I am a 25-year-old woman who is still not settled in life.
I loved my relative who is 10 years older than me. He also not settled in life. He doesn't have property, no good family (his brothers are not good).
When he asks about marriage I used to delay because of my career.
At one point of time, he lost interest because of this delay. He is a good person but when we are spending time I am not much comfortable and excited as I was in the initial days of love – be it chats or calls. Recently I chatted with a stranger in Facebook and felt happier chatting with him than with my boyfriend.
Somewhere I feel like I want to cut this relationship but I can't imagine him with our girls.
If I marry him I won't get good family (relatives). He is not looking as good as he did before.
 Will I suffer any sexual issues with him in the future? He is still waiting for me.

Ans: Hello Satish,

It's great that you're considering your options regarding your home loan. Opting for a fixed interest rate can provide stability and predictability to your monthly payments, but it's essential to evaluate whether it's the right choice for you. Here are some factors to consider:

Fixed vs. Floating Rate: Compare the current floating rate of interest (8.55%) with the fixed rate offered by HDFC. If the fixed rate is lower than your current floating rate, it could potentially save you money over the remaining tenure of your loan.

Future Interest Rate Trends: Assess the prevailing economic conditions and interest rate outlook. If there's a possibility of interest rates rising in the future, locking in a fixed rate now could protect you from potential increases in your monthly payments.

Your Financial Situation: Consider your financial stability and ability to afford potential fluctuations in your monthly payments. Fixed-rate loans offer certainty, but they may have slightly higher initial EMIs compared to floating-rate loans.

Loan Duration: Since you have only 27 EMIs remaining, the impact of interest rate fluctuations may be limited. Evaluate whether the potential savings from switching to a fixed rate justify any associated costs or changes in your monthly budget.

Terms and Conditions: Review the terms and conditions of the fixed-rate offer carefully. Understand any associated fees, penalties, or restrictions that may apply.

Ultimately, the decision to opt for a fixed interest rate depends on your individual preferences, risk tolerance, and financial goals. If you prioritize stability and prefer knowing exactly what your monthly payments will be, opting for a fixed rate may offer peace of mind.

Before making a decision, I recommend reaching out to HDFC to request the specific fixed interest rate offered and to clarify any doubts or concerns you may have. Additionally, consider consulting with a financial advisor or mortgage expert who can provide personalized advice based on your situation.

Best Regards,

K. Ramalingam, MBA, CFP,

Chief Financial Planner,

www.holisticinvestment.in

Ans: It's commendable that you're proactively planning for your retirement and your children's education despite facing a layoff. Let's devise a financial plan to ensure your goals are met:

Retirement Planning:

With 1.9 Cr in cash, generating 1 Lakh per month for your retirement seems feasible. Investing a portion of this amount in stable income-generating avenues like fixed deposits, debt mutual funds, and Senior Citizen Savings Scheme can provide regular income to meet your expenses.
Since your wife's salary covers household expenses, you can focus on building a retirement corpus that ensures a comfortable lifestyle for both of you.
Consider diversifying your investments across asset classes like equity, debt, and real estate to balance risk and potential returns over the long term.
Education Planning:

Allocate funds separately for your children's education expenses. With annual education expenses of 6 lakhs for each child, you can set aside a portion of your cash reserve or invest in education-specific investment vehicles like education savings plans or SIPs in mutual funds.
For the education expenses starting in 2024 for your daughter and in 2028 for your son, consider investing in a combination of debt and equity funds to ensure growth while preserving capital for their future education needs.
Monthly Income and Investment:

Planning to invest 60,000 out of the 1 Lakh monthly income is a prudent approach to continue building wealth and meeting your financial goals.
Allocate these investments based on your risk tolerance, investment horizon, and financial goals. Consider consulting with a Certified Financial Planner to devise a customized investment strategy aligned with your objectives.
Review and Adjust:

Regularly review your financial plan and investment portfolio to ensure they remain aligned with your evolving needs and goals.
Adjust your investment strategy as needed based on changes in market conditions, life events, and personal circumstances.
By following a disciplined approach to investing and financial planning, you can achieve your retirement and education goals while safeguarding your financial future.

Best Regards,

K. Ramalingam, MBA, CFP,

Chief Financial Planner,

www.holisticinvestment.in

Ans: Thank you for your question. It's nice to hear about your weight loss journey through walking! Walking is indeed a great start, but that it's essential to consider other factors like calorie intake and exercise intensity for optimal health. For your age and weight, incorporating high-intensity interval training (HIIT) along with a balanced diet might help further in achieving your fitness goals. As for your target weight, it's best to consult with a healthcare professional or a nutritionist who can provide personalized guidance based on your overall health, body composition, and lifestyle factors. However, a healthy weight range can vary greatly depending on factors such as muscle mass, bone density, and overall body composition, so it's not solely determined by age alone. Keep up the good work with your fitness efforts, and consider incorporating a variety of exercises and dietary adjustments for long-term health benefits!

Ans: At the age of 73, it's still possible to obtain medical health insurance coverage, although it may come with certain limitations and higher premiums due to your age. Here are some options you can explore:

Senior Citizen Health Insurance Policies: Many insurance companies offer specialized health insurance plans specifically designed for senior citizens. These policies typically provide coverage for hospitalization expenses, pre-existing diseases, and other medical expenses incurred due to illnesses or accidents. While premiums may be higher compared to regular health insurance plans, senior citizen policies offer comprehensive coverage tailored to the healthcare needs of older individuals.

Government Health Insurance Schemes: Some government-sponsored health insurance schemes cater to senior citizens and provide affordable healthcare coverage. For example, in India, schemes like the Pradhan Mantri Jan Arogya Yojana (PMJAY) or state-specific health insurance schemes may offer coverage for hospitalization expenses and treatment for certain illnesses.

Group Health Insurance: If you have any affiliation with professional or social organizations, you may be eligible to join group health insurance schemes offered by these organizations. Group insurance plans often provide coverage at a lower cost compared to individual policies and may have less stringent eligibility criteria.

Family Floater Plans: If you have family members who are younger and in good health, consider opting for a family floater health insurance plan that covers you along with your family members. Family floater plans offer shared coverage for the entire family at a relatively lower premium compared to individual policies.

Pre-existing Disease Coverage: Since you may have pre-existing medical conditions at the age of 73, it's essential to choose a health insurance policy that offers coverage for pre-existing diseases. Look for policies that provide coverage for pre-existing conditions after a waiting period, as this can help manage your healthcare expenses effectively.

Before purchasing a health insurance policy, carefully review the coverage features, exclusions, waiting periods, premium costs, and claim settlement process. Consider consulting with an insurance advisor or agent who can help you compare different policies and choose the one that best suits your healthcare needs and budget.

Best Regards,

K. Ramalingam, MBA, CFP,

Chief Financial Planner,

www.holisticinvestment.in

Ans: It's disappointing to hear about your situation regarding the denial of PMS-linked bonuses after completing the PMS cycle and successfully meeting the performance criteria. While I can offer some general guidance, it's essential to consult with a legal expert specializing in employment law for personalized advice tailored to your specific circumstances. Here are some steps you can consider:

Review Employment Contract: Begin by reviewing your employment contract, offer letter, and any relevant company policies or documents related to the PMS-linked bonus. Pay close attention to the terms and conditions regarding eligibility criteria, payout timing, and any clauses related to bonus forfeiture upon resignation.

Seek Clarification: If you haven't already done so, consider reaching out to your former employer or HR department to seek clarification on the reasons for withholding the bonus. Request documentation or specific explanations regarding their decision.

Document Everything: Keep records of all communications, including emails, letters, or conversations with your employer or HR department regarding the bonus payment. Documentation will be essential if you decide to pursue legal action.

Consult Legal Expert: Consider consulting with an employment lawyer who can assess your case, review relevant documents, and provide expert advice on your legal rights and options. They can advise you on whether you have a valid claim and the best course of action to pursue.

Explore Dispute Resolution Options: Depending on the circumstances and applicable laws, you may have options for dispute resolution outside of litigation, such as mediation or arbitration. An employment lawyer can guide you through these processes and help negotiate a resolution with your former employer.

Evaluate Legal Remedies: If your efforts to resolve the issue amicably are unsuccessful, your lawyer can advise you on potential legal remedies, including filing a lawsuit for breach of contract or other legal claims, seeking damages, or pursuing other forms of relief available under employment law.

Remember that legal processes can be complex and time-consuming, so it's essential to weigh the potential costs, risks, and benefits before proceeding. Consulting with a legal expert will help you understand your rights and options and make informed decisions about how to proceed.

Best Regards,

K. Ramalingam, MBA, CFP,

Chief Financial Planner,

www.holisticinvestment.in

Ans: It's essential to be transparent about pre-existing conditions like high blood pressure (BP) when applying for a health insurance policy. While I can't provide a definitive answer without reviewing your policy documents and the specific terms and conditions, here's some guidance:

Review Policy Documents: Take some time to carefully review your health insurance policy documents. Look for any clauses related to non-disclosure of pre-existing conditions at the time of policy issuance.

Contact the Insurer: If you're unsure whether you disclosed your high BP when taking the policy, consider reaching out to the insurance company directly. They can provide clarity on the information provided during the application process.

Grace Period: Since your policy is more than 3 years old and you haven't made any claims, it's possible that any non-disclosure issues may be considered lapsed due to the grace period typically provided by insurers.

Future Claims: In the event that you develop heart-related ailments in the future, the insurance company may investigate whether the non-disclosure of high BP was intentional or unintentional. If it's determined that the non-disclosure didn't affect the underwriting decision or the terms of the policy, your claim may still be honored.

Seek Professional Advice: If you're concerned about the potential impact of non-disclosure on future claims, consider consulting with a legal or insurance expert who can provide personalized guidance based on your specific situation and policy terms.

Ultimately, it's crucial to maintain transparency with your insurer and ensure that all relevant information, including pre-existing conditions, is disclosed at the time of policy application to avoid any complications during claim processing.

Best Regards,

K. Ramalingam, MBA, CFP,

Chief Financial Planner,

www.holisticinvestment.in

Ans: To withdraw the entire EPF amount after leaving your previous company, follow these steps:

Login to the Unified Member Portal of EPFO using your UAN (Universal Account Number) and password.

Once logged in, navigate to the 'Online Services' tab and select 'Claim (Form-31, 19 & 10C)' from the dropdown menu.

Verify your bank account details linked with your UAN. Ensure that your Aadhaar details are also seeded with your UAN for authentication.

Next, select the claim you wish to file. Since you left your previous company, you'll need to select 'Form 19 - EPF Final Settlement.'

Fill in the required details such as your personal information, previous employer details, and reason for leaving.

Enter your bank account details where you want the EPF amount to be credited.

Upload any necessary documents such as a cancelled cheque, if required.

Review the details entered and submit the claim.

Once submitted, your claim will be forwarded to your previous employer for verification.

After verification by your previous employer, the EPFO will process your claim and credit the EPF amount to your bank account.

Remember, it may take some time for the claim to be processed, so keep an eye on the status through the EPFO portal. If you face any issues during the process, you can reach out to the EPFO helpline for assistance.

Best Regards,

K. Ramalingam, MBA, CFP,

Chief Financial Planner,

www.holisticinvestment.in

Ans: Given your scenario, let's address each aspect step by step:

Maximizing Tax Efficiency on FD Interest:

If you deposit 1 crore equally into 5 bank accounts, the interest earned on each account would be considered separately for tax calculation.
Under the current tax laws in India, interest income from FDs is taxable as per your applicable income tax slab.
For the financial year 2023-24, if you are below 60 years old, the tax slabs are:
Up to 2.5 lakhs: No tax
2.5 - 5 lakhs: 5%
5 - 10 lakhs: 20%
Above 10 lakhs: 30%
Considering your personal expenses of 20,000 per month, or 2.4 lakhs per year, your total income from FD interest could be around 10 lakhs per year (assuming an interest rate of 6-7%).
With no other sources of income, your tax liability on the FD interest would depend on the applicable tax slab.
Claiming Tax Deductions without Working:

Even if you don't have any active income from employment, you can still claim certain tax deductions under various sections of the Income Tax Act, such as:
Section 80C for investments in instruments like PPF, EPF, life insurance premiums, etc.
Section 80D for health insurance premiums.
Section 80TTA for interest earned on savings accounts.
However, deductions under these sections may not fully offset the tax liability on FD interest income.
Retirement Planning:

With 1 crore invested in FDs and assuming a conservative interest rate, you may earn around 6-7 lakhs annually.
If your annual expenses are around 2.4 lakhs, you'll have a surplus for investments in mutual funds and other avenues.
Considering your life expectancy till 75-80 years, it's essential to ensure your investments generate sufficient returns to maintain your lifestyle and cover potential medical expenses.
Diversifying your investments across equity mutual funds, debt funds, and other avenues can help mitigate risks and achieve long-term growth.
In conclusion, while FDs offer stability and guaranteed returns, it's crucial to optimize tax efficiency and explore other investment avenues to sustain your retirement lifestyle and achieve long-term financial goals.

Best Regards,

K. Ramalingam, MBA, CFP,

Chief Financial Planner,

www.holisticinvestment.in

Ans: Given your investment horizon of up to 6 years and considering your risk profile, I would recommend exploring mutual funds over Portfolio Management Services (PMS) for several reasons:

Diversification: Mutual funds offer greater diversification by pooling investments from multiple investors and investing across a wide range of securities. This diversification helps mitigate individual stock-specific risks compared to PMS, where the portfolio is typically concentrated with fewer stocks.

Accessibility: Mutual funds are accessible to a broader range of investors with lower investment thresholds compared to PMS, which often require higher minimum investment amounts.

Professional Management: Mutual funds are managed by experienced fund managers who actively research and monitor the market to make investment decisions. This professional management can potentially lead to better risk-adjusted returns compared to individual stock picking in PMS.

Transparency and Regulation: Mutual funds are regulated by SEBI (Securities and Exchange Board of India) and are required to disclose their portfolio holdings regularly. This transparency provides investors with visibility into where their money is invested and ensures adherence to regulatory guidelines.


By opting for mutual funds, you can benefit from professional management, diversification, accessibility, and regulatory oversight, ultimately aligning with your investment goals and risk tolerance.

Best Regards,

K. Ramalingam, MBA, CFP,

Chief Financial Planner,

www.holisticinvestment.in