A financial plan and financial investment are important while you are growing older. Investment timely in a profitable scheme or any other insurance scheme can give you a profitable result in a long term. Smart investment in the fund schemes such as mutual funds has also seemed profitable. At the age of 20, you might think the investment is not a part of your plan. But the time you start to grow older considers giving yourself an investment option. With age responsibility also comes. So proper financial planning should have to be taken so you did not break down at an older age.
Work on your Real Estate Plan
By the time you are at an age of 40 and are earning a good amount of money. Plan your estate, invest to secure a house to give your old age shelter. A home not only gives you a roof but is a promising asset. If the investment in the old one is not profitable invest in a new one. Try to maintain the old one so that it did not give you unnecessary trouble later.
In India, most people invest in a flat or a shop so that they can rent it out and later earn money. Some of them invest money in gold and the lands. If you are planning on owning a home better start preparing from one at the age of 30. So, by the age of 40, you can be free from this loan. Agricultural investments are common in India. This is a fixed asset of income on longer terms. Make use of credit cards. The usage of the credit card gives you a score that helps in providing you a loan. So, make the payments of credit cards timely.
Invest in schemes of Longer Duration
Find out the insurance policies, funds which in the long term give results. Invest in the long-term schemes starting with a small amount. Like saving a small amount. By the age of 30, you must start to keep aside money in the funds such as ppf, mutual funds, bonds, etc. Try to figure out the risk and start working again on yourself. Some of the plans also offer saving schemes. Seek the schemes like systematic plan (SIP) investment. Explore all the details regarding the schemes. Do not invest all your amount into one scheme. Invest in a small scheme if all looks good then invest in a medium scheme.
Keep emergency aside
Life is a long way in which there are many twists, turns, and many events. When you are applying for insurance also invest in medical insurance, accidental insurance. Most people forget but in case of a critical situation, this might become very helpful. This is also used to reduce the burden of future financial problems which people neglect and overlook. The emergency investment depends on the income at that time. This should be 3 to 6 times the income. Some of the insurance plans are termed if any untimely events occurred. If you had these insurances covered periodically check on the amount to ensure your needs.
Plan for the Future
After the age of 30, the responsibility also comes. Be it of the parents, children’s. You also have to look out for them. Raising the child is important and is also complex. Proper financial planning should be adopted for ensuring a suitable and comfortable rising. Planning for the long term you must look out for various investment schemes and can seek out help from financial experts.
As the education expenses are increasing exponentially. Higher education is not an easy task and during college time, you will be nearing your retirement time. You had to think about spending a little bit on the expects to be it retirement, Emergency, educating a child and, marriage. Make a separate account to save money. Pay the tax on time.
Change is the basic need of humans. Open to every kind of opportunity. When you are growing older you will encounter different changes may it be the food, surroundings, technology, environment, etc. As you are nearing your retirement age one must choose how to spend your retirement age. Going on a long trip or by reading a book and watching a movie sitting on the chair. Be open to new activities and develop a new hobby. Learn a new technology or electronic gadget. Good financial planning provides you the financial flexibility
If you are near the age of 40 and only had a house and some tax savings, this might not be enough. You had to start doing some actual serious math. According to the survey,72% of people who had applied for a home loan in 2019 were under 30lakh rupees. Plan your retirement or the way to reach there.