Me and my husband both are earning around Rs.40,000 (combined after paying tax)a month. We hae a nuclear family with one 2.5 yr old kid i would like to list out my monthly expenses. 1. Car loan - 4000/- 2. Monthly rent - 6000/- 3. full time Maid - 2500/- 4. Milk - 1000/- 5. Car wash/Newspaper/ Cable - 1000/- 6. Electricity + water bill - 1200/- 7. School fees (kid) - 2000/- 8. car maintenace (petrol/ repairs etc.) - 4000/- 9. Bike loan - 2000/- 10. Bike maintenance 2000/- 11. Fruits and vegt +miscllaneous - 2000/- 12. Phone bills (2 mobiles+1 landline)- 3000/- 13. Personal expenses (2 office going people)- 3000/- total expenses - 37000/- 3000/- rs left per month for other expenses (family outings, shopping, festivals) savings - practically nil amount on credit card also piles up if expenses go over this amount.. where will the money come for the downpaymentof the house without saving and even if u have that money and thenbuy a house which is not less than 30,000 lakhs for a decent place (the kind we r living in presently) at least we have to shell out Rs. 20, 000/- per motnh for loan payment 6000(rent)+ 4000(tax saving on loan)= 10,000/- where will the next 10,000/ come from?
RE:Tell me should i buy a home or not
by Srinivas on Aug 09, 2006 02:53 PM Permalink
You have not mentioned when your car & bike loans will be completed. I can see there are potential savings in Car & bike maintenance expenses (up to Rs.3K), phone bills (up to 1K). If you squeeze little more, you can save another 1K. Totally,you will add up to 15K savings/pm. This is a good amount and make your plans for buying a home.
RE:Tell me should i buy a home or not
by Kush Goel on Sep 06, 2006 11:00 PM Permalink
Car loan : 4000 car maintainence : 4000 Bike loan : 2000 Bike maintainennce: 2000( how much travelling do you do?)
assuming newspaper bill=200 cable=300 you spend another 500 on car wash
total cost of car and bike = 12500 which is 31% of your income
i think you really really need to cut down upon this
at this point i do not see where how you can buy a home. Where will you get money for downpayment??
look for cutting expenses in each of the factors . even a cut of 10% will help enormously
RE:Tell me should i buy a home or not
by Deepak on Aug 09, 2006 09:39 AM Permalink
Hi Anamika,
Cut your cost of car, you will immediately save 8K. Seems, you do not want to save any money else your phone cost will not be 3K. I also had bike but its maintainence never cost 2k. 2k is maint. of my Santro... There is old story of a sage & drunken. Drunken says, Wine is not leaving him then Sage got stick to a trunk & said this trunk is not leaving him. How many people in India would be earning 40K after taxes.... except in IT. Enjoy.... seems you are still in US.. where they do not know any thing about saving :-)
