Tax planning is an integral part of financial planning. The task is deemed essential for two reasons: (1) tax planning helps safeguard your income from being consumed in paying taxes, (2) it helps you gain tax-free income from your investment. You can ensure a highly efficient, viable tax saving investment portfolio by investing in the right place. In short, you have to find out the best investment schemes to invest in. How can you do that? Find the right investment tools to invest in? You can consider factors such as safety, liquidity, the tax treatment of the returns generated, and whether they fit into your overall financial plan. If you still feel confused, continue reading and let us take you through best saving options in India to help you achieve your tax planning goals.
Additional Read: Looking to save your taxes? Know the best savings schemes in India Additional Watch:
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We all want to know some basic tricks and tips to multiply our existing money and wealth. If you can successfully increase or grow your wealth, it will offer you various benefits such as a comfortable lifestyle and financial security post retirement. To make it possible you need to take the right financial decisions - savings and investment.
For example, you have Rs. 50 lakhs and you want to invest in Fixed Deposit monthly Income Scheme, then make sure to have a balanced mix of investments. This will help you to gain more in the long-run. To get a balanced or healthy mix of investments, you need to invest in a diversified portfolio. But, before you do it, you need to examine certain factors such as the risk appetite, the type of instruments suit your financial goals, and many more. You can invest in market securities like shares and mutual funds as these instruments provide a higher rate of return, but these are volatile and risky. So, to balance these risks, try some secured ways. Invest in FDs and tax-free bonds, so that, you get assured returns and keep your invested amount safe. Also Read: Busting the Commonly Prevailing Myths About Personal Loan You may have sufficient income, but to build substantial wealth you need to look for other avenues to generate more income. You can also think of investing in real-estate after the improvements like RERA, as real estate market is set to grow at the rate of 30% over the next decade. So, selecting these option will allow you to multiply your investment in the long run. To know more, read: How to Become Rich using Passive Income While interest from investment is a critical factor for investing, Fixed Deposits investments also allow people to secure loans, credit cards, and overdrafts on the basis of fixed deposits. Loans can be issued on 85% amount of the fixed deposit amount, empowering people to meet their immediate financial needs while also taking care of future expenses through investment. Other investments like equity funds do not provide such benefits to investors. Flexibility While Fixed Deposits require people to set aside the amount for a fixed tenure, it is also possible to prematurely withdraw their FD amount any point of time. However, for getting the full scope of benefit from your fixed deposits, it is advisable to withdraw amount after maturity of the Fixed Deposit Scheme. This flexibility of the investment presents benefits to many people, which is why Indians have always shown interest in fixed deposits. Awareness While newer options have started being available in the market, people have a high awareness regarding Fixed Deposits as lenders have been providing it since many years. Moreover, other investments require people to understand terms like debt equity, net asset value (NAV), etc. Simplicity is a big advantage on the side of Fixed Deposits. Get the Most Out of FDs with Bajaj Finance
Fixed Deposits are currently the best method of investing your funds with secured returns. While providing the highest security among Fixed Deposits, Bajaj Finance also provides the highest interest rates in fixed deposits, at a rate of 8.40%. You can access the Bajaj Finance website and create your FD investment account in no time. Furthermore, Bajaj Finance also provides 24/7 accessibility and an integrated FD calculator that helps you analyze the returns on your investment at maturity. While not the newest, Fixed Deposits are still one of the safest investments you can make as an Indian. Access the website now to get the highest returns. You can also refer to this link and discover the benefit of an FD over other options. Gone are the days when having a single income source was sufficient to manage household expenses. Rising cost of living demands investors look for regular sources of income to manage their expenses or to maintain a decent standard of living. Best options to make regular monthly income by investment - Fixed Deposit FDs are free from market fluctuations and offer higher interest rate starting from 8.40% onwards. The depositor can make appreciable interest income on minimum deposit of just Rs. 25,000 for a flexible tenure of 12-60 months. The investor can easily book the account online either in their name or for their family member. Mutual Fund They are subject to market risks and ideal for investors willing to take some kind of risk. Certain funds provide the option of dividend payout for investors who do not wish to invest in equity. Dividend is provided on yearly basis only. But investors will have to create a diversified portfolio and invest in multiple such funds to be able to make regular dividend income. Know about ppf or fixed deposit Post Office Monthly Investment Scheme (MIS) This is a prudent investment scheme for depositors which offers 7% interest rate with monthly payouts. An individual can deposit a maximum limit of up to Rs. 4.5 lakhs while joint account holders can deposit up to Rs. 9 lakhs. This is a low-risk investment offering tenure of up to 5 years. Rental Income
Rental from residential or commercial property is another great way to generate regular income. Though , you may not always be able to maintain a consistent income for reasons such as change in rental prices, not finding the right tenant etc. This option still has its own perks when managed well. |
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About Author:Aman is working in the domain of Investment management in one of the top universities. He has published research papers and case studies in Investment and Fixed Deposit marketplace. He is an avid blogger in the domain of Investment management. you can also find him on social networking platforms. Archives
August 2022
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