Representative image of a money bag carrying the Indian Rupee symbol.
Credit: iStock photo
Even though Vigilance Awareness is observed once a year to remind us of our duty in building a fair, transparent, and corruption-free society, its message remains relevant throughout the year. Vigilance is not limited to institutions or public offices; it begins with each individual. While public vigilance often focuses on holding systems accountable, one crucial dimension is frequently overlooked: vigilance in our personal financial behaviour.
In a rapidly digitising economy, financial safety is no longer only the government’s duty; it is equally a citizen’s responsibility. The recent rise in digital frauds, unauthorised transactions, online scam investments, and misuse of personal data underscores the need for Indians to stay alert and financially disciplined.
Vigilance today starts at home with how we earn, spend, save, invest, and transfer wealth.
First, our vigilance must begin with how we earn. Whether salaried or self-employed, individuals must ensure their income is legally earned, properly documented, and routed through compliant channels. Blindly signing as guarantor, handing over personal financial credentials, or engaging in unregulated freelance work can cause long-term damage. Awareness about salary deductions, timely deposit of PF and TDS, and checking data on AIS/26AS are essential steps in safeguarding one’s financial rights.
Second, prudence in spending is a crucial aspect of financial vigilance. Consumers today are constantly targeted with easy loans, buy-now-pay-later schemes, and EMIs even on lifestyle purchases such as vacations and events. Reckless spending behaviour, especially driven by digital convenience, can lead to debt traps. Individuals must differentiate needs from wants and insist on proper invoices for every purchase, not only to protect their consumer rights but also to discourage tax evasion and leakages in the economy.
Third, vigilance in saving and investing can determine the future financial security of a family. Unverified high-return schemes, unregulated chit funds, and speculative trading continue to cause widespread losses. Basic financial awareness understanding risk, inflation, diversification, regulatory oversight and suitability to goals is essential before committing one’s lifetime savings. Money must work even when we stop working, and that is possible only with informed investment decisions.
Fourth, compliance in tax matters is not merely a legal requirement but an ethical responsibility. False deduction claims and fraudulent refund practices may appear harmless, but today’s data-driven tax administration system reliably detects discrepancies. Honest self-assessment ensures peace of mind and strengthens national financial governance.
Finally, vigilance extends to ensuring smooth succession of wealth. A large number of family disputes in India arise due to absence of Wills, missing nominations, and poorly documented assets. Estate planning including maintaining updated records and a properly drafted Will is a simple step that can prevent emotional and financial distress for future generations.
Vigilance in personal finance is not just about detecting frauds or preventing losses. It creates a financially resilient household, promotes a culture of compliance, and contributes to the economic integrity of the nation. When citizens are alert and responsible with their own finances, the overall governance ecosystem becomes stronger.
Let us therefore treat vigilance in personal finance not as a campaign for a week, but as a conscious, lifelong habit, one that protects both individual wellbeing and national integrity.
(The writer is Chartered Accountant & Partner at Balakrishna and Co)