It is also traditionally observed as the birthday of Parashurama, the sixth incarnation of god Vishnu.

The tamilian legend associated with Akshaya Trittiya is that Kuchela, the poor friend Of Krishna went to see Krishna with some aval (poha) tied in his upper cloth. Kannan welcomed Kuchela happily and putting a handful of poha in his mouth uttered the word “Akshayam”. At once, the humble abode of Kuchela became a palace and he became a very prosperous man.

Another legend suggests that the Pandavas received the Akshaya Pathram (bowl) from Lord Krishna (in the Mahabharata) on this day

Starting a new activity or buying valuables on this day is considered to bring luck and success. The religious merit that is acquired by giving gifts on this day is considered inexhaustible. Many buy new gold jewelry on this day. Most Jewel stores stock in new jewelry models for this occasion with "Lakshmi-inscribed" gold coins, diamond jewellery and golden dollars with the pictures of many gods and goddesses.