I. Introduction to personal financial planning Personal financial planning, in simple terms, is the process of managing one’s finances to achieve their set financial goals. It includes creating a budget, establishing financial objectives and making sound investment and monetary decisions. Mid-career salaried professionals and their families face a number of financial risks. These include: II….
Estate planning is the process of organizing the distribution of your assets and taking steps to safeguard them after your death. This includes providing for your loved ones and making sure your wishes are fulfilled. It may seem intimidating, but estate planning is a crucial aspect of financial planning that can give you and your…
What does purchasing a laptop have to do with financial planning? Ideally a laptop purchase is planned well in advance and done before the current laptop becomes obsolete or too slow/heavy despite upgrades and software tweaks. This allows you to save and plan your cash-flow for a sizeable outgo ensuring you don’t need to incur…
Cash flow forecasting gives a 360 degree view of your personal finances enabling you to prioritise financial goals to meet your present and future financial commitments, needs and wants. What is the need to prioritise financial goals? As per a 2018 spotlight on retirement survey done in India by the Society of actuaries and LIMRA,…
Six weeks into the COVID-19 lockdown and its associated uncertainties. Personal finance basics couldn’t be any more important. Spending on essentials only. Zero spending on lifestyle expenses for 40 days. Unthinkable, but as the lockdown has shown eminently doable and survivable. What would happen to your finances in these circumstances? An accident/major illness in…
Finance bill 2020 provides two options while paying Income tax from F.Y. 2020-21 i.e. Assessment year 2021-22 onwards. How does a resident individual choose an option? Should the individual choose the option at the start of the next financial year or wait till return filing time? The new Income tax regime has been touted as…
You know you have arrived when you get a fat increase in your salary and look for different ways to spend it. After all, you feel “I deserve it after all the hard work”. How about buying that 40k smartwatch or the 50″ TV or the 5 star vacation you had planned. Welcome to lifestyle inflation. Lifestyle…