How to Start Investing with no Savings, a Daughter, and Dreams?

Hi I am 33 years old female i currently not having any savings but i want to start i hva 60lcs worth house no emis no loans.. salary 91k per month.. expenses most of 25k - 30K per month. Let me know how i can i plan where to invest i have 2years old daughter i am looking to first buy a property in next 5 years and to save for my child education. Thanks kindly help me tostart my journey

Ans: Current Financial Snapshot
Age: 33 years
Salary: Rs. 91,000 per month
Expenses: Rs. 25,000 - 30,000 per month
Assets: Rs. 60 lakh house (no EMIs or loans)
Goals: Buy a property in 5 years, save for child's education
Dependents: 2-year-old daughter
Creating an Emergency Fund
Importance of an Emergency Fund
Security: Protects against unforeseen expenses
Peace of Mind: Ensures financial stability
Recommendation
Target Amount: 6 months of expenses, around Rs. 1.5 lakh
Investment Option: Liquid funds for easy access and better returns than savings accounts
Starting Systematic Investments
Systematic Investment Plan (SIP)
Benefit: Rupee cost averaging and disciplined investing
Initial Amount: Start with Rs. 15,000 per month
Diversification
Equity Funds: High growth potential, long-term gains
Debt Funds: Stability, lower risk
Saving for Child's Education
Education Planning
Estimate Costs: Account for inflation in education expenses
Investment Options: Child-specific mutual funds and PPF
SIPs for Education
Dedicated SIP: Start a dedicated SIP of Rs. 10,000 per month for your child’s education
Equity Exposure: Focus on equity funds for long-term growth
Planning for Property Purchase
Property Investment
Timeline: Plan to buy property in the next 5 years
Down Payment: Save at least 20% of the property cost
Monthly Savings
Dedicated Savings: Save Rs. 20,000 per month for down payment
Investment Vehicle: Use recurring deposits or short-term debt funds for stability
Insurance Coverage
Life Insurance
Recommendation: Purchase a term insurance plan
Coverage: Sum assured should be at least 10 times your annual income
Health Insurance
Recommendation: Get a comprehensive health insurance policy
Coverage: Include family floater plan to cover your daughter as well
Retirement Planning
Long-Term Goal
Start Early: Begin investing for retirement now for compounding benefits
Investment Options: NPS and diversified equity funds
Monthly Contribution
Recommendation: Allocate Rs. 10,000 per month towards retirement
Additional Recommendations
Regular Reviews
Financial Check-Ups: Review your financial plan every 6 months
Adjustments: Make necessary adjustments based on changing circumstances
Professional Guidance
Certified Financial Planner: Consult a CFP for personalized advice
Regular Funds: Invest through a Mutual Fund Distributor with CFP credential for better support and guidance
Final Insights
Build an emergency fund first.
Start SIPs for disciplined investing.
Save specifically for child’s education.
Plan for property purchase within 5 years.
Ensure adequate insurance coverage.
Begin retirement planning early.
Regularly review and adjust your financial plan.
Best Regards,

K. Ramalingam, MBA, CFP,

Chief Financial Planner,

www.holisticinvestment.in

Ans: You are 63 years old now.
You have no loans or debts left.
Your current salary is Rs. 1.05 lakhs per month.
You are also receiving Rs. 44,000 per month as defence pension.
Additionally, your spouse gets Rs. 15,000 rent.
That rental and pension are used for regular household expenses.

You want to start investing Rs. 90,000 per month.
You want to invest this for the next 3 years.
This is a good and wise decision.
Though you started late, your savings power is strong now.
We can still build a meaningful retirement corpus.

At your age, capital protection is more important than high returns.
We must aim for moderate growth and regular income later.
You may not have very high risk capacity.
But your income power gives you a good base.

Let’s divide this investment goal into multiple parts.
Each part will serve a specific purpose.
This ensures balance and safety.

Start With Emergency Reserve
This is the first step.
You must create a proper emergency fund.
Life can throw surprises.
Hospitalisation, medical bills, or family needs may arise.

Right now, you have no savings.
You should not begin investing before this reserve is in place.

Set aside the first 2 or 3 months of surplus.
This will give you Rs. 1.80 to 2.70 lakhs.
You should keep this in a combination of liquid assets.

You can keep around Rs. 1.5 lakhs in your savings account.
You can place the rest in a sweep-in fixed deposit.
You can also use liquid mutual funds for this.
Do not use this for investing or expenses.
Use it only in case of real emergencies.

Get a Health Insurance Plan Now
You have a defence pension.
That may give you some health benefits.
Still, it is not always enough.
As you grow older, health costs rise.

You must buy a personal health insurance plan now.
Do not wait any longer.
It may become expensive or denied later.

Choose a plan that covers at least Rs. 5 to 7 lakhs.
Check if it includes annual check-ups.
Also confirm pre-existing disease coverage.
Buy it from a good insurer with solid reputation.

You can pay the yearly premium from your salary.
Don’t break future investments to pay premiums.

If possible, buy a second plan with family floater coverage.
This will help cover your spouse as well.

Create Monthly Income for Your Retirement
You will stop working after three years.
At that time, you will need regular income.
Your pension and rental income may not be enough.
So you must create a separate income stream.

Start investing now in monthly income mutual funds.
These are low-risk and give regular income.
They can start paying monthly income after three years.

From next month, invest Rs. 20,000 every month in this plan.
Continue doing this for the next 36 months.
This will build a stable monthly payout system.
You can use this income for living costs after your job ends.

Avoid index mutual funds here.
Index funds blindly follow markets.
They do not give regular income.
They don’t protect capital either.
Instead, use actively managed hybrid or conservative funds.

Also, never use direct funds.
Direct funds do not give guidance.
There is no help during market drops.
Use regular funds through a Certified Financial Planner.
You will get proper support and monitoring.

Plan for Liquidity for the Next Three Years
You need money to remain accessible also.
You should not block everything long term.
Some portion must remain semi-liquid.

You should start a second monthly investment.
Put around Rs. 25,000 every month here.
Use conservative hybrid funds or short-duration debt funds.
These have lower risk and decent returns.
Better than fixed deposits.

This money is not for monthly income.
But it will grow slowly and steadily.
You can withdraw part of this after 3 years.

This gives you flexibility.
You can use this pool for gifts, travel, or medical needs.
Even a part of this can be transferred to income funds later.

FDs are not ideal for all this.
They give lower post-tax returns.
Also, they have penalty on premature withdrawals.
Debt mutual funds give better flexibility and tax management.

Create a Small Equity Corpus for Long-Term Legacy
You are 63.
Still, you can have some equity exposure.
But only for long-term wealth creation.
Not for income or short-term goals.

You can invest Rs. 15,000 every month into equity mutual funds.
Use only actively managed funds.
Do not choose index funds.
Index funds give no downside protection.
They mirror the market blindly.
They don’t suit senior citizens.

Instead, use quality mutual funds with active managers.
They make portfolio changes when markets change.
They reduce losses in falling markets.

Keep this investment going for next 3 years.
Let this money remain untouched for another 7 years.
It will become a good gift to your spouse or children.
It also builds legacy wealth quietly.

Add a Small Gold or Cash Component
You can also invest Rs. 2,000 monthly in digital gold.
Or you can keep it as cash buffer.
This is optional, but gives comfort.
Gold helps as hedge during crisis.

You can use Sovereign Gold Bonds also.
But they have longer lock-ins.
So better to keep this small portion flexible.

Use Some Amount for Cash Reserves
Keep Rs. 5,000 each month aside.
This can be used for special spends.
Like birthdays, gifting, temple trips, or insurance premiums.
This creates balance.
You won’t need to withdraw investments for such spends.

Total Monthly Plan Summary
In simple words, here’s how you can split Rs. 90,000:

Use first 3 months for emergency fund

Keep Rs. 20,000 monthly for income fund

Invest Rs. 25,000 monthly in short-term debt fund

Put Rs. 15,000 monthly in equity mutual fund

Keep Rs. 2,000 for gold or cash

Use Rs. 5,000 for flexible buffer

This way, you are covering all needs.
No goal is left out.
You have income security, liquidity, growth, and safety.

Tax Planning and Withdrawals
After 3 years, you will begin using these funds.
Plan your withdrawals properly.

If you withdraw equity mutual funds after 3 years:

Long-term capital gains above Rs. 1.25 lakhs are taxed at 12.5%

Short-term gains taxed at 20%

Debt fund gains will be added to your salary.
They will be taxed as per slab.
So hold them for at least 3 years.
This reduces tax outgo.

Also, don’t withdraw everything at once.
Withdraw small amounts.
Use Systematic Withdrawal Plan (SWP).
This reduces tax and keeps investment growing.

Things You Must Avoid
Don’t put full Rs. 90,000 in FDs

Don’t go for real estate or land buying

Don’t invest in index funds or ETFs

Don’t invest in direct mutual funds

Don’t choose annuity plans

Don’t buy endowment or ULIP insurance

Don’t invest in aggressive stocks now

Don’t lend money to relatives without planning

Don’t depend on corporate health plans alone

Focus fully on your own safety and retirement.

Documents and Legal Planning
Make sure to prepare these also:

Joint bank account with spouse

Nomination in all mutual funds and accounts

Create a simple Will

Update Aadhar and PAN linkage

Keep insurance documents accessible

These small steps reduce confusion later.

Finally
You are starting at 63.
But you have steady income.
You have no loans.
Your household expenses are handled.

You can build strong financial support in just 3 years.
Split your Rs. 90,000 monthly across different goals.
Don’t take high risk.
Don’t follow trends or hot tips.
Use only actively managed regular mutual funds.
Invest through a Certified Financial Planner.

Your actions today will secure next 20 years.
It’s never too late when discipline is strong.
Wishing you a happy, healthy and stress-free retirement.

Best Regards,
K. Ramalingam, MBA, CFP,
Chief Financial Planner,
www.holisticinvestment.in
https://www.youtube.com/@HolisticInvestment

Ans: You have explained your income, goals, current assets, and future plans with great clarity. Your early planning spirit is strong. This gives a very good base. You can reach a peaceful retirement with smart steps in the next few years.

» Your Current Position

You are 40 years old. You plan to retire in 3 to 5 years. You earn Rs 2.3 lakh per month. Your wife also works but will stop working soon. You have one daughter aged 10. Your current monthly cost is around Rs 1.1 lakh. This cost will reduce after retirement because you will shift to your parental flat.

Your investment base is already good. You have saved in bonds, stocks, mutual funds, PPF, FD, and SIP. Your wife also has her own savings and rental income from a flat. All these create a good starting point.

This early base helps you plan stronger. It also gives room for more shaping. You are on the right road.

» Your Family Goals

You need Rs 75 lakh for your daughter’s higher education and marriage.

You want Rs 75,000 per month for family living after retirement.

You want to retire in 3 to 5 years.

You will shift to your parental flat after retirement.

You will have rental income of Rs 10,000 from your wife’s flat.

These goals are clear. They give direction. They allow a strong plan.

» Your Present Investments

Your investments include:

Rs 50 lakh in REC bonds maturing in 2029.

Rs 42 lakh in stocks.

Rs 17 lakh in mutual funds.

Rs 16 lakh in fixed deposits.

Rs 15 lakh in PPF.

Rs 1.3 lakh as monthly SIP.

Your wife holds:

Rs 30 lakh corpus.

A flat worth Rs 40 lakh with rent of Rs 10,000 each month.

Your combined net worth is healthy. This gives good power to build your retirement fund in the coming years.

» Understanding Your Expense Need After Retirement

You expect Rs 75,000 per month after retirement. This includes all basic needs. You will not have rent. That reduces cost. This assumption looks fair today.

Your cost will rise with inflation. So you must plan for rising needs. A strong retirement corpus must support rising cost for 40 to 45 years because you are retiring early.

An early retirement needs a large buffer. So you need safety along with growth. Your plan must include growth assets and safety assets.

» How Much Monthly Income You Will Need Later

Rs 75,000 per month is Rs 9 lakh per year. In future years, this cost can rise. If we assume steady rise, your future cost will be much higher.

So the retirement corpus must be designed to:

Give monthly income.

Beat inflation.

Support you for 40 to 45 years.

Protect your family even in market down cycles.

Allow flexibility if your needs change.

A strong retirement fund must support both safety and long-term growth.

» How Much Corpus You Should Target

A safe target is a large and flexible corpus that can support long years without running out of money. For early retirement, the usual thumb rule suggests a very high number. This is because you need income for many decades.

You need a corpus big enough to produce rising income. You also need a cushion for unexpected health costs, lifestyle shocks, and inflation changes.

Your target retirement corpus should be in a strong range. For your needs of Rs 75,000 per month and for goals like daughter’s education and marriage, you should aim for a combined retirement readiness corpus in the higher bracket.

A safe range for your family would be a very large number crossing multiple crores. This large range gives you:

Income safety.

Inflation protection.

Peace during market cycles.

Comfort in long life.

Room for daughter’s future.

Strong backup for health.

You are already on the way due to your existing assets. You will reach close to this range with systematic building over the next 3 to 5 years.

» Why You Need This Larger Corpus

You will retire early. That means more years of living from your corpus. Your corpus must not fall early. It must grow even after retirement. It must give monthly income and long-term family protection.

This is only possible when the corpus is strong and well-structured. A weak corpus creates stress. A strong corpus creates freedom.

Also, your daughter’s future cost must be kept aside. This must be parked in a separate fund. This must not touch your retirement money.

A strong corpus makes these two worlds separate and safe.

» Your Existing Assets and Their Strength

You already have good diversification:

Bonds give safety.

Stocks give growth.

Mutual funds give managed growth.

FD gives stability.

PPF gives tax-free long-term savings.

This blend is already a good start. But you need to make the blend more structured for early retirement.

Your Rs 1.3 lakh monthly SIP is also strong. It builds your future fast. You should continue.

Your wife’s rental income is small but steady. This adds strength.

Your combined financial base can reach your retirement target if you refine your allocation now.

» Your Daughter’s Future Fund Need

You need Rs 75 lakh for your daughter’s education and marriage. You should keep this goal separate from your retirement goal.

Your current SIP and future allocations should create a dedicated fund for this goal. A long-term fund can grow well when managed actively.

Do not mix this fund with your retirement needs. Mixing leads to shortage in old age. Always keep this corpus ring-fenced.

» A Strong Asset Mix For Your Retirement Path

A balanced mix is needed. You need growth assets to beat inflation. You also need stable assets for income.

You must avoid index funds because they do not give flexibility. Index funds follow a fixed index. They cannot make active changes in different markets. They cannot move to better stocks when markets change. They force you to stay in weak sectors for long. They also do not help you in down cycles because they cannot protect you by shifting to safer options. This can hurt retirement planning.

Actively managed funds are better because:

They give active asset selection.

They give scope for better returns.

They give flexibility to change sectors.

They give downside management.

They give access to a skilled fund manager.

They support long-term planning more safely.

Direct plans also carry risk. Direct plans do not give guidance. They do not give behavioural support. They do not give market timing help. They do not give portfolio shaping. They leave all the judgement to you. One mistake can cost years of wealth.

Regular plans with guidance from a Certified Financial Planner help you shape decisions. They help you remain disciplined. They help you avoid panic. They help you decide allocation changes at the right time. This saves wealth in long-term.

» How Your Investment Journey Should Grow in the Next 3–5 Years

Continue your SIP.

Increase SIP when your income rises.

Shift part of your stock holding into planned long-term mutual funds to reduce concentration risk.

Build a defined daughter’s education fund.

Keep a part of your REC bond maturity amount for long-term.

Avoid locking too much into fixed deposits for long periods.

Build a safety fund for one year of expenses.

This will create a full structure.

» Your Rental Income Role

Your rental income of Rs 10,000 per month is small but steady. Over time it will rise. This income will support your monthly cash flow after retirement.

You can use this for utilities or health insurance premiums. This gives a cushion.

» Your Emergency Buffer

You should keep at least one year of essential cost in a safe place. This can be in a liquid account or short-term fund. This protects you in shocks.

Since you plan early retirement, a strong buffer is important. It gives peace even in low months.

» A Structured Retirement Approach

A complete retirement plan for you should include:

A clear monthly income plan after retirement.

A corpus that can grow and protect.

A rising income system that matches inflation.

A separate daughter’s future fund.

A health cover plan for your family.

A tax-efficient withdrawal plan.

A market cycle plan to protect you in tough times.

This holistic approach keeps your family strong for decades.

» What You Should Build by Retirement Year

Your aim should be to reach a strong multi-crore range in investments before retirement. You already hold a large amount. You will add more in the next 3 to 5 years through SIP, stock growth, bond maturity, and disciplined saving.

Once you reach your target range, you can start the shifting process:

Move a part to stable assets.

Keep a part in long-term growth assets.

Create a monthly income strategy.

Keep a reserve bucket.

Keep a child future bucket.

Keep a long-term growth bucket.

This structure protects you in all market conditions.

» Final Insights

Your financial journey is already strong. You have a good income. You have saved well. You have multiple asset types. You have a clear timeline. And you have clear goals. This foundation is solid.

In the next 3 to 5 years, your focus should be on growing your combined corpus to a strong multi-crore range, keeping a separate fund for your daughter, reducing risk in unplanned assets, and building a stable long-term structure.

With the present path and a disciplined structure, you can retire peacefully and support your family with confidence for many decades.

Best Regards,

K. Ramalingam, MBA, CFP,
Chief Financial Planner,
www.holisticinvestment.in

https://www.youtube.com/@HolisticInvestment