If you want to take control of your financial future, you must have a plan that will allow you to find good investments, reduce taxes, beat inflation, and properly manage money.
The two primary objectives of every young couple, should be setting up a savings plan and eliminating debt. "Every month you need to make sure that you have set aside something. Filled with in-depth insight and financial planning advice, this unique guide can help young workforce: Set goals, build wealth, manage your finances, protect your assets and plan your estate and investments It will also show you how to maintain a financial plan in conjunction with life events such as:
Getting married, raising a family, starting your own business, aging parents and planning for retirement.
The greatest financial risk facing most families is the death or long-term disability of a breadwinner without whom there would be insufficient income to maintain the family's standard of living. The loss of a non-earning parent can also wreak havoc on a family's finances and lifestyle.
Even where an individual has no financial dependents, there is still a need to ensure adequate protection against prolonged loss of income through ill-health. Protect our family every young workforce should have this 3 following policies in their portfolio as a priority:
Term Insurance Policy: A pure risk cover plan, which gives you protection against the uncertainties of life. General principle of need assessment for insurance states that at least 20 times your current income should be the coverage. An ideal way to secure the financial future of your loved ones. High cover at a very nominal cost plus an option of adding optional benefits to cover for other eventualities.
Personal Accident Insurance Policy: This policy offers compensation in case of death or bodily injury to the insured person, directly and solely as a result of an accident, by external, visible and violent means. The policy operates worldwide and is a 24 hours cover. Different coverages are available ranging from a restricted cover of death only, to a comprehensive cover covering death, permanent disablements and temporary total disablements.
Health Insurance Policy: This policy provides for cashless hospitalisation in India for the treatment of any illness or disease or accidental injury (not specifically excluded) suffered during the policy period. The payment of claim is made through Third Party Administrators who have been empanelled by the Company to provide hassle free admission and discharge from the network hospital without making any payment.
The reimbursement of domiciliary hospitalization claims will also be made through the TPA.
Now, the choice is yours. In my opinion it is never late, so start now.
The author is head of financial planning division at Sykes & Ray Equities
