economic recession have led to layoffs worldwide in 2022. Looming fears of an economic recession have led to layoffs worldwide in 2022. Lesson: Have an emergency fund Lesson: Have an emergency fund

Takeaways

Prepay loans Prepay loans Avoid crypto Avoid crypto Keep Emergency Fund Keep Emergency Fund Make investments Make investments Ladder your FDs Ladder your FDs Invest for long term Invest for long term Learn more