Planning to Get Married? Are you Prepared Financially?

He (Sumit Godiyal), 31 years of age is working as a pre-sales manager in one of the data centres in India. She (Sneha Narang) is 33 years old and with one of the leading e-commerce platforms in India. He is from Dehradun, she from Chandigarh. He never wanted to get married while she was evaluating proposals. Both met through a common friend. They met, they spoke, and got along well until he realised she is the girl, he wouldn’t want let go off.

But it was not going to be a comfortable journey ahead — convincing parents for an inter-caste marriage for one. His parents came from a very secure background. They had worked in a nationalised bank all their life. His father had his provident fund reserved for the marriage. The bride’s mom had saved up in the form of gold. She had it planned from the beginning. This would also be the last wedding within the family.So their parents want it to have a grand affair. The biradri back in Dehradun ought to know. But both the bride and the groom wanted to keep it simple with only a court marriage and reception- not a very dreamy affair. But yes whatever they spent, they ensured it was carefully done. They ensured quality accommodation for the guests and comfort during their travels.“Why would you spend so much on entertaining other people?” they echo in unison.For them, their friends were more important than their relatives. They had hardly stayed in Dehradun. Both instead wanted to spend their savings on something that they could experience together like, for instance, their honeymoon for one. They love travelling and had to cover so much ground yet. They missed a partner in their travels hitherto. Now they could tick off a lot more destinations together. Not that they could not have had an Indian honeymoon, but Sumit had never been abroad. Staying in Mumbai, he would hardly save. He also did not want to borrow money from his parents.Sneha’s parents are Sindhis who came to India after partition. They started from scratch. So the principal aim was to take care of the necessities like food and home. They were very insecure about lavish spends. But they gave the best to their children so that their journey was smooth.In comparison, her generation is more settled, she feels. They have the basics in place. With the increasing media exposure and privatisation stepping in, they have more opportunities. The disposable incomes have gone up. They can now look at newer experiences around the world.And so they decided on South East Asia, a budget-friendly destination for the honeymoon.Besides the honeymoon, the other significant expense was the trousseau and the jewellery. Sneha’s parents always dreamed of seeing their daughter in gold on the D day. Other than these, a wedding will have several other expenses.

Sneha funded any cost that was more individualistic. For instance the trousseau, the honeymoon, and the rings. Their parents helped fund all that was for the guests in general – the hotel and the guest’s accommodation. Sumit took care of all the functions that were to happen at the groom’s place.

.quote-box-content {
font-size: 18px;
line-height: 22px;
position: relative;
text-align: center;
padding: 18px;
color: #CC1F35;
font-weight: bold;
margin-top: 15px;
margin-bottom: 15px;
}
.quote-box-content .quote-box-left {
border-top: 3px solid #8a0a1c;
border-left: 3px solid #8a0a1c;
border-bottom: 3px solid #8a0a1c;
height: 100%;
width: 10%;
top: 0px;
left: 0;
}
.quote-box-content .quote-box-right {
border-top: 3px solid #8a0a1c;
border-right: 3px solid #8a0a1c;
border-bottom: 3px solid #8a0a1c;
height: 100%;
width: 10%;
top: 0px;
right: 0;
}
.quote-box-left {
display: block;
position: absolute;
border-top: 6px solid #8a0a1c;
border-left: 6px solid #8a0a1c;
border-bottom: 6px solid #8a0a1c;
}
.quote-box-right {
display: block;
position: absolute;
border-top: 6px solid #8a0a1c;
border-right: 6px solid #8a0a1c;
border-bottom: 6px solid #8a0a1c;
.quote-box-content .quote-box-left {
border-top: 3px solid #8a0a1c;
border-left: 3px solid #8a0a1c;
border-bottom: 3px solid #8a0a1c;
height: 100%;
width: 10%;
top: 0px;
left: 0;
}After marriage, the other big dream they have is moving into their own home. The budget is essential, as always. After all, living in Mumbai (their current city) is very expensive. That’s the reason they chose Ahmedabad as a destination for their new home. Closer to Mumbai, this place caught on with Sneha during her MBA days there. But of course, finally where they will settle in, will depend on where their careers decide to take them.Both believe in long term investing with stocks. Sneha’s mother would invest in stocks although her father advised more risk-free instruments such as Fixed Deposit, or PPF. They also discuss with friends who invest in stocks.

They do their research - keeping track of different sectors with their portfolio online. But this is time- consuming.

.quote-box-content {
font-size: 18px;
line-height: 22px;
position: relative;
text-align: center;
padding: 18px;
color: #CC1F35;
font-weight: bold;
margin-top: 15px;
margin-bottom: 15px;
}
.quote-box-content .quote-box-left {
border-top: 3px solid #8a0a1c;
border-left: 3px solid #8a0a1c;
border-bottom: 3px solid #8a0a1c;
height: 100%;
width: 10%;
top: 0px;
left: 0;
}
.quote-box-content .quote-box-right {
border-top: 3px solid #8a0a1c;
border-right: 3px solid #8a0a1c;
border-bottom: 3px solid #8a0a1c;
height: 100%;
width: 10%;
top: 0px;
right: 0;
}
.quote-box-left {
display: block;
position: absolute;
border-top: 6px solid #8a0a1c;
border-left: 6px solid #8a0a1c;
border-bottom: 6px solid #8a0a1c;
}
.quote-box-right {
display: block;
position: absolute;
border-top: 6px solid #8a0a1c;
border-right: 6px solid #8a0a1c;
border-bottom: 6px solid #8a0a1c;
.quote-box-content .quote-box-left {
border-top: 3px solid #8a0a1c;
border-left: 3px solid #8a0a1c;
border-bottom: 3px solid #8a0a1c;
height: 100%;
width: 10%;
top: 0px;
left: 0;
}Also they are also facing some liquidity crunch after buying a new home and the wedding.

Both have not considered a financial advisor so far. But going forward if they can find someone trustworthy they don’t mind consulting one. They seek trust and experience in a financial advisor. They are cautious of financial advisors who are out there to make a quick buck.

.quote-box-content {
font-size: 18px;
line-height: 22px;
position: relative;
text-align: center;
padding: 18px;
color: #CC1F35;
font-weight: bold;
margin-top: 15px;
margin-bottom: 15px;
}
.quote-box-content .quote-box-left {
border-top: 3px solid #8a0a1c;
border-left: 3px solid #8a0a1c;
border-bottom: 3px solid #8a0a1c;
height: 100%;
width: 10%;
top: 0px;
left: 0;
}
.quote-box-content .quote-box-right {
border-top: 3px solid #8a0a1c;
border-right: 3px solid #8a0a1c;
border-bottom: 3px solid #8a0a1c;
height: 100%;
width: 10%;
top: 0px;
right: 0;
}
.quote-box-left {
display: block;
position: absolute;
border-top: 6px solid #8a0a1c;
border-left: 6px solid #8a0a1c;
border-bottom: 6px solid #8a0a1c;
}
.quote-box-right {
display: block;
position: absolute;
border-top: 6px solid #8a0a1c;
border-right: 6px solid #8a0a1c;
border-bottom: 6px solid #8a0a1c;
.quote-box-content .quote-box-left {
border-top: 3px solid #8a0a1c;
border-left: 3px solid #8a0a1c;
border-bottom: 3px solid #8a0a1c;
height: 100%;
width: 10%;
top: 0px;
left: 0;
}Both need results. They are not okay to pay only for advisory. Besides stocks, they also have an education and a home loan to repay

When they are adding a liability, it needs to be worth it

.quote-box-content {
font-size: 18px;
line-height: 22px;
position: relative;
text-align: center;
padding: 18px;
color: #CC1F35;
font-weight: bold;
margin-top: 15px;
margin-bottom: 15px;
}
.quote-box-content .quote-box-left {
border-top: 3px solid #8a0a1c;
border-left: 3px solid #8a0a1c;
border-bottom: 3px solid #8a0a1c;
height: 100%;
width: 10%;
top: 0px;
left: 0;
}
.quote-box-content .quote-box-right {
border-top: 3px solid #8a0a1c;
border-right: 3px solid #8a0a1c;
border-bottom: 3px solid #8a0a1c;
height: 100%;
width: 10%;
top: 0px;
right: 0;
}
.quote-box-left {
display: block;
position: absolute;
border-top: 6px solid #8a0a1c;
border-left: 6px solid #8a0a1c;
border-bottom: 6px solid #8a0a1c;
}
.quote-box-right {
display: block;
position: absolute;
border-top: 6px solid #8a0a1c;
border-right: 6px solid #8a0a1c;
border-bottom: 6px solid #8a0a1c;
.quote-box-content .quote-box-left {
border-top: 3px solid #8a0a1c;
border-left: 3px solid #8a0a1c;
border-bottom: 3px solid #8a0a1c;
height: 100%;
width: 10%;
top: 0px;
left: 0;
}Take, for instance, their education loan.

They were okay applying a loan for higher studies as it would reap benefits and result in personal growth in the long term.

.quote-box-content {
font-size: 18px;
line-height: 22px;
position: relative;
text-align: center;
padding: 18px;
color: #CC1F35;
font-weight: bold;
margin-top: 15px;
margin-bottom: 15px;
}
.quote-box-content .quote-box-left {
border-top: 3px solid #8a0a1c;
border-left: 3px solid #8a0a1c;
border-bottom: 3px solid #8a0a1c;
height: 100%;
width: 10%;
top: 0px;
left: 0;
}
.quote-box-content .quote-box-right {
border-top: 3px solid #8a0a1c;
border-right: 3px solid #8a0a1c;
border-bottom: 3px solid #8a0a1c;
height: 100%;
width: 10%;
top: 0px;
right: 0;
}
.quote-box-left {
display: block;
position: absolute;
border-top: 6px solid #8a0a1c;
border-left: 6px solid #8a0a1c;
border-bottom: 6px solid #8a0a1c;
}
.quote-box-right {
display: block;
position: absolute;
border-top: 6px solid #8a0a1c;
border-right: 6px solid #8a0a1c;
border-bottom: 6px solid #8a0a1c;
.quote-box-content .quote-box-left {
border-top: 3px solid #8a0a1c;
border-left: 3px solid #8a0a1c;
border-bottom: 3px solid #8a0a1c;
height: 100%;
width: 10%;
top: 0px;
left: 0;
}Interest rates were also a key consideration. The Personal loan interest rate was much higher than the education loan. They have a joint home loan for now, which is not for a very long period. Considering how life-altering can the EMI decisions be, they have opted for a shorter loan tenure of 5-7 years.After all, what’s the point of a big house if you cannot have a good life along with it, they muse. Both believe in living a balanced life and keep themselves fit by practising yoga and sweating it out at the gym. They have opted for help that provides fresh meals rather than ordering outside food. Other than stocks and real estate, Both have also invested in a health insurance policy which to protect them from expensive hospital costs and unforeseen medical emergencies.While Sumit plans to work till retirement, Sneha’ s plans are different. She wants to work till about 45-50 and then switch to something of her own- on the lines of freelancing or consulting. She has always been interested in fashion designing. Perhaps would have taken it up full time given a choice. When they plan to start a family, she wants to give time to their kid rather than burning energies in office.When it comes to money,

they know that it needs to provide freedom and confidence. Freedom to pursue your passion (he loves theatre) and not be bogged down under the weight of earning it — freedom to travel and explore your calling.

.quote-box-content {
font-size: 18px;
line-height: 22px;
position: relative;
text-align: center;
padding: 18px;
color: #CC1F35;
font-weight: bold;
margin-top: 15px;
margin-bottom: 15px;
}
.quote-box-content .quote-box-left {
border-top: 3px solid #8a0a1c;
border-left: 3px solid #8a0a1c;
border-bottom: 3px solid #8a0a1c;
height: 100%;
width: 10%;
top: 0px;
left: 0;
}
.quote-box-content .quote-box-right {
border-top: 3px solid #8a0a1c;
border-right: 3px solid #8a0a1c;
border-bottom: 3px solid #8a0a1c;
height: 100%;
width: 10%;
top: 0px;
right: 0;
}
.quote-box-left {
display: block;
position: absolute;
border-top: 6px solid #8a0a1c;
border-left: 6px solid #8a0a1c;
border-bottom: 6px solid #8a0a1c;
}
.quote-box-right {
display: block;
position: absolute;
border-top: 6px solid #8a0a1c;
border-right: 6px solid #8a0a1c;
border-bottom: 6px solid #8a0a1c;
.quote-box-content .quote-box-left {
border-top: 3px solid #8a0a1c;
border-left: 3px solid #8a0a1c;
border-bottom: 3px solid #8a0a1c;
height: 100%;
width: 10%;
top: 0px;
left: 0;
}With proper planning and investing, you can choose to do what you want or take a pause and do nothing for a while. Or start something on your own while learning a new skill.To both, money is also essential to get stature in society — a self-projection which makes you feel good. If you don’t have money, people will judge and taunt you they conclude.

• Marriages are long term commitment not only towards each other and but also building a relationship with your finances. Starting from the big day funding till the way you plan your days ahead, finances play a vital role.
• Saving for the Big day- This day involves a lot of expenses and needs a lot of funding to make it a memorable one. Investing rightfully in different assets according to your goals could help you fetch the necessary sum for your wedding.
• Investment Options to choose: One can choose from investing in shares or investing in gold depending upon the risk appetite and time span. Investing in equity assets would require a high-risk appetite but is a way to earn high returns. If you have a tenure of 5-7 years for your marriage or even more, consider equity funds for your portfolio.
• If you have less time with a moderate risk appetite, you can aim for hybrid or balanced funds. That would help you with decent returns.
• With less risk appetite debt funds are a good choice. Choosing recurring deposit and fixed deposit should only be an option if you aren’t willing to take any risk with low returns.
• Also, with rising gold prices, investing in gold or gold bonds is a good option. This would help in funding the gifts and the jewelry for the wedding.

The information contained herein is generic in nature and is meant for educational purposes only. Nothing here is to be construed as an investment or financial or taxation advice nor to be considered as an invitation or solicitation or advertisement for any financial product. Readers are advised to exercise discretion and should seek independent professional advice prior to making any investment decision in relation to any financial product. Aditya Birla Capital Group is not liable for any decision arising out of the use of this information.