Financial Health Check: Coimbatore Finance

Add 10(ten) to every "Yes" answer. Add zero(0) to every "No" answer.
You will get a percentage of your FINANCIAL HEALTH out of 100.
Determine yourself...

Financial Health Check

Q1: Do you have 6 months' salary handy for an emergency?
Yes No
Q2: Do you know exactly how much you spend every month?
Yes No
Q3: Do you save at least 20% of your household income every year?
Yes No
Q4: Do you invest that sum regularly?
Yes No
Q5: Do you know what you earn on your various investments?
Yes No
Q6: Do you review investments at least twice a year?
Yes No
Q7: Do you invest beyond what you have to save taxes?
Yes No
Q8: Do you know how much you will need every month to live on when you retire?
Yes No
Q9: Have you enough life insurance?
Yes No
Q10: Do you have medical insurance?
Yes No

Coimbatore Money Advice: How to set financial goals for your future?

Goals give you an idea as to what you want to achieve. They can vary from just plain savings to your retirement, to your child's education, buying a house, buying a car, funding your or your son's/daughter's marriage etc. The job does not end here though. Even after listing them, you must have a clear vision about their priorities. The best, way to make this daunting task easy is to divide your goals into the following three categories:

~ Responsibilities: Like providing for your parents, providing education to your children, funding their marriage, meeting any unforeseen events etc.

~ Needs: This includes requirements that you have like providing for retirement, buying a house, providing for day-to-day life and also saving for the near future, etc.

~ Dreams: Or aspirations. It can be anything like buying a luxury car to buying a solitaire for your wife or a world tour. Your dreams may be out of reach but there is no harm in listing them as this can act as a constant reminder for you to work hard.

Based on the above three criteria you categorize your goals. You need to prioritize the above listed goals in an order of importance in your life and their requirements. There needs to be a fair balance drawn between needs and responsibilities as at a certain point in time both could be equally desired by you.