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Study Abroad Expert - Answered on May 17, 2023

Sushil Sukhwani is the founding director of the overseas education consultant firm, Edwise International. He has 31 years of experience in counselling students who have opted to study abroad in various countries, including the UK, USA, Canada and Australia. He is part of the board of directors at the American International Recruitment Council and an honorary committee member of the Australian Alumni Association. Sukhwani is an MBA graduate from Bond University, Australia. ... more
Lakhbinder Question by Lakhbinder on May 16, 2023Hindi
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Sir, my son has just completed his 12 class in commerce stream. We wish to send him abroad for studies and permanent settlement there. Our focus is on Canada. Please guide us and tell us the valuable diploma courses in good colleges and fee structure and other costs. Also advise if we send him after the graduation.

Ans: Hello Lakhbinder,

Thank you for contacting us. It can be a thrilling opportunity to send your son to study and live permanently overseas. Owing to its excellent educational system and friendly culture, Canada is a popular choice for overseas students. You can plan by following the advice provided here:

1. Certificate Programs: In Canada, "community colleges" or "colleges of applied arts and technology" are where diploma courses are commonly offered. These colleges offer education that is both practical and career-focused. A few worthwhile diploma programs in the area of commerce include: Business Administration, Marketing Management, Supply Chain Management, International Business, Human Resource Management, Accounting and Finance.

2. Good Colleges: Numerous reputable colleges in Canada offer diploma programs and Bachelors. Several well-known organisations with programs in commerce include: Humber College, George Brown College, Seneca College, Sheridan College, Centennial College. Making an educated choice, however, requires thorough research and comparison of colleges based on their program offers, standing, professors, and campus amenities.

3. Fee Structure and Additional Costs: Depending on the institution, program, and location, the price structure and other charges may change. In general, tuition costs for international students will be greater than for domestic students. The typical yearly tuition costs for overseas students in Canada, as of the cutoff date in September 2021, range from CAD 15,000 to CAD 35,000, depending on the program and institution. Depending on the city and lifestyle, a person's annual living costs—which include housing, food, transportation, and healthcare—can range from CAD 10,000 to CAD 15,000.

4. Graduation vs. Diploma Courses: If your son has just finished his 12th grade, he might think about enrolling in a diploma program right away. In Canada, diploma programs are intended to give students specialised knowledge and skills for particular professions. But if you'd prefer that your son continue his education, he can earn his graduation (Bachelor's degree) in Commerce in India before looking into opportunities for postgraduate study in Canada, such as Post Graduation Diploma Program or a Master's or MBA.

It's important to take into account aspects like eligibility requirements, visa procedures, scholarship or financial aid choices, and employment opportunities both during and after studies when making the decision to send your son to Canada.

For the most recent information and advice on immigration laws, study permits, and settlement procedures, it is also advised to speak with an educational advisor or get in touch with the Canadian embassy or consulate.

For more information, you can visit our website.
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I am seeking guidance on my current financial situation. I am 50 years old, with a net take-home income of 1.42 lacs per month, while my wife earns approximately 75k monthly. We have two daughters pursuing higher education, with annual fees totalling 6.10 lacs. In the wake of the COVID-19 pandemic, I faced a significant setback when I was unable to pay my home loan EMI, leading me to opt for a moratorium. Despite having already paid approximately 43.85 lakhs towards my home loan of 58.50 lakhs taken in 2017, the principal outstanding has astonishingly increased to 59.45 lakhs. I now find myself committed to an EMI of 65,000 monthly, further straining our financial resources. To cover both my daughters first-year college fees, I took out a gold loan of 5.5 lakhs, for which I currently pay 50,000 a month. I had invested in a family health insurance policy with Star Health, covering 10 lakhs, but due to poor service I stopped paying my premium, which had an accrued value of 17.50 lakhs. I hold a provident fund account with a balance of 2.5 lakhs. I am concerned about planning for my elder daughter's wedding in the next 2 to 3 years and my retirement. I would appreciate any advice or strategies you could provide to help me navigate this situation effectively.
Ans: Hello;

Try and understand from the home loan lender as to how 59.45 L principal is overdue despite paying a sum of 43.85 L, despite factoring 80% of this as interest payment, the overdue principal should be below 50 L.

Double check if this is as per the terms of moratorium.

If you are not satisfied with replies from the lender escalate the matter to the highest authority at lender or RBI.

Lender can't behave irrationally just because you availed moratorium during COVID.

In my view you should have just sold the gold rather then taking loan against it.

That way you could have lessened EMI burden on your finances and ensured investments for retirement and other goals.

Unfortunately we have a tradition of attaching emotional value to precious metals and real estate.

The best "jewellery" you can offer to your kids is good education, which you have already done.

In matters of health insurance never discontinue a policy due to dissatisfaction with the insurer, port it to another insurer, 1.5/2 months before the renewal date so that your benefits remain intact. Now you may be need to find another health care insurance.

You may begin a monthly sip of 25-30 K in diversified large cap oriented mutual fund for 5 years.

Also give a thought to NPS, you can contribute till 70 age, for retirement pension.

Best wishes;

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I am 42 years old male currently working as a software engineer in a private company and drawing 1.1 lakhs per month. I have 2 school going kids. My monthly expenses are around 80K per month including rent. I don't have any personal property in my name. I have invested 50L in postal term deposit(yearly payout), 20L in Shriram transport finance FD(monthly payout), 11 lakh in HDFC balanced fund dividend(monthly payout), 6L in bank FD(monthly payout) all in my wife's name. I have invested 28L in my HUF account against Shriram Transport Finance FD (monthly payout). I have around 20L in EPF and Gratuity. I have around 8 lakhs in miscellaneous Mutual funds with a monthly sip of around 36K. Most of my investments pay me monthly return except this SIP. I have done so as software job is very fragile which can go any time. However I have maxed out on the return I can take per year on my wife's head (7L) and HUF(2.5L) without tax liability. Please advise how I can invest further to get returns so that I can quickly withstand any job loss.
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You have already made sufficient provisions to survive a job loss because your passive monthly income is now almost covering your monthly expenses.

But if you need added back-up you may keep expenses worth 6 months(@ 5 L) in a liquid type mutual fund.

Focus on 3 goals;
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2. Retirement
3. House

If you again keep investing in fixed income bearing instruments then you may not be able to grow a corpus to fund these goals.

A mutual fund sip(36 K) is a step in the right direction. I believe these are scheme with Growth option.

Hope you have EPF/NPS/PPF investments as well.

Happy Investing;

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