Financial Backup Plan - Part 1

The Rainy Day That Changed Sudhir's Life ….

And How Someone Helped Him Navigate It

Sudhir was 26, brimming with confidence in his first job. With a solid paycheck, a sleek studio apartment, and weekend getaways dotting his calendar, life felt sorted. Financial planning? That was a worry for older people, he thought. Right now, life was to be lived.

Then came the monsoon—and with it, a storm he hadn’t anticipated.

His mother slipped on wet tiles at home and suffered a serious hip fracture. The surgery, hospital bills, medicines, and post-care rehabilitation came to several lakhs. Sudhir, despite earning well, had no insurance for his parents and no emergency fund. He scrambled—breaking his tiny mutual fund, borrowing from friends, and maxing out his credit card.

Two weeks later, sitting in the hospital waiting room, sleep-deprived and anxious, he finally admitted to himself: he had no idea what he was doing with money.

A few days later, a college friend, Ria, dropped by. Over coffee, Sudhir vented about the financial chaos. Ria nodded quietly and said, “You need to meet my friend, Yogesh—he’s a financial planner who changed the way I think about money. You’ll like him.”

Skeptical but desperate, Sudhir agreed.

When they met, Yogesh wasn’t the suited-booted sales guy Sudhir feared. Instead, he was calm, precise, and asked questions Sudhir had never considered: “What’s your monthly cash flow? Do you know your net worth? What does ‘financial security’ mean to you?”

Yogesh took Sudhir through a detailed financial health check—income, expenses, debt, future obligations. It was the first time Sudhir saw his entire financial life on one page—and it wasn’t pretty. But Yogesh didn’t judge; he planned.

They set up a basic structure. First, an emergency fund: six months of essential expenses in a high-yield savings account. Next, insurance—health coverage for his parents, a term plan for Sudhir himself.

Debt came next. Together, they worked out a repayment plan for the credit card, followed by an automatic savings system—SIPs tailored to Sudhir’s risk appetite. Yogesh didn't push fancy products. Instead, he explained them, letting Sudhir decide. For the first time, investing didn’t feel like gambling; it felt like building.

They even mapped out long-term goals—buying a home, maybe starting something of his own someday. With Yogesh’s guidance, each goal had a number, a timeline, and a plan.

Three years later, Sudhir still works with Yogesh. His finances aren’t flashy, but they’re solid. When the pandemic brought salary cuts, he didn’t panic—his backup fund was ready. He now speaks about IRR, asset allocation, and compounding like he once did about cricket scores.

That rainy day changed his life. But it wasn’t the fall that defined it—it was the recovery, made possible with the right help.

Sudhir often tells friends, “You don’t need to be a finance genius. You just need a guide, early enough.”

And every time he gets his investment report, he silently thanks Ria—and Yogesh—for showing him that strength doesn’t come from income alone, but from preparation.

Click here to continue

No comments:

Post a Comment