Understanding Financial Wheel for planning in Life

Last week had a look at some examples of getting rich and for attaining the dream richness we have started dreaming. In order to fulfil those dreams, we have to understand the financial planning in a scientific way and plan our life accordingly.

 

Throughout the world, financial planning has developed into a new stream of sciences. However, unfortunately in our country we do not consider this subject seriously. We not prefer consulting an expert about financial planning. ‘I know everything’ and that I don’t need consultations is what we feel. If everyone wants to be rich in life or want financial freedom, then there is no option but to rely on financial plan. It is important to understand what financial planning is, and what its various aspects are.

 

 

Human life is full of ups and downs, but we enrich our lives by finding a way out of it. Just like a cycle of life, there is also a cycle of finances. I have named it “Aarthachakra” or the “Economic Cycle”. Although everyone has their own definition of happiness, it has to do with money to some extent. Everyone has a dream to make their family members happy and everyone strives for that. There is no alternative but to rely on this financial cycle to make our life more comfortable. With the right financial cycle plan, we can create an ideal for ourselves and others and achieve the richness of our dreams.

 

There are a total of six stages of the financial plan or financial cycle. These issues are generally considered in the financial plan. Each subject needs to be handled separately.

 

 

Insurance is very important for everyone. But even today many people do not understand its importance rather they don’t take it seriously. Fearing the police, we go for two-wheelers and four-wheelers insurance timely, because it is a binding by law. But, what about our own life? This question does not even cross our minds. In all, there are five types of insurances related to our life. These include life insurance, medical insurance, accident insurance, critical illness insurance and debt free insurance.

 

 

Everyone wants a home of their own. It is our primary need. If you do not have your own home, you must first buy a home. A home is essential for the stability of our family. In earlier times, the house was searched in later times of life. But now times have changed and the idea of a house has also changed. Banks have come up with various schemes, so you can get the loan you need at a very low interest rate, so it is not difficult to buy a house. However, at present the number of people buying more than one house as an investment has increased significantly. Everyone should try to buy a house according to their needs. However, it is not advisable to buy more than one house as an investment.

 

 

Your responsibilities as a parent begin with the day you become a mother or father. If you have a son and a daughter, you have to deal with both responsibilities of good education and marriage. The cost of education is increasing exponentially, while many want to go abroad for higher education. The cost of overseas education is huge. This has got immense importance in financial planning. Seeing that, from the date on which the baby was born, we should start investing some amount like one or two thousand, as with this we can still collect the required amount. But generally we don’t think on these lines and believe that we will manage the amount when required. That is why many people have to take loans for their son's education or for their daughter's marriage. Whereas, It is easily possible to find a solution through proper planning.

 

 

 

Everyone wants to live a happy life after retirement. After getting rid of lifelong rushes, various challenges and responsibilities and doing off children's duties, the retired person dreams of spending his/her free time with their spouses by going to pilgrimages, playing with their grandchildren and thing like that. In our culture, it is called Vanprasthashram.. If you start investing for retirement from the age of 25 or 30 to raise this money, you can get a good amount after actual retirement. Proper planning is the first step to getting rich.

 

 

Getting rich is not difficult. Everyone’s definition of wealth is definitely going to be different. For a person who earns about Rs. 10, 15 thousand per month, if he gets Rs 25lakhs at a stroke, it means he has achieved his dream richness. On the other hand, a person with a monthly salary of Rs 1.5 lakh, and even if he gets Rs 2 crore, he will not feel rich. Overall, the definition of wealth varies from person to person. We can dare to donate only if we have ample money. Our culture says that the more you donate, the sooner you will get Moksha.

 

 

In any financial transaction, we name someone as our successor. Nomination facility is available in almost such transactions. But even if there is a nominee as per the law, it does not mean that it will be your heir. If another person comes forward as an heir and gives proof of being his heir, the person with the nomination will not get anything. Therefore, it is necessary to prepare the will or will that you need so that heirs get their share.

All in all, you can make your life happier if you plan and study these six aspects properly. We are going to discuss every subject at all levels. It will be much easier for you to plan your finances if you put everything down on paper, estimating your dreams, needs, responsibilities, wills, stipends, and the amount you need. . Let us be ready to make a fresh start in life through the financial cycle.