Moneycontrol
Aug 19, 2011 01:28 PM IST | Source: Moneycontrol.com

Only earning member in the family?

YOU are married with young children and your spouse is no longer working. Your expenses are rising and you may pile on credit card debts. Since you have only one income coming in, you should be cautious with your expenditure.


YOU are married with young children and your spouse is no longer working. Your expenses are rising and you may pile on credit card debts. Since you have only one income coming in, you should be cautious with your expenditure.


After meeting all your expenses, you must set aside as much as possible towards investment.

You probably are planning to take a home loan soon and maybe already have a car loan. You cannot take too much of risk since you are the sole breadwinner.

Needs: Your immediate short-term need is to save up enough to pay the down payment of your home loan. Moreover, you also need to consider buying term insurance, or if you already have it, to increase the cover substantially since your spouse is not working. You may also consider buying disability insurance for yourself to cover any contingencies such as loss of job or prolonged illness.
In the medium term, you must save up for your children

tags #Planning

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