In financial planning, one of the biggest mistakes people make is comparing their financial journey with someone else’s.
“My friend is already investing ₹1 lakh every month.”
“My colleague bought a house at 32.”
“My cousin has a ₹2 crore portfolio.”
“Someone I know retired at 45. Why am I so far behind?”
These comparisons may look harmless, but they can quietly push us into financial decisions that are not right for us.
The truth is simple: Everyone’s financial journey is different because everyone’s life is different.
Your goals are different.
Your income is different.
Your responsibilities are different.
Your risk appetite is different.
Your lifestyle choices are different.
And most importantly, your definition of financial freedom may be completely different from someone else’s.
Consider two friends
Rahul and Amit are both 35 and earn ₹2 lakh a month.
Rahul wants to retire early, has no plans for children, is comfortable with market volatility and is willing to invest ₹ 80,000 every month.
Amit, on the other hand, wants to buy a house, has two young children, supports his parents and prefers greater stability. He can comfortably invest only ₹40,000 a month.
Should Amit feel that he is “behind” Rahul?
Absolutely not.
They are playing two completely different financial games.
If Amit starts investing ₹80,000 simply because Rahul is doing it, he may have to compromise on his children’s education fund, emergency reserves or lifestyle. What looks like financial progress from the outside may actually be financial stress for Amit.
Another common trap: Following someone overly ambitious
Sometimes, we compare ourselves with people who have an unusually high appetite for risk or an exceptionally aggressive financial target.
Imagine someone saying: “I want to double my money in three years. I am investing aggressively, and you should do it too.”
It may sound exciting. But what if you are someone who loses sleep when your portfolio falls 15%? Following that person’s strategy may give you a theoretically higher return potential, but if you panic during a market correction and exit at the wrong time, the strategy becomes irrelevant.
A strategy is successful only when you can stay invested through its journey.
Don’t compare the destination. Understand the journey.
Someone else’s ₹5 crore portfolio may have been built over 20 years.
Someone else’s ₹1 lakh monthly SIP may be possible because they have a completely different income and expense structure.
Someone else’s early retirement may have involved sacrifices you may not be willing to make.
And that’s perfectly fine.
Financial planning is not about becoming like someone else.
It is about answering questions such as:
What do I want? How much do I need? What can I comfortably invest? What level of risk can I handle? And what journey can I realistically stay committed to?
The goal isn’t to win someone else’s race.
The goal is to reach your own destination without losing your peace of mind along the way.
In personal finance, there is no universal definition of “enough” and there is no single path to financial freedom.
So, instead of asking:
“Am I ahead of them?”
Perhaps the better question is:
“Am I on track for the life I want?”
Because ultimately, your financial plan should fit your life — not someone else’s.
