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Guaranteed Income: A Solution to Poverty?

The Guaranteed Income Plan is a plan that ensures a monthly income for life with no risk. The plan provides lifetime income protection in the event that you are unable to work due to illness or injury, and it offers an immediate tax-free payout at retirement.

A guaranteed income plan can offer a sense of security for those who fear an economic downturn, but there are drawbacks. The more money you have in guaranteed funds, the less likely it is that your money will keep up with inflation and provide a more comfortable retirement. If you have a lot of debt or lending commitments, then this could be a concern.

There are many reasons why a guaranteed income plan for all is important. The richest 1% of the population owns more than half of the country’s wealth, while the poorest 18% have no wealth at all. As a result, there are millions of people in America who are living below poverty levels, which has significant consequences on their health, education, and physical safety. People need to be able to work in order to survive, but many jobs today are not secure or living wage jobs.

The Guaranteed Income Plan has been a highly controversial idea in the United States and Canada for over 30 years. The program, which is also known as universal basic income, provides citizens with an income regardless of their employment status. Supporters argue that the plan would be a way to offset some of the financial effects of increasing levels of automation and provide people with more time to work on creative projects or start businesses of their own.

A guaranteed income plan is an important financial planning strategy for everyone. It can help save for retirement and provide supplemental income in case you lose your job or if the market crashes. This type of plan can also cover basic expenses such as house and car payments, grocery bills, and other debt repayments.

The modern world is changing. There are more and more opportunities for people who want to work, but there are issues with the quality of jobs. People are struggling to make ends meet on low wages and many find that they cannot get ahead no matter how hard they work. This problem is even worse for people who have disabilities or face other personal challenges, which can make it difficult for them to find any sort of work.

In 2017, the idea of a guaranteed income plan has been picked up as a possible solution to help those who work but still can’t afford their basic needs. In the past, society has had many different ways of solving these problems – from welfare programs, to food banks – but it is being suggested that a guaranteed income program could be a better way to help those who are struggling.

The idea of a guaranteed income plan is important because it will allow citizens or residents of a country to have a stable source of income without the risk of rising prices. The plan would also remove any potential for having to work more hours just to provide for basic needs. The average worker spends about 1,500 hours at work each year, which means that over ten years, they will spend roughly an additional three years at their job.

Income security is a critical component for a society to function, and the lack of it affects not only the individual struggling to make ends meet but also their family. For decades, economic growth has been slowing in many industrialized countries, and in many cases, they have even stagnated. In order to align with this trend and provide income security for individuals and families alike, some people believe that a guaranteed income plan should be instituted.

It is evident that the economy is not what it used to be. Jobs are more scarce and many people have not had their paycheck in months. The unemployment rate is at an all time high, which does not seem to be declining any time soon. As a result, many people are struggling for resources for necessities such as food, shelter, and clothing. One solution to this problem would be a guaranteed income plan.

A guaranteed income plan is important because it would safeguard the financial needs of individuals who are unable to work. It would ensure that people who need assistance can live comfortably while they wait for their disability claim to be processed. This plan will also protect disabled individuals from fraud and scams because the payments are made directly to them, removing any chances of exploitation by unscrupulous actors. The plan would keep people housed and fed all while they wait for their disability claim to be processed.

The United States has a two track economy: the one where people can move up and down the different levels of income and the one where they cannot. This disparity is caused by a series of interconnected factors that include family wealth, race, gender, and education.

Some people would argue that if everyone in America had a guaranteed income plan, classes of wealthy and poor would be eliminated, which could lead to a more equitable society.

Since 1968, America has seen a huge change in the number of jobs and the amount of income for each job. The average number of people working full-time jobs has decreased from 68% in 1965 to 58% in 2000. In addition, wages have increased at a slower rate than the cost of living.

Many people in the world suffer from poverty and economic insecurity. For some, their income falls below the poverty line and they struggle with day-to-day expenses and basic necessities like shelter and food. There are many reasons why some experience poverty but one is simply because of a lack of employment opportunities.

This article explores how a guaranteed income plan could help alleviate the problem of poverty by providing individuals with an unconditional cash transfer on a regular basis.

Many economists have argued that the guaranteed income plan is important for the following reasons: 1) It distributes funds more evenly across society, 2) It eliminates poverty, 3) It helps to distribute wealth more evenly across society, 4) It reduces the number of people living in poverty, and 5) The plan protects against inflation.

In my views, we should have atleast one reasonable income guaranteed income plan.

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Financial Planning-An Important aspect

Individual financial planning is a personal method of budgeting and saving money for the future. In this article, we will explore some reasons as to why it’s important to have an individual financial plan. Individual financial plannings can be as simple as setting a specific monetary goal for retirement or as complicated as calculating how much you need to save each month in order to have a safety net in case life throws you a curveball.

It’s not too often that people think about their finances. They live paycheck to paycheck with nothing saved for retirement or emergencies. For some, they are unaware of how much they spend on groceries every month. For others, they never stop to think about the financial decisions they make. But, this is a problem because it can lead to future problems down the road if they don’t start now.

The goal of this article is to show how a personal financial plan can help an individual create a better future for themselves. The first step in a personal financial plan is to review your current situation and what you want out of the future. Once you have a grasp on your current grip points, you can begin to make modifications. For example, if you are paying too much in taxes, it might be helpful to look into deductions that may coincide with your occupation or living location.

In today’s world, the responsibility of financial planning is not just for one person. With so many people being laid off from their jobs and economic uncertainty in the air it is important that people have individual financial plans in place to help them prepare for any future challenges that may arise.

It is important that an individual has a savings account and retirement account set up before any major life event occurs.

Why is individual financial planning important? For starters, it provides the opportunity to plan for any future uncertainties. A lot of people don’t realize they need to prepare for retirement, but there are many more things you’ll need money for in the future, like college tuition for your kids or helping your grandchildren with their college expenses. It’s also important because there are certain investments that might be better for some people than others.

Having an individual financial plan is important because it helps you to save for your future and protect your current assets. While many people take life insurance, the worry of sudden death is not the only thing that we should worry about in regard to our family. If we die slowly, we may become too sick and disabled to work and pass away with no outside help.

Needing to make wise financial decisions for your life can be a stressful and overwhelming task. When you are faced with the decision of how to pay off student loans or what to do when you retire, it can be difficult to know where to start. Individual financial planning is important because it makes these decisions easier by consulting with experts in order to gain knowledge about finances. Throughout the years, one of the most popular types of individual financial planners has been the financial advisor.

Financial planning is a very important aspect of anyone’s life. It can help you decide what your priorities are as well as to outline your goals and budgets. In order to effectively plan for the future, it is crucial that individual’s come up with a workable plan. Individual financial plans usually consist of the following: Income Planning, Assets Planning, Liabilities Planning, Insurance Planning, Tax Planning, Estate Planning and Retirement Planning.

Individual financial planning is important because many people are not aware of the risks they pose to their financial security. Individuals can create a plan to ensure long-term financial stability by assessing their current situation, their future goals, and the risk level they are most comfortable with.

The need for individual financial planning has created an industry that is worth more than $3 trillion, according to market research firm Marketdata.

Individuals need financial planning as much as they need any other kind of life planning. Unfortunately, the majority of people do not have a personal planner, and those who do often don’t take full advantage of this service. A professional can help you with all your financial decisions, from selecting the appropriate type of insurance to figuring out how much risk is right for you and helping you to prioritize and meet your goals.

Although many people put their financial future in the hands of others, doing so can be detrimental. Without taking the time to carefully plan out your personal finances, you will not be able to maintain control over your own financial well-being. Explore different options for investment vehicles to put your money into and choose an account type that best suits you. You should also start researching your retirement plan now because at some point you will need a plan for how to continue saving once you stop working.

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Mutual Fund- A key to financial success

In today’s society, the common person is expected to have a diverse set of skills in order to survive. In addition to being a jack of all trades, a modern-day individual needs to be a financial wizard as well. With so many options available, it’s tough for someone without financial know-how to make informed decisions about their money. But there are ways for those with less experience to invest wisely and responsibly using mutual funds.

What do you get when you mix gambling and investment? A mutual fund. It’s easy to get riled up about the risks these funds carry – mutual funds have had a median return of 12% for the past 10 years – but there are some arguments for investing in them.

The first argument is that the more investors a fund has, the less risk of a crash.

Mutual funds are a popular investment vehicle for retirement savings. Once they are in retirement, most people can’t afford to take the risk that accompanies investments like stocks. This article will discuss how to choose which mutual funds to invest in and then how to balance your portfolio with these different investments.

Mutual funds are investment vehicles popular among retirees. Retirement is when portfolios typically consist of mostly low-risk, stable investments like bonds and blue-chip stocks.

Mutual funds can be a great way to invest. They provide a diversified portfolio of stocks and bonds, which means there is a lower likelihood of losing your entire investment. There are many variations on how to balance mutual fund investment, including percentage-wise across asset classes or according to risk tolerance.

The mutual fund industry has grown exponentially over the past forty years, and it is now a $10 trillion market. It is important to invest in funds that balance one’s risk tolerance with their growth requirements. Investors should invest in low-cost index funds and avoid high-fee mutual funds that promise higher returns than what they deliver.

Mutual funds are a great way to invest when you don’t have the time or knowledge to manage your own portfolio. With so many fund options out there, it can be difficult to decide what to buy. As with any investment, it’s important to make sure that you’re getting good value for the money. Understanding the balance between cost and performance is key in navigating this complex investment vehicle.

Mutual funds invest in stocks, bonds or other securities. Mutual funds are offered in many different categories, including large-cap stocks, small-cap stocks, bonds and international markets.

Mutual fund investment takes a lot of consideration. It is important to have a well-thought out strategy in place before investing in mutual funds. There are a few things to consider when deciding how to invest in mutual funds including risk level, personal income, and the amount you plan to invest. The type of account you have also comes into play—you may need a retirement account for more conservative investments and a taxable account for higher-risk investments with potential for higher returns.

Mutual funds are a great way to invest for retirement, as they offer a way to diversify your portfolio. However, the best mutual fund companies will have both active and passive funds, so it is important to find out which type of investment is best for you. In the event that you lose your job, it is also important to know what happens to your investments in both types of funds.

There are two types of mutual funds: active and passive.

Mutual fund investment is one of the most popular ways of investing, but it’s important to balance various types of investments in order to get the best return. Mutual funds are overseen by a professional who is responsible for choosing which stocks will be bought and sold. There are several different types of mutual funds, including equity, fixed-income, and balanced funds. Mutual funds are a popular way to invest in stocks, bonds and other types of securities. Investors use mutual funds to diversify their portfolios and achieve their investment goals. To be successful at investing in mutual funds, investors should review various fund options, evaluate risk associated with each investment, and determine the appropriate size of their investment. In addition to these considerations, investors must also keep track of the fund’s performance over time.

It’s important to have a balanced portfolio within your mutual fund investments. A balance is needed between stocks and bonds so that your money can grow and protect itself from risk. This way, you’ll have a diversified portfolio with less chance of being devastated by any one investment going bad.

Mutual funds are an investment option for those who want to diversify their portfolio without the hassle of dealing with different investments. Mutual funds are managed by professionals, who are knowledgeable about investing. Investors can choose the type of mutual fund to suit their individual needs. For individuals living in retirement, there are also income funds that offer regular payments to investors. With the wide variety of mutual funds available to investors, it becomes more difficult to decide which ones will be best for their needs and goals. To get the soulution of this difficulty, investor should take the help of investment adviser or expert.

Mutual funds are a great way to invest your money. They help you diversify your holdings and can offer a higher return than a savings account or FDs. However, the more popular a mutual fund becomes, the more it is impacted by investor sentiment. Mutual funds have an inherent risk due to this which is why some experts recommend smaller more varied investments in order to balance this risk.

Mutual fund investments are a great way to diversify your holdings and grow your money. There are many types of mutual funds to choose from, each tailored for specific needs. However, balancing the different types can be tricky.

When it comes to making investment decisions, there are many choices a person has. One of the most popular methods is mutual fund investing. A mutual fund is a pool of money contributed by investors and managed by a professional who invests the capital by buying stocks, bonds, and other securities. A variety of risks can be mitigated by spreading funds across different types of investments which can reduce risk exposure as well as provide long-term stability for retirement savings.

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Senior Citizen Saving Scheme

This scheme is launched in year 2004 by government of India for providing the income to the person who is 60-year-old.

Under this scheme one can invest up to 15 lacs for 5 years. The fund will be locked for 5 years.

Government has provided the facility to withdraw the amount in case of emergency but in such case investor has to pay penalty up to 1.5%. This will be charged on invested amount. If the withdrawal is made before completion of 2 years then the penalty would be 1.5% and after 2 years 1% will be charged.

This scheme provides the highest interest rate among all other scheme provided by government. Interest rates may fluctuate as per the government guidelines. Invester gets quarterly payment and same will be taxable. TDS will apply if form 15G or 15H is not submitted.

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Real Estate Investment-Why & why not

Reason of real investment could be anything… it may be the part of portfolio allocation or may be for retirement planning but before investing in real estate there are certain points need to be remembered.

Don’t get emotional on financial related matter. Make proper plan and decide how much you can invest easily on decided property.

It would be dangerous if you believe everything about the property. Inspect the place personally and check every related document.

Before opting the loan option ,check is there any pre approved offer or check the maximum amount you can avail.

If you are not sure about the whole process, don’t hesitate the help of someone who has proper knowledge of this field

Before Finalising the Investment-

Check again planned property is fulfilling you your purpose or not.

If multiple persons are involved then they all should agree that this is the best option.

Re focus on your finances and ensure that you are able to pay the EMI

Have you considered extra cost involved in that property like agent commission, legal cost etc.

If you are planning to give this property on rent …check the rent of similar properties in that area.


Investing in home on loan may provide you long term tax benefit.

Easily Loan available

The value can not be totally disappear as it happens in case of investment in stocks.

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Various Saving & Investment options

Most of us have a desire to make investments in such a method that they get sky-high returns as shortly as possible without the danger of dropping principal cash. That is the explanation given by most of the investors they are  looking out for such investment plans where they’ll double their cash in few months or years with little or no danger. 

Unfortunately , a high-return, low-risk mixture in a investment product  doesn’t exist. In actuality, risk and returns are instantly associated, they go hand-in-hand, i.e., the upper the returns, larger the danger and vice versa. 

Whereas deciding on an investment avenue, it’s important to match your personal danger profile with the related dangers of the product earlier than investing. There are some investments that carry excessive danger however have the potential to generate larger inflation-adjusted returns than different asset class in the long run whereas some investments include low-risk and subsequently decrease returns. 

There are two buckets that investment products fall into and they’re financially and non-financial property. Financially property will be divided into market-linked products (like shares and mutual fund) and stuck revenue products (like Public Provident Fund, financial institution fixed deposits). Non-financial property – many Indians make investments through this mode – are the likes of  gold and real estate

Here’s a take a look at the highest 10 investment avenues Indians take a look at whereas saving for his or her financially targets. 

1. Direct Equity or Share Investment
Investing in shares won’t be everybody’s cup of tea as it is a risky asset class and there’s no assure of returns. Additional, not solely is it troublesome to select the correct inventory, timing your entry and exit can be not straightforward. The one silver lining is that over lengthy durations, Equity has been capable of ship larger than inflation-adjusted returns in comparison with all different asset courses. 

On the similar time, the danger of dropping a substantial portion and even your entire capital is excessive until one opts for stop-loss methodology to curtail losses. In stop-loss, one locations an advance order to promote a inventory at a particular worth. To cut back the danger to sure extent, you possibly can diversify throughout sectors and market capitalisations. To instantly spend money on Equity, one must open a demat account.

Banks additionally enable opening of a 3-in-1 account. This is how you can open one to invest in shares

2. Equity mutual funds
Equity mutual fund schemes predominantly spend money on Equity shares. As per present the Securities and Alternate Board of India (Sebi) Mutual Fund Rules, an Equity mutual fund scheme should make investments no less than 65 p.c of its property in Equity and equity-related devices. An Equity fund will be actively managed or passively managed. 

In an actively traded fund, the returns are largely depending on a fund supervisor’s capability to generate returns. Index funds and exchange-traded fund (ETFs) are passively managed, and these observe the underlying index. Equity schemes are categorised in accordance with market-capitalisation or the sectors during which they make investments. They’re additionally categorised by whether or not they’re home (investing in shares of solely Indian firms) or worldwide (investing in shares of abroad firms). Learn extra about equity mutual funds

3. Debt mutual funds
Debt mutual fund schemes are appropriate for buyers who need regular returns. They’re much less risky and, therefore, thought of much less dangerous in comparison with Equity funds. Debt mutual funds primarily spend money on fixed-interest producing securities like company bonds, authorities securities, treasury payments, industrial paper and different cash market devices. 

Nonetheless, these mutual funds are usually not danger free. They carry dangers comparable to rate of interest danger and credit score danger. Due to this fact, buyers ought to research the associated dangers earlier than investing. Learn extra about debt mutual funds

4. National Pension System (NPS)
The National Pension System is a long run retirement – targeted investment product managed by the Pension Fund Regulatory and Improvement Authority (PFRDA). The minimal annual (April-March) contribution for an NPS Tier-1 account to stay energetic has been decreased from Rs 6,000 to Rs 1,000. It’s a mixture of Equity, fixed deposits, company bonds, liquid funds and authorities funds, amongst others. Based mostly in your danger urge for food, you may determine how a lot of your cash will be invested in equities via NPS. Learn extra about NPS

5. Public Provident Fund (PPF)
The Public Provident Fund is one product lots of people flip to. For the reason that PPF has a protracted tenure of 15 years, the impression of compounding of tax-free curiosity is big, particularly within the later years. Additional, for the reason that curiosity earned and the principal invested is backed by sovereign assure, it makes it a secure investment. Keep in mind, rate of interest on PPF in reviewed each quarter by the federal government. Learn extra in regards to the PPF right here. 

6. Fixed deposit (FD)-Bank
A Bank fixed deposit is taken into account a relatively safer (than Equity or mutual funds) alternative for investing in India. Below the deposit insurance coverage and credit score assure company (DICGC) guidelines, every depositor in a financial institution is insured as much as a most of Rs 5 lakh with impact from February 4, 2020 for each principal and curiosity quantity. 

Earlier, the protection was most of Rs 1 lakh for each principal and curiosity quantity. As per the necessity, one might go for month-to-month, quarterly, half-yearly, yearly or cumulative curiosity choice in them. The rate of interest earned is added to 1’s revenue and is taxed as per one’s revenue slab. Learn extra about bank fixed deposit

7. Senior Citizens’ Saving Scheme (SCSS) 
In all probability the primary alternative of most retirees, the Senior Residents’ Saving Scheme is a must have of their investment portfolios. Because the identify suggests, solely senior residents or early retirees can make investments on this scheme. SCSS will be availed from a publish workplace or a financial institution by anybody above 60. 

SCSS has a five-year tenure, which will be additional prolonged by three years as soon as the scheme matures. The higher investment restrict is Rs 15 lakh, and one might open a couple of account. The rate of interest on SCSS is payable quarterly and is absolutely taxable. Keep in mind, the rate of interest on the scheme is topic to evaluate and revision each quarter. 

Nonetheless, as soon as the investment is made within the scheme, then the rate of interest will stay the identical until the maturity of the scheme. Senior citizen can declare deduction of as much as Rs 50,000 in a financially 12 months beneath part 80TTB on the curiosity earned from SCSS. Learn extra about Senior Citizens’ Saving Scheme

8. Pradhan Mantri Vaya Vandana Yojana (PMVVY)
PMVVY is for senior residents aged 60 years and above to supply them an assured return of seven.Four per cent every year. The scheme gives pension revenue payable month-to-month, quarterly, half-yearly or yearly as opted. The minimal pension quantity is Rs 1,000 per thirty days and most Rs 9,250 per thirty days. The utmost quantity that may be invested within the scheme Rs 15 lakh. The tenure of the scheme is 10 years. The scheme is obtainable until March 31, 2023. At maturity, the investment quantity is repaid to the senior citizen. Within the occasion of demise of senior citizen, the cash will likely be paid to the nominee. Learn extra about PMVVY

9. Actual Property
The home that you just dwell in is for self-consumption and may by no means be thought of as an investment. If you don’t intend to dwell in it, the second property you purchase will be your investment. 

The situation of the property is the only most essential issue that can decide the worth of your property and likewise the rental that it will possibly earn. Investments in actual property ship returns in two methods – capital appreciation and leases. Nonetheless, not like different asset courses, actual property is very illiquid. The opposite massive danger is with getting the mandatory regulatory approvals, which has largely been addressed after coming of the true property regulator. 
Learn extra about real estate

10. Gold
Possessing gold within the type of jewelry has its personal considerations comparable to security and excessive value. Then there’s the ‘making fees’, which usually vary between 6-14 per cent of the price of gold (and should go as excessive as 25 p.c in case of particular designs). For many who would need to purchase gold cash, there’s nonetheless an choice. 

Many banks promote gold cash now-a-days. An alternate method of proudly owning gold is through paper gold. Investment in paper gold is less expensive and will be carried out via gold ETFs. Such investment (shopping for and promoting) occurs on a inventory trade (NSE or BSE) with gold because the underlying asset. Investing in Sovereign Gold Bonds is one other choice to personal paper-gold. An investor may also make investments through gold mutual funds. Learn extra about sovereign gold bonds

RBI Taxable Bonds
Earlier, RBI used to problem 7.75% Financial savings (Taxable) Bonds as an investment choice. Nonetheless, the central financial institution has stopped issuing these bonds with impact from Could 29, 2020. These bonds have been launched by changing the erstwhile Eight p.c Financial savings (Taxable) Bonds 2003 with the 7.75 per cent Financial savings (Taxable) Bonds with impact from January 10, 2018. These bonds had tenure of seven years. 

The Central Financial institution with impact from July 1, 2020 has launched Floating Fee Financial savings Bond, 2020 (Taxable). The most important distinction between earlier 7.75% financial savings bonds and the newly launched floating fee bond is that the rate of interest on the newly launched financial savings bond is topic to reset in each six months. Within the 7.75% bonds, the rate of interest was fixed for your entire length of the investment. At present, the bonds are providing rate of interest of seven.15 per cent. The primary reset on the rate of interest is due on January 1, 2021. Learn extra about RBI floating rate bonds

What you need to do
Among the above investments are fixed-income whereas others are financially market-linked. Each fixed-income and market-linked investments have a task to play within the technique of wealth creation. Market-linked investments provide the potential of excessive returns but additionally carry excessive dangers. Fixed revenue investments assist in preserving the collected wealth in order to satisfy the specified aim. For long-term targets, it is very important make the most effective use of each worlds. Have a considered mixture of investments protecting danger, taxation and time horizon in thoughts. 

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Retirement Planning

It is the very important part of our life, if we ignore it or don’t plan it correctly, we will definitely going to make our life horrible during retirement period. So plan it well in time. If you plan it in your early age, you will get a lot of benefits because of compounding effect of the return percentage. At the same time you will have to invest or save less amount for bigger corpus.

For example, if you require Rs. 10000000 at 60 and your current age is 30 then you would require the investment of Rs. 1445 per month for 360 months at 15% but if you plan it on at 40 then to reach at Rs.10000000 you have to invest Rs. 6679 per month for 240 months. Mean almost 5 times more.

Now see the other difference what you invested in 30 years and 40 years.

if you start investment at 30 year for next 30 years then the total amount would be (Rs.1445X360 months) Rs. 520200 and if you start at 40 then you will have to invest (6679X240 months) Rs.1602960, more than 3 times.

Hope above calculation will help you to plan your retirement. If you feel the need of ther such financial matter, you can subscribe my youtube channel by clicking this link

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Importance of Financial Goal & how you can achieve

To live comfortable life you should plan your financial goal carefully. Financial goal planning plays an important role in your life. These goal can be short term goals, mid term goals and long term goals.

How can you define short term, mid term & long term goals. Any goal which is going to fall in next 3 years should be considered as short term goal, if the period is about 5-6 years then it is considered as mid term goal and finally if period exceed 6 years and above it will be long term goal.

If you make clear segregation of such goals planning and execution of these goals become easy for you.

Now we learn how we can achieve them, for short term goal, you should make investment in FD, RD and Debt mutual fund, in other way you should make an investment in safe instruments. Whereas if is mid term then you can consider hybrid mutual funds, Gold, Post office scheme etc. and finally under the long-term option you can invest in share, equity mutual funds and PPF, etc.

Achieving goals become very easy if you have correctly segregated in short, mid and long term.

Goals term help you to choose investment medium and investment medium helps you to choose the amount to achieve the goals. So everything is connected to each other, making mistake any of these level may put you in trouble to achieve the goal.

Hope by now you have understood the importance of financial goals and how to achieve them. If you have any query, you can mention in remark..

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How you can develop saving or investment habit

We generally complaint that we are unable to save or invest money, in other words we can say that we are left with no money after making all the expenses. Such type of situation can put you in difficulty because if due to some unfortunate circumstance, you would be required the money to come out from that situation. So, developing the saving and investment habit is an important task which you should consider. Now question comes how we can do it. This is not a hard task if you make some changes in monthly expenditure. Follow rule 50:30:20, it is very simple and easy rule; I tell how it works, suppose you earn 100 rupee every month, now out of this 100 Rs. 50 you keep for household expense, EMI and other necessary expenses and keep Rs.30 for your tour and travelling, any gadget which you want to buy, or any other enjoyment. But you must save or invest Rs. 20 for your future financial goals and emergencies. You should keep trying to increase this amount, the more you contribute, the more you will get and help yourself to become financially independent.

Developing this habit may help you to retire early to pursue your passion. Saving and investment is an important part of your life if you do it properly you will enjoy your rest of life if you don’t then you will keep yourself busy in struggling to earn money to fulfill your basic needs.

Life is beautiful and make it more beautiful by developing good habits in life. Saving and investment is one of them and work hard to develop it.

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When your money get double

Mostly when we invest or save money, we want to know when it will be doubled. Here I give you the simple tip, j, you just divide 72 by the interest rate number like if you are getting 7% interest on your saving or investment just divide 72 by 7, you will get 10.3 it means you money is going to be double in approx 10 years 3 months.

Doubling money period can help to achieve your financial goal and investment required to achieve that goal. Similarly, if you want to know when your money will become 4 time of your investment then divide 144 by the offered rate mean in our case 7% then it should be 144 divide by 7(144/7) and answer is 20 years 6 month appox.