Planning for big life events and expenses can be daunting, especially in a country like India, where traditional expectations and cultural norms often dictate the scope and scale of these events. According to a recent study, the average cost of a wedding in India is around Rs. 10-15 lakhs, while the cost of raising a child from birth to college can be upwards of Rs. 50 lakhs. Furthermore, with an average life expectancy of 69 years, Indians need to save for longer retirements than many other countries.

Let us discuss some practical tips and strategies to help you plan for these significant milestones:

1. Start Planning Early:
One of the most important things you can do when preparing for a big life event or expense is to start planning early. The earlier you begin, the more time you have to save money, research, and make informed decisions. For example, if you know you want to buy a house in five years, start saving and researching the real estate market now. The same applies to a wedding, retirement, or having a child. Starting early also means you can take advantage of long-term investment options like mutual funds, PPF, FDs, and SIPs, which can help you grow your wealth over time.

2. Set a Realistic Budget:
Once you know what you want to achieve and when, the next step is to set a realistic budget. Creating a budget helps you stay on track and avoid overspending. Start by calculating your current income, expenses, and savings. Then, estimate the cost of the event or expense you’re planning for. This will give you an idea of how much you need to save each month to achieve your goal. Make sure to factor in inflation and unexpected expenses.

3. Prioritize Your Goals:
When planning for big life events and expenses, it’s important to prioritize your goals. This means deciding which goals are most important to you and focusing on them first. For example, if you want to buy a house and have a child, but can only afford one at a time, you need to decide which one is more important to you and plan accordingly. Prioritizing your goals can also help you avoid spreading your resources too thin and not achieving any of them.

4. Research Your Options:
Another key element of planning for big life events and expenses is research. Whether it’s finding the best interest rates on a home loan, researching the best schools for your child, or comparing the costs of wedding venues, doing your homework can help you make informed decisions and save money. Talk to friends and family who have gone through similar experiences, read online reviews, and consult with experts to get a better understanding of your options.

5. Consider Taking Loans:
While it’s always best to save money and pay for big life events and expenses with cash, sometimes taking a loan can be a smart financial move. However, it’s important to understand the terms and conditions of the loan, including the interest rate, repayment period, and any additional fees. For example, a home loan may have a lower interest rate than a personal loan, but it requires a significant down payment. A personal loan, on the other hand, may have a higher interest rate, but it’s easier to obtain and requires less paperwork.

6. Be Flexible:
When planning for big life events and expenses, it’s important to be flexible. Life can be unpredictable, and things may not always go as planned. You may encounter unexpected expenses or changes in your financial situation. Being flexible means being able to adjust your plans and make new ones as needed. It also means being able to enjoy the journey and not just focus on the destination.

7. Monitor Your Progress:
Once you’ve set your budget and savings goals, it’s essential to keep track of your progress regularly. This will help you stay motivated and make adjustments if necessary. Use a budgeting app or a spreadsheet to monitor your savings and expenses, and celebrate your milestones along the way.

8. Consider Insurance:
Big life events, such as having a child or buying a house, often come with added financial risks. Consider purchasing insurance to protect yourself and your family against unexpected events such as illness, accidents, or loss of income. Insurance can help you avoid financial setbacks that could derail your plans.

9. Automate Your Savings:
One of the easiest ways to save for a big life event or expense is to automate your savings. Set up automatic transfers from your checking account to a savings account or investment account each month. This ensures that you’re consistently putting money aside and not tempted to spend it on other things.

10. Don’t Forget About Your Emergency Fund:
When planning for a big life event or expense, it’s easy to focus solely on saving for that specific goal. However, it’s important not to neglect your emergency fund. Unexpected expenses can arise at any time, and having a solid emergency fund can provide a safety net and prevent you from dipping into your savings or going into debt. Aim to have at least three to six months’ worth of living expenses saved in an easily accessible account.


Planning for big life events and expenses requires careful consideration and preparation. It requires a comprehensive approach that includes setting realistic goals, creating a budget, researching options, and being flexible.

These tips are brought to you by the Financial Planners at HappyWise Financial Services. If you feel overwhelmed or uncertain about how to plan for a big life event or expense, feel free to connect through Whatsapp. The expert Financial Planners at HappyWise Financial Services can help you create a customized financial plan that meets your unique needs and goals.

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