Author: Chillmaadi Admin

Trading and Forex Brokers for Beginners

“Forex” is derived from foreign exchange, is also used the term FX Market. “Foreign Exchange” is the buying of one currency and selling of another simultaneously through forex brokers.

Currencies are traded in pairs, for example, Euro / US Dollar (EUR / USD) or U.S. Dollar / Japanese Yen (USDJPY). FX Market – FX Exchange – is considered a market “over the counter” (OTC). Transactions are carried out either by telephone or by electronic networks. Unlike stocks or futures markets, forex trading is not centralized on an exchange.

You may have heard a lot of buzz recently about online forex trading but what exactly is an online forex broker? If you’re looking to get involved in international trading on your own, forex trading may be a great place for you to start because it is simple, global, and practically always available.

Forex brokers for beginners provide traders a Forex trading platform – an application, a working environment, where the trader buys and sells currencies, dealing online – in other words, he speculates to make money on the difference of currency rates.

Who trades currencies, and why?

Daily volume on the currency market comes from two sources:

  • Foreign trade (5%). Companies buy and sell items from/to abroad and convert profits from foreign trade into their own currency.
  • Speculation for profit (95%).

Most speculators focus on the most traded / liquid currency pairs, called “The majors – major. Today, more than 85% of daily transactions involve trading of major currencies, including the U.S. Dollar, Japanese Yen, Euro, British Pound, Swiss Franc, Canadian Dollar, and Australian Dollar.
The Forex market is the most traded world market, with transactions 24 hours a day.

Certain parts of the world have part of their Saturday to trade, as it’s still Friday in other markets. Financial institutions in these countries may be dealing with the Forex market during their work hours, the Forex market is open and trading 24 hours, 5 days a week.

With an average daily trading volume of over 3.2 billion U.S. dollars, the forex market is traded in world markets. Open 24 hours from 24, started trading on the FOREX market every day in Sydney, and moves around the globe depending on the opening day in each financial center, first to Tokyo, then London and New York.

Unlike other financial markets, investors (speculators Forex) can respond to currency fluctuations caused by economic events, social and political, which would occur anytime – day or night.

It doesn’t take a large initial investment, and it doesn’t take any special training (although making yourself more knowledgeable is helpful!) and these are two of the reasons it is becoming more popular and gaining more attention. Using some of the most popular and easy-to-understand forex systems, a person can trade directly with real live forex markets, without the intervening middle-man influencing decisions.

One of the most popular methods in recent years is the use of Expert Advisor software (also known as “EAs,” “Electronic Advisors,” or “Robot traders”). This software is programmed to monitor the market for specific movements and conditions set by the user, then used to capture market opportunities. The most exciting thing about being your own online forex broker is that regardless of market conditions – whether the market is rising (“Bullish”) or falling (“Bearish”) an individual still has the potential to make a profit.

This huge, influential market allows for unlimited profit potential because it is based on market movement alone, not on positive or negative conditions specifically. So this means that as long as an individual is monitoring the movement of the market that person has the potential to make profits. Check this blackbull markets review  to understand how a broker that cares for beginners in forex investment can be beneficial to your career as a forex trader.

Traditional Online Forex Broker

If you choose to use a traditional brokerage firm, which would act on your behalf and according to your direction when trading in the forex market, you will develop a relationship with an advisor or money manager. He or she is the contact go-between for you (the client) and the market and will watch the market very closely for price levels. Then, the advisor will execute your orders based on the direction you give them. It must be remembered that in this type of situation, the advisor cannot act to engage in trades with your money of their own accord and would have to have clearance from you to do so, and this also makes you solely responsible for the outcome of the trade.

When you’re beginning to find out more about being an online forex broker, you may be afraid that your EA software won’t be used properly, or that you might miss some valuable opportunities. Many people have the tendency to look at these situations as “mistakes” and can begin to second-guess what their software tells them, or the signals that they receive in regards to the parameters they set up for the software. The truth is, it is virtually impossible to “win” every trade, so even a trade that loses money can be seen as valuable if it increases your confidence in your software, or teaches you something about how to set the parameters of the software to your benefit.

The fact is, only 5% of all traders achieve the goal of being consistent with their profits, and that average is established by looking at both the high and the lows of trading. Learn from your mistakes, and don’t see these experiences as “failures” but instead, for what they are – chances to learn more and do better next time. The only real “mistake” would be to ignore the signals of your EA entirely. If you begin to second guess your own system, the entire thing can unravel.

The foreign exchange market began with the need to convert payments received in foreign currency to home currency, and an online forex broker helps large banks, small companies, and investors around the globe do this quickly and efficiently. This is why the market is available virtually all day, every day. The market is the most “fluid” (or “liquid”) because it is not based on “real money” and its value. Instead, it is based on the exchange rate between currencies with the purpose of cashing in on the value change between those currencies.

A currency speculator (someone who estimates the values and attempts to foresee what they will do) can benefit from endless trading opportunities because the number of members involved in forex trading is so high, the volume of money is so vast, and there is virtually no end to the demand. Currently, the daily transactions are reported to be in the trillions, meaning that a large amount of money flowing, and the solid foundation of the exchange, have created the forex market as an asset class of its own – not subject to the same troubles as “real world” commodities.

If you’re interested in learning more about becoming an online forex broker, it is wise to conduct additional research and learn all you can before dipping your toe in the market with an initial investment. Although it does not require any special training or certification, it is a fast-paced and constantly moving market, and having some initial knowledge will give you the advantage over other novices. If you have worked with an advisor or money manager before and have some knowledge of the basics, a good piece of advice to begin in your own investment portfolio is to start out speculating and becoming intimately familiar with two particular currencies and their exchanges and rates.

Once you have become a bit of an expert at those currencies, you can begin to expand and see what other currencies and foreign exchange rates seem to perform well and deserve your time, attention, and investment. It may take some time to become the successful online forex broker that you dream of, but with a little work and determination, you can make it be the most profitable investment in your life.

Kick-start your Black Friday on RapidRupee

The main sales event in the world Black Friday, as well as Cyber ​​Monday, will take place soon.

Service https://www.rapidrupee.in/ is always ready to help you prepare for profitable deals and finance your expenses by getting an instant loan online on favorable terms.

Great deals on Black Friday

We all know that every year all online and offline stores offer a large number of products at a bargain price and with huge discounts.  This period is called Black Friday. However, by this day we don’t always have enough finances to make profitable purchases. No need to worry, because RapidRupee service is always ready to provide you a loan in a short time so that you can buy everything you need during the sale period. In any case, it will be beneficial for you to save on sales, even if later you need to pay an interest rate on the loan.

A Few Tips for Shopping during Black Friday 2020

These tips will help you to avoid mistakes when shopping for the World’s Major Sale.

  1. Standard price. Many sellers keep the usual price of the product, passing it off as a discount. It is necessary to analyze the prices in the market so as not to buy goods at the regular price and to waste the money that you have borrowed.
  2. Buy online. Most stores sell online, which is beneficial as there is no need to stand in lines to get injured. Also, many online sellers sell at better prices, because they save on renting premises.
  3. Do a mini-research. Many sellers start their ad campaigns ahead of time, which allows you to do your research and explore the offerings of different sellers and choose the best one.
  4. Set priorities. Before making purchases, think about what exactly you need to buy and buy them on purpose.
  5. Get ready. Have your money ready in advance if you know you want to buy certain items. To do this, it is enough to arrange a loan on website https://www.rapidrupee.in/

How to get a loan of up to 60,000 rupees for purchases?

If you urgently need money for personal expenses, then you have come directly to the address. Our RapidRupee service is always ready to provide you with money within 30 minutes without examining your credit history. How to get a loan? Just register by filling out the form and wait for the approval.

The best part about it is that you will need to pay off the loan when you receive your next paycheck. This is an easy way to save money, instead of waiting for your next paycheck and buying an item at full price.

10 common financial planning mistakes

Investors faced with a New Year and new opportunities to gain — or to lose — should avoid the 10 most common financial planning mistakes.

It is not enough to want to make money. You need to understand what the money is for and what time is allowable for realizing goals. Failure to do that is the foundation for many other errors.

Here are 10 common financial planning mistakes, financial planners report year after year.

Lack of a financial plan

There is a difference between an intention, like wanting more money, and a road map for getting it. The map is a series of choices that one needs to make to reach the goal. The choices include allocation money, for example, between debt repayment and retirement savings.

The investor has to have a plan; without it, he can get lost in the jungle of choices.

Giving too much weight to tax minimization

People are diverted by tax planning from the fundamental problem of making money. Tax administration always is a subsidiary to the basic problem of finding profitable investments.

Failure to appreciate the risk of making particular investments or in not being sufficiently diversified

Capital markets have a great deal of embedded risk. It is the job of the investor or his advisor to find it and weigh it in making his plans.

Bargain hunting for the wrong reasons — buying things because they are down without appreciating why they are down

You have to look at fundamentals and then analyze the current price and what the future may hold for the stock or bond or other assets. It may be cheap for a good reason.

Hubris

It is wrong to put ego ahead of your judgment. You can come up with a thesis about a stock and refuse to change it even though fundamental developments demand a change in attitude.”

Chasing famous names

Don’t chase famous names because they are famous and don’t ignore signs of developing crises on the theory that a company is too big or too prominent to fail.

Lack of clear goals

The investor who is not sure what he is investing for is at more risk than if he had a definite profit in mind. The old saying that if you don’t know where you are going, you may not get there. And that means having target prices, stop-loss orders, or a plan to add to a position if a stock or other assets that are worth having drops in price.

Driving your portfolio forward by looking backward

Mutual fund sales brochures warn that future performance may not reflect past performance. Indeed, it is about as likely that the returns for a stock or a fund will return to average performance for the group it’s in after an exceptional year. What really counts is fees and structure of investments — not last year’s performance.

Failing to observe and weigh the costs of an otherwise good investment

In mutual funds, costs are sales commissions and management fees, in bonds, it is the spreads between the price the dealer pays for the bond and what he sells it at, and in many tax-management devices like petroleum flow-through shares and junior mining offerings, the costs can be deferred to cash calls. The investor has to know his costs.

Taking on more financial services than required

A lot of people get sold on financial products they do not need. They get complex mutual funds with life payment options they do not require — all of which have fees embedded… Buy what you need and understand what you buy. That is a huge rule that many people break.

Refinancing Your Mortgage Can Shield You From Rising Interest Rates

Are you worried tħat rising interest rates will make your Adjustable-Ŕāte Mortgage payment too much for yoŭr budget to handle? If your budget is already stretched to the limit, the adjustment your lender makes to your interest rate aǹd payment amount could push you oveŕ the edge, especially įf yōu are still in ŷour introductory period. Here are several tips to help yōu fįnd the best mortgage for your situation.

If ŷou aŕe a homeowner in this situation, there are a number of options available to yōu including fixed interest ratě mortgages anđ a variety of adjustable-rate mortgages that could meet your financial objectives. If yōu have a loŵ tolerance for financial risk, locking in your monthly payment amount with a fixed interest rate mortgage could be best for you.

Many homeowners refinance their existing mortgage with an adjustable-rate mortgage. Many adjustable-raţe mortgages come with introductory periods ŵith interest rates that arě significantly lower ţhan ţhe actual interest rate. Depending on the amount of ŷoŭr closing costs you could benefit from refinancing ţo one of these adjustable-rate mortgages, especially if the introductory period lasts for a period of five years.

When choosing an adjustable-rate mortgage it is important to shop for the běst mortgage offer from a variety of lenders. When comparing loan offers you need to compare all aspects of ţhe loans, not just the interest rates. Pay close attention to the index your adjustable ratě mortgage is tied to. Whenever ţhe lender adjusts your mortgage, they will base tħe change on this index plus a markup. Sōme financial indexes have higher volatility ţhan other indexes, the less the index youŕ mortgage is tied to changes, the safer you wiĺl be from economic factors.

You can learn more about youŕ mortgage options, including common mistakes to avoid by registering for a free mortgage guideƅook.

Inflation and You

Today I read an old (13-year-old) but really interesting article called Wake Up and Smell the Inflation on Forbes.com, on how the reported inflation figures are far below the true inflation numbers – it seems that there are many reasons a government would want to keep the reported numbers below the actual figure.

As stated in the article:

Interest payments on national debt (which is very high in both the U.S. and the U.K.) would go up dramatically if inflation was reported closer to its real level. In other words, there are billions to be saved if you can keep the official inflation figures down. Manipulating the numbers is surprisingly simple.

What this should mean to you, the individual is that inflation is here – and it’s doing nothing but increasing. This is important because it means the purchasing power of the money you’ve earned is steadily dropping. What you can do to try and protect yourself, assuming you have monetary assets sitting, is to try and keep the money in a high-yield online savings account. Most of them earn around 5% or so, which should be just enough to beat inflation. Keeping your money in a regular old bank savings account? You’re probably earning 1 or 2%, not nearly enough to keep your money’s purchasing power current.

Here’s another example: Remember that $50 gift card to the Gap your mom got you for Christmas last year? Well now you can’t buy quite as many clothes are you could in December, because Gap slowly raises its prices to keep pace with its increasing costs due to, you guessed it, inflation. There’s an argument for using your gift cards right away. (Even I’m guilty of not really knowing what to do with them and then stashing them. Apparently you can trade them online for other cards now – I’ll have to look into that!)

The bottom line is, inflation should be a real concern for everyone, regardless of how much money you have or what you’re doing with it. If you’re not investing wisely to keep the purchasing power of your money as strong as possible, the forces of inflation will slowly begin to chip away at your money, and soon. Keep smiling though, because next time you ask for a big raise, just mention that cost of living and inflationary concerns are forcing you to seek a higher than normal raise. Point to this post if you need some backup!

Tips to Manage the Looming Recession

What is a recession?

A recession is when there is a decline in industrial production, employment, real income, and wholesale-retail trade that lasts for six months or more. It spells trouble for all of us. Sometimes it’s hard making ends meet in the best of times, but trying to raise a family in the midst of a recession is doubly hard to do. It helps to stay optimistic in this type of situation. We can tighten our belts a little and still share some quality time together as a family.

Tough economic times call for finding ways to cut down on spending, but not on activities, even when we’re on a budget. After doing a little bit of research I’ve come up with a few ideas that may help to weather this recessional storm.

Saving Money in the Kitchen Save money in kitchen during recession

There are lots of ways to cut back including in the kitchen so let’s start there. First, get rid of all the prepared meals. Aside from being too expensive, they are loaded with excessive fat, sugar, salt, and all kinds of preservatives. These are things that your family doesn’t need. Plan wisely and schedule specific meals for each day of the week. Do your grocery shopping once a week and get exactly what you need for each meal. Try going meatless twice a week.

Do a little research and find recipes for low-cost meals that you can make like pasta and vegetables or a homemade veggie pizza. These are nutritious meals and won’t cost a lot of money.

Saving Money When Traveling

Even when arranging for a vacation or just family time together, put a schedule in place so that you don’t miss a minute of fun. Check with the local visitor’s bureau in your city and see what attractions they offer. Some cities sponsor summer festivities for a minimal fee or no cost at all. Spend the day at a local park; take along Frisbees, a baseball and bat, and maybe even a set of horseshoes.

Stop by your local public swimming pool one day for an afternoon of aquatic games. Even pack a lunch to serve up after the swim, picnic-style, at a nearby park. Everyone develops an appetite after a day of sun and fun. This is an ideal way for a family to spend a day together.

The next day, spend the afternoon watching a movie at your local theatre. If you get there early, you can get the matinee price. It’s another great way to spend the day, and see a great movie in the process.

Saving Money on Pampering

After this much activity, you deserve to pamper yourself a little. If you like to read, don’t go out and spend money on a new bestseller, join your local library and read all of the books you want for free. Also, stock up on some inexpensive candles and some aromatherapy bath beads (you can get them at the dollar store) and treat yourself to a relaxing soak in the tub. If you close your eyes, you can pretend you’re at a fancy spa. You’ll feel any stress that you may have acquired from the long day begin to melt away.

You can find ways to cut back on spending and not on activities, it just takes a little bit of strategy and imagination. So plan to cut back, have fun, and make some great memories to treasure for years to come.

Surviving a recession

Financial planning to survive a recession begins well before the possibility of a recession. Not understanding that a recession can occur is like assuming that a sunny day will not possibly be followed by a rainy day. Not preparing for possible challenging financial times is akin to not wanting to grow up. There are several actions and plans that must be carried out to ensure survival during tough financial times:

1. Maintain your career: Have you kept yourself up to date professionally? Is your resume polished? You can’t wait for the writing to be on the wall to prepare for potential lay-offs. Is there education you need that you have been putting off? To effectively maintain your career and hope to grow professionally, it is imperative that one networks regularly. You never know when someone you know is able to lead you to a different opportunity at just the right time. Considering and developing side interests seriously is smart. Explore your hobbies to see what could result in possible additional funds (and enjoyment). There are also significant tax savings to take into account. And having several eggs in the basket of your career never hurts.

2. Maintain your savings: Think you want the latest new car? Think again! Now is the time to be conservative and be very picky about your purchases. If you have to make a big purchase such as an auto, can you think outside the box and think of alternatives that will have less financial impact? How about using public transportation, moving closer to work or buying a used vehicle? Do you really need that latte on your way to work? How about cooking more and taking your food to work rather than going out? Little expenditures can add up. If you received that much in interest in your bank account, wouldn’t that make you happier than caffeine could?

3. Cover yourself! Make sure you are covered in the case of any emergency. Make certain you have adequate insurance for any potential risks to your finances auto, homeowners, medical, etc. A medical emergency not well covered could result in bankruptcy. Have you created a will to take care of any dependents? Do not leave them vulnerable. Insure that any children are well aware of the need to manage finances at an early age. They must also understand about the value of education and its usual impact on a stable, financially secure future. Do not leave this to chance. Have a continuous dialogue with them to cover yourself. You never know when you might need their financial assistance during a future recession!

Having these areas taken care of should allow one to endure the rainy days of life so the sunny days can be even more pleasant.

Public Provident Fund Knowledge Series

  • Public Provident Fund is a savings cum tax saving instrument in India, introduced by the National Savings Institute of the Ministry of Finance in 1968
  • Only Resident Individuals can open an account. HUF & Non-resident are not allowed to open an account.
  • Minimum 500 to Maximum 1,50,000. Any amount deposited over and above 1,50,000 won’t earn any interest.
  • Minimum Duration is 15 years and thereafter it can be extended for 1 or more blocks of 5 years each.
  • If account holders are in need of funds and wish to withdraw before 15 years, the scheme permits partial withdrawals from year 7 i.e. on completing 6 years.
  • An account holder can withdraw prematurely, up to a maximum of 50% of the amount that is in the account at the end of the 4th year (preceding the year in which the amount is withdrawn or at the end of the preceding year, whichever is lower). Further, withdrawals can be made only once in a financial year.

Subscriber has 3 options once the maturity period of the PPF deposit is over.

1. Complete withdrawal.

2. Extend the PPF account with no contribution.

The PPF account can be extended after the completion of 15 years, the subscriber doesn’t need to put any amount after the maturity. This is the default option meaning if the subscriber doesn’t take any action within one year of his PPF account maturity this option activates automatically. Any amount can be withdrawn from the PPF account if the option of extension with no contribution is chosen. The only restriction is only one withdrawal is permitted in a financial year. Rest of the amount keeps earning interest.

3. Extend the PPF account with a contribution.

With this option, the subscriber can put money in his PPF account after extension. If the subscriber wants to choose this option, then he needs to submit Form in the bank where he is having a PPF account within one year from the date of maturity (before the completion of 16 years in PPF). With this option, the subscriber can only withdraw a maximum of 60% of his PPF amount (amount which was there in the PPF account at the beginning of the extended period) within the entire 5 years block. Every year only a single withdrawal is permitted.

Tax Benefits of Public Provident Fund: –

1. Interest Income earned on PPF is exempt under section 10(11).

2. Entire Maturity amount received is exempt.

3. Deduction u/s 80C every year for any amount deposited in PPF (maximum 1,50,000)

Premature closure of PPF account: –

Premature closure of PPF account is permitted after completion of 5 years for medical treatment of family members and for the higher education of PPF account holder. However, premature closure comes with an interest rate penalty of 1%.

Loan facility with Public Provident Fund account: –

  • Loan facility available from 3rd financial year up to 6th financial year. Up to a maximum of 25 per cent of the balance (at the end of the 2nd year or immediately preceding the current year) would be allowed as loan. Such withdrawals are to be repaid within 36 months.
  • A second loan could be availed as long as you are within the 3rd and before the 6th year, and only if the first one is fully repaid. Also note that once you become eligible for withdrawals, no loans would be permitted. Inactive accounts or discontinued accounts are not eligible for a loan.

8 smart moves to Improve your Personal Finances in 2020

The New Year is providing you with an opportunity to decide your ambitions, goals and targets for the upcoming year. It is the time when you should plan for your financial problems and for their solutions. There are some tips, which you should follow and keep them in mind. These tips can help you a lot in developing a better understanding of this issue.

1 – Make Your Mind Clear and Set Your Goals

You have to clearly define and refine your goals and targets what are you planning for, and which kind of achievements you want to achieve. Make your mind very clear about your decisions. When you will have set the particular goals at once, you will ultimately be dedicated, and committed towards them and you will surely accomplish and achieve them by putting in some hard work.

2 – Compile a Spending Plan

It is not exactly a budget. It’s just a spending plan that you form for the following New Year. With the help of this crude plan, we can easily allocate the part of the money that we are to spend in a particular area of interest. It can give you a clear idea about the total expenditure, consumptions, savings and investment. Sometimes it also happens that we have to allocate some of the money to fulfil the past consumption that was left last year. So it easily comes under control to easily focus and balance your income and expenditure. It is, in fact, a “worksheet” for building your spending plan.

3 – Making an Emergency Plan

This plan actually is a money pool that is normally invested in liquid investments. It is helpful when the investments need to be converted into cash without penalty or reducing principal. It is often suggested that the initial three to six months have enough expenses available in the fund. With the help of creating emergency funds, we can easily cut and invest our funds. Some of the people normally don’t go for keeping much money in short-term investments. Rather they keep in mind the ways from where they can get money quickly in the emergency situation. For some of the people, it is a mere risk liquidating longer-term investment if the needs arise.

4 – Managing Your Credit Report

It means different things to different people. You can get a free copy of your credit report once each year from each of the consumer reporting agencies. But you space out your requirements; you get your report done differently. And freezing your credit report isn’t a good thing for anyone. But it can serve as a way of protecting you from identity theft.

5 – Reviewing and Rebalancing the Port-Folio

For making it sure that you have the right investment mix, it is very important to rebalance your portfolio time to time by reviewing it. Investment allocations in financial securities are normally split between stocks, bonds and cash. Cash is financial shorthand for money market debt investments with a final maturity of a year or less and rebalancing the portfolio will get you back to your target allocation.

With calendar rebalancing technique, we can regularly adjust our portfolios. Meanwhile, tactical asset allocation has your underweight or overweight asset classes based on your outlook for that asset class. This is called active management or timing the market.

6 – Determine Your Net Worth

For the accomplishment of this particular task, add up what you own and subtract out what you owe. You will be left with all that’s yours. It is really beneficial to build during your career and start taping that wealth in retirement or for the purpose of other goals that you want to meet. For this, a daily balance sheet is not required. But you have to track your net worth regularly.

7 – Keep an Eye on Your Accounts

 

You have to keep a current listing of your bank accounts, investment accounts, life insurance policies and pension information. It is also important to have a copy of your will with a note informing where the original copy is available, and somebody must know where you keep this particular list.

8 – Plan for Your Retirement Needs

You must have an idea of how big your investment portfolio is at retirement. If you design a spending plan, it will help you to use the total annual expenses as a guide to what you might need in retirement. “Retirement Calculators” can help you determine the size of an appropriate nest egg by weighing how much you have already put aside, by looking at your pre-retirement savings goals and estimating your income needs in retirement.

Bottom Line

You should be a part of your community and not confined to your houses. If you will be a better person, you will get a better community. Give your time to the community you are living in. It will bestow you with the feeling of greatness.

The Funda of Investing-4 steps to achieve financial freedom

Today we talk about how to prioritize your goals and organise your finances so that you can meet your targets in the easiest possible manner.

Check out these four steps that will help you budget your finances in the best possible way.

Identify Goals and Prioritize- The No 1 rule for financial planning

The goals can vary from higher education to marriage to buying a car. Once you have jotted down the list, prioritize and elimination the avoidable ones e.g. buying a car can be delayed by a few years if you are looking forward to getting married in the near term.

Create an Emergency Fund and Cover the Risks :

A typical emergency fund usually caters to situations like loss of a job. It should be sufficient to last around 6 months. So if you spend 15000 Rs a month, keep aside Rs 90000 for this fund. Apart from this cover the risks – risk against accident, disability, ill-health and death. This is important so as to take care of you and your dependents, in case, God forbid, something happens to you. You can cover yourself through an appropriate mix of term plans, mediclaim and health insurance.

Budgeting Finances – Create Goal-Based Funds :

A goal-based fund would look like –

Saving 2,00,000 in 2 yrs for a car
Saving 8,00,000 in 3 years for marriage, etc
Calculate the monthly savings accordingly. So instead of spending and then saving, first save and then spend.

Organize your Finances :

Cut out on leisurely expenses. It doesn’t mean cutting out on your leisure, but it simply means finding alternate sources of entertaining yourself. Instead of watching movies in a multiplex, opt for smaller, cheaper theatres, or better watch them on a rented DVD. Ladies can cut down their visits to beauty parlours and opt for self – do packages.