In a just married couple, when a husband and wife both earn there is surplus and a great opportunity for the couple to maximize their savings when they are ‘DINK’ (‘Dual Income No Kids’). We at RichVik Wealth, present a very simple way of achieving the same through our structured product – ‘If you are DINK, don’t think’.
THEME
‘DINK’ stands for ‘Dual Income No Kids’. This product by RichVik aims to cater to the ‘just married’ clientele. In a family, it is good when both husband and spouse earns. Financially, it is easier when they do not have a kid to look after. This means there is surplus and a great opportunity for the couple to maximize their savings when they are ‘DINK’ generally for 3-5 years after the marriage. But do you think you are capitalizing this opportunity?
DESCRIPTION
Practically, if the expense before marriage is say x for each person, it does not become 2x after marriage but less than that say 1.6x. The proven answer is no. In such a situation, the couple gets trapped by overspending since they do not have any financial obligations. According to a survey, typically, today’s educated couple not having financial obligations save far less than what should be. Have you ever thought whether the amount of your savings will be sufficient to meet the inflated cost of your future obligations such as some emergency medical expenses, maternity cost, children’s education expenses, any other goal of healthy financial corpus? If the answer is no, it is the right time to imbibe a financial discipline and start investing small amounts, to solve the purpose, based on the principle of goal based financial planning.
ANALOGY
| Monthly Investment: | ₹ 30,000 | 12.50% |
| Annual Investment | ₹ 3,60,000 | |
| At the End of Years | Cumulative Investment | Total Value |
| 1 | ₹3,60,000 | ₹3,85,331 |
| 2 | ₹7,20,000 | ₹8,21,685 |
| 3 | ₹10,80,000 | ₹13,15,820 |
| 4 | ₹14,40,000 | ₹18,75,837 |
| 5 | ₹18,00,000 | ₹25,09,049 |
Note: The returns are annually compounded at a rate of 12%. However, equity mutual funds have potential to generate more than 12%. Many funds have given between 15-19% in a rolling period of 5-7 years. Thus, we have taken 12.5% on a conservative basis.
So, you have ₹25 Lacs before your first kid. ISN’T IT AMAZING!
To understand more on the topic as well as to start investments please feel free to contact us:
Phone: +91-9324609115
E-mail: team@richvikwealth.in