Yes. Santosh is a government employee and lives in Chennai with his wife, a tutor and two children aged 19 and 14. He gets a combined salary of Rs 72,000 per month, besides a pension of Rs 22,500 as Santosh is a defense service retiree. He also gets a rental income of Rs 8,667 per month from a house of Rs 42 lakh, for which he has taken a loan of Rs 16.15 lakh and paid an EMI of Rs 30,000. He has another house worth Rs 15 lakh and a plot of Rs 3 lakh. His goals include creating an emergency fund, saving for his children Higher education And weddings, and retirement.

According to Fincart, the lack of investable surplus, insufficient assets and a very short time horizon mean that Santosh will not be able to reach his goals if he does not reduce the target values. He should also repay the home loan along with his insurance plan, which matures the following year, and one of the mutual funds, This will free up Rs 30,000.

For now, he can start by creating an emergency corpus of Rs 2.18 lakh, which is equivalent to his three months. Expense, by allocating a portion of your cash. This amount should be invested in short duration funds. For the higher education of his children, Santosh will need Rs 24.2 lakh and Rs 29.2 lakh in two and four years respectively. For the former, he can allocate a share of his equity Fund corpus and house of Rs 15 lakh. For the latter, he can allot a plot of land, sharesOne mutual fund, and the rest cash.

He will also have to start an SIP of Rs 39,819 in a debt fund from next year. They would need Rs 37.5 lakh and Rs 60.7 lakh for the marriage of children at seven and 11 years, but due to lack of surplus, they are advised to bring down these target values. For retirement, he will need Rs 1.59 crore in eight years. He can allocate his EPF, PPF and NPS corpus, and also start a SIP of Rs 68,855 in equity. Fund, He can start with Rs 12,000 for now and increase it as the income increases. They will also continue to get lifelong pension.

For life insurance, Santosh has two term plans of Rs 1.04 crore and traditional plan of Rs 5 lakh. Though he needs more cover, the cash crunch means he will not be able to pay the premium. Since he has only eight years to retire, Fincart suggests he continue with the existing cover and not buy anymore. For health, he has a cover of Rs 4 lakh for him and his wife and an accidental disability plan of Rs 24 lakh. Since his medical expenses will be borne by the government even after retirement, he does not need any further health cover.

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