India Family Business Consulting

We celebrate two birthdays. One as per the English Calendar and other as per the Indian calendar. But we celebrate 3 new years. One starts as per the Indian calendar, one as per the English calendar, and one financial year.

We are approaching the new ears as per the English calendar year. One more new year and one more chance to reviews all our goals, resolutions etc.

“Tomorrow is the first blank page of a 365-page book. Write a good one.” Brad Paisley 

This is not a new financial year. We are about to enter the new calendar year. It is a good reminder of the new financial year 3 months down the line. You can do your financial hygiene check-up.

• Financial Plan in Place

Do you have a written financial plan in place? If not it could be your New Year resolution to make one.

• Clearly defined goal

Do you have a clearly defined wealth creation place in place in your financial plan?

• Goal centric action plan

Have you defined an action plan to meet your wealth goal?

• Adequacy of Life Insurance

Have you reviewed your life insurance adequacy? Enhance the cover if necessary. Know the riders available in the market which suits your need.

• Adequacy of Health Insurance

Your health insurance policy is realistic to meet the rising cost of healthcare? Have you evaluated the critical care policy?

• Maintaining books of accounts

Do you maintain your books of accounts? If no, then plan to maintain books as soon as possible?

• Will Document

Have you made a Will? If yes, all beneficiaries are alive and valid?

If no, make one.

• Long-term and short-term investments

Have you differentiated between long-term and short-term investments? Investments to hold for the long term. Investment to review periodically and liquidate in case of emergency.

• Getting rid of dead investments

Review all your investments. Get rid of dead investments. Get rid of risky investments not appropriate with your goal.

Explore the possibility of prepayment of your debt.

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• Asset allocation

Allocate all your assets as per your risk appetite. Allocate assets as per your long-term and short-term need.

• Close extra bank accounts

Unnecessary bank accounts hold up a good amount of money and required administrative actions while filing an income tax return. Bank also debit charges for not maintaining a minimum balance.

Close all your unwanted bank accounts.

• Nominate in all your investments

Nominate someone you want to in all your investments, financial as well as real estate.

• Tax saving investment for the financial year

Have you planned to invest for the tax saving for the current financial year? Is the target achieved? If no, plan to make it complete by March 2019.

• Educate Family

Does your spouse know your financial information? Do your family members know where all your Original investments documents are kept?

Discuss and disclose your financial details to your spouse. She should be aware of all your assets and liabilities. She should be aware of whereabouts of all your financial documents.

If she doesn’t understand, educate her but do not ignore.

Make a goal to follow the best practice in the matters your personal finance. Maintain your financial hygiene and review plans every year.

“What the New Year brings to you will depend a great deal on what you bring to the New Year.” Vern McLellan

Review your financial hygiene, make it simpler, make it complete, and involve family members.

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