When you have a regular mortgage, you pay the lender every month to buy your home over time. In a reverse mortgage, you get a loan in which the lender pays you. In Reverse mortgage, Bank takes part of the equity in your home and convert it into payments for you – a kind of advance payment on your home equity. The money you get usually is tax-free.
Generally, you don’t have to pay back the money for as long as you live in your home. When you die, your estate will be used to repay the loan.
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Reverse Mortgage loans are not right for everyone. It may surprise you to hear a lender say this, but it is true. If you are looking for a short-term loan you may be better suited for a different type of financing. A reverse mortgage loan can sometimes require closing costs and upfront mortgage insurance premiums which would make it impractical as a short-term solution in some cases.
However, for those who wish to remain in their homes and need extra cash flow to do so, the Home Equity Conversion Mortgage may be exactly what you are looking for.
Financial distress on account of the Covid-19 pandemic is the biggest challenge to bringing lives, communities and the weakening economy back on track. Millions of people have lost jobs. Millions more have had to take deep pay cuts. Many families have lost their sole breadwinner.
Everyone should ensure resourceful financial planning which will consist of goals, irrespective of their age, income profile, risk, and should have an asset provision. The financial plan should explain what assets to invest in and get significant exposure to those assets. Every investor should take a look at a financial plan on an annual basis which will help them to assess the validity and optimality of the same.
An individual should also plan for life measures and changes in the upcoming year that may affect the financial situation in the coming years, such as school/ college admission for children, functions, purchase of a house, etc.
The first thing every individual must do is create a balance sheet of all their assets and liabilities. The balance sheet must have every transaction of all the assets that the individual has invested in. This will also help an individual to keep track of all transactions and plan your finances in a more resourceful manner and decide your goals and assets.
Following are the points that can ensure your financial planning is on track:
1. Positively save every month no matter what
This is a very important part that helps you assess how much you save from your monthly income. An individual must save from the income according to the financial goals. From an individual’s salary, he should save 20-30% of surplus then only he can plan a better financial plan for wealth building purposes. A coin saved on a routine day would definitely help us on a rainy day.
2. Your net worth is going up on a yearly basis
An individual should understand whether his or her net worth is increasing on a yearly basis. If the net worth is increasing then it is great but if the net worth is decreasing then an individual has to work on it and savings should be done. In every month an individual has to invest to increase the surplus in an initial level of life. At every step of life, net worth needs a check so that investments and asset allocation can be done or reorganized based on the scenario.
3. Not heavily dependent on loans
Many individuals are depending on credit cards and they use them very frequently like personal loans, etc. This is an ongoing process and the debt keeps building up. It is harmful for financial plans and it will be difficult for the credit score for future taking long-term loans.
4. Are you protected by external risk?
It is very important to safeguard from other external risks. Accidents, medical emergencies will destroy your savings and will disturb your financial goals. So, an individual must have insurance policies like health insurance.
5. Bear expenses without external help
Sudden expenses like medical emergencies etc. can not be planned well in advance, there should be a certain amount allocated towards such unplanned contingencies. You should not lock all savings and should mark up some of it towards contingencies. This would save you an additional burden of interest etc. on the loan amount.
6. Consistent savings from your income
An individual should invest a fixed amount from the salary of every month. If your salary is 60K per month then you have to invest 6K every month. As the savings are done by an individual then only there is an increase in wealth. Starting with the small investments we can move to the large investments like mutual funds, share markets etc.
7. You should not over-leverage
You should not be overleveraged. If your salary is 60000 and your EMI is 45000 then it will be difficult to handle all the other expenses. It feels very convenient in the short term but on a long term basis, it is difficult to handle it. So, one has to manage the leverages and the left-over amount after paying leverage for the expenses and it should not be a burden.
8. Return are real earnings
The returns on investments must be fair and this should not happen that invested amount will bear less amount of interest or return. The analysis should be done beforehand and then the investments are to be done. So, the amount must be limited in a savings account and the investment in assets should be more to get more returns from mutual funds, shares, stocks etc.
9. High-level clarity from financial plan
An individual has to be clear while investing and managing the financial goals. The future goals must be focused on and keep in mind while planning the finance. The unclear goals must not be good for balanced financial affairs.
The article tries to sum up the pointers for checking whether your financial plan is on track. However, financial planning changes as per financial goals of the individual, risk appetite, and wealth-building requirement. Hence, it is recommended that the financial planning should be carried out by the professionals and should be revisited periodically to see if needed to maintain the validity and viability of the same.
Investing helps one in the future. All of us have goals in life, most of them require money. As your earning increases, your purchasing capacity also increases, which in turn increases your goals as well. It is always better to start saving early, so that it becomes easier to fund your future goals. Checkout our video to note few pointers on Financial Planning for beginners.
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This step-by-step guide empowers you to take action by building a complete financial portfolio. This means that not only do you own diversified investments across different asset classes, but you also have fully-funded retirement accounts, own your home, are debt-free, have a six-month emergency cash reserve, and you invest in yourself. Ensuring that each of these areas is optimized will set you up for financial success.
1. Review Your Spending in 2020
There are plenty of good alternatives to review and check the spending patterns. Whatever tool you use, it’s important to review your spending over an entire year. It may reveal patterns that you miss when looking at a monthly budget.
The first thing is to review where our money went.
- Did we spend our money in ways consistent with our goals?
- Did we overspend in some categories, or perhaps underspend in others?
- Do we want to make any adjustments in the new year?
The second thing is whether there were any periodic or unexpected expenses in the past year that we weren’t prepared for. Sometimes that can happen for reasons beyond your control. In 2020 that was the case for a lot of people.
The third thing to look at is all of the subscription services that we’ve signed up for. The number of these services seems to grow every year. These services range from streaming video to credit monitoring to news outlets. Once a year, list out all subscriptions and confirm that we still want each service. If not, then cancel it.
2. Update Your Net Worth Statement
The very first thing to do at the end of every year is to update our net worth statement. A net worth statement represents a snapshot of your finances, listing everything that you own (assets) and everything that you owe (liabilities). The difference is your net worth (assuming the difference is positive!).
A net worth statement reflects every single financial decision you’ve ever made in your entire life. And it’s the most important financial document to track. It’s important to compare where you are now not only with goals you’ve set for the future but also with where you’ve come from in the past. Seeing the progress, you’ve made over the years can help motivate you to reach your goals.
We can track our net worth statement cash and those assets that go up in value over time. So we include all of our investments, all of our bank accounts and our home. We don’t include things that overtime depreciate, such as a car. For liabilities, we keep track of all of our debt.
3. Rebalance Your Investment Portfolio
The start of a new year is a great time to rebalance your portfolio. Particularly after the wild ride, we had in 2020, it’s likely that many portfolios have drifted substantially from the planned asset allocation.
Rebalancing may not necessarily mean that we have to divert the funds to multiple investment alternatives blindly. Just to give an example, if you are already invested in plain vanilla investments like PPF etc., it is time to jump into some action. You may want to invest in mutual funds or stocks to take leverage of the risk factor and gain an edge over the earnings.
4. Check Your Investment Expenses
What is the expense ratio of every mutual fund you own? Or what is the weighted average cost of all of the funds in your portfolio? If you don’t know the answer to these questions, it’s worth taking a few minutes to find out.
However, you do it, use this time to make sure you aren’t paying more than you should for your investments. Sometimes, it may so happen that administration cost for maintenance and operation would take away a huge chunk of your earnings. The expense ratio is a great perimeter to observe this gap in the case of mutual funds.
5. Check Your Retirement Contributions
The start of a new year is also a perfect time to reevaluate your retirement contributions. If you aren’t taking full advantage of an employer match, consider increasing your contributions. Even if the increase is small, at least you’re making progress in the right direction.
6. Simplify Your Finances
Finally, now is a good time to simplify your finances. Countless retirement accounts, bank accounts and financial apps can make managing our finances more difficult. So, create a list of all the accounts, apps and tools you have. Then go down the list one by one to determine if you really need each one. Consolidate investment accounts where it makes sense. Remove any apps you didn’t use last year. And in the process, streamline how you manage your money. It just may remove some of the stress money can sometimes create.
Portfolio management is not a day’s work. It is a disciplined and planned approach to handle the funds that you have to optimal and appropriate use. Always keep in mind as to what they say, “If you don’t make your money while you sleep then you will need to work till you die.”
The easiest way to make the money work while you sleep is to automate the investments and exercise full control over the finances. The pointers above may guide you to pave the way towards a better financial future with an optimal portfolio in the year 2021. Be tuned to read more such interesting articles. Till then, Happy Investing!
Financial planning in 2021 – The year 2020 was one of such nightmares which many of us would definitely like to forget at all costs. Nevertheless, this year also taught us a lot about many aspects of life which we almost pay no attention to. In all, with the announcement of the vaccination drive for COVID-19, the year 2021 has rung a bell and has shown us a ray of hope in the gloomy times.
But has everyone learned the lesson for good from the year 2020 and has started acting upon it. New year resolutions have not gone stale yet and we would like to remind you as to how you can make the year 2021 the best year.
As we have steered ahead in Unlock 2.0, now slowly the finances, economy, employment markets, stock markets are beaming up. But until and unless you understand how to carry out financial planning for this new year 2021, you won’t be able to achieve much this year too.
So, let’s learn some quick tips for financial planning for 2021:
- Make financial resolutions for 2021 and stick to it
New year resolutions are really fun and motivating, but how to ensure that we stick to those? Try to mix consistency in your daily routine and reap the benefits of a loyal disciple of your own resolutions.
You could build a budget which may be designed to help you achieve some goals which may be
- Tax saving
- Retirement planning
- Vacation planning
- Emergency fund arrangements
- Wealth building for the long term
- Cutting back on unnecessary spending and shopping etc.
The list is exhaustive but it is always recommended that you should build a financial budget to ensure that at least 3 of your financial goals are achieved. Sticking to the budget is very easy and there are also some tools and apps available for your convenience.
- Tax Planning
Most people usually interpret tax planning as last-minute investments into anything which will suffice the deduction limit. However, there is much more to tax planning. Not all tax-saving instruments are made up to suit everyone’s risk appetite and investment goals. Let’s take the example of Mr. A who needs to invest in tax-saving instruments. Mr. A also wants to make most of it even where he is ready to accept moderate risk. Mr. A should invest in ELSS – Mutual Funds (blue chip or large-cap typically), which would allow him to claim deduction under section 80C. One more advantage is that Mr. A will be able to earn around 12-13% with moderate market risk.
- Investment Goals
If there is no goal, then there could be no financial planning. Ideally, financial planning would be divided into 3 types of goals
- Short Term Goals
Tax planning or contingency fund planning is usually the short-term financial goal. Short Term goals cover the time period of 1-3 years. The investments with a lock-in of 3 years period or investments with maturity for such a short period would be suited to meet certain annual cash flow or expenditure. A most suitable example of such expenditure would be insurance payments or school fees payment etc.
- Medium Term goals
A most appropriate example of a medium-term goal would be buying a house or school fees till graduation. Vacation planning can also be carried out in the medium term.
- Long Term Goals
Retirement planning would be peculiar examples of Long term financial planning. Investments having longer payment periods or with maturity/redemption expected at a much later date than 10 years would mostly be suitable. Equity investments would be also suitable for long-term financial planning.
- Medical Insurance
With COVID 19 in the background of the year 2020, the upcoming year 2021 would also be witnessing some ups and downs in the health security area. Following points to ensure that you are on the safe line.
- Revisiting the medical insurance coverage
- Check whether the current insurance cover is sufficient to cover hospital admission, room rent, etc.
- Check whether the medical insurance covers the major and terminal diseases
- Understand that it is better to pay the premium now and reduce the bigger cashflow at the time of the actual incident.
- Take care of your health
The year 2020 was a lightening effect to make us understand the benefits of good health. If you have good immunity, then you can definitely save yourself from multiple diseases and in turn much of your money too.
Subscribe to the Yoga class, take admission to Gym, take out time for a healthy jog. Break the routine of Work from Home and try to get out for fresh air. This will reduce mental stress and as well as add to the health benefits.
- Revisit the retirement plan
With COVID 19, many of us saw the actual job loss and pay cuts. This shows how critical it is to ensure that we revisit our retirement planning. While you assess the retirement plan, here are few things to check on
- Inflation factor
- Increased expected medical expenditure
- Reduced pay or no income in some cases
- Liquidity crunch etc.
- Create an Emergency fund
It is a known fact that a fund equal to six months of your income should be maintained as a liquid investment so that it could be used in the event of no active income source. Ideally, an emergency fund can be created by investing in short-term fixed deposits or recurring deposits, or mutual funds.
- Learn something
Learn something new which will help you either in getting-
- an increment in the current job or
- a new job or
- promotion etc.
This new skill may also help you add an additional income stream which you could use as an emergency fund.
- Strengthen your credit score
Try to pay off loans with the highest interest rate first. Also, avoid buying things on credit cards. Once you default on loan repayments, it hampers your credit score badly. So always make sure that you are not defaulting on repayments.
- Say no to unnecessary investments and tips
Most of the investors usually go out and make investments based on insider tips or commission agents’ advice. Try to take the help of a professional if you can not do it yourself.
These 10 Tips will help you out in building a sustainable financial plan for the year 2021. These pillars will help strengthen financial health in the coming years. Having said so, just building a plan is not enough. You will need to ensure that you stick to the Financial Resolutions to make it work for you.
‘The only thing that is constant, is the change‘, remarked a famous Greek philosopher and he was not wrong. Everything in the world changes and so does your financial requirements. As you grow older, your financial responsibilities change as per your financial goals. You are, thus, advised to review your financial portfolio at regular intervals and ensure a sound financial plan. Do you do so?
If you don’t, you should start immediately. If you do, well, congratulations to you. While reviewing your financial portfolio is a commendable job, are you careful when you review? Most individuals aren’t but you should be. Here is a checklist of questions that you should ask yourself when you review your financial plan –
What are your present and future financial goals?
When you are young you want to plan for your future. When you start your family your children’s education becomes your primary goal. You might also want to build your dream house or go on a world tour. Whatever your financial goal you need to plan for it. Since your goals are dynamic, you should consider them when reviewing your financial plan. Find out which financial goals require planning for your present and future life.
What is your current disposable income?
Your disposable income determines the quantum of savings and the investment instruments which you can opt for. Since your disposable income might change over time, your financial plan should be reviewed in tandem with the changed income. If your income has increased you should increase your investments. If on the other hand, your income has decreased you might have to reduce your ongoing investments.
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What is the performance of existing investments?
The financial market is also dynamic. It changes continuously and so does the value of your investments. For instance, fixed deposits and other fixed-income investments are now promising a lower rate of returns than they did 5-10 years back. So, you should review the performance of your existing investments. If your investments are doing well you should invest more in the same. If, however, their performance has dwindled it’s time to switch. Redeem the low-performing investments and redirect your money to more lucrative avenues.
How much tax, are your investments helping you to save?
Investments become sweeter when they help in saving taxes. While some investments give you tax exemptions at both the investment and redemption stage, many give tax relief only at the time of investments. Moreover, there are some investments where you do not get any tax relief. Review your investments to understand how much tax you are being able to save. Try and maximize your tax saving potential by choosing investments that are tax-efficient and redeeming those which are not.
Do you have a sufficient contingency fund?
A contingency fund is essential to meet the costs of those rainy days when a financial emergency might strike. You should hold at least 6 months’ worth of your income in a contingency fund. When reviewing your financial plan make sure that you have planned for a contingency fund. If you have, check its sufficiency. If you haven’t, make it a priority in your financial plan.
Is your Insurance cover sufficient?
Insurance is an essential requirement. Both health and life insurance plans provide you financial security and help at the time of a financial crisis. Having sufficient cover is, therefore, necessary for both these plans. You should, thus, check whether the coverage you have already opted for is optimal or not. And for those who have no life or health insurance plan in their financial portfolio, having one of each is recommended.
Reviewing your financial plan is essential and keeping these questions in mind is the smart thing to do when you review. If you plan according to the above-mentioned questions you would be able to create a fool-proof financial portfolio that would not only meet all your financial goals, it would help in wealth maximization too.
Mastering the subject of personal finance might not be everyone’s cup of tea. Luckily, it is not always required to master the intricacies of everything when you can hire professionals who are well versed in the same. Today we are going to take you through the reasons of prime importance to hire your own financial advisor from the very onset.
- Holistic Analysis
Financial consultants can assist you in developing a big-picture and comprehensive analysis of your finances. Rather than being just one thing, personal finance is more like a constellation of concerns comprising investment, savings, estate planning, retirement planning, tax preparation, and many more. For gaining complete success in the field of finance, you need to have a robust plan in place which will address individual issues in a responsible and intelligent fashion. Your personal financial advisor might thus seek input from you whenever required for planning every specific area with greater detail.
- Creation Of An Investment Portfolio
Top financial advisors hold the view that 90% of our investment returns are a direct function of asset allocation which comprises the money invested in bonds, stocks, mutual funds, and similar vehicles. However, some people might feel too intimidated by the same due to the conflicting investment information for deciding on the ones which need to form a part of their corpus. This is where financial advisory services can come into your aid coupled with ample experience which arises out of helping other people in setting up their investment portfolios. You can thus rest assured that your funds will be in the best hands as the financial consultants set up automatic transfers for adding money to your investments after scheduled intervals.
- Tax Preparation
Tax preparation stands out as one of the most dreaded personal finance errands and only a few professionals who understand the intricacy of tax code enjoy dealing with the preparation of tax records. This is another area where you can seek out the assistance of financial tax planning services for filing your return in the correct format and within the stipulated time frame.
- Estate Planning
Contrary to popular belief, the estate comprises of all your assets including investments, businesses, real estate, insurance benefits, legal rights, etc. And without a proper plan in place specifying the division of all your properties, in your absence, it might get difficult for your beneficiaries to inherit whatever you intend them to. This is where the best financial planners in India come in to bring together all wills and documents to guarantee the division of your estate in accordance with your wishes. The legal complexities, as well as consequences that might accrue in this field, can prove out to be highly complex for laymen making the interception of professionals mandatory.
- Setting Proper Savings Goals
Personal financial planning advocates the inculcation of savings habits for building a solid financial foundation. Your options are bound to expand with the greater quantum of savings at your disposal whether you are helping your child with higher education, building your dream house, or paying for your parent’s medical bills. Financial planning experts understand very well that saving for a particular reason can boost you up a lot more than saving vaguely. This is why they assist us in developing specific goals over both the short and long term to help us stay focused.
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A fact find is conducted by financial advisor companies wherein detailed questions are enquired about your circumstances, risk appetite, and end goals after which financial products are recommended to the end-users in sync with their suitability and affordability. Certified financial planners can offer a plethora of services ranging from investment and general financial planning to more specialist advice. So, appoint a financial advisor to take care of your money matters today and devote your precious time and attention to prospering other work fields.
Having a good educational goal for the child is the dream of every parent. Parents focus and invest in their child’s educational goals so that their children join a career of repute once they grow. However, we understand that children education is also very expensive nowadays and parents have to shell out a lot of money for their primary to secondary education and for their college education as well. Further, if the child wants to enrol for a post-graduate course such as an MBA or professional course like MBBS, B.Tech, you need more than 15 – 20 Lakh rupees for the same.
There are some diverse investment options which are available for making secure investments for your child’s educational goal. There are some fixed investments such as fixed deposits which are completely secure but the return on investment is small. Other options which every month can fetch you a large amount but might be available at moderate risk.
What can you do to secure your child’s future educational goals?
There are many investments which parents can make to secure and save money for their child’s education. These investments can be done through diverse options to ensure that you get the maximum return out of your investment.
Starting a SIP: – A SIP (systematic investment plan) is by far the best thing to start saving for your child’s education. You can start a SIP with a small amount as low as INR 100. Even saving a small amount of say INR 1000 – 2000 per month through SIP can help you earn a large corpus at maturity. You can start the SIP with a bank through your direct account or hire a funds manager who can help you start the SIP.
Sukanya Samridhi Scheme:- An initiative for the girl child by the Government of India. Under this scheme, anyone who has a daughter up to the age of 10 years can open an account. An amount ranging from INR 1000 – 1.5 Lakh can be deposited each year. People can also claim tax exemption under Section 80C. Partial withdrawal can be done after the child has attained an age of 18 years.
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Gold investment:- A gold fund or gold banks can be started with banks. You can invest by purchasing anything from 2 grams of gold to 500 grams of gold. Instead of purchasing the real gold which calls for storage issues, Sovereign gold bonds are a better option. The rate of gold funds or bonds is equivalent to that of real good. Plus investors will also get an annual interest rate of 2.5% on these gold bonds. There are many types of investments in golds, via gold bonds, gold ETFs or E-Gold. The best part of the investment in gold is that the rate is not volatile.
Unit Linked Insurance Plans:- The investment cum insurance plans make a great option for people who are looking at low-cost investment. Along with offering a risk cover, you will also get the option to invest in bonds, mutual funds or stocks. This plan helps in giving a higher level of cover for the investment as well as protection. The endowment plan gives a fixed amount to the parents on maturity. In case of death of the parent, the child will receive the amount.
Public Provident Fund (PPF):- You can also start making an investment through Public Provident Fund i.e. PPF. This has a lock-in period of fifteen years with extendable five years. If you are planning to save for your child’s education, you can start a PPF under the child’s name itself. You can get a high corpus amount which will be enough to fund your child’s education.
Recurring deposit:- You can start a recurring deposit for your child’s educational goal. A recurring deposit can be started from a minimum amount of INR 500. Depending upon your budget, you can fix a separate amount of money to start the recurring deposit for your child’s need. The approximate rate of interest on the recurring deposit is 5.5 – 6% per annum.
Fixed deposit:- You can keep a fixed amount separately i.e. INR 50000 – INR 2 Lakh for your child’s education and keep it fixed for a time period up to 15 years and use it fund your child’s college fee.
Some of these investment options can be great for one to secure a good amount of money for a child’s future educational goals. This systematic way of investments will not only help you gain large corpus on maturity but will also help you track the amount you are able to save every month. One should opt for a combination of two or more options as per their risk profile.
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Are you an earner? Or a non-earner? Whoever you may be, you certainly need to know personal financing. We all want to be stabilized financially, at least to fill current & future standard of living. Your money is the only thing that earns for you, that too for free! Then why not to make optimum use of it? Why not to plan to easily fulfil our goals/wishes may it be short term or long term. You never know what’s coming up in your life next minute… whatever may it be, you are gonna earn & spend even after your last breath… Right time to think upon this is now! Well! It’s neither a cheesy plan nor a scheme which will give 200-500% returns. It’s an effort to make you understand WHY!
Personal finance is nothing but your OWN money to plan for…. All you need to do currently is to plan your needs & invest accordingly so that you get back the right amount at right time.
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As laymen you might be coming across many questions eg:
Let’s understand the obvious complicated reasons why it’s mandatory to plan:
- Lifetime Cash flows: ‘Money earned today is a money spent tomorrow’ You know your basic expenses whether fixed/variable which is to be spent for a lifetime may it be regular bills, food expenses, the standard of living expenses, dependency expenses, what not…
- Asset Allocation: Investment strategy that aims to balance risk and reward by apportioning a portfolio’s assets according to an individual’s goals, risk tolerance and investment horizon. Asset allocation means investing an individual’s assets to meet a financial plan
- Dreams: ‘Money earned today is to fulfil your lifetime dream tomorrow’ Your main purpose of earning or saving is to lead a life as per your dreams. You know your dreams & the money required to fulfil it. May it be owning a Home or a Foreign tour or a status car or to give the best gift to parents and children or to follow your dream career prospects. You will require a risk appetite to go for your desired path before you decide to change the living.
- Uncertainty & risks: ‘Money spent today is a loan tomorrow’ You know life takes a down-turn for which you need job security, a good economy, it may even come as accidents. Uncertain events to test your preparedness are bound to come, an option to face it is by financial loan or a pre-planned readiness.
- Earnings: ‘Money saved today is a money earned today’ You know your income and respective savings. You know the more you save the more you will be relaxed for the future. But just savings are not enough. Let your money earn for you as well and let it give you good returns.
- Returns: ‘Money invested today is extra money received tomorrow’ The money you save, the money you invest, the return you get is an important thing of your life. If you save but not invest then returns will be nil, in fact, you will realise a negative income due to increasing inflation. Returns should be equivalent to increasing cost of living with minimum risk an individual can take.
- Expenses: ‘Money saved today is a lump sum spent tomorrow’ You know forthcoming events to which you require a huge cash outflow. It can be a marriage or medical expenses or a child’s education or for other functions.
- Retirement: ‘Money earned today is a money essential tomorrow’ You know at a point all you will be doing is to sit back whole day and cherish the entire life journey with a cup of coffee at your own farmhouse. Don’t you want to spend a few years with no tension surrounding you forever at that point of time.
There are en-number of reasons I can give to plan your finances today, but how much of it can you give yourself? You don’t need me to make you realize or count the reasons of why to plan your personal finance. All the reasons enumerated above are already known to you, the difference is that you haven’t realized it yet.
A survey reveals that finance related topics are important and there is an unawareness amongst working people about it. The results even show that retirement planning is very important along with long-term financial planning. The survey suggests that future educational drives/programs should focus on importance of personal finance & its basics where people have inadequate knowledge. Hence, we conclude that, overall awareness amongst people can bring knowledge about personal finance…
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Once you learn & appreciate the importance of planning your personal finance and its impact, you will see lot of opportunities to increase your wealth & improve your personal finance plan and knowledge. All you need is an active mind and a proper guidance so that your finances are in your hands and you lead it. Set up and make your own future.