For generations, festivals have shaped how Indian families think about money. Gold bought on Dhanteras or cash gifted to children has long stood for prosperity, security, and celebration. These traditions remain strong, but families are also becoming more conscious of where their money goes.
The question is no longer only how much to save or spend. It is also about what that money is meant to achieve.
SEBI's Investor Survey 2025 provides some perspective. Households set aside about one-quarter of their monthly income, with 15% going towards savings and 9% towards investments. Among households that invest in securities-market products, 17% goes into investments. The survey also shows how closely financial decisions are linked to life goals. Children's education is the leading goal, followed by supporting family, growing wealth, and buying a house. Retirement is the top goal for just 4%.
Also Read | Layoffs Are Rising In Tech, But These Skills Are Helping People Unlock Better Pay
This suggests a different starting point: not the product, but the purpose. What does this money need to achieve, and when will it be needed?
Gold is a timely example this festive season. It continues to hold an important place in Indian households, but higher prices are changing how people buy it. According to the World Gold Council (WGC), India's gold demand fell 6% year-on-year to 131 tonnes in April-June 2026. Yet spending on gold hit a record for that quarter at Rs 1.98 lakh crore, up 50%, as domestic prices rose nearly 60%. Simply put, Rs 1 lakh bought about 10.5 grams of gold a year earlier, but only about 6.6 grams now.
Buyers are adapting. A WGC-Kantar survey found consumers opting for lighter, lower-carat jewellery and smaller purchases. It helps to be clear about the role of each purchase, whether it is a festive tradition, a store of value or part of a broader financial plan.
The same thinking applies to a festive bonus. There is no universal formula, but it helps to split it three ways: money for immediate expenses, a cushion for emergencies and money that can be invested for longer-term goals.
This becomes more relevant as investing becomes easier. AMFI data shows that SIP contributions reached a record Rs 32,297 crore in August 2026, up 14% year-on-year, while SIP accounts making contributions crossed 10 crore for the first time. Regular investing is now a visible part of household finances.
At the same time, information is everywhere. Investors can move from a market headline to a stock tip within minutes. SEBI's survey found that 62% of investors make some or most decisions based on finfluencer recommendations. The harder part is knowing what deserves attention and whether it fits into our financial plans.
A child's education ten years away, a home purchase in five years and retirement two decades away are all financial goals, but with different timelines and risk considerations. Treating them alike just because they are all labelled investments can mean losing sight of the larger purpose.
The festive season is also a good time to revisit what has changed, which goals are approaching and whether the money being set aside still has a clear purpose. Traditions around money do not need to disappear for financial behaviour to evolve. Gold can remain a Dhanteras tradition, gifts an expression of affection, and spending on family a part of the festival celebration.
What can change is the way we approach these decisions. What matters is knowing what each festive purchase, bonus or SIP is meant to achieve.
This festive season, it is worth asking a simple question: What am I setting this money aside for, and is the way I am using it helping me get there?
About The Author: Mr. Milan Parikh is the Managing Director and Chairman of Jainam.
Essential Business Intelligence, Sharp Market Insights, Practical Personal Finance Advice, Daily Fuel, Gold and Silver Prices and Latest Stories — On NDTV Profit.
