We take you through some simple and essential steps for saving your money to fulfill your needs. Dont get intimidated.. Read along.

1. Destination: What are your financial goals? Series 2

2. What are the logical steps to plan financially? Defining your goals Saving for them Covering risk Providing for retirement

3. Defining your goals. You save for a variety of reasons (buying car, house, educating children, business, marriage, leisure and retirement) Work out a money value for each of your goals Set aside money for contingencies (emergencies) and unexpected occurrences. Insure yourself, family and property.

4. Saving for them Once goals are written down, you can clearly see HOW MUCH you need to save The concept of ‘savings’ changes– from ‘something that’s left over’ to ‘something that you target every month’. You start budgeting, avoiding wasteful expenditures, generating a good amount of saving every month. You set out to ‘create wealth’

5. Covering risk Assess insurance needs (depends on person to person, age to age) You may need insurance for yourself, family, car, house, business etc as per the magnitude of investment in it Identify insurance needs, quantify them and look for policy options

6. Providing for retirement How much time do you have to earn? When will you stop earning? How will you sustain then? Quantify in ‘money terms’ the retirement you dream of Work out a saving target every month and how much it needs to grow Keep short term spending in check so that you don’t touch retirement funds at all.

7. Next steps? To educate you about the role of financial planner (the one who guides you through the road) Stay tuned for the last but most important part of this series. Join us on Facebook for regular tips, updates and interesting stuff on http://www.facebook.com/update_security_info.php?wizard=1#!/pages/Fundoo-Finance/174437115929814 Visit us at www.precioussolutions.biz

8. Credits: Outlook Money article Precious Solutions Financial planners