ABCDEFGHIJKLMNOPQRSTUVWXYZ
1
2
Please download this sheet and then make changes in it. This is for everyone, so don't make any changes directly in the sheet
3
Note About Taxes - Click here
4
Here are some tips to use this toolkit
5
6
STEP 1
7
Check the sheet Budgeting and Expense ManagementBudgeting
8
9
The success of your investment journey depends on how well you manage your expenses
10
That's why Budgeting is the FIRST step of your financial planning journey
11
You need to break down your expenses into
12
-NEEDS
13
-WANTS
14
15
NEEDS are things that are essential for our survival
16
WANTS are things we buy to make our life a little worthwhile, but aren't really necessary for survival
17
18
The best way to BUILD a portfolio is to limit your expenses and invest your funds
19
We don't mean live like a monk, but enjoy your life without splurging unnecessarily
20
21
STEP 2
22
Check the sheet 35 year investment plan
35 Year Investment Plan
23
24
This is an investment plan broken down into different investment options. We have considered an income amount that is something many people begin their job lives with.
25
The more you increase your income, the more you can invest, and grow your corpus.
26
We have assumed you start working at 20 years, and retire at 55 years
27
Remember one important thing
28
Invest and then don't redeem unless you need the funds. Giving time to your investments to grow is essential to compounding
29
30
STEP 3
31
Check the sheet ReturnsReturns
32
33
This sheet mainly talks about the return on your investments based on their maturities
34
PPF has an initial lock in period of 15 years. It can then be renewed for 5 years at a time.
35
EPF will only mature once you retire at 55 years.
36
We have shown calculations for both
37
38
Mutual fund returns and NPS returns have been calculated using calculators that we have given links to in the sheet Calculators
39
We have separate calculations adjusting the returns for inflation
40
41
Check the sheet Bad LoansBad Loans
42
43
This sheet looks at a few Bad Loans
44
Bad loans are those that do not leave you with an asset. But you have to pay interest on it.
45
Paying interest on a loan reduces the amount you can invest for yourself.
46
However, some loans that help you acquire an asset are still good loans
47
48
49
50
51
52
53
54
55
56
57
58
59
60
A note about Income Taxes in this workbook:
61
As of now, if your income is below Rs. 2,50,000, there are no taxes on it.
62
If your income is between Rs. 2,50,000 and Rs. 5,00,000, you will have to file your return but not pay any tax
63
As per our Income Calculations, the income is below Rs. 5,00,000
64
You will also get some benefit for investing in Health Insurance
65
So, in this workbook, you will not have to pay any Income taxes for the 40 years
66
If your income increases, taxes will increase
67
68
69
70
71
72
73
74
75
76
77
78
79
80
81
82
83
84
85
86
87
88
89
90
91
92
93
94
95
96
97
98
99
100