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8 Tips For A Wealthier Living!

Dreams, these days, come with a high price tag. A car for Rs 5 lakh, a house for Rs 50 lakh, several lakhs for a decent education for kids and crores for a cushy retirement. In fact, seemingly simple needs have been elevated to dreams due to the high cost associated with them. You require either a large income or a strategic plan to meet these basic life goals.  While the former may not always be easy for the average salaried person, the latter is certainly within reach, especially if you begin at the beginning. Make a financial plan the day you start working and you won't have to scramble to fund each aspiration.  However, it may not be as easy as it seems. "I just don't know how much to save and where to invest, so I don't budget and end up spending a lot," says Harshinder Kaur, who started working two years ago as a probationary officer at a bank in Ganganagar, Rajasthan. She doesn't know how to formulate a plan for herself. This is a predi...
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HOW TO PLAN YOUR FINANCIAL GOALS?

A smart strategy would be to whittle down the list to just three or four goals initially, so that the process of getting started seems less daunting! Rahul, 31, is a middle level manager for an IT company. He earns a salary of 85,000 per month net of taxes. He and his wife Radhika were recently blessed with a daughter, Gauri. Radhika has quit her job as a middle manager in a recruitment firm and plans to stay out of the workforce for the next 2 years. Rahul has recently started a home loan EMI of Rs 25,000 per month and a car loan EMI of Rs 8,000 per month. He expects to get an annual increment of 10% every year and a year-end bonus of Rs 250,000 3 months down the line in April 2016. Post his monthly spends and EMIs, Rahul is left with a surplus of Rs. 18,000 per month. How should he go about planning for his goals at this stage? Money would certainly top the lists of “stressors” for most middle income professionals like Rahul! Adding structure to our sa...

Increase your WEALTH ! How ? RENT A HOME !

How a SIP works more for you than an EMI? With increasing space and time crunch in cities and suburbs, four walls and a roof for a sound sleep is what a common man yearns for. The want for having something that is yours is fairly justified. A young investor buys a home for his family and acquires a vehicle to drive around, mostly covered by a loan with an EMI (Equated Monthly Installment). But, EMIs are potentially detrimental to one's mental satisfaction. Also, there are other schemes that provide a much better rate of return than the asset acquired under an EMI. One scheme that could work in your favor, more than an EMI does, is the SIP. SIP (Systematic Investment Planning) is nothing but a specified amount that is invested in a scheme for a continuous time period, at regular intervals. Analyzing the Idea The fundamental here is clear and simple; EMI is negative compounding, while SIP is positive compounding. For starters, it is to be understood that towards the en...

Plan & Educate

Education is the most powerful weapon for a modern changing world and our children are the sparks which will ignite the positive change. Decades of insisting on children’s education and finally having an increase in the literacy rate has managed to pave way for brighter and a more innovative generation. Every metropolitan city is like a race track and every child an athlete. All they have to do is keep running, cross hurdles and manage to secure a worthy place in this world. While a child is running the race, a parent will work all their might to make this journey a comfortable one for their children. From sending them to the best schools, private institutions, paying for competitive exams, crash courses and the list is endless. While education is a basic necessity it comes for a substantial cost, best institutions are a real deal with lakhs of rupees just being spent over them.  The stress however, is a problem the parents take upon themselves. School education is n...