Teachers of middle income families money schemes

Case

Mr Tang was a teacher living in, haizhu district, Guangzhou, the basic monthly salary of about $ 3,500; wife is a doctor in a hospital, haizhu district,, the basic monthly salary of about $ 3,000. Just got married last year, plan two years after birth. At present Mr Tang\'s parents living with them, are employees of a State-run factories retired, the two pensions totals about $ 3,000/month. Two elderly health, medical and social security, but not purchase business insurance. Last year, Mr Tang and his wife purchased a community $ 400,000 worth of housing, the first phase of $ 100,000 and the balance $ 300,000 mortgage mortgage, 30 months for $ 1600. Existing deposit $ 50,000 on a regular basis in the House, while the $ 20,000, 20,000 yuan of Treasury bonds. As the couple work than busy, lack of investment in other to further improve the quality of life, but always felt unable to proceed with.

Analysis

Liquidity in the property including a, analysis of financial condition of the existing families $ 90,000 and $ 400,000 worth of commercial buildings (actually has a value of about $ 120,000), old room discount; of these, liquidity distribution for 80% in bank deposits, Treasury 20%. Members of the family monthly income amounted to $ 9,500 per month, family of four daily consumption is assumed to be average $ 4,000/month, $ 1600/month housing mortgage amount, its revenue and expenditure ratio close to 60%, may accumulate funds $ 60,000 a year. Belonging to the middle income level, its stability is relatively high, but relatively weak in fixed assets of the family, economic foundation, currently conservative investment structure.

Second, family finance proposal

1, gradually widening investment approach. Current investment structure single, conservative, but based on the structure of the family members and the nature of the work should not be too aggressive, can be adjusted to the steady investment structures, mainly through strengthened lower risk investment of means to achieve the goals of increasing revenue. According to their investment preference, recommended maintaining the existing bank deposits and Treasury bonds investments, future accumulation of funds for the purchase of bank products, gain better investment fund and investment-linked life insurance and other varieties. Practical needs of their family members to buy more insurance is not obvious, who are interested may consider participating security insurance appropriate for young couples, with the personal accident protection and increase return on investment; at the same time in the child after birth-growth investment insurance for their products; according to the level of household income and expenditure and their actual needs, insurance can be controlled at the rate of $ 6000-9000/year.

2, reduce mortgage loan term. According to the members of the family structure, for some time in the future cost of living will gradually increase to current economic fundamentals, income level, capital accumulation capacity, a mortgage loan paid off in advance and cannot reduce the economic burden, and keep the lines of paragraphs not too high for a month now more conducive to reducing payment pressure. Therefore, the proposal to shorten the loan term to 20, because the amount of the mortgage of 20 and 30 months for little difference (about $ 1900 for 20 months of contributions), household income and expenditure ratio of 63%, within the scope of the existing income levels can accommodate, but you can greatly reduce interest payments on long-term loans.

3, steadily improving quality of life. Because of its economic base is weak, you also need to rely on long-term accumulation and investment income and family members of all ages. It is recommended to remain relatively indifferent attitude, should not be horizontal where rivalries and too impetuous, in stabilizing the existing level of cases and gradually improve the quality of life, such as purchasing family cars, increasing tourism and entertainment consumption, further improving the living environment.

Comments on the income of medium but are relatively stable, after the abolition of housing distribution policies must rely on their mortgage, also need to take care of their parents, rearing children, this is very typical in the city of an ordinary white-collar family. Such families of weaker ability to take risks, in investment and finance should focus on sound, but also to prevent overly negative conservative, appropriately expand investment channels, culture, finance and investment capacity in order to gradually improve the quality of life. In addition, take the cost of mortgage loans to buy flats should make the necessary, such as selection criteria to take into account not only the pressure of repayment of the loan term, also consider interest payments to achieve more reasonable balance between the two.