New Delhi: Along with earning in life, investing after saving and saving is very important. The investment can be long term or short term. However, experts point out that long term investment is good and for this a better planning is necessary. Changes are also necessary from time to time, as needs and preferences change with your age. Manikaran Singhal, a certified financial planner, says, “One should be goal-oriented for investing. The target should be set before investing, it should be decided when and for how long you should invest, as well as be clear where to invest.
Priority should be fixed according to age for investment
At the age of 20
Spend on yourself at the age of 20. Take care of your health, for example. Instead of going to the pub, go to the gym, eat healthy and develop a healthy lifestyle.
Develop saving habits : It is always better to start saving so that you can start investing for your future needs. If you are working towards a healthy lifestyle, then your wasted expenses will be reduced automatically and you will be able to save more.
Emergency Fund : Once you start earning, you have financial obligations. Therefore, emergency funds are necessary.
Clear investment goals: For the long term, you can take short term risk and invest in equity for high long term returns. Manikaran Singhal says, “A young man should save 20 to 25 percent of his earnings along with starting a job.”
At the age of 30
Insurance cover: To secure the life of dependents financially, adequate life insurance cover should be taken after marriage. You should also get health insurance cover to protect your investment.
Children’s education : One of the definite financial goals of life will be children’s education. Therefore you should start investing early to deposit funds.
EMI : Along with jobs and earnings, you will also need a house, and a car. For this, you will take a loan whose EMI will have to be given. You have to ensure that your EMI does not exceed 50% of your salary.
At the age of 50
Health Care : Illnesses come with age. Create a separate fund for health emergency with adequate health insurance cover. Manikaran Singhal says, if the goal is set, you can change the investment. He said that as the age increases, so can the change in investment if the target is achieved.
Debt : Repay all your debts and avoid large purchases that require new borrowing or repayment through EMI mode.
Retirement Fund : It is also very important to arrange a retirement fund with all these.