Financial Planning

Avoid last minute IT rush – Income Tax Proof Submission

tax-planning

The end of the financial year 2018-19 is fast approaching, and with that begins income tax woes 😉.

Most people keep the task of tax planning hanging till the end of the year. While doing so many of them get trapped in last minute investment ideas, which seems attractive, but actual calculation, they are not.

A proper tax planning can help you to minimize your tax liability with the help of productive investments.The income tax framework allows various deductions under different heads, which can be used to save tax, as well as link same to attractive returns. Some of the most popular heads are described below.

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December 3, 2018 Financial Planning 0 Read more >

STP – investing in the volatile time

STP Transfer

STP stands for “Systematic Transfer Plan”, which means, one doesn’t want to invest in one GO, but in Parts, over a Period of time. For instance, you have 10 lacs in hand and seeking investment avenues for the entire 10 lacs. Easiest way is to shortlist a fund & invest fully (i.e. entire 10 lacs). But in the current market scenario, where market is swinging every second month (since last one year);is it a wise decision to invest fully?

STP comes as a rescue, where one can make this volatility work for your own benefit. First & foremost, let’s understand, one cannot ever time the market, therefore no point acting like a cowboy, or getting ideas based on celebrity talk-shows/ articles.

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October 9, 2018 Investments 0 Read more >

My 1st Home – When & How do I plan?

Buying House-How to plan

Amit and Neha are a perfect love story. They met in a college and it was love at first sight. The college years went by dreaming about their life together, getting married and having their dream home. They used to spend hours imagining how they would decorate their sweet home. After completing their studies and starting their careers, they decided to take the plunge and get married. As their parents happily agreed, the next step was to own a dream home. But they realised that having their dream home was not easy. All these years they dreamed about house but never did the homework of buying a house. They consulted a financial planner who guided them about buying a new home.

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July 16, 2018 Property Planning & Loan, 0 Read more >

My MAIL-box is cluttered with Mutual fund mails – What do I do?

cluttered-inbox

Mailbox once a boon for instant communication has become a pain today. Due to lots of promotional and unwanted mails, it becomes difficult to find the relevant mails. As I have invested in mutual funds, it becomes necessary to see these mails. But nowadays the mailbox is flooded with so many mails from the mutual funds that it has become time consuming. Recently SEBI introduced standardisation of various schemes so that investor can understand them. All mutual funds are supposed to communicate the change in fund to investors. There has been a surge in mails mutual fund due to this reason. Another change has been the computation of Expense ratio. With so many mails and technical explanations, common investor is bound to be confused. What is one to do?

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July 9, 2018 Financial Planning, , , 0 Read more >

Sabbatical – 1 year freedom from hectic work-life; but how do I plan my finances?

are you prepared for Sabbatical

Exhausted and tired from long day at office and travel, Amit Kumar went to sleep wondering if this is life that he will live all through. He dreamt of his childhood days and all that he could enjoy doing it. He remembered how he was good at telling jokes and doing performances in school and village programs. His wild imagination saw him doing what he loved and making name for himself. Though he earned decent enough he was happy doing it. He liked living in serene countryside in the beauty and solitude of nature. But suddenly his dream was broken to reality as his wife woke him for sleeping late. Fortunately, it was week-end and he kept wondering if he could live his dreams.

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June 30, 2018 Financial Planning, , , 0 Read more >

Financial Planning for Defence Personnel

Financial Planning for Defence Personnel

The recent news of 23-year young Captain who laid his life while fighting on the border moved my heart. Their patriotism and the willingness to risk life for the nation is commendable. This emotional fervor for them last for few days and then the reality of life dawns on their family. As a financial planner I was wondering about their families and whether they plan their finances.

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April 30, 2018 Financial Planning, , , 0 Read more >

Financial Planning for Pilots

Financial-Planning-for-pilots

Our international flight landed at Mumbai airport and I heaved a sigh of relief. I was irritated by Long sitting hours, headache, temporary deafness due to air pressure, booming noise, turbulence and last but not the least-fear of crash. While exiting the plane, a passing thought came to my mind- if air traveler goes through all these what about the staff especially the Air pilot who do their job day in day out!

Beyond the excitement of flying the plane, a Pilot’s career means odd working hours, medical issues, mandatory retirement age and job uncertainty due to airlines going bust.

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April 9, 2018 Financial Planning, , , , , 0 Read more >

Reducing FD rates, a concern for retired

Reducing-Fd-Rates

Mr. Joshi, a senior citizen is worried man today. His income from FD has been getting less by the day and on other hand monthly expenses have been rising. To add to the worries are the rising medical expenses. For the generation that has retired in last few decades, retirement pension or interest income from FD was the income support in old days.

Changing times call for different approach. A good mix of fixed income and market linked products is the answer to ensure optimal investment returns. Investing Rs 15 lakh in Pradhan Mantri Vayu Vandana Yojana provides assured return of 8% with monthly income of Rs 10,000.

Investments in debt and balanced funds schemes can give higher returns and better protection of capital. These investments are tax efficient if invested over three years. A small exposure to equity mutual funds over 3-5 year horizon can provide for capital appreciation. The increased returns should also be used for having adequate insurance cover to meet medical expenses. A small sum in liquid fund for emergency needs can take care of any contingency.

March 24, 2018 FDs, 0 Read more >