I am 34 and have a four-year-old child. My wife and I earn ₹2 lakh per month. For the last 10 years, I have been investing in SIPs of Reliance Value Fund (₹5,000), DSP BlackRock Top 100 (₹5,000), Birla Sunlife Front Line Equity (₹5,000) and SBI Bluechip fund growth direct (₹5,000). I also have a recurring deposit of ₹15,000 per month and a fixed deposit of ₹3 lakh. My wife and I have a ₹1 crore term cover each. We have family health insurance worth ₹5 lakh. We also have a cover of ₹5 lakh from traditional life policies. Our goal is to have ₹1 crore in the next 15 years for our child’s education and ₹2 crore in next 25 for retirement at age 60.
—Richa Sharma
The current savings of ₹35,000 per month will be sufficient for you to achieve the targeted sums. However, will the targeted amount be enough for your retirement will depend on inflation. And there could be more financial goals you would have in times to come. So determine your savings potential—your current income in hand net of regular expenses. You should target this amount for savings.
