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Small intro:
I am 30 years old, living with my parents in Mumbai, India. I am the only child. During the past 8 years of working, I have managed to change my family's financial condition to a great extend i.e. from greatly in debt to debt free & even got myself rid of 7-8 credit cards, 2-3 times & also paid Rs.400,000 person loan.

The problem:
1) I have No Savings, No FD, No RD, No MF, No LIC, No Tax-Savings, No Retirement Plans, No Term-insurance or any kind of insurance:
              Why I don't have one? Because I never got a chance to do so. Whenever I managed to save a bit, another debt / need / crises arises & whatever I save goes to drain. My attempt to lower my expenses is clear from my previous situation mentioned. So it's not that I have unwanted expenses.

2) Home Loan takes away huge chuck:
             I recently purchased a home via home loan of Rs 3,300,000 and this plus home loan insurance is taking a little more than half of my salary. I am also looking to repay the loan as quickly as possible but bank charges 2-3% of the outstanding amount for pre-payment, so I have to be ready with good cash & strategy to clear it.

3) Remaining half is spend is online bills, home expenses. So I again ended up with no money left at the end.

4) How to handle Marriage & Post Marriage Expenses without a penny left in pocket:
             My parents are searching bride for me, as if there's no tomorrow but I don't know how the marriage & post marriage expenses will be managed without a penny in the pocket.

5) Being late in savings, investment, insurance & retirement plan, I am worried how to achieve all this plus enjoy my life.

6) Someone just help me, guide me on being my own financial planner:
              Being my own financial planner will enable me to help myself to understand what's happening, steps to take & get out from this situation.

7) A small silver lining but too many obligations to choose:
              I have seen a scope to free up Rs. 10,000/- p.m. but the thing is that the amount is variable i.e. every month there might be some deviation like 8,000 or 9,000. Plus there are too many diverse obligations to fulfil(home loan + paying extra cash in advance in order to reduce the burden, savings, investment, tax savings, marriage, retirement plan), so which one to do first & which comes later, I don't know. Please help / guide me at such basic , simple level that I don't need anyone's help. I can take decision on my own. Plus looking at just the time taken to collect 100,000 seems discouraging. How can I use existing financial tools & knowledge to achieve my goals.

8) Dreams left behind:
              I have barely brought or done something for myself. I am longing to go out for a trip, to freshen up but that again comes to finance problem. I want to do my own business but to do it in any kind like side by side or hire 1-2 people to work or anything, requires at least some basic accumulation to certain amount. I certainly can't quit or take much leave from job to do the same. VC wants to see some cash flow & how I run business, etc.

9) How to handle some many diverse obligations & still live a life?

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    "How to handle some many diverse obligations & still live a life?" It's not easy. Honestly, it seems that you've done well so far. One question I'd ask is whether or not you bought too expensive of a house (because 50% is a lot in the US). – RonJohn Sep 12 at 20:26
  • @RonJohn: No I haven't brought anything too expensive related to house or house related stuff. I don't know which 50% you are talking about but the procedures, legalities , steps are greatly different from that of US. The current USD conversion of my loan will be $46,493 just to buy 800 sq ft area, which is cheap when compared to its peers in Mumbai. Buying home related stuff is still pending, – Varun Krish Sep 12 at 20:47
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    "this [I'm assuming you mean the mortgage] plus home loan insurance is taking a little more than half of my salary." That's what I mean by 50%. In the US, spending 50% of salary on house payments is considered "much too high". – RonJohn Sep 12 at 20:59
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    Pay yourself first. I trust somebody will post a better complete answer. – Chris W. Rea Sep 12 at 23:09
  • @RonJohn: ok I got it. You are right. – Varun Krish Sep 13 at 2:12

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