This was prepared by me for a class project!
Basic Details:
Name: S S Naik
Profession: Engineer (Non Finance)
Age: 47 Years
Monthly Income: Rs 1,00,000 + 10% increment per year
Age of Retirement: 60 yrs Life Expectancy: 15yrs after retirement
Family: Housewife, Son-20yrs, Daughter- 18Years
Health Related Information (of the head of the family):
- Used to Smoke
- Casual Drinking
- Non Vegetarian
- Daily Walking
- High Blood Pressure
- Cholesterol problem
![](https://dstreetanalyser.files.wordpress.com/2020/04/image-11.png?w=706)
Salary: Rs 1,00,000 p.a + 10% increase p.a
Monthly Expense: 50k
Goals:
- Son’s Education in next 1 Year (Rs10 Lakhs fees) (2020)
- Daughter’s Education in next 4 years (Rs 12 lakhs) (2023)
- To buy a new car Sedan in next 3 years (Rs 8 lakhs) (2022)
- Europe Tour within next 5 years (total 7 Lakhs budget) with wife (2024)
- Son’s Wedding in Next 7 Years (Rs 5 Lakh) (2026)
- Daughter’s Wedding in next 8 years (Rs 5 Lakh) (2027)
- Rs 50,000/month after retirement (2032)
- Sea Face View house in Goa (2032)
Risk Appetite: Moderate
![](https://dstreetanalyser.files.wordpress.com/2020/04/image-12.png?w=750)
The Plan:
2020: 48 Yrs
- Take Mediclaim
Bajaj Allianze Family Floater Health Guard Gold Plan for Husband Wife |Prem: Rs 39018 for Rs 30Lakh
For Son and Daughter | Rs 11553 for Rs 10Lakh (Both Covered under 1 plan)
Total: Rs 50571 - Break 1st FD of Rs 10,00,000 for Son’s Education
- Add 4 lakh to existing Mutual Funds ( HDFC Hybrid Debt Fund – Direct Plan – Growth)
- Remove investment from Axis Mutual Fund and transfer entire amount + 2 Lakhs to SBI Mutual Fund
(SBI Focused Equity Fund – Regular Plan – Growth) - Transfer remaining to Savings bank account Rs 39,429
2021: 49 Yrs - Take Mediclaim
Bajaj Allianze Family Floater Health Guard Gold Plan for Husband Wife |Prem: Rs 39018 for Rs 30Lakh
For Son and Daughter | Rs 11553 for Rs 10Lakh (Both Covered under 1 plan)
Total: Rs 50571 - Renew FD of Rs 10Lakhs for 4 yrs 2032 ….(i)
- Add 5 lakh to HDFC HYBRID Debt Fund
- Transfer Rs 2,39,929 to Bank Account
2022: 50 Yrs - Take Mediclaim
Bajaj Allianze Family Floater Health Guard Gold Plan for Husband Wife |Prem: Rs 39018 for Rs 30Lakh
For Son and Daughter | Rs 11553 for Rs 10Lakh (Both Covered under 1 plan)
Total: Rs 50571 - Renew FD of 10 Lakhs for upto 2032 …(ii)
- Remove 3 Lakhs from Savings bank account and use 5 Lakhs from income to buy Sedan worth 8 lakhs
-Transfer Remaining Rs 3,52,057 to savings bank
2023: 51 Yrs - Take Mediclaim
Bajaj Allianze Family Floater Health Guard Gold Plan for Husband Wife |Prem: Rs 39018 for Rs 30Lakh
For Son and Daughter | Rs 11553 for Rs 10Lakh (Both Covered under 1 plan)
Total: Rs 50571 - Renew FD of 10 Lakhs for upto 2032 …(iii)
- Make another FD of 10 Lakhs for upto 2032 …(iv)
- Transfer Rs 27,620 to Savings bank account
2024: 52 Yrs - Take Mediclaim
Bajaj Allianze Family Floater Health Guard Gold Plan for Husband Wife |Prem: Rs 39018 for Rs 30Lakh
For Son and Daughter | Rs 11553 for Rs 10Lakh (Both Covered under 1 plan)
Total: Rs 50571 - Renew FD of Rs 10 Lakhs for 4 yrs upto 2032 …(v)
- Europe Tour with Budget Rs 8 Lakhs
- Tata Aig Travel Insurance of Rs 5000
- Invest Rs 3,00,000 in SBI Focused Equity Funds
2025: 53 Yrs - Take Mediclaim
Bajaj Allianze Family Floater Health Guard Gold Plan for Husband Wife |Prem: Rs 39018 for Rs 30Lakh
For Son and Daughter | Rs 11553 for Rs 10Lakh (Both Covered under 1 plan)
Total: Rs 50571 - Invest 10 lakhs in DSP Equity Fund – Regular Plan – Growth mutual fund
- Transfer Remaining to Savings Account Rs Rs 2,71,254
2026: 54 Yrs - Take Mediclaim
Bajaj Allianze Family Floater Health Guard Gold Plan for Husband Wife |Prem: Rs 39018 for
Rs 30Lakh
For Son and Daughter | Rs 11553 for Rs 10Lakh (Both Covered under 1 plan)
Total: Rs 50571 - Son’s Wedding Expense Rs 10 Lakh
- Invest Rs 1 Lakh in HDFC Mutual Fund
- Transfer Rs 3,43,629 to savings account
2027: 55 Yrs - Take Mediclaim
Bajaj Allianze Family Floater Health Guard Gold Plan for Husband Wife |Prem: Rs 39018 for
Rs 30Lakh
For Son and Daughter | Rs 11553 for Rs 10Lakh (Both Covered under 1 plan)
Total: Rs 50571 - Withdraw Rs 5 lakh from Savings account and buy gold for daughter
- Daughter’s Wedding Expense Rs 10 Lakh
- Invest Rs 5 Lakh in DSP Equity Fund
- Transfer to bank account Rs 1,85,842
2028: 56 Yrs - Take Mediclaim
Bajaj Allianze Family Floater Health Guard Gold Plan for Husband Wife |Prem: Rs 39018 for
Rs 30Lakh
For Son and Daughter | Rs 11553 for Rs 10Lakh (Both Covered under 1 plan)
Total: Rs 50571 - Invest Rs 15 Lakhs in Tata Mid Cap Growth Fund – Regular Plan – Growth mutual fund
- Buy Gold worth 3 Lakhs
- Transfer Rs 48,174 to bank savings
2029: 57 Yrs - Bajaj Allianze Family Floater Health Guard Gold Plan for Husband Wife | Prem: Rs83475 for
Rs 50 lakh insurance (Both covered under one plan) - Sell 1 acre land in Goa for 1 cr
- Sell Equity Shares worth 50 Lakh
- Buy 1 Sea Face View Bungalow worth Rs 1.5 Cr
- Invest Rs 15 Lakhs in SBI Dynamic Bond Fund – Growth
- Transfer Rs 5,51,687 to savings bank account
2030: 58 Yrs - Bajaj Allianze Family Floater Health Guard Gold Plan for Husband Wife | Prem: Rs83475 for
Rs 50 lakh insurance (Both covered under one plan) - Invest Rs 15Lakh in IDFC Bond Fund – Medium Term Plan mutual fund
- Transfer Rs 8,14,073 to savings bank account
2031: 59 Yrs - Bajaj Allianze Family Floater Health Guard Gold Plan for Husband Wife | Prem: Rs83475 for
Rs 50 lakh insurance (Both covered under one plan) - Add Rs 5 Lakhs to HDFC, SBI Equity focused and DSP mutual fund
- Transfer Rs 11,05,135 to bank account
2032: 60 Yrs - Bajaj Allianze Family Floater Health Guard Gold Plan for Husband Wife | Prem: Rs83475 for
Rs 50 lakh insurance (Both covered under one plan) - Buy Religare Critical Health Insurance for self and wife | Prem: Rs 43925 for Rs 1 Cr
Insurance (Both covered under one plan) - Receive FD worth Rs 50Lakh amount and open 3 more mutual funds of 15 Lakhs each:
Canara Robeco Conservative Hybrid Fund – Regular Plan – Growth
Kotak Equity Arbitrage Fund – Growth
IDFC Corporate Bond Fund – Regular Plan – Growth - Buy Gold worth 5 Lakhs of remaining FD amount
- Transfer remaining amount of Rs 28,73,941 to bank balance
- Open new account in HDFC Bank and divide the bank balance in HDFC and ICICI Bank
equally for safety of funds.
![](https://dstreetanalyser.files.wordpress.com/2020/04/image-13.png?w=531)
Mutual Funds:
HDFC Hybrid Debt Fund – Direct Plan – Growth 20 lakh
SBI Focused Equity Fund – Regular Plan – Growth 20 Lakhs
DSP Equity Fund – Regular Plan – Growth 20 Lakhs
Tata Mid Cap Growth Fund – Regular Plan – Growth 15 Lakhs
SBI Dynamic Bond Fund – Growth 15 Lakhs
IDFC Bond Fund – Medium Term Plan – Regular Plan – Growth Rs 15Lakhs
Canara Robeco Conservative Hybrid Fund – Regular Plan – Growth 15 Lakhs
Kotak Equity Arbitrage Fund – Growth 15 Lakhs
IDFC Corporate Bond Fund – Regular Plan – Growth 15 Lakhs
Bank:
HDFC Bank: Rs 28,68,677
ICICI Bank: Rs 28,68,677
After retirement:
- Life is expected till 75yrs
therefore,
Mediclaim = 83475 * 15 = Rs 12,52,125
Critical Health Insurance = 43925 * 15 = Rs 6,58,875
All the health related expenses to be taken from Savings Bank account - SS Naik should withdraw Rs 50,000 from his mutual funds every month (withdrawing his entire mutual funds
investment through SWP – Systematic Withdrawal Plan) till his expected age of life, i.e,
Monthly Withdrawal: 50,000 x 12 x 15 = Rs 90,00,000
Excess Funds can be utilized by SS Naik and his family for unseen negative circumstances.
Interest Rates have been not calculated on the investments.
Thank You for Reading
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Finance graduate with a strong desire to understand the complexities of financial markets. I make financial judgments for my investments based on the information I gained during my academic education. I write articles about financial literacy for finnute.in in order to promote financial literacy among the general public.
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