5 Financial lessons (Non-Investment) from this lockdown.

1. Insurance - Health insurance and term cover are a must have. Both combined would cost 10,000 to 15,000 p.a. for most of us (minimum coverage). Keep a monthly SIP in liquid funds and pay premium annually from this corpus

2. Emergency funds - Have atleast 3 months of expenses in liquid funds / FD. In the long run, try to build 6 months of expenses as an emergency fund. Don& #39;t use these funds for holidays, travels, entertainment, etc. This should only be used for EMERGENCIES.

3. Minimum Liabilities - O/S credit card bills, EMIs, personal loans, etc. will slowly take away a major chunk of your monthly income. Keep these expenses to the minimum. Pay your EMIs on time, otherwise you will bear a very high interest cost for the delay.

4. Tab on expenses - If you buy things that you don& #39;t need, you will soon have no money to buy things that you need. Apparels, movies, dining out, etc. are avoidable expenses. You need to strike a balance here. Some expenses come once a year so plan your cash flows accordingly.

5. Invest in health - Get a yoga mat, resistance band, exercise ball and give atleast 20 minutes a day to your health. You don& #39;t need to spend an hour in gyms lifting heavy weights to stay healthy. Also, eat healthy. Hope you liked this thread. #COVID19 #Corona #lockdown