Should I pursue a career in data science despite my lack of programming experience?

Ans: Hello Randip
Chances are slim. Please explore other options.

Good luck.
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Radheshyam

Ans: Hello Naresh.
Chances seem to be slim for an upgrade. Seat in IIIT Vadodara ECE is good, but if location in South matters more, consider CSAB options in your region.

Good luck.
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Radheshyam

Ans: Hello dear.
Challenging to get the preferred branches in top-tier government colleges, but you can get them with private colleges in Chennai

Good luck.
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Radheshyam

Ans: Your monthly in-hand salary of Rs. 1 lakh gives good opportunity.
You have no liabilities yet. No existing EMIs. That’s a strong base.
You plan to buy a car and a house in the next 5 years.
Let’s look at your goals and create a step-by-step financial plan.

? Monthly Cash Flow Management

– Begin by tracking your monthly expenses carefully.
– Try to save at least 40% of your income.
– That means saving Rs. 40,000 every month.
– Keep expenses below Rs. 60,000 monthly if possible.
– Savings is the first step to investment.

Don’t let your salary slip away in small expenses. Budgeting is a habit.

? Emergency Fund Setup

– Emergency fund gives peace of mind in tough times.
– Save 4 to 6 months of expenses first.
– If your expenses are Rs. 60,000, keep Rs. 3.6L as emergency fund.
– Use a mix of savings bank, FD, and liquid mutual funds.
– Don’t use equity for emergency money.

This amount should be always accessible, but not mixed with regular savings.

? Car Purchase Planning (5-Year Goal)

– Buying a car is a short to medium-term goal.
– Don’t invest this money in equity or shares.
– Equity has risk of short-term losses.
– Use recurring deposit or short-term debt mutual funds.
– Save separately for car down payment.

Suppose you need Rs. 6L for the car.
You need to save Rs. 10,000 per month approximately.
Stick to the plan. Don’t delay saving.

? House Purchase Planning (5-Year Goal)

– House purchase is a high-value goal.
– It also needs big down payment.
– You may need Rs. 15L to Rs. 20L as down payment.
– This is achievable in 5 years with consistent savings.
– Don’t put this in low-return instruments.

Use balanced mutual funds and flexi-cap funds.
They are managed by professionals and grow well.
Choose regular plans through an MFD with CFP support.

Direct mutual funds may seem low-cost.
But they have no expert to guide you.
A small mistake in fund or timing can cost you years.

Regular plan via Certified Financial Planner and MFD ensures proper tracking.
You get goal-based review. Not random investing.

? Monthly Investment Allocation

– Out of Rs. 1L salary, save Rs. 40,000 minimum.
– Split this Rs. 40,000 into three parts:

Rs. 10,000 for car goal (debt fund or RD)

Rs. 20,000 for house down payment (mutual funds)

Rs. 10,000 for long-term wealth creation (mutual funds)

This mix covers your present and future well.
Don’t skip SIP. Don’t redeem unless needed.

? Mutual Fund Investing Strategy

– Equity mutual funds are for long-term growth.
– Use large-cap, flexi-cap, and mid-cap funds in mix.
– Don’t invest in index funds.
– Index funds have no downside protection.
– They follow market blindly. No manager decisions.
– Actively managed funds perform better in tough markets.

Start with SIPs. Stay consistent.
Increase SIP amount every year with salary hike.

Use regular mutual funds through MFD for service and advice.
Avoid DIY investing unless you track markets full time.

? Investment Discipline and SIP Benefits

– SIP builds investing habit.
– You invest monthly, same date, same amount.
– No need to time market.
– Avoid lump sum investing unless goal is near.
– SIP benefits from rupee cost averaging.

Over time, SIP can grow into big corpus.
Don’t stop SIP if markets go down.
That is when you buy more units.
This builds wealth faster.

? Insurance Planning (Term + Health)

– Insurance is protection, not investment.
– First get a pure term life insurance.
– If you are unmarried now, still take Rs. 1Cr cover.
– Premium is low if taken early.

– Also take health insurance for yourself.
– Start with a cover of Rs. 5L.
– Add top-up later when you have dependents.
– Don’t depend only on office health cover.
– Job change or job loss can remove it.

Buy personal cover which continues always.

? Avoiding Insurance-Linked Investments

– Don’t invest in ULIP or LIC money-back plans.
– These mix insurance with returns.
– Returns are low and lock-in is long.
– Term insurance is better. It’s simple and pure.
– For investment, choose mutual funds separately.

If you already have such plans, check surrender value.
Then move that money to mutual funds.

? Long-Term Wealth Creation

– Start early with equity mutual funds.
– Time in market is more important than timing.
– Set up SIPs for 10+ years.
– Use this for retirement or passive income.

Compound growth works best over long term.
Every delay reduces future gains.

Track your SIPs once a year.
Take help from Certified Financial Planner regularly.

? Tax-Saving Investments

– Use Section 80C limit of Rs. 1.5L every year.
– Choose ELSS mutual funds to save tax and grow wealth.
– ELSS has 3-year lock-in. Shortest among all 80C options.
– Avoid PPF or traditional LIC unless for specific use.

Also claim 80D for health insurance premiums.
Keep tax planning and wealth building connected.

? Asset Allocation Strategy

– Don’t keep all money in one place.
– Mix debt, equity, and cash for right balance.
– Short term goals in debt.
– Long term goals in equity.
– Emergency fund in cash and liquid assets.

Review allocation every year.
Rebalance when market or income changes.

A wrong allocation can ruin best investment choices.
A CFP helps in adjusting this correctly.

? Avoid These Mistakes

– Don’t invest without clear goals.
– Don’t mix investment and insurance.
– Don’t follow random stock tips or apps.
– Don’t stop SIPs due to market fall.
– Don’t delay emergency fund.
– Don’t invest in real estate unless for personal stay.

Real estate lacks liquidity. Also needs huge cash.
Returns are uncertain and often overestimated.

? Start with These Steps Now

– Track all expenses this month.
– Fix Rs. 40,000 for monthly saving.
– Open a SIP in equity mutual fund via MFD.
– Start RD or debt mutual fund for car goal.
– Take term insurance and health cover.
– Keep Rs. 50,000 in savings bank as emergency start.
– Set calendar reminder to review monthly.

Financial discipline beats big income.
Start small but stay regular.

? Finally

– You are at the perfect stage to build strong wealth.
– No loans, no EMIs, and good salary.
– Your 5-year goals are realistic.
– Right investment choices will help you reach them.
– Don’t wait too long to begin.
– Use mutual funds wisely. Avoid index and direct options.
– Direct funds lack guidance. Regular plans with MFD + CFP is safer.
– Use SIPs, avoid lump sum for now.
– Don’t depend on fixed deposits or saving account.
– Don’t forget health and term insurance.

A 360-degree plan gives both safety and growth.
Follow this path with consistency and patience.
You will build wealth faster than you expect.

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

Ans: ? Assessing Your Current Investment Approach
– You are 35 years old and plan to retire in 2045.
– That gives you around 20 years to build your retirement corpus.
– You're investing Rs. 5,000 each in an index fund and a flexicap fund.
– You also plan to invest Rs. 10,000 more each month.
– Plus, you wish to increase your corpus annually by 6%.

? Drawbacks of Index Funds for Long-Term Investors
– Index funds only follow the market, they do not try to beat it.
– These funds invest in all companies in an index, even poor ones.
– In falling markets, index funds do not offer protection.
– They have no fund manager to track changing economic trends.
– They lack flexibility to switch between high-performing sectors.
– Actively managed funds aim for better returns with controlled risk.
– A qualified fund manager uses strategy, not passive tracking.
– Over a long term, active funds have outperformed index funds.
– For retirement goals, this extra return matters a lot.

? Concerns with Direct Mutual Funds
– Direct funds seem to offer lower expense ratios.
– But they lack expert guidance from qualified professionals.
– You may end up with overlapping or unsuitable funds.
– Regular funds through a Certified Financial Planner offer monitoring.
– You get periodic reviews and timely course corrections.
– Guidance from a CFP helps avoid panic during market volatility.
– You also get help with rebalancing and tax-efficiency.
– Retirement is too crucial to rely on DIY or direct funds.

? Importance of Portfolio Diversification
– Currently you have exposure to equity only.
– Even within equity, you hold only large-cap and flexi-cap.
– A well-diversified plan includes mid-cap and small-cap too.
– These offer better growth during certain phases of the market.
– You can also include international or global funds with caution.
– Hybrid funds are useful to balance risk later in life.
– Avoid overlapping funds with similar underlying stocks.
– Mix of equity, debt, and hybrid offers balanced growth and safety.

? Asset Allocation for Retirement Planning
– Since you have 20 years, you can hold higher equity now.
– Gradually shift towards balanced and debt as you near 2045.
– Start with 80% equity, 20% hybrid or debt.
– After age 45, reduce equity step by step every five years.
– This gives better protection against sudden market corrections.
– Retirement corpus should not be at full market risk.

? Suggested Allocation of Rs. 10,000 Additional Monthly Investment
– Rs. 4,000 in a well-managed large and mid-cap fund.
– Rs. 3,000 in an aggressive hybrid fund.
– Rs. 3,000 in a pure mid-cap or small-cap fund.
– Avoid sectoral or thematic funds unless for small allocation.
– This mix improves long-term growth and cushions short-term losses.

? The Power of SIP Step-Up Strategy
– Increasing SIP by 6% annually is a strong move.
– This helps fight inflation and improve your final corpus.
– It uses your growing income for better compounding.
– Stay committed to annual increase, even if markets fall.
– SIP step-up builds financial discipline over long term.
– It makes even modest SIPs powerful wealth creators.

? Why Regular Portfolio Review Is Critical
– Investments must align with your changing life needs.
– A Certified Financial Planner monitors risk, performance, and market changes.
– Reviews ensure your asset allocation remains on track.
– You can also modify funds that underperform consistently.
– Without review, you may carry dead-weight funds unknowingly.
– Regular checks help avoid last-minute stress near retirement.

? Retirement Planning Beyond Mutual Funds
– Retirement requires more than just investments.
– Have health insurance with adequate cover.
– Avoid using retirement funds for child education or marriage.
– Keep a separate emergency fund equal to 6 months’ expenses.
– Nominate and update all investment documents.
– Estate planning (will writing) is equally important.
– Prepare a monthly retirement budget to estimate real need.

? Tax Efficiency and Withdrawals After Retirement
– Post-retirement, income will come from fund withdrawals.
– Plan Systematic Withdrawal Plan (SWP) to avoid tax spikes.
– Equity mutual fund gains above Rs. 1.25 lakh taxed at 12.5%.
– Short-term equity gains are taxed at 20%.
– Debt funds taxed as per your income slab.
– A Certified Financial Planner can guide optimal withdrawal mix.
– You can balance growth, safety, and taxation smoothly.

? Common Pitfalls to Avoid
– Don't depend on just two mutual funds for retirement.
– Avoid chasing short-term returns or switching too often.
– Do not pause SIPs during market falls.
– Avoid investing based on TV tips or YouTube trends.
– Avoid ULIPs and insurance-linked investments.
– If you already have such policies, consider surrendering.
– Reinvest surrender amount in well-chosen mutual funds.

? Final Insights
– You are starting early. That is your biggest strength.
– Rs. 10,000 additional SIP with step-up will create a strong base.
– Shift from index to active funds for better long-term outcomes.
– Avoid direct mutual funds unless you’re an expert.
– Get help from a Certified Financial Planner regularly.
– Diversify your investments across categories.
– Secure your retirement with health cover and estate planning.
– Stay invested, review annually, and enjoy peace of mind later.

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

Ans: You and your wife have done many things right already. A clear vision and steady approach can create financial freedom. Below is a comprehensive 360-degree plan to guide your family’s financial journey.

? Monthly Cash Flow Evaluation

– Monthly income is around Rs. 1.75L (yours + wife).
– Monthly expenses are Rs. 50,000.
– Rs. 1.25L is surplus every month. That’s a strong saving potential.
– You’re already investing Rs. 40,000 in mutual funds and stocks.
– This leaves Rs. 85,000 more which can be better allocated.

Use this surplus for long-term and short-term goals separately. Don't leave too much in bank savings.

? Emergency Fund Planning

– Emergency funds are for job loss or medical need.
– You have Rs. 1L in cash, Rs. 3L in savings, Rs. 7L in FD.
– That’s Rs. 11L in total. This is excellent.
– Keep Rs. 6L as your emergency fund (around 6 months of expenses).
– Keep Rs. 3L in FD or liquid mutual funds for short-term plans.
– Don’t over-park funds in FDs. They give low returns.

Keep emergency fund always liquid, not invested in stocks.

? Stock Market Investment Assessment

– You've been investing Rs. 20K/month in stocks for 3 years.
– Current value is Rs. 6L. This return is moderate.
– Stocks need skill, time, and research.
– It’s risky if not tracked properly.
– You can consider shifting to mutual funds slowly.
– MF gives better diversification and managed exposure.
– Use stock investing only with specific goals. Don’t overdo.

Equity stocks need discipline and stop-loss strategy. Avoid random stock buying.

? Mutual Fund Investment Plan

– You are investing Rs. 20K monthly in 5 funds.
– You’ve chosen a mix of small cap, flexi cap, midcap, and large cap.
– This is a good mix across categories.
– Avoid index funds like Nifty 50.
– Index funds give average returns.
– They don’t protect in down markets.
– Actively managed funds outperform over long term.
– A Certified Financial Planner with MFD license gives better support.
– Invest via regular plans through MFD for guidance.

Direct funds may look cheaper. But they lack professional advice.
Wrong choice or exit timing can damage goals. Regular plan + MFD support is safer.

Review MF performance every 6 months. Replace lagging ones with better options.

? Insurance Coverage Review

– You have a term insurance of Rs. 1.5Cr.
– The premium is Rs. 45,000/year for 12 years.
– This is sufficient for now.
– You may need more cover later as goals increase.
– Your wife should also take term insurance of Rs. 1Cr minimum.

– Health insurance for parents is covered.
– Premium is Rs. 66,000/year. That’s reasonable for their age.
– Make sure it has no room rent capping.
– Also add health cover for yourself and wife.
– Family floater of Rs. 10L is ideal.

Medical costs are rising. A good health cover protects long-term wealth.

? Sukanya Samriddhi Yojana for Daughter

– SSY is a good start for your baby’s future.
– Interest is tax-free and safe.
– You can invest up to Rs. 1.5L/year.
– But don’t rely on SSY alone.
– Combine with mutual funds for better growth.

SSY gives safety. Mutual funds give high return. Mix both for child goal.

? Education Goal Planning

– You have 15 to 17 years for this goal.
– A mix of flexi cap, large & midcap funds is ideal.
– Don’t depend only on small cap for long term.
– They are volatile and risky.
– Keep SIPs dedicated for education goal.
– Start SIP in child’s name in regular plan via MFD.

Split the goal into 3 stages – school, college, and post-graduation.
Match fund type with time horizon.

Track every year and increase SIP with income hike.

? Car Purchase Planning

– You want to buy a car in 2 years.
– Start a separate RD or short-term debt MF for this.
– Keep this goal away from equity funds.
– Equity is not for short term.
– Use FD, ultra-short-term debt funds or recurring deposit.

Save monthly for down payment. Avoid big car loans.
Buy a car that fits your budget, not image.

? House Purchase Planning (10+ Years)

– You have a 10+ year window.
– Long horizon is good for equity mutual funds.
– Allocate a part of monthly surplus towards this.
– Mix flexi cap, large & midcap funds.
– Use regular plan with MFD support.

You can set up SIPs of Rs. 25K for this goal.
Rebalance every 2 years. Shift to debt 3 years before goal.

Don’t lock funds in land or property unless it's for usage.

? Asset Allocation Insight

– You have Rs. 6L in stock, Rs. 6L land, Rs. 7L FD, Rs. 4L in cash/savings.
– That’s Rs. 23L total assets.
– Only Rs. 6L is in growth instruments.
– Rest are in low-return areas.
– Land is idle. Plan to sell and reinvest.

Redeploy land sale into equity mutual funds.
Don’t wait too long. Let money grow, not sleep.

Asset allocation should be 70% growth, 30% stable. Adjust every 2 years.

? Tax Planning Thoughtfully

– Invest in ELSS to claim 80C benefit up to Rs. 1.5L/year.
– SSY, PF, Term Insurance premium also count under 80C.
– Avoid insurance policies that mix investment and insurance.
– They give poor returns.

Use Section 80D for health insurance premium.
Plan all tax saving through goal-based investing.

Don’t chase only tax saving. Focus on wealth building.

? Investment Discipline

– Keep SIPs automated.
– Increase SIP by 10-15% yearly.
– Avoid withdrawing from mutual funds randomly.
– Don’t check daily returns.
– Track yearly and rebalance if needed.

Stay away from direct stock tips.
Follow goal-based investment only.

Avoid debt for luxury or holidays. Use cash surplus.

? Long-Term Wealth Creation Strategy

– Combine mutual funds, SSY, and SIPs for child goal.
– Start separate SIP for house purchase.
– Increase term cover later when EMI starts.
– Use health insurance actively.
– Save for short-term goals in FD or debt MF.
– Avoid gold, chit funds, and Ponzi schemes.

Wealth is not about income. It’s about disciplined investing.

Take help from a Certified Financial Planner for clarity and regular monitoring.

? Final Insights

– You are already on a strong path.
– Your savings rate is very high.
– With structured investing, you can meet all goals.
– Start using surplus efficiently.
– Don’t let money idle in bank or FD.
– Avoid index funds. They underperform in down markets.
– Direct mutual funds seem cheaper but lack guidance.
– Choose regular plans with Certified Financial Planner and MFD license.
– That guidance will help avoid costly mistakes.

Review financial goals every 6 to 12 months.
As income grows, scale your investments.

Create peace of mind by setting goal-wise SIPs.
Not just saving. But smart investing.

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

Ans: Hello dear.
Sorry to say, we are totally unaware of the matter you mentioned regarding LNMIT. It is highly recommended to visit the campus and ask the students directly about the reality instead of asking someone else. It is better to prefer CSE at LNMIT for better exposure, CSE placements, a better coding environment, and broader tech opportunities. SUNO SABKI KARO MANKI. Visit the campus, then make your decision.

Good luck.
Follow me if you receive this reply.
Radheshyam

Ans: Hi
CSE with AI &DS is 80% CSE only. Don't worry about it.

Ans: Hello Chandan ji
If her AIR is around under 26K, then there is a chance for the Govt. Seat.