• Kenko Desk

What To Do With That Extra Dough? 💰

Updated: Nov 7

Extra moolah is always appreciated, whether a bonus or income from a side hustle! Our advice: Don't spend on luxury. Our suggestion: Invest!



Step 1: Invest In An Asset


With the looming threat of recession, you may want to grow your wealth and build your assets before all hell breaks loose. There are various investment options out there. Just don't put all your eggs in one basket. Some of the most rewarding assets are:

  • Stock Market

  • Mutual Funds

  • Real Estate

  • Gold/Commodities

  • Cryptocurrencies

  • NFTs


Step 2: Review Your Healthcare Plan


As a rule of thumb, you must have a healthcare plan that can cover your medical expenses as high as 15X your annual income. If you last reviewed your healthcare plan some time ago and have extra money, now is the perfect opportunity to upgrade.

You can also get an additional plan to cover the expenses your primary healthcare plan might not. Many plans don't include OPD expenses in their list of benefits. So it becomes crucial to have a top-up OPD plan. With Kenko Plans, you get up to 50% off on medicines, doctor consultations, lab tests, and more.


Step 3: Park Your Emergency Fund


An emergency fund needs to be at least six times your monthly income. Thus, if you earn Rs. 50k/month, your emergency fund should be Rs. 300k.


Also, remember that an emergency fund should be different from the money you have in your savings account. It needs to be a separate savings account or a very liquid investment without any exit load or premature withdrawal penalty.


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Step 4: Plan Retirement Early

It is never too early to plan your future, especially your retirement. Simply saving money isn't going to cut it. You need to invest. Experts recommend having 80% of your pre-retirement income for a comfortable retirement.

For example, if your last drawn salary was Rs. 100k/month, you need at least Rs. 80k/month from the time you stop working.

Also, you need to invest in your health. The older you grow, the weaker your bones get and the higher your medical bills go. If you don't start taking care of yourself early, you won't be able to reap the benefits life has to offer then.


Get regular health checkups, see your doctor whenever necessary, take your medicines as prescribed, and avoid a risqué lifestyle. With Kenko plans, you get discounts on all these OPD expenses and up to 50% off on daily healthcare products.


Step 5: Repay Your Debt


Simple tip: Don't invest if you owe money to someone. Especially if the interest rate of your debt is significantly more than the returns on your investment. Clear low-interest and long-term debts like a student loan or home loan as fast as possible.


There are many other benefits of repaying your debts. Better credit score, no stress and ability to get loans faster.


Step 6: Save Taxes


Why pay taxes when you can save them? Especially when the government allows you to do so. Remember, you're not doing anything illegal. In fact, not paying taxes is illegal. You could end up paying more in fines later or even face some time behind bars. If you don't understand taxes, pick up the phone and call a CA.

Here are some of the investments that help you save on taxes:

  • Public Provident Fund (PPF)

  • National Pension Scheme (NPS)

  • Life insurance/Unit Linked Insurance Plan (ULIP)

  • Senior Citizens Saving Scheme (SCSS)

  • Charity

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Step 7: Invest In Yourself


Charity begins at home. The only thing constant in the world is change. Therefore, it is pertinent for you to invest in yourself and keep up with the trends. You could finish a course that helps you catapult your career. Or you can take a hobby class that gets you the dopamine you need. Every skill you gain can help you generate wealth.


Step 8: Let Money Make More Money


Don't let your money rest while you're sleeping. Let your money make you more money. You can invest your money in such a way that it provides a constant income stream. Some options are:

  • Buy a car and rent it out

  • Invest in real estate and rent it out

  • Revamp your extra bedroom and list it on Airbnb

  • Buy and resell stuff

  • Get certified online and offer your services

  • Learn photography

  • Pick up a niche and write about it

After all this, if you still have some money saved, you can go to that Michelin-starred restaurant or buy expensive sneakers/handbags. Even better, wait for a festive season sale.

Did you know you could also get 33% extra yearly on your Kenko Health subscription? Buy for nine months, get three months free. Instant discounts on all your OPD and daily healthcare expenses.

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