Financial Planning for NRIs India

Financial Planning for NRIs in India

Are you Non-Resident Indian (NRI)? Than do you know that you should do financial planning for your various goals of your life? Well, yes. This is true. Many of my NRI friends argue with me that they are still in their twenties and thirties than what is the emergency of doing a financial planning as there are 2-3 decades still remaining for the retirement.

Well, This is a Myth. The truth is that, you should start financial planning from the first day of your active earning life. Here are the few things that you should keep in mind before doing financial planning if you are an NRI.

01) India or Abroad after Retirement?

First of all decide that weather you want to live in India or abroad after your retirement? If you are planning to live in India after your retirement than open NRI account in India and start investing in India very early. Open an NRI account with Best Bank of India.

02) Emergency Fund -

Build an emergency fund. An Emergency fund is 4-6 months of your monthly expenses. Emergency fund is necessary because it stops liquidating your long term investments during the time of emergency.

03) Get out of Debt as early as possible -

You can not retire in true sense and come back to India until you get out of debt. This is because a debt is a trap. So get out of debt as early as possible.

04) Start investing as early as possible -

You should start investing as early as possible to make compound  interest work in favour of you. Equity is the best asset class to beat the inflation and tax in the long run and build a wealth for your retirement.

Thus, keep in mind the above key points and start doing financial planning for your retirement.