Use our free SIP Calculator to estimate your investment returns, visualize compounding, and start building wealth today ā no sign-up required.
Why Use Our SIP Calculator?
Simple Inputs
Just enter your monthly investment, time period, and expected return rate.
Visual Growth Charts
See how your wealth grows month by month with powerful visuals.
Customizable Results
Test different scenarios to find the perfect investment plan for you.
Start Building Wealth Today
Don't wait to take control of your financial future. Let compounding do the work for you.
How I Turned ā¹5,000/month into ā¹6 Lakhs ā My 3-Year SIP Journey
How I Turned ā¹5,000/month into ā¹6 Lakhs ā My 3-Year SIP Journey
In 2020, I was saving ā¹5,000/month with no real strategy. I stumbled into SIPs by chance. Today, that same habit has grown into ā¹6,12,000 ā and taught me 3 major lessons about compounding, patience, and mistakes I wish I avoided earlier.
š What Went Wrong in Year 1
In my first year, I panicked during a market dip and pulled out my SIP investments. That single move cost me potential gains and broke the compounding chain. I learned the hard way that reacting emotionally to market swings is a recipe for regret.
š Lesson Learned: Consistency Beats Timing
Missed rallies by being out of the market
Lost out on rupee cost averaging
Peace of mind improved with automation and discipline
š My Portfolio Before vs After
Before (2020)
Random savings in bank account
No real investment plan
Low returns (2-3% p.a.)
After (2023)
Disciplined SIPs in diverse mutual funds
Portfolio value: ā¹6,12,000
Average returns: 13-15% p.a.
š§ What Iād Do Differently If Starting Again
If I could start over, Iād set up my SIPs and forget about the daily market noise. Iād diversify a bit more, avoid panic-selling, and trust the process. Most importantly, Iād start even earlier ā because time is your biggest ally in compounding.
Use our free SIP Calculator to estimate your investment returns, visualize compounding, and start building wealth today ā no sign-up required.
Why Use Our SIP Calculator?
Simple Inputs
Just enter your monthly investment, time period, and expected return rate.
Visual Growth Charts
See how your wealth grows month by month with powerful visuals.
Customizable Results
Test different scenarios to find the perfect investment plan for you.
Start Building Wealth Today
Don't wait to take control of your financial future. Let compounding do the work for you.
How I Turned ā¹5,000/month into ā¹6 Lakhs ā My 3-Year SIP Journey
How I Turned ā¹5,000/month into ā¹6 Lakhs ā My 3-Year SIP Journey
In 2020, I was saving ā¹5,000/month with no real strategy. I stumbled into SIPs by chance. Today, that same habit has grown into ā¹6,12,000 ā and taught me 3 major lessons about compounding, patience, and mistakes I wish I avoided earlier.
š What Went Wrong in Year 1
In my first year, I panicked during a market dip and pulled out my SIP investments. That single move cost me potential gains and broke the compounding chain. I learned the hard way that reacting emotionally to market swings is a recipe for regret.
š Lesson Learned: Consistency Beats Timing
Missed rallies by being out of the market
Lost out on rupee cost averaging
Peace of mind improved with automation and discipline
š My Portfolio Before vs After
Before (2020)
Random savings in bank account
No real investment plan
Low returns (2-3% p.a.)
After (2023)
Disciplined SIPs in diverse mutual funds
Portfolio value: ā¹6,12,000
Average returns: 13-15% p.a.
š§ What Iād Do Differently If Starting Again
If I could start over, Iād set up my SIPs and forget about the daily market noise. Iād diversify a bit more, avoid panic-selling, and trust the process. Most importantly, Iād start even earlier ā because time is your biggest ally in compounding.
Start SIPs as early as possible
Stay consistent, ignore short-term volatility
Review portfolio annually, not monthly
Invest for long-term goals, not quick gains
Introduction
When it comes to investing your hard-earned money, there are numerous options available in India. From traditional investment plans to modern alternatives, the choices can be overwhelming. In this article, we will explore some of the most popular investment options and plans in India, providing you with valuable insights to help you make informed decisions.
1. Fixed Deposits
Fixed deposits (FDs) are one of the most common and secure investment options in India. They are offered by banks and financial institutions, allowing you to deposit a specific amount of money for a fixed tenure at a predetermined interest rate. FDs are known for their stability, as they provide guaranteed returns. They are suitable for risk-averse individuals who prioritize capital preservation over high returns.
2. Mutual Funds
Mutual funds have gained tremendous popularity among Indian investors in recent years. They are professionally managed investment vehicles that pool money from multiple investors to invest in a diversified portfolio of stocks, bonds, or other securities. Mutual funds offer various schemes, such as equity funds, debt funds, and hybrid funds, catering to different risk appetites and investment goals. They provide an opportunity to participate in the stock market with the guidance of experienced fund managers.
3. Public Provident Fund (PPF)
The Public Provident Fund (PPF) is a long-term investment option backed by the Indian government. It offers attractive interest rates and tax benefits, making it a popular choice for individuals looking for a safe and tax-efficient investment avenue. PPF accounts have a lock-in period of 15 years, and the interest earned is compounded annually. The contributions made towards PPF are eligible for tax deductions under Section 80C of the Income Tax Act.
4. National Pension System (NPS)
The National Pension System (NPS) is a voluntary retirement savings scheme regulated by the Pension Fund Regulatory and Development Authority (PFRDA). It is a market-linked investment option that aims to provide financial security during retirement. NPS offers two types of accounts: Tier-I and Tier-II. While Tier-I is a mandatory account with certain withdrawal restrictions, Tier-II is a voluntary savings account with no withdrawal restrictions. NPS also provides tax benefits under Section 80CCD of the Income Tax Act.
5. Real Estate
Real estate has been a popular investment option in India for decades. Investing in residential or commercial properties can provide both rental income and capital appreciation over time. However, real estate investments require substantial capital and involve additional costs such as maintenance, property taxes, and legal fees. It is essential to conduct thorough research and due diligence before investing in real estate to ensure the property’s location and potential for growth.
6. Stock Market
The stock market offers immense opportunities for wealth creation, but it also carries a certain level of risk. Investing in stocks involves buying shares of publicly traded companies, allowing investors to participate in the company’s growth and profitability. It is crucial to have a good understanding of the stock market and to conduct thorough research before investing. Many investors prefer to seek professional advice or invest through mutual funds to mitigate the risks associated with individual stock selection.
7. Gold
Gold has always been considered a safe haven investment in India. It serves as a hedge against inflation and currency fluctuations. Investors can choose to invest in physical gold, such as jewelry or gold coins, or opt for gold exchange-traded funds (ETFs) and sovereign gold bonds (SGBs). Gold investments can provide diversification to your portfolio and act as a store of value during uncertain economic times.
8. Fixed Maturity Plans (FMPs)
Fixed Maturity Plans (FMPs) are close-ended debt mutual funds with a fixed maturity period. They invest in fixed-income securities such as corporate bonds, government securities, and money market instruments. FMPs offer a predictable return and are suitable for investors looking for stable income and capital preservation. FMPs generally have a lock-in period that matches the maturity period of the fund, which can range from a few months to a few years.
Conclusion
India offers a wide range of investment options and plans to suit different risk appetites and investment goals. Whether you prefer traditional options like fixed deposits and PPF, or modern alternatives like mutual funds and stocks, it is essential to assess your financial objectives and risk tolerance before making any investment decisions. Diversification, thorough research, and seeking professional advice can help you navigate the investment landscape and make informed choices that align with your long-term financial goals.
Use our free SIP Calculator to estimate your investment returns, visualize compounding, and start building wealth today ā no sign-up required.
Why Use Our SIP Calculator?
Simple Inputs
Just enter your monthly investment, time period, and expected return rate.
Visual Growth Charts
See how your wealth grows month by month with powerful visuals.
Customizable Results
Test different scenarios to find the perfect investment plan for you.
Start Building Wealth Today
Don't wait to take control of your financial future. Let compounding do the work for you.
How I Turned ā¹5,000/month into ā¹6 Lakhs ā My 3-Year SIP Journey
How I Turned ā¹5,000/month into ā¹6 Lakhs ā My 3-Year SIP Journey
In 2020, I was saving ā¹5,000/month with no real strategy. I stumbled into SIPs by chance. Today, that same habit has grown into ā¹6,12,000 ā and taught me 3 major lessons about compounding, patience, and mistakes I wish I avoided earlier.
š What Went Wrong in Year 1
In my first year, I panicked during a market dip and pulled out my SIP investments. That single move cost me potential gains and broke the compounding chain. I learned the hard way that reacting emotionally to market swings is a recipe for regret.
š Lesson Learned: Consistency Beats Timing
Missed rallies by being out of the market
Lost out on rupee cost averaging
Peace of mind improved with automation and discipline
š My Portfolio Before vs After
Before (2020)
Random savings in bank account
No real investment plan
Low returns (2-3% p.a.)
After (2023)
Disciplined SIPs in diverse mutual funds
Portfolio value: ā¹6,12,000
Average returns: 13-15% p.a.
š§ What Iād Do Differently If Starting Again
If I could start over, Iād set up my SIPs and forget about the daily market noise. Iād diversify a bit more, avoid panic-selling, and trust the process. Most importantly, Iād start even earlier ā because time is your biggest ally in compounding.
Start SIPs as early as possible
Stay consistent, ignore short-term volatility
Review portfolio annually, not monthly
Invest for long-term goals, not quick gains
Penalties for not depositing in PPF, SSY, NPS: Buyers in Public Provident Fund (PPF), Sukanya Samriddhi Yojana (SSY), and Nationwide Pension System (NPS) should deposit a minimal quantity of their accounts annually to maintain them lively. In the event that they miss this accretion, their accounts could be frozen, and so they might face penalties. The deadline for minimal deposits for the present monetary 12 months is March 31, states an ET report.The federal government has enhanced the attraction of the brand new earnings tax regime. Ranging from April 1, 2023, revisions have been made to the earnings tax slabs, rising the essential exemption restrict to Rs 3 lakh from Rs 2.5 lakh per monetary 12 months beneath the brand new earnings tax regime. Moreover, customary deductions at the moment are obtainable on this new system, and nil tax is imposed on incomes not surpassing Rs 7 lakh.Revenue tax rules allow people (excluding these with enterprise earnings) to pick out between the brand new and outdated tax regimes every monetary 12 months based mostly on their preferences.ALSO READ | Revenue Tax discover coming your method? CBDT says some taxpayers will get notices quickly for not submitting their ITRsIf you beforehand paid taxes beneath the outdated tax regime till the final monetary 12 months, you seemingly used tax-saving investments akin to PPF, SSY, and NPS. Switching to the brand new tax regime for FY 2023-24 means forfeiting the tax advantages related to investments in these schemes. Consequently, you would possibly assume that you just needn’t make investments or deposit funds in them for FY 2023-24. Nevertheless, it is essential to recognise that failing to deposit the minimal quantity into these accounts may end up in penalties.Listed below are the minimal deposit necessities for people within the talked about schemes, which should be fulfilled earlier than March 31, to keep away from penalties.Public Provident Fund (PPF)Based on the 2019 PPF guidelines, a minimal deposit of Rs 500 should be made in a PPF account each monetary 12 months. Failure to fulfill this requirement leads to the account turning into inactive.When the PPF account turns into inactive, mortgage and withdrawal services are now not obtainable. These companies are accessible from the third and sixth years onwards, respectively, within the regular situation.To reactivate an inactive PPF account earlier than maturity, the depositor should pay a default charge of Rs 50 for every defaulted 12 months. Moreover, they have to make the annual minimal deposit of Rs 500 for annually and not using a deposit. Due to this fact, for every defaulted 12 months, the account holder must pay Rs 550 to reactivate the PPF account.The PPF account matures after 16 years from its opening date. Untimely withdrawals are solely allowed beneath particular situations. If the PPF account is discontinued, the funds might be obtainable at maturity solely, and the account can’t be prolonged in five-year blocks upon maturity.ALSO READ | New NPS partial withdrawal guidelines: How Nationwide Pension System guidelines work, causes, limits, when to go for them and extra FAQs answeredSukanya Samriddhi Yojana (SSY)The Sukanya Samriddhi Yojana (SSY) is one other tax-saving funding choice designed for individuals who want to save for his or her lady kid’s future. Underneath this scheme, account holders are required to deposit a minimal of Rs 250 each monetary 12 months.Failure to make the minimal deposit of Rs 250 in a monetary 12 months leads to the SSY account being handled as defaulted. Nevertheless, the scheme guidelines enable a defaulted account to be revived at any time earlier than maturity.To revive a defaulted SSY account, the person should pay a default charge of Rs 50 for every defaulted 12 months. Moreover, they should deposit the minimal contribution of Rs 250 for every defaulted 12 months.If the defaulted SSY account just isn’t revived, the funds within the account might be payable at maturity. An SSY account matures both after 21 years from the date of opening or on the time of the lady kid’s marriage after reaching the age of 18 years (inside one month earlier than or three months after the wedding date).Nationwide Pension System (NPS)Many people have opted for the Nationwide Pension System (NPS) to avail tax advantages by investing a further Rs 50,000 beneath part 80CCD(1B) of the Revenue Tax Act. This funding is allowed on high of the Rs 1.5 lakh restrict beneath Part 80C of the Act. Based on NPS guidelines, people should deposit a minimal of Rs 1,000 per monetary 12 months into their accounts.Failure to fulfill the minimal deposit requirement will outcome within the NPS account being frozen. Nevertheless, Kurian Jose, CEO, Tata Pension Administration was quoted saying, āThere are no penalty charges from NPS trust if the NPS account gets frozen.ā If a person’s employer is contributing to their Tier-I NPS account, no penalty might be levied, as contributions are being made to the Tier-I account even with out the person’s minimal contribution, as said by Jose. Employer contributions to an worker’s NPS Tier-I account are eligible for deduction from the gross complete earnings beneath Part 80CCD(2) of the Revenue-tax Act. A most deduction of 10% of wage (14% for presidency staff) could be claimed. This deduction is accessible beneath each the outdated and new tax regimes. Due to this fact, people choosing the brand new tax regime for the present monetary 12 months can nonetheless declare a deduction beneath Part 80CCD(2).āThe frozen account can be activated by making the minimum contribution of Rs 500 for a single deposit. However, the subscriber must make sure that he has contributed a minimum of Rs 1000 in a financial year to keep the account active,ā Jose additional added.
Use our free SIP Calculator to estimate your investment returns, visualize compounding, and start building wealth today ā no sign-up required.
Why Use Our SIP Calculator?
Simple Inputs
Just enter your monthly investment, time period, and expected return rate.
Visual Growth Charts
See how your wealth grows month by month with powerful visuals.
Customizable Results
Test different scenarios to find the perfect investment plan for you.
Start Building Wealth Today
Don't wait to take control of your financial future. Let compounding do the work for you.
How I Turned ā¹5,000/month into ā¹6 Lakhs ā My 3-Year SIP Journey
How I Turned ā¹5,000/month into ā¹6 Lakhs ā My 3-Year SIP Journey
In 2020, I was saving ā¹5,000/month with no real strategy. I stumbled into SIPs by chance. Today, that same habit has grown into ā¹6,12,000 ā and taught me 3 major lessons about compounding, patience, and mistakes I wish I avoided earlier.
š What Went Wrong in Year 1
In my first year, I panicked during a market dip and pulled out my SIP investments. That single move cost me potential gains and broke the compounding chain. I learned the hard way that reacting emotionally to market swings is a recipe for regret.
š Lesson Learned: Consistency Beats Timing
Missed rallies by being out of the market
Lost out on rupee cost averaging
Peace of mind improved with automation and discipline
š My Portfolio Before vs After
Before (2020)
Random savings in bank account
No real investment plan
Low returns (2-3% p.a.)
After (2023)
Disciplined SIPs in diverse mutual funds
Portfolio value: ā¹6,12,000
Average returns: 13-15% p.a.
š§ What Iād Do Differently If Starting Again
If I could start over, Iād set up my SIPs and forget about the daily market noise. Iād diversify a bit more, avoid panic-selling, and trust the process. Most importantly, Iād start even earlier ā because time is your biggest ally in compounding.
Start SIPs as early as possible
Stay consistent, ignore short-term volatility
Review portfolio annually, not monthly
Invest for long-term goals, not quick gains
Monetary modifications from April 1, 2024: As the brand new monetary 12 months 2024ā25 kicks off on April 1, 2024, a number of noteworthy modifications are set to happen, impacting investments and expenditures. Listed here are the foremost monetary modifications and new laws coming into impact this April – from revised debit and bank card prices for sure banks to new NPS and FASTag guidelines:’One Automobile, One FASTag’ initiativeThe ‘One Automobile, One FASTag’ undertaking by NHAI goals to forestall utilizing one FASTag for a number of autos or linking a number of FASTags to 1 automobile.It seeks to boost toll assortment effectivity and guarantee seamless mobility at toll plazas, beginning April 1, 2024.New NPS safety ruleThe Pension Fund Regulatory and Improvement Authority (PFRDA) has enhanced the safety of the Nationwide Pension System (NPS) by introducing a brand new safety layer known as two-factor Aadhaar-based authentication. Beginning April 1, 2024, this authentication might be necessary for all password-based customers logging into the CRA system. The PFRDA introduced this transformation by a round dated March 15, 2024.SBI bank card updatesAccording to ET, SBI Card has said that sure bank cards, together with AURUM, SBI Card Elite, SBI Card Elite Benefit, SBI Card Pulse, and SimplyCLICK SBI Card, will now not earn reward factors on lease cost transactions, beginning April 1, 2024. Moreover, the accrual of reward factors on lease funds for these playing cards will stop completely by April 15, 2024.ALSO READ | New NPS rule from April 1 requires two-factor Aadhaar authentication; right hereās the way it works – step-by-step guideOLA Cash Pockets transitionOLA Cash has knowledgeable its clients by way of SMS that beginning April 1, 2024, it would transition completely to small PPI (pay as you go cost instrument) pockets companies. Moreover, there might be a most month-to-month load restriction of Rs 10,000 on the pockets. This variation goals to streamline OLA Cash’s companies.SBI debit card changesState Financial institution of India (SBI) has adjusted the annual upkeep prices for particular debit playing cards, with the brand new charges set to start from April 1, 2024, in response to particulars supplied on the SBI web site.For traditional debit playing cards, together with Basic, Silver, International, and Contactless Debit Playing cards, the annual upkeep price has been raised to Rs. 200/+ GST from the earlier Rs. 125/+ GST.In the meantime, for debit playing cards equivalent to Yuva, Gold, Combo Debit Card, and My Card (Picture Card), the annual upkeep cost has been elevated to Rs. 250/+ GST from the earlier Rs. 175/+ GST.Obligatory e-insuranceThe Insurance coverage Regulatory and Improvement Authority of India (IRDAI) introduced that beginning April 1, 2024, all insurance coverage insurance policies, encompassing well being, life, and common insurance coverage, have to be digitized. This mandate requires that insurance coverage insurance policies be issued completely on-line.ALSO READ | New bank card guidelines, NPS and 4 different key money-related modifications coming in April 2024ICICI bank card changesEffective from April 1, 2024, ICICI Financial institution has launched modifications to its bank card advantages. As per the data obtainable on the ICICI Financial institution web site, cardholders can now avail of 1 complimentary airport lounge entry by spending Rs 35,000 within the previous calendar quarter. This spend will unlock entry for the next calendar quarter. To qualify for complimentary lounge entry within the April-Could-June 2024 quarter, cardholders have to spend a minimal of Rs. 35,000 within the January-February-March 2024 quarter, and equally for the next quarters.Sure Financial institution bank card modifications Commencing April 1, 2024, YES Financial institution credit score cardholders who spend Rs 10,000 or extra in a calendar quarter will qualify for complimentary home lounge entry, as reported by numerous information retailers. This association signifies that expenditure within the previous quarter will grant entry for the next quarter, as said within the information experiences.Axis Financial institution bank card modifications Beginning April 20, 2024, Axis Financial institution will implement modifications to its bank card rewards and advantages:1. Reward Factors Exclusion: Expenditure on gas, insurance coverage, and gold/jewellery will now not qualify for fundamental or expedited EDGE REWARD Factors, along with present class limitations.2. Spends on Annual Payment Waiver: The edge for the annual price waiver will now exclude spending within the insurance coverage, gold/jewellery, and gas classes.3. Home & Worldwide Lounge Entry: The variety of complimentary visitor visits allowed on home and worldwide lounge packages might be decreased from 8 visits to 4 visits.
Use our free SIP Calculator to estimate your investment returns, visualize compounding, and start building wealth today ā no sign-up required.
Why Use Our SIP Calculator?
Simple Inputs
Just enter your monthly investment, time period, and expected return rate.
Visual Growth Charts
See how your wealth grows month by month with powerful visuals.
Customizable Results
Test different scenarios to find the perfect investment plan for you.
Start Building Wealth Today
Don't wait to take control of your financial future. Let compounding do the work for you.
How I Turned ā¹5,000/month into ā¹6 Lakhs ā My 3-Year SIP Journey
How I Turned ā¹5,000/month into ā¹6 Lakhs ā My 3-Year SIP Journey
In 2020, I was saving ā¹5,000/month with no real strategy. I stumbled into SIPs by chance. Today, that same habit has grown into ā¹6,12,000 ā and taught me 3 major lessons about compounding, patience, and mistakes I wish I avoided earlier.
š What Went Wrong in Year 1
In my first year, I panicked during a market dip and pulled out my SIP investments. That single move cost me potential gains and broke the compounding chain. I learned the hard way that reacting emotionally to market swings is a recipe for regret.
š Lesson Learned: Consistency Beats Timing
Missed rallies by being out of the market
Lost out on rupee cost averaging
Peace of mind improved with automation and discipline
š My Portfolio Before vs After
Before (2020)
Random savings in bank account
No real investment plan
Low returns (2-3% p.a.)
After (2023)
Disciplined SIPs in diverse mutual funds
Portfolio value: ā¹6,12,000
Average returns: 13-15% p.a.
š§ What Iād Do Differently If Starting Again
If I could start over, Iād set up my SIPs and forget about the daily market noise. Iād diversify a bit more, avoid panic-selling, and trust the process. Most importantly, Iād start even earlier ā because time is your biggest ally in compounding.
Start SIPs as early as possible
Stay consistent, ignore short-term volatility
Review portfolio annually, not monthly
Invest for long-term goals, not quick gains
Monetary 12 months 2024-25: April marks the start of the brand new monetary 12 months 2024-25, bringing alongside a number of money-related modifications that might have an effect on your spending and funding habits. As reported by ET, listed here are 5 of those essential monetary modifications set to take impact in April 2024.New NPS rule: Enhanced safety measures The Pension Fund Regulatory and Growth Authority (PFRDA) has enhanced the safety of the Nationwide Pension System (NPS) by including a brand new layer of safetyātwo-factor Aadhaar-based authentication.Beginning April 1, 2024, all password-based customers accessing the CRA system will likely be required to make use of this authentication technique. This replace was introduced by the PFRDA in a round dated March 15, 2024.Advantages of the NPS safety featureIncreased safety – The 2-factor authentication considerably lowers the chance of unauthorized entry to the CRA system.Enhanced safety – This extra layer of safety ensures the safeguarding of NPS transactions, benefiting each subscribers and stakeholders by defending their pursuits.SBI bank card rewards modifications SBI Card has declared that the incomes of reward factors on lease fee transactions will likely be stopped for particular bank cards beginning April 1, 2024. These bank cards embrace AURUM, SBI Card Elite, SBI Card Elite Benefit, SBI Card Pulse, and SimplyCLICK SBI Card. Furthermore, the accrual of reward factors on lease funds for these particular bank cards will stop totally by April 15, 2024.ALSO READ | Will your worldwide bank card spends come beneath liberalised remittance scheme quickly? What it’s best to knowChanges in YES Financial institution bank card advantages Starting April 1, YES Financial institution credit score cardholders who spend Rs 10,000 or above in a calendar quarter will qualify for complimentary home lounge entry, as reported by numerous information shops. Because of this expenditures from the earlier quarter will grant entry to the next quarter, as indicated within the information experiences.ICICI Financial institution’s lounge entry coverage updateAs per the ICICI Financial institution web site, ranging from April 1, 2024, you may avail of 1 complimentary airport lounge entry by spending Rs 35,000 within the previous calendar quarter. Bills incurred within the earlier quarter will grant entry for the next calendar quarter. To qualify for complimentary lounge entry within the April-Might-June 2024 quarter, you need to spend a minimal of Rs 35,000 within the January-February-March 2024 quarter. This criterion applies equally to subsequent quarters.ALSO READ | Can you modify the bank card billing cycle and due date greater than as soon as? Right hereās what new RBI tips sayRevisions to Axis Financial institution bank card benefitsReward factors exclusion- Purchases made on gasoline, insurance coverage, and gold/jewellery will now not qualify for fundamental or expedited EDGE REWARD Factors, becoming a member of the prevailing checklist of class limitations.Spending for annual price waiver- The brink for acquiring an annual price waiver will now exclude expenditures on insurance coverage, gold/jewellery, and gasoline classes.Home and worldwide lounge access- The variety of complimentary visitor visits allowed for home and worldwide lounge applications will likely be diminished from 8 visits to 4 visits.OLA Cash Pockets restrictionsOLA Cash has knowledgeable its prospects through SMS that it’ll transition totally to small Pay as you go Fee Instrument (PPI) pockets providers, efficient April 1, 2024. Moreover, there will likely be a most pockets load restriction of Rs 10,000 per thirty days ranging from the identical date.
Use our free SIP Calculator to estimate your investment returns, visualize compounding, and start building wealth today ā no sign-up required.
Why Use Our SIP Calculator?
Simple Inputs
Just enter your monthly investment, time period, and expected return rate.
Visual Growth Charts
See how your wealth grows month by month with powerful visuals.
Customizable Results
Test different scenarios to find the perfect investment plan for you.
Start Building Wealth Today
Don't wait to take control of your financial future. Let compounding do the work for you.
How I Turned ā¹5,000/month into ā¹6 Lakhs ā My 3-Year SIP Journey
How I Turned ā¹5,000/month into ā¹6 Lakhs ā My 3-Year SIP Journey
In 2020, I was saving ā¹5,000/month with no real strategy. I stumbled into SIPs by chance. Today, that same habit has grown into ā¹6,12,000 ā and taught me 3 major lessons about compounding, patience, and mistakes I wish I avoided earlier.
š What Went Wrong in Year 1
In my first year, I panicked during a market dip and pulled out my SIP investments. That single move cost me potential gains and broke the compounding chain. I learned the hard way that reacting emotionally to market swings is a recipe for regret.
š Lesson Learned: Consistency Beats Timing
Missed rallies by being out of the market
Lost out on rupee cost averaging
Peace of mind improved with automation and discipline
š My Portfolio Before vs After
Before (2020)
Random savings in bank account
No real investment plan
Low returns (2-3% p.a.)
After (2023)
Disciplined SIPs in diverse mutual funds
Portfolio value: ā¹6,12,000
Average returns: 13-15% p.a.
š§ What Iād Do Differently If Starting Again
If I could start over, Iād set up my SIPs and forget about the daily market noise. Iād diversify a bit more, avoid panic-selling, and trust the process. Most importantly, Iād start even earlier ā because time is your biggest ally in compounding.
Start SIPs as early as possible
Stay consistent, ignore short-term volatility
Review portfolio annually, not monthly
Invest for long-term goals, not quick gains
New NPS Aadhaar authentication: The Pension Fund Regulatory and Improvement Authority (PFRDA) has taken a major step to bolster the safety of the Nationwide Pension System (NPS). Efficient April 1, 2024 all customers accessing the Central Recordkeeping Company (CRA) system should bear obligatory two-factor authentication utilizing Aadhaar credentials. As per an ET report, this measure goals to fortify the safety of NPS transactions and the pursuits of its stakeholders, as outlined in a round launched by the PFRDA on March 15, 2024.Advantages of two-factor authenticationEnhanced safety: Utilizing two-factor authentication drastically decreases the possibilities of unauthorised entry to the CRA system.Heightened safety: This further layer of safety ensures the security of NPS transactions and safeguards the pursuits of subscribers and stakeholders alike.New login mechanismAccording to the round, Aadhaar-based login authentication can be added to the present person ID and password-based login course of. This transformation will allow entry to the NPS CRA system by two-factor authentication.ALSO READ | RBI goals to guard Aadhaar-enabled Fee Techniques (AePS) from fraud; right hereās howAadhaar-based authentication for CRA accessThe PFRDA round states that Nodal Workplaces beneath Central and State Governments, together with their related Autonomous Our bodies, at the moment use a password-based login to entry the Central Recordkeeping Company (CRA) for NPS transactions.To reinforce safety and safeguard the pursuits of subscribers and stakeholders, the CRA system will implement Aadhaar-based authentication for login. This authentication methodology can be linked with the present Person ID and Password login course of, making certain two-factor authentication for accessing the CRA system.Aadhaar Mapping processAccording to the PFRDA round dated March 15, 2024, Nodal places of work beneath the Authorities Sector (Central/State/CAB/SAB) can use Aadhaar OTP for 2-Issue Authentication to entry the CRA system (CRA & NPSCAN). The Oversight workplace (PrAO/DTA) and PAO/DTO should hyperlink their Aadhaar with their CRA Person ID to allow Aadhaar Mapping for underlying customers. Equally, this linking permits underlying DDOs to provoke Aadhaar linking.ALSO READ | Atal Pension Yojana: Learn about Aadhaar seeding and onboarding facility for APY – particulars herePerformance of NPS activitiesGovernment and autonomous our bodies are required to implement Aadhaar-based login and authentication for NPS operations throughout the CRA system. Guaranteeing clean transitionPFRDA has issued a complete normal working process (SOP) and course of circulate in its newest round, aiming to information Authorities Nodal Workplaces by the transition. In depth engagement with Nodal Officers will guarantee they’re well-informed in regards to the adjustments, facilitating a clean transition course of.Stopping unauthorised accessAccess to CRA could also be denied because of the following causes, as acknowledged on the NSDL NPS CRA web site as of February 21, 2024:1. Incorrect person ID2. Incorrect passwordAdditionally, as per the PFRDA round dated February 20, 2024, to forestall unauthorised entry, the account can be locked if the person enters an incorrect password for 5 consecutive makes an attempt. Customers can reset their password by answering a secret query, even after the account is locked. If the person can not bear in mind the reply to the key query or is unsuccessful in resetting the password, they have to submit a request for reissue of I-Pin.
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How I Turned ā¹5,000/month into ā¹6 Lakhs ā My 3-Year SIP Journey
How I Turned ā¹5,000/month into ā¹6 Lakhs ā My 3-Year SIP Journey
In 2020, I was saving ā¹5,000/month with no real strategy. I stumbled into SIPs by chance. Today, that same habit has grown into ā¹6,12,000 ā and taught me 3 major lessons about compounding, patience, and mistakes I wish I avoided earlier.
š What Went Wrong in Year 1
In my first year, I panicked during a market dip and pulled out my SIP investments. That single move cost me potential gains and broke the compounding chain. I learned the hard way that reacting emotionally to market swings is a recipe for regret.
š Lesson Learned: Consistency Beats Timing
Missed rallies by being out of the market
Lost out on rupee cost averaging
Peace of mind improved with automation and discipline
š My Portfolio Before vs After
Before (2020)
Random savings in bank account
No real investment plan
Low returns (2-3% p.a.)
After (2023)
Disciplined SIPs in diverse mutual funds
Portfolio value: ā¹6,12,000
Average returns: 13-15% p.a.
š§ What Iād Do Differently If Starting Again
If I could start over, Iād set up my SIPs and forget about the daily market noise. Iād diversify a bit more, avoid panic-selling, and trust the process. Most importantly, Iād start even earlier ā because time is your biggest ally in compounding.
Start SIPs as early as possible
Stay consistent, ignore short-term volatility
Review portfolio annually, not monthly
Invest for long-term goals, not quick gains
Tax planning suggestions for FY 2023-24: Brokers and distributors are seemingly busy because the March 31 deadline nears. They could be selling costly merchandise to anxious taxpayers who have not completed their tax planning but. These merchandise won’t profit the customer a lot however provide excessive commissions to the vendor. Should you’re a type of who’ve delayed tax planning till the final minute, be careful for these errors.In a column in ET Wealth, Sudhir Kaushik the CEO of Taxspanner.com lists frequent tax planning errors to keep away from:Use the complete limitUnder the outdated revenue tax regime, people can declare deductions of as much as Rs. 1.5 lakh underneath Part 80C and an additional Rs. 50,000 for NPS contributions underneath Part 80CCD(1b). There are additionally deductions accessible for medical insurance coverage premiums for self, household, and oldsters, in addition to the curiosity on dwelling and schooling loans. Nonetheless, not all taxpayers use these deductions absolutely.ALSO READ | Tax Deducted at Supply information: Know TDS charges for numerous incomes in FY 2024-25 – test listAvoid overinvestingOn the flip facet, some taxpayers is likely to be overinvesting to save lots of on taxes. Bills like tuition charges for as much as two kids are eligible for deduction.For these repaying a house mortgage on a self-occupied home, the curiosity is deductible underneath Part 24, whereas the principal portion of the EMI is deductible underneath Part 80C. Moreover, the curiosity earned on NSCs may also be claimed as a deduction. If you add up these deductions, many taxpayers would possibly discover they’ve already surpassed the Rs 1.5 lakh deduction restrict underneath Part 80C. Whereas overinvesting would not essentially end in a loss, it does tie up your capital in investments for 3-5 years.Plan wiselyTax planning is actually a type of monetary planning. It is essential for people to combine tax-saving investments into their total monetary technique. Nonetheless, this integration is simply doable if one rigorously evaluates the usefulness of every monetary product earlier than investing. Deductions like these supplied underneath Part 80C present ample alternatives to deal with gaps in a single’s monetary plan. For instance, spend money on ELSS funds when you want publicity to equities in your portfolio, buy an insurance coverage coverage for all times cowl, contribute to the NPS for retirement financial savings, go for NSCs or mounted deposits when you require funds in 5 years and might’t tolerate dangers, and take into account contributing to the PPF for the steadiness of a long-term mounted revenue possibility. Primarily, your tax-saving investments ought to align together with your long-term funding objectives.Assess long-term commitmentsRefrain from coming into into multi-year monetary commitments with out comprehensively understanding the product and its match inside your monetary plan. Life insurance coverage insurance policies, for example, demand a long-term dedication, and terminating them prematurely can lead to vital losses. Earlier than buying such insurance policies, consider your want for all times insurance coverage protection, your capability to pay premiums for the whole time period, and your willingness to simply accept returns averaging between 5-6%. If choosing a ULIP, guarantee thorough comprehension of all its options, significantly the switching facility that allows changes to the portfolio’s asset combine.ALSO READ | Tax Financial savings for FY 2023-24: 5 various choices past Part 80CDiversify investmentsThe sturdy efficiency of fairness markets has resulted in spectacular returns for ELSS funds over the previous few years. These funds have delivered returns of 37.4% within the final 12 months and an annualized return of 18.1% over the previous three years. Nonetheless, it is necessary to keep in mind that ELSS funds are equity-based, and investing a big sum abruptly in a market which may be overvalued shouldn’t be advisable. If you have to make investments Rs. 50,000-60,000 underneath Part 80C earlier than March 31, take into account allocating solely Rs 15,000-20,000 to ELSS funds and putting the rest in safer choices like PPF, NSCs, or tax-saving FDs. This technique helps diversify your investments and handle danger successfully.Think about tax implicationsIt’s a paradox, however many buyers keen to save lots of on taxes usually overlook the tax implications of their tax-saving investments. Earnings from mounted deposits and NSCs is absolutely taxable, leading to very low post-tax returns. However, positive factors of as much as Rs 1 lakh from ELSS funds are tax-free, whereas positive factors past this threshold are taxed at 10%. Nonetheless, as talked about earlier, investing giant sums without delay in ELSS funds will not be the optimum method.The NPS gives a balanced resolution. Traders can allocate even vital quantities to the debt funds of the pension scheme and declare tax deductions. Subsequently, they will progressively transition to fairness funds, thus having fun with tax advantages whereas managing danger successfully.
Use our free SIP Calculator to estimate your investment returns, visualize compounding, and start building wealth today ā no sign-up required.
Why Use Our SIP Calculator?
Simple Inputs
Just enter your monthly investment, time period, and expected return rate.
Visual Growth Charts
See how your wealth grows month by month with powerful visuals.
Customizable Results
Test different scenarios to find the perfect investment plan for you.
Start Building Wealth Today
Don't wait to take control of your financial future. Let compounding do the work for you.
How I Turned ā¹5,000/month into ā¹6 Lakhs ā My 3-Year SIP Journey
How I Turned ā¹5,000/month into ā¹6 Lakhs ā My 3-Year SIP Journey
In 2020, I was saving ā¹5,000/month with no real strategy. I stumbled into SIPs by chance. Today, that same habit has grown into ā¹6,12,000 ā and taught me 3 major lessons about compounding, patience, and mistakes I wish I avoided earlier.
š What Went Wrong in Year 1
In my first year, I panicked during a market dip and pulled out my SIP investments. That single move cost me potential gains and broke the compounding chain. I learned the hard way that reacting emotionally to market swings is a recipe for regret.
š Lesson Learned: Consistency Beats Timing
Missed rallies by being out of the market
Lost out on rupee cost averaging
Peace of mind improved with automation and discipline
š My Portfolio Before vs After
Before (2020)
Random savings in bank account
No real investment plan
Low returns (2-3% p.a.)
After (2023)
Disciplined SIPs in diverse mutual funds
Portfolio value: ā¹6,12,000
Average returns: 13-15% p.a.
š§ What Iād Do Differently If Starting Again
If I could start over, Iād set up my SIPs and forget about the daily market noise. Iād diversify a bit more, avoid panic-selling, and trust the process. Most importantly, Iād start even earlier ā because time is your biggest ally in compounding.
Start SIPs as early as possible
Stay consistent, ignore short-term volatility
Review portfolio annually, not monthly
Invest for long-term goals, not quick gains
Further NPS deduction of Rs 50000: Tax-saving time is right here. You could have till March 31, 2024, to finalize your tax-saving plans for the 2023-24 monetary 12 months. Should you’re sticking to the previous tax guidelines, there are many deductions and exemptions that will help you save on earnings tax.One frequent tax deduction accessible underneath the previous tax guidelines is Part 80C of the Earnings Tax Act, 1961.It permits people to deduct as much as Rs 1.5 lakh from their taxable earnings every year. To qualify, people should put money into specified avenues like EPF, PPF, ELSS mutual funds, tax-saving FDs, pay tuition charges for his or her kids, or repay dwelling mortgage principal. Investing within the Nationwide Pension System (NPS) additionally falls underneath this deduction restrict of Rs 1.5 lakh.Should you’ve already reached the restrict underneath Part 80C, you may nonetheless get a tax break by investing within the Nationwide Pension System (NPS) underneath a special part of the Earnings Tax Act, states an ET report. This lets you save extra tax on high of the utmost financial savings accessible underneath Part 80C.ALSO READ | PPF, NPS, Sukanya Samriddhi guidelines: Whatās the minimal deposit to be made per monetary 12 months to keep away from penalty or account freezing?How further NPS funding can scale back earnings tax past Part 80CTo perceive how investing in NPS can prevent earnings tax past Part 80C, it is necessary to grasp the next:Part 80CCE: This part of the Earnings Tax Act oversees numerous tax-saving sections, together with 80C, 80CCC, and 80CCD (1). Below Part 80CCE, the overall deductions claimed underneath these sections can not exceed Rs 1.5 lakh in a monetary 12 months.Part 80C: Amongst these sections, Part 80C is well-known, permitting deductions for investments in EPF, PPF, tax-saving FDs, and specified expenditures.Part 80CCC: Deductions underneath Part 80CCC are claimed for investments in specified pension funds provided by life insurance coverage corporations, although it isn’t extensively used.Part 80CCD (1): This part permits deductions for particular person investments in pension schemes notified by the Central authorities, reminiscent of NPS and Atal Pension Yojana. People can declare a deduction of both 10% of their wage earnings or 20% of their gross whole earnings, as much as a most of Rs 1.5 lakh per monetary 12 months.As proven above, investing in NPS qualifies for a deduction underneath Part 80CCD (1), but it surely’s constrained by the general Rs 1.5 lakh restrict set by Part 80CCE. Due to this fact, combining NPS investments with different avenues like these talked about in Sections 80C, 80CCD (1), and 80CCC can not exceed the overall deduction restrict of Rs 1.5 lakh, whatever the invested quantities.How NPS can present an additional deduction of Rs 50,000In addition to the beforehand talked about Part 80CCE, there’s one other vital part within the Earnings Tax Act known as Part 80CCD (1B). Below this part, investments made in NPS may be claimed as deductions, with a most restrict of Rs 50,000.Milin Bakhai, Affiliate Associate, Direct Taxes, N.A. Shah Associates was quoted as saying, āNPS is a voluntary retirement savings plan introduced by the central government. Individual taxpayers get an additional deduction of Rs 50,000 under Section 80CCD(1B), which is over and above the prescribed threshold of Rs 1.5 lakh under Section 80CCE which is available for investment in NPS and also for traditional investments like life insurance policies, tax-saving FDs, ELSS etc.āYou will need to be aware that deductions underneath Part 80C, Part 80CCD (1), and Part 80CCD (1B) are completely relevant underneath the previous tax regime. People selecting the brand new tax regime aren’t eligible to assert these deductions.ALSO READ | New NPS partial withdrawal guidelines: How Nationwide Pension System guidelines work, causes, limits, when to go for them and extra FAQs answeredLet’s take into account an instance as an instance this. Suppose a person, Mr. X, has made the next investments and expenditures in a monetary 12 months:a) Invested Rs 80,000 in EPF.b) Repaid Rs 50,000 in the direction of the principal of a house mortgage.c) Invested Rs 1 lakh in NPS.Based on the earnings tax legal guidelines, Mr. X can declare a Part 80C deduction of Rs 1.3 lakh (Rs 80,000 + Rs 50,000) for his EPF funding and residential mortgage principal reimbursement. Moreover, he can declare a deduction of Rs 20,000 for his NPS funding underneath Part 80CCD (1). Due to this fact, Mr. X can avail a complete deduction of Rs 1.5 lakh (Rs 80,000 + Rs 50,000 + Rs 20,000) utilizing Part 80C and Part 80CCD(1) underneath the umbrella part of Part 80CCE.A further deduction for NPS funding may be claimed underneath Part 80CCD(1B), with a most restrict of Rs 50,000. This deduction is separate from the Rs 1.5 lakh deduction talked about earlier. Due to this fact, for an NPS funding of Rs 1 lakh, Mr. X can declare a complete deduction of Rs 70,000 (Rs 20,000 underneath Part 80CCD (1) + Rs 50,000 underneath Part 80CCD (1B)). Nevertheless, he can not declare a deduction for the remaining Rs 30,000 of the Rs 1 lakh invested in NPS. put money into NPS to assert the extra Rs 50,000 deductionTo declare tax breaks for NPS funding, a person should put money into a Tier-I NPS account underneath their title. Moreover, in accordance with Bakhai, deductions underneath Part 80CCD (1B) can solely be claimed if the Part 80CCE restrict is totally utilized. If there’s any remaining steadiness underneath Part 80CCE (with a restrict of Rs 1.5 lakh), the NPS funding qualifies for deduction underneath Part 80CCD (1), and any remaining steadiness after the restrict is exhausted is eligible for deduction underneath Part 80CCD (1B).Here is an instance to make clear this idea: To illustrate Mr. A invests in EPF, PPF, and repays his dwelling mortgage principal, totaling Rs 1.48 lakh underneath Part 80C. To assert a deduction underneath Part 80CCD (1B), Mr. A invests Rs 50,000 in NPS. Since he hasn’t reached the Rs 1.5 lakh restrict underneath Part 80CCE (combining Part 80CCD (1) and Part 80C), Mr. A should declare Rs 2,000 as a deduction underneath Part 80CCD (1) from the NPS funding of Rs 50,000. The remaining steadiness of Rs 48,000 can then be claimed as a deduction underneath Part 80CCD (1B).Bakhai mentions that each salaried and self-employed taxpayers can declare the extra advantage of Rs 50,000 underneath Part 80CCD (1B).
Use our free SIP Calculator to estimate your investment returns, visualize compounding, and start building wealth today ā no sign-up required.
Why Use Our SIP Calculator?
Simple Inputs
Just enter your monthly investment, time period, and expected return rate.
Visual Growth Charts
See how your wealth grows month by month with powerful visuals.
Customizable Results
Test different scenarios to find the perfect investment plan for you.
Start Building Wealth Today
Don't wait to take control of your financial future. Let compounding do the work for you.
How I Turned ā¹5,000/month into ā¹6 Lakhs ā My 3-Year SIP Journey
How I Turned ā¹5,000/month into ā¹6 Lakhs ā My 3-Year SIP Journey
In 2020, I was saving ā¹5,000/month with no real strategy. I stumbled into SIPs by chance. Today, that same habit has grown into ā¹6,12,000 ā and taught me 3 major lessons about compounding, patience, and mistakes I wish I avoided earlier.
š What Went Wrong in Year 1
In my first year, I panicked during a market dip and pulled out my SIP investments. That single move cost me potential gains and broke the compounding chain. I learned the hard way that reacting emotionally to market swings is a recipe for regret.
š Lesson Learned: Consistency Beats Timing
Missed rallies by being out of the market
Lost out on rupee cost averaging
Peace of mind improved with automation and discipline
š My Portfolio Before vs After
Before (2020)
Random savings in bank account
No real investment plan
Low returns (2-3% p.a.)
After (2023)
Disciplined SIPs in diverse mutual funds
Portfolio value: ā¹6,12,000
Average returns: 13-15% p.a.
š§ What Iād Do Differently If Starting Again
If I could start over, Iād set up my SIPs and forget about the daily market noise. Iād diversify a bit more, avoid panic-selling, and trust the process. Most importantly, Iād start even earlier ā because time is your biggest ally in compounding.
Start SIPs as early as possible
Stay consistent, ignore short-term volatility
Review portfolio annually, not monthly
Invest for long-term goals, not quick gains
New NPS account: The Nationwide Pension System (NPS) is a retirement financial savings scheme regulated by the Pension Fund Regulatory and Growth Authority (PFRDA). It permits people to put money into numerous asset lessons and revel in tax advantages. In case you are excited about opening an NPS account on-line, here’s a step-by-step information.Go to the official web site Go to the official eNPS web site (https://enps. nsdl.com/eNPS/NationalPension-System.html) or the web site of any authorised financial institution or monetary establishment that gives NPS companies to start. Registration course of Click on on ‘registration’ and choose ‘new registration’. You have to to offer your Aadhaar or PAN quantity, cell quantity, and e mail ID. Moreover, you could select one of many three central recordkeeping businesses to take care of your NPS account particulars. As soon as your OTP is validated, fill in your private data.Doc add Subsequent, you’ll be required to add a current {photograph}, signature, and a cancelled cheque or financial institution assertion as proof of your checking account particulars.ALSO READ | Bucket technique: What’s it, how does it work, advantages in retirement planning and moreSelect account kind Then, select the account kind – both Tier I or Tier II, or each. Tier I is the obligatory account with tax advantages however restricted withdrawal choices, whereas Tier II is the voluntary account with extra flexibility however no tax advantages.Select your fund supervisor Additionally, you will want to pick out a pension fund supervisor who will make investments your funds in numerous asset lessons. There are a number of fund managers obtainable so that you can select from. Contribution and activation Then, make an preliminary contribution of a minimum of Rs 500 for Tier I or Rs 1,000 for Tier II. When you make the contribution, you’ll obtain a 12-digit Everlasting Retirement Account Quantity (PRAN). To confirm your id and activate the NPS account, full the e-sign or OTP-based authentication course of.With inputs from Centre for Funding Training and Studying content material which appeared in Financial Instances
