Finlife360: Making you financially responsible
Wish you a very happy new year 2020. I hope this year brings financial prosperity to you and your family.
The average ratio of savings to personal income in India is about 30%. While the mutual fund penetration in the Indian population is less than 3%. This means most Indians probably have the right discipline towards personal finance and wealth accumulation but simply haven’t realized their wealth creation potential.
Let’s assume that you are in the early twenties, still have a good 40 years to work. Do you know that even with the constant saving of 5000/- per month, your potential wealth creation in 40 years can be any-where between 58 Lacs to 2.8 Crore, depending on the return on investment (RoI). The lower number is with a 4% RoI, typically associated with saving accounts and the higher number is with a 10% RoI, typically associated with the long term equity-based mutual funds. The difference between the right and wrong management of your savings is more than 400%. For the same case, even with a 10% RoI, the wealth created in 30 years is about 1 Crore and in 20 years is around 36 Lacs. This means investing at the right time is also crucial.
A financially responsible individual manages all the aspects of finances properly and has a clear plan to create long term wealth. There are following five important aspects of finance management:
- Investment: Investment in different kind of mutual funds
- Real estate: Full assistance in buying, selling, renting or finding a rental property, including legal documentation, tenant police verification
- Tax: Annual tax planning, tax return filing
- Insurance: Right level of term and health insurance
- Loan: Home loan and other loans
I’m sure that you are working very hard to provide for yourself and your loved ones, but are you making the right decisions to create long term wealth? Small steps towards the right financial decisions can result in leaps towards complete financial responsibility
FinLife360 is a service offering from aFinPROs to manage all these aspects of your finance with a singular focus on helping you create long term wealth. Our engagement model is to analyze your income, expenses, assets, loans, and taxes to work with you and create an overall financial plan then help you in executing that plan.
Please contact us at [email protected].