Hi, I am 35 old with having private sector job. I had savings about 2L from RD, but during job seeking it is uitlized fully.
Now again started job 6 months back with in hand 55K. I have savings of SIP (inclusive profits ) upto 5.8L, and RD of 56K, NPS around 2.9L (inclusiv profits). having NO FD.
RD, SIP & NPS is stopped from 1.5 years back.
I am planning to invest in land for home which cost around 33L for 9Months period.
So, here will have to pay 25% amount for first month to land owner, and will need to pay continue from salary about 40K for remaining 9 months. Have some gold during marriage. so it may give upto 1.5L.
After 9 months completed, will take property/land loan with monthly EMI of 40K to 50K.
Request some suggestion for financial management and new savings idea.
Ans: It sounds like you're navigating a significant transition period with your job and housing plans. Let's outline some steps for your financial management and explore new savings ideas.
Evaluate Current Finances: Firstly, assess your current financial situation, including your savings, investments, and liabilities. Understand your cash flow and expenses to make informed decisions.
Budgeting: Develop a monthly budget considering your income, expenses, and savings goals. Allocate funds for essential expenses, loan EMIs, and savings for your future goals, including the land purchase and eventual home loan EMIs.
Emergency Fund: Prioritize building an emergency fund to cover unexpected expenses or financial emergencies. Aim to set aside at least three to six months' worth of living expenses in a liquid savings account.
Resume SIPs and NPS Contributions: Consider restarting your SIPs and NPS contributions to continue building your investment portfolio for long-term financial security. These systematic investments can help you accumulate wealth over time.
Land Purchase: Since you're planning to invest in land for a home, ensure thorough due diligence before proceeding. Evaluate factors like location, legal clearances, and future development prospects. Negotiate payment terms that align with your financial capabilities.
Loan Planning: When taking a property/land loan after nine months, ensure you're comfortable with the EMI payments and factor them into your budget. Compare loan options from different lenders to secure the best terms and interest rates.
Gold Assets: While gold can provide liquidity, consider diversifying your investments into other asset classes for long-term growth potential. Review your gold holdings periodically and decide whether to continue holding or liquidate based on your financial goals.
New Savings Ideas: Explore additional avenues for savings and investments, such as:
Tax-saving investments like Equity Linked Savings Schemes (ELSS) or Public Provident Fund (PPF).
Regular contributions to a retirement corpus through schemes like the National Pension System (NPS) or Voluntary Provident Fund (VPF).
Building a diversified investment portfolio with a mix of equity mutual funds, debt instruments, and possibly real estate investment trusts (REITs) for added diversification.
Remember to consult with a financial advisor to tailor a plan that aligns with your specific financial goals and risk tolerance. Stay disciplined in your savings and investment approach to achieve long-term financial stability and security.
Best Regards,
K. Ramalingam, MBA, CFP,
Chief Financial Planner,
www.holisticinvestment.in