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Want to have a better financial standing in 2017? Get started now!


The year 2017 is readying to bid adieu and a new year is going to be upon us soon. Standing in the
penultimate month of the year, the time is right to take stock of how you fared financially and what
you should do to prepare for a better year ahead. Here are some simple steps that we at Ru Loans
believe will help you get a firmer financial footing in the new year.
Assess the year gone byAssuming your financial decisions are guided by an overall financial plan, this is the time to pore over, Spreadsheets to find out what has been the impact of the financial decisions you have taken this year.

   Ask yourself some basic questions like:


 Do I have enough insurance coverage to protect my family in my absence?

 Have I met the targets I set for saving and investing this year?

 Do I have an emergency fund to protect me against exigencies?

 Are all the investments in my portfolio giving me inflation adjusted returns?

 Do I need to consider diversification into other asset classes?

 Am I servicing debt well and making repayments on time?

Scanning through your financial papers and spreadsheets or just sitting with your financial planner
will lead to some crucial answers. If you have answered in positive to most of the questions, you have
little to worry about. Else you need to take the following steps to be better prepared for 2017.
Beef up your insurance coverage,
Most people do not realize that insurance is the first and most important step of financial planning. So, if you or your financial planner feel that your insurance coverage is not adequate, do so right away.This is perhaps the best time to enhance your insurance coverage for you may probably be sitting on,
cash that you have received as a Diwali bonus. While every individual has different insurance needs,
but as a thumb rule, your insurance coverage should be approximately 10 times your annual income.
Build a contingency fund.

If you do not have one yet, now is the time to take a re-look at your portfolio and construct an
emergency fund that should take care of all your financial responsibilities, debt repayments and other
expenses for a period of three to six months. Life is full of uncertainties and you never know when thesituation may arise where there is a break in your cash flows. You can always take a personal loan at such times to deal with a financial emergency, but an increase in your debt burden is avoidable at any cost.

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