Karan Khatri

Managing money effectively is key to achieving long-term financial goals and securing a stable future. Here are some simple and practical finance rules that can help you make smarter financial decisions: House Buying Rule - 3/20/30/40 Rule When buying a house, follow this formula: The price of the house should not exceed 3 times your annual income. The home loan term should not be longer than 20 years . Your monthly EMI should not exceed 30% of your income. Make a 40% down payment to ensure you’re not over-leveraged. Car Buying Rule - 20/4/10 - 50 Rule When buying a car: Make at least 20% down payment . The loan term should not exceed 4 years . The car payment should not exceed 10% of your monthly income. If you're buying without a loan, ensure the car cost doesn’t exceed 50% of your annual income. Rule of 72 This simple rule helps you estimate how long it will take for your investment to double. The formula is:  Years to double your investment = 72 ÷ Annual rate of return...