For folks who recently graduated and have education loan to pay with multiple small loans that family have taken. How do you all invest money and what portion. I earn around 1l per month and 30% of my income goes into loans. It’s already getting better with those small loans already paid over the course of starting few months but the problem is I am left with no sufficient amount of money to invest after deducting the living expenses. Should I wait for the loans to get over first and then start investing or just invest like 10k per month?
Try to finish off the loans ASAP, then look into investing.
Consider repaying those loans as an investment.
Liabilities decreasing in assets increasing.
30% isn't too bad. It'll stabilise overtime as your take home increases. Keep lifestyle inflation in check though, don't go on purchasing new iPhones every year haha. It's fine to not save for the first few years, trick is not to increase spending on other things as your pay goes up
As almost everyone is saying repay the loan first, i agree with them. It will be a huge stress off your chest once the loan is repaid.
Another thing I'd like to add is you do not need a huge chunk of money to start investing. You can start with 5k or even 1k but starting it would be a good habit. So my suggestion would be to start investing with whatever minimum amount you can spare after your expenses :)
Repay the loans first. It will give you peace and freedom. Since you recently graduated, you have time on your hand to start investments.
I agree with both comments here. Repaying loans is itself an investment tbh.
Pay off the loans first.
Keep your expenses low: Contribute a small bit to your emergency fund. Pay the smallest loans first (those usually also have the highest interest). For larger loans, if rate < 9.5%, contribute the minimum and divert all to emergency fund (yields 7% easily)
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I need help from all the experienced folks out there.
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I...
I am a salaried and I have a personal loan emi of 23000 and the loan is pending for 2 more years.
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