I am 42, an agriculturist, my wife is a home-maker. My son is seven, my daughter, four. My agricultural income is uncertain. I sold family land and built a marriage hall in my town at great expense. But the income from all this doesn’t match that earned from bank FDs. I need regular income to run my family. Do suggest ways to achieve this.

Karunakaran

There won’t be many takers for big marriage halls in a small town. A commercial complex in a busy area would have been a viable option for better returns. For a stable lifestyle, it is prudent to close the loan. Since the leased agriculture land yields ₹1.8 lakh per annum, sell it. It is unlikely that your city-bred children will take to farming.

If you repay ₹38 lakh , opt for reduction in your EMI. For a 10-year period, even if your bank charges an interest of 10.5 per cent, your EMI will work out to ₹16,200. So, your overall expenses will be ₹46,200 against your income of ₹64,100.This will help you generate a monthly surplus to meet your goals for your children.

Since your income is variable, fixed deposits will be handy to meet any emergency and you can also consider moving ₹10 lakh towards HDFC Balanced and DSP BR Balanced fund.

To meet all your goals, you need to invest monthly ₹25,500 against your surplus of ₹18,000. Once the marriage hall sees more bookings, step up your savings.

The writer is a registered investment advisor and founder, myassetsconsolidation.com Send your queries to blinefp@gmail.com

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