Have You Done Your Financial Immunisation Test?

“You are the most important person in your family”

Before thinking of creating wealth, one must analyze his/her financial health condition – in financial terms called “the Investment Immunization Test” and similar to the medicines that we take post a health check up, we can come to a conclusion of the treatment that our finance needs. Thirukochi firmly believes that every individual should do an investment immunization test themselves. It will help you to know where you stand and change your life forever. It means the following three most important tests are required:

  • To safeguard your life-long savings, you must have minimum rupees five lakh worth health insurance coverage for the entire family members including your parents, as otherwise you will be only spending from your savings to meet healthcare expenses.
  • Since you are the most important person in your family and you must also protect your family, you should take at least one Term insurance cover for you. If your monthly expenses is Rs.10000 per month, you should get at least Rs.10 lakhs insurance cover. Based on your monthly expenses, you may calculate ten times of that as your basic cover requirement.
  • A systematic investment in equity through mutual funds is also strongly recommended. Ideally, a person can calculate the monthly/annually investments in Mutual Funds in the following formula – that is, his/her current age minus 80 (which is the average life expectancy in India). For example, if your age is 35, you should invest minimum 45% of your net earnings in mutual funds). The ratio can be adjusted depending on your current financial status. Please refer to the separate sections given in this booklet about various plans, for a better understanding.