Anjali, aged 38, is a senior tax practise team leader with a big 4 firm. She is married and has 2 kids aged 5 and 9. While she has a good remuneration package, she is not sure whether it's surplus or deficit in terms of achieving her life financial goals and dreams. Currently, she is saving on a monthly basis via SIPs in Mutual Funds (that she is allowed by her firm to invest in). She is also depositing a large some every month in Employee Provident Fund. Also, a portion is invested with employer on which she gets an interest.
We mapped and quantified all her financial goals like education and marriage of kids, purchase of a house on golf course road, retirement planning etc.
Based on the workings it emerged that her income needs to grow by 12% every year till the target retirement age of 55. While we continued with her current investments that were on track to meet her goals, we tagged different investments to different financial goals. We continue to track goal based progress for her. This gave a sense of achievement and direction to her savings plan.
Also, now she usually bargains much harder during appraisal.