Titles related to investment and tax saving:

Every year when the time comes to pay tax, most people worry about how to save tax? These are the top tax saving investments , which


1. ELSS (Equity Linked Savings Scheme)

What is ELSS?

ELSS is a mutual fund scheme that invests primarily in the equity market. It is taxable under section 80C

Why invest in ELSS?

• 3 years lock-in period (lowest)
• High return potential (up to 10-12%)
• Tax benefits + wealth creation
• Can also invest through SIP

2. Public Provident Fund (PPF)

What is PPF?

PPF is a safe investment scheme backed by the Government of India, in which you invest for 15 years . It also gives tax exemption under section 80C .

https://medium.com/@charleskerren/quantum-computing-the-next-frontier-of-computing-79d03499eefe

https://medium.com/@charleskerren/blockchain-beyond-cryptocurrency-real-world-applications-752358760d99

https://medium.com/@globalinfosuport56/augmented-reality-and-virtual-reality-changing-how-we-interact-8ac719ba67eb

Why invest in PPF?

• Government Guarantee - Risk free
• Interest rate - around 7.1%
• Completely tax free returns
• Safe long term investment

3. Sukanya Samriddhi Yojana (SSY)

What is SSY?

If you have a daughter, then this scheme is best for her future. It also provides tax exemption under section 80C .

Why invest in SSY?

• High interest rate - around 8%
• Useful for daughter's education and marriage
• Completely tax free returns
• Creates good funds in the long term

4. National Savings Certificate (NSC)

What is NSC?

This is also a safe investment which gives good interest over a period of 5 years and provides tax exemption under section 80C .

Why invest in NSC?

• Government backed scheme
• 6.8% interest rate
• Suitable for small investors
• Tax benefits

5. Life Insurance Policy

Why is life insurance necessary?

Life insurance is very important not only for saving tax but also for the safety of the family. The premium of insurance policies is exempted under section 80C and the maturity amount is also tax free (with certain conditions).

Which policy to choose?

• Term Insurance (Low premium, high protection)
• Endowment Policy (Insurance + Savings)
• ULIP (Insurance + Investment)

6. Employee Provident Fund (EPF)

What is EPF?

If you are employed, EPF is deducted from your salary. This also gives tax exemption under 80C and a good fund is created after retirement.

Why is EPF beneficial?

• Government security
• Interest rate - 8.15% (currently)
• Completely tax free returns
• Builds a large fund in the long term

7. Health Insurance

What is Health Insurance?

Health insurance is tax exempt under section 80D . If you take health insurance for yourself, family and parents, you can get a deduction of up to Rs 75,000.

Why is health insurance necessary?

• Healthcare Expenses Protection
• Tax exemption
• Financial Security
• Cashless treatment in major hospitals

8. NPS (National Pension System)

What is NPS?

NPS is a retirement plan in which you invest during your working life and get pension after retirement. It is eligible for deduction under section 80C and 80CCD(1B) .

Why choose NPS?

• Additional tax exemption of Rs 50,000
• Long term fund creation
• Government scheme, safe investment
• Pension benefits

What precautions should be taken in tax saving?

• Do not invest only to save tax, plan according to your needs and goals
. • Understand the returns, lock-in period and risk factor.
• Create a balanced portfolio like ELSS and PPF – so that you get both returns and protection
. • It will also be beneficial to take advice from a financial advisor.

Final Words (Conclusion)

Tax saving is not just a one year planning, but it is a part of long term financial planning . By choosing the right investment, you can save tax and also create a good fund for the future.

If you like this information, then definitely share it with your friends and family.
Do you need details about any specific investment scheme? Comment and tell us!

Comments

Post a Comment

Popular posts from this blog

Which is the best tax saving scheme?

Image
In today's time, every person wants to save as much as possible from his hard-earned money. If you choose the right tax saving scheme, then along with saving tax, you can also create a good fund for your future. In this blog, we will tell you about the best tax saving plans , so that you can choose the right plan according to your needs. 1. Public Provident Fund (PPF) – The Safest Scheme Tax exemption: Up to ₹1.5 lakh under section 80C Interest Rate: Around 7.1% (fixed by the government) Lock-in period: 15 years Risk: Absolutely safe (Guaranteed by Government) Why choose us? Safe and long term savings plan Investment, interest and maturity amount – all three are tax free Partial withdrawal can be done after 7 years 2. Equity Linked Savings Scheme (ELSS) – Highest Returning Scheme Tax exemption: Up to ₹1.5 lakh under section 80C Interest Rate: 12-15% (on average) Lock-in period: 3 years Risk: Depends on the stock market Why choose us? Lowest lock-in period (only 3 years) Hig...
Read more

How to recover a forgotten Gmail password?

Image
Nowadays almost everyone uses Gmail. Apart from sending and receiving emails, access to YouTube, Google Drive, Google Photos and other services is also available through Gmail account. But sometimes people forget their password, which makes it difficult to login to the account. If you have also forgotten your Gmail password, then there is no need to worry. Google has provided many easy methods for password recovery. In this blog, we will tell you step-by-step how you can recover your forgotten Gmail password. 1. What to do if you forgot Gmail password? If you forgot your Gmail password, you can recover it through mobile number, backup email or security questions . Google gives you the option to change the password, so that you can set a new password. For this you have to go to Google Account Recovery page and follow the instructions given there. 2. How to recover Gmail password Step 1: Open the Google Account Recovery page First of all go to Google Account Recovery page . Enter your G...
Read more

What is two-factor authentication?

Image
The Protection of Your Digital Life with Two-Factor Authentication (2FA) Taking proactive measures to protect our online accounts is crucial in today's increasingly digital environment, when our private information is always in danger. A strong security feature that provides an additional degree of protection, two-factor authentication (2FA) makes it much more difficult for unauthorized users to access your accounts.  Two-factor authentication: what is it? Two forms of identification are needed to confirm your identity as part of the 2FA security process. This implies that a second factor is still required to access your account even if someone knows your password. You may have something, know something, or be something as this second aspect.  Typical 2FA Techniques 1. TOTP, or time-based one-time password: How it operates: Every 30 seconds, a unique code is generated via a time-based code generator software on your phone, such as Authy or Google Authenticator.  Benefits ...
Read more