Thought Experiment around the perceived value of money
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APR 4, 2024
him
Thought Experiment around the perceived value of money 💰
If your monthly salary is X (say $2000) and the government comes up with a lucrative scheme, where if you agree to participate, your monthly salary is tripled ($6000) every month forever.
But you only get 10% of your original monthly salary ($200) in your bank account presently. The remaining amount ($5800) is deposited in a mutual fund of your choice every month, which can only be available to you to use (as liquid money) after 10 years of depositing.
him
Would you agree to participate in this government scheme to triple your monthly salary?
Yes, of course. I will make crazy amount of money in the long-term
46%
No chance! Even if it's lesser, I need that money available to use right away
53%
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Poll ended
Poll ended
rajat
Can I live on $100 monthly?
him
$2000 is just to help people calculate.
It's not about the expenses TBH.
rajat
that is also for calculation. Not literal $100
him
You should put your actual monthly salary and then go through this experiment @rajat
rajat
wont work then! I cannot live on 10% of my salary.
edited
vaibhav
Don't underestimate the power of compounding
❤️
him
Rajat Gupta
wont work then! I cannot live on 10% of my salary.
Even though future upside is that high?
rajat
The man has to be eat food to live!
arnab
Vaibhav Bansal
Don't underestimate the power of compounding
Not underestimating the power of compounding, but if 10% of my salary is not enough for me to survive, then I won't be participating in the scheme.
Need to pay rent, need to eat food right.
edited
❤️
him
Some of you might have other folks earning in the household as well. Can their salary handle the expenses while this becomes a crazy upside for the future. No?
rajat
May be for some people 10% is enough to survive. :)
❤️
Shivani27
I don't want to restrict myself for 10 years and i believe I can find other investment options also
❤️
vrittishah
Since I have folks earning in the household, I'd do it. I'd give my money to the government. But that also has a lot to do with privilege. If that wasn't the case I don't think I can meet my basic survival needs with 10% of my salary.
❤️
sakshi
I would do it. I realize the privilege I have and would take measures to spend less. I will also be creative to take a 2nd job that doesn't interfere with my first and probably move to a nearby city that is less expensive. To some extent we all work to secure the future I feel, if this is a sureshot way to do that, why not?!
❤️
arun6094
I’d probably be fine with 50ish%
rajat
Sakshi Chowdhry
I would do it. I realize the privilege I have and would take measures to spend less. I will also be creative to take a 2nd job that doesn't interfere with my first and probably move to a nearby city that is less expensive. To some extent we all work to secure the future I feel, if this is a sureshot way to do that, why not?!
Wow! you would rather have more money and do 2nd job then spend time with family.! Salute!
edited
him
Arun Pattnaik
I’d probably be fine with 50ish%
Not an option
sakshi
Rajat Gupta
Wow! you would rather have more money and do 2nd job then spend time with family.! Salute!
European baatein mat kro
rajat
Sakshi Chowdhry
European baatein mat kro
India main bhi asea ko mara mari nahi hai.! atleast for the people reading this.!
rajat
Sakshi Chowdhry
European baatein mat kro
And before getting 2nd job for money. Change your first job 🙃
him
Rajat Gupta
Wow! you would rather have more money and do 2nd job then spend time with family.! Salute!
If people can do this as first job, why not second?
❤️
Shagun
Himanshu Khanna
Thought Experiment around the perceived value of money 💰
If your monthly salary is X (say $2000) and the government comes up with a lucrative scheme, where if you agree to participate, your monthly salary is tripled ($6000) every month forever.
But you only get 10% of your original monthly salary ($200) in your bank account presently. The remaining amount ($5800) is deposited in a mutual fund of your choice every month, which can only be available to you to use (as liquid money) after 10 years of depositing.
Having 10% of my salary for now and investing the rest in mutual funds is the best option for me. I would focus more on learning new agricultural techniques, increasing yields, and experimenting with them, while having a large sum of money waiting for me in the future
❤️
rajat
Himanshu Khanna
If people can do this as first job, why not second?
Sure. They can do third as well. If they wish to.
❤️
APR 5, 2024
RishabhBhaumik
I would rather the government either raises salaries or cuts cost on goods and services.
People should have the freedom to be financially irresponsible.
him
Rishabh Bhaumik
I would rather the government either raises salaries or cuts cost on goods and services.
People should have the freedom to be financially irresponsible.
'Financially irresponsible' 🫡
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ankitsaj
Himanshu Khanna
Thought Experiment around the perceived value of money 💰
If your monthly salary is X (say $2000) and the government comes up with a lucrative scheme, where if you agree to participate, your monthly salary is tripled ($6000) every month forever.
But you only get 10% of your original monthly salary ($200) in your bank account presently. The remaining amount ($5800) is deposited in a mutual fund of your choice every month, which can only be available to you to use (as liquid money) after 10 years of depositing.
It’s conditional on if I am able to receive my needs and necessity amount for the month in that 10% of salary.
pronoyb074575
Ankit S
It’s conditional on if I am able to receive my needs and necessity amount for the month in that 10% of salary.
+1
him
Ankit S
It’s conditional on if I am able to receive my needs and necessity amount for the month in that 10% of salary.
Then we're definitely not thinking about this experiment :)
Sam
If we can use leverage on the future income, I would surely opt for option 1. I would seek a loan from Bank / Close relative to meet my current expenses
Sam
But the key point is do you trust the government?
him
Sampat Bhansali
But the key point is do you trust the government?
We need to be able to do this, for the thought experiment to make sense
him
Sampat Bhansali
If we can use leverage on the future income, I would surely opt for option 1. I would seek a loan from Bank / Close relative to meet my current expenses
Pretty interesting!
nitesh
Second option is, we will have access to the sum of money tripled every month for 10 years right away?
him
Nitesh N
Second option is, we will have access to the sum of money tripled every month for 10 years right away?
Haha. Then who’d say no?
nitesh
😅
Salary here refers to all source of income for the one who would participate and also any new income source one would come up with that was not part of the mix during opting to participate?
him
Nitesh N
😅
Salary here refers to all source of income for the one who would participate and also any new income source one would come up with that was not part of the mix during opting to participate?
Why not?
ishant
Sampat Bhansali
If we can use leverage on the future income, I would surely opt for option 1. I would seek a loan from Bank / Close relative to meet my current expenses
Interesting
APR 6, 2024
tejovanthn
Sampat Bhansali
If we can use leverage on the future income, I would surely opt for option 1. I would seek a loan from Bank / Close relative to meet my current expenses