9 replies on this article “Financial Planning for Future”

1. Ashal Jauhari says:

   January 17, 2013 at 9:20 pm

   Dear Sreeram, let’s go into some nos. You are paying 100 Rs. as prem. towards your child policy. A part of this is deducted towards agents’ commission (actually it’s quite big one in intial years) another part towards insurance (this insurance is almost negligible as per your actual requirement is a diferent question in itself). Now whatever remaining amount is there, is invested. Now if your insurer is earning 8% on this remaining amount, it ‘ll deduct it’s own charges from this earning towards it’s admin expenses. Now do tell me if 70-75 Rs. are invested in the 1st year & around 80-85 Rs. 2-3rd years & 90 Rs. onwards in subsequent years, what ‘ll be your actual return from those 100 Rs. yly prem.?

   Will it be 8% or some where around 5-6%?

   Please answer this simple question.

   Thanks

   Ashal

   Reply
2. sreeram says:

   January 17, 2013 at 7:17 pm

   Ashal,
   Thanks for ur reply…
   I calculated and Failed…So where can I diversify the investment? will any Equity diversed MF work? or something else…

   Reply
3. Ashal Jauhari says:

   January 17, 2013 at 6:24 pm

   Dear Sree, now check how much money ‘ll you get from those child policies & how much in actual your family requires? I do hope I’m not irritating you by my continuous questioning. Instead of spoonfeeding you, I want you to be feed by your own ‘Brain’. That’s by posing questions again & again to you as I do have faith in your own brain.

   Thanks

   Ashal

   Reply
4. LifeInsuranceHelp says:

   January 17, 2013 at 3:45 pm

   Dear Sreeram,

   We’d say better late than never! Its good to know that you wish to buy a term insurance policy. You may consider ICICI Pru iCare, a term plan from ICICI Prudential Life Insurance which can easily be purchased online and allows you to get a cover of upto 1 crore without any medical tests. This makes it very easy and quick to get protected. Term Insurance is not only affordable, but is also one of the simplest forms of insurance to secure your family. To learn more about the benefits of Term Insurance watch this video http://bit.ly/QuKARO. We are happy to share that consumers have voted ICICI Pru iCare as Product of the Year 2012 in the Life Insurance Category based on survey of over 30, 000 people by Nielsen.

   Regarding your concern about securing your child’s future with world-class education, ICICI Prudential Life Insurance has Child Plans, designed to give you money at key stages of your child’s education. And most importantly, in case of your demise, all future premiums payable under the policy will be paid by ICICI Prudential Life Insurance. If you want to know more about our Child Plans please visit http://bit.ly/SQydi4

   We will be happy to assist you if you have any further queries.

   Please understand that we only offer suggestions based on your requirements, however choosing a policy most appropriate for you remains at your discretion.

   Warm Regards,
   Life Insurance Help
   ICICI Prudential Life Insurance

   Reply
5. sreeram says:

   January 15, 2013 at 2:46 pm

   question pricks…thats Y i am here to do something

   I have made a Asset of 20 lakhs worth,an apartment and closed the loan,apart from this I dont have anyhting to safeguard them…

   Reply
6. Ashal Jauhari says:

   January 15, 2013 at 2:38 pm

   Dear Sree, please answer a naked & blunt question. If you are no more today, how ‘ll your family pay that 35L Rs. loan & how ‘ll they life there after?

   thanks

   Ashal

   Reply
7. sreeram says:

   January 15, 2013 at 2:37 pm

   Thanks FFC,

   If I surrender the LIC policy where can I better invest?

   And I am the only bread winner of the family,Shouldn’t I need a term Insurance to protect my family? [i have short listed ICICI pru iCare]

   How to secure funds for my childs Education?

   thru ur calculator I have arrived at 1.5 crore.

   Reply
   1. Free Financial Calculators says:

      January 15, 2013 at 2:45 pm

      of course you need term insurance. Please get one online asap

      Since your goals are quite far away you should be invested in MFs to about 70% and rest in debt instruments.

      You could open a PPF account in your name and put a little each month or year towards retirement. Increase the contribution as you age.

      pattu

      Reply
8. Free Financial Calculators says:

   January 15, 2013 at 2:19 pm

   planning for what would the first question.

   You home loan is not a problem. You are making enough to pay it off.

   I can see two major goals

   You childs education and your retirement. besides other goals that you may have.

   Please use the goal optimizer available at

   http://freefincal.wordpress.com/goal-planning/optimize-your-goal-investment-amount/

   to find out the minimum amount you need to save

   The ask yourself this: will the LIC policies that you have help for your goals.

   The answer would be yes but only to a small extent. So can you do better. Depending on how long you have held them you can make the either paid up or surrender them and use the money to invest elsewhere wisely

   Assuming you will get the rental income for life you can use the
   retirement planner for the middle aged employee available at the above site to
   find out how you need to save for retirement taking into account your rental income and PF balance.

   Ask yourself why are you investing in the RD. Is it tax efficient. No when compared to debt mutual funds

   Find out how much life insurance you need using the comprehensive child planner at above site

   Start investing in equity mutual funds. You could use the mutual fund guide at above site to learn how to choose a MF.

   Reply

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