Submit: Tuesday, October 22, 2013

Case 1: Raf
Raf is a single man, 30 years old and worked in a private company in Jakarta as an
assistant manager with an income of IDR 7 million net per month. Currently Raf
lives in an area around his ofce with a cost of IDR 1.5 million. Raf has a Suzuki
Swift car made in 2007 with the current value of about IDR 125 million. Raf has
always found time to hang out in cafes and going to the movies at least once a
week with friends who spent a total cost of IDR 150,000. Additionally Raf regularly
visits fitness gym that requires a monthly fee of IDR. 375,000.
Raf's decided to do personal financial planning. Currently he has a savings and
deposits at Mandiri Bank with a total nominal value of IDR 28 million. He has a
credit card debt amounting to IDR 12 million and he have to pay with installments of
IDR 1 million per month. Raf has monthly expenses such as: communication costs
of IDR 200,000, gasoline, parking and car maintanance is IDR 400,000; clothes
IDR 100,000; food IDR 600,000 and other personal purposes of IDR 750,000. Raf
also spent his money to contribute to his parents expenses for IDR 500,000.
Besides that he also wanted to replace her car with the Nissan Juke or the like (sport
crossover vehicle) in the next four years with current value of IDR 248 million. Raf
has a girlfriend, and he want to marry her two years from now and the wedding will
cost IDR 80 million, now. He also plans to have honeymoon with his wife to the Bali
island with the current cost of IDR 7 million. Ten years from now, Raf want to buy a
house with a current price of about IDR 400 million.
Since Raf does not get any pension fund from the company his working for, he
thought he needs to build his pension fund. He anticipated retiring at age 50 years
old and considering surviving up to age 75 years. He estimated to live during his
pension time with IDR 8 million per month todays value. Raf not have insurance
and do not know whether if he needs one.
Task: Develop comprehensive financial planning which is suitable and appropriate
for him using formulas and Financial Planning lessons that have been obtained
Assumptions:
Risk Profile: conservative to moderate, Inflation: 11%.