Factors that will affect the Success of Financial Goals “Our life is full of expectations and Goals I have presented the risks associated with the Goals, please go thru the Simple steps to overcome the risks”

Wrong Decision / Products Inflation Rate –Fixing inflation for your current Expenses and Goals is a tough one, Fixing lesser Inflation Will have a lower contribution(Advantageous) and Risk of not reaching goals The Solution Take 5 years Average –WPI for current Expenses and try to get inflation of various goals thru Sources like Education, marriage Expenses,car,International vacation Assuming inflation rate to an 5 year average will help you out

Choosing Wrong Product will Affect the Goals The Wrong Decision or Products Traditional Insurance Policies (Endowment, Money back etc) Employer Provided Medical Cover – If you left the Job for some reasons the Cover will cease Present Value of Expenses or Goals Saving For retirement thru Traditional Instruments The Solution Choose a term Insurance considering all Financial Goal Values to Cover the Risk Take a comprehensive Family floater with additional Accident Benefits Spend time with identifying Expenses and present Value of Goals Consider NPS and ELSS if you are in less than 45years instead of PPF Post office

The Wrong Decision or Products Direct Investments thru online – it lacks the professional Management & Diversification. Assuming Higher investment return from Market Spending Habits – too much Shopping and online purchase The Solution Choose mutual Fund route and invest in SIP’s. The power of compounding will work in your favor Consider nominal return and expect a Some % above Risk free Rate Effective Budgeting and positive Cash flow is required Prefer Cash on delivery instead of Credit cards Other factors that will affect the Goals Considerably

In effective Tax planning To avail For Sec 80C benefits buying too much insurance products and PPF etc Sec 80D benefits – taking only for self and Family Missing Spouse Income The Solution Consider NPS and ELSS, Over the long term both these products will perform well Include your parents if they dependent on you If your Spouse is educated and has some Experience advise him/her to do business or Job from home itself this will boost the Family income and adequate surplus will be created Wrong Decision / Products

The Wrong Decision or Products Not maintaining the Emergency fund The Solution Maintain at least 3-6 months expenses reserve in Liquid mutual Fund apart from 15% of it in SB Account For any Clarification please Contact Balakrishnan S CERTIFIED FINANCIAL PLANNER GM Wealth Care , GMFINANCIALADVISORY.WORDPRESS.COM