Wishing a Fresh Start and beautiful new beginning of FY 2017-18. This time of the year is usually light and gives you fresh energy to shape how your new Financial year will look like. It gives ample time to think about your Finances . One can actually review Personal Finances and assess where they stand. …
Wishing a Fresh Start and beautiful new beginning of FY 2015-2016. This time of the year is usually light and gives you fresh energy to shape how your new Financial year will look like. It gives ample time to think about your Finances . One can actually review Personal Finances and assess where they stand.
Sharing List of 5 essential steps that will help you start off your Financial year on a healthy note provided first step towards better year is taken right here right now.
- At the time of Maturity and claims, documents will be handy.
- It is easy to review your portfolio when all the holdings are at one place.
- Chances of missing out on any saving done with your hard earned money is not there.
- Last but not the least, it gives you peace of mind.
Also, make an excel sheet with all the details so that information can be stored online and can be made available handy at all times.
- Clean the garbage of non performing Investments:
At times, Booking loss is better than carrying loss. Accept that it was a wrong decision and move on. It will not prove wise to cling on to lazy investments that are not giving returns or are not in sync with your goals. It is only adding to the paper work.
Book loss and make your money work harder by taking informed decisions .
- Check your Life insurance :
Majority of people have lot of insurance policies bought either to oblige a relative or a friend or done at the last moment in rush to avoid taxes. Sit down with all the policies and sum up to arrive at total cover on all the policies.
Though it is hard to determine human life value, but one has to be adequately insured to help dependants and family maintain the same lifestyle in one’s absence. There is no such concept called ideal insurance. Insurance amount has to be defined as per individual’s need, liability, dependants, current lifestyle and many other factors.
- Health Insurance:
Similarly, check the coverage for Health insurance.
A floater plan with higher coverage is the solution if there are 2 or more than 2 members. Generally people start with lower coverage with intention of increasing as they age, but one should go in for higher cover from the beginning only as it is easy to get higher covers at young age without any medical tests. Also, one may not be able to increase or procure health insurance or higher cover if the health conditions are not the same or for that matter any critical illness or any other disease is diagnosed.
Now, government has done its bit by increasing the deduction under section 80 D from Rs.15000 to Rs.25000 considering high health inflation costs, you do your bit by increasing health insurance cover.
- Make room for Goal Planning /Accommodate for your Tax Planning early in the year:
Plan for your Personal Finance goals today as Goal without planning is just a wish.
Goals can be Child education, Child Marriage, Car, Home, Retirement, Foreign Holiday etc.
For example: if you wish to buy your dream car 3 years down the line, you can try and accommodate additional savings towards it in such a way that EMI burden is reduced or not required at all. Similarly, can be planned for other goals as well.
Tax planning can also be done by keeping the goals in mind. For example: For retirement which is 20 years away, one can consider investing in Equity linked savings scheme which will give benefit of tax saving along with building corpus for retirement.
If the Tax Planning is thought over early in the year, one will end Financial year with a positive frame of mind and will not fell Prey to lucrative schemes being floated in the market by Frogs who just come out in the rain.
Last but not the least, do Remember: “The Price of Discipline is always less than pain of regret.”
If you require any professional help/Guidance in making 2015-16 a HAPPY and WEALTHY Financial Year then feel free to call at 9650706699 or mail at [email protected]