There are limits to human memory and attention and it is not difficult to miss basic steps in a task. Therefore, a checklist can be extremely useful. A checklist breaks down a complex task into a series of steps. You can follow the steps as mentioned in the checklist (READ-DO checklist) or you can confirm that the steps mentioned in the checklist have been followed … [Read more...] about The Financial Checklist
Financial Planning
HDFC Life Pension Guaranteed Plan Vs. LIC Jeevan Shanti
Annuities are simple products. You pay a lump sum amount to the insurance company and the insurance company guarantees you an income stream for life. These plans have a few variants too. You can go with or without the return of the purchase price. You can choose where your spouse continues to receive the pension after you. You can select immediate annuity or deferred annuity … [Read more...] about HDFC Life Pension Guaranteed Plan Vs. LIC Jeevan Shanti
What went wrong with LIC Jeevan Saral?
LIC Jeevan Saral has been in the news lately for all the wrong reasons. The Supreme Court dismissed public interest litigation (PIL) filed by Money Life Foundation requesting the recall of LIC Jeevan Saral policy. By the way, the PIL was dismissed because SC opined that the Money Life foundation has no locus standi in this matter. While the last word is yet to be written in … [Read more...] about What went wrong with LIC Jeevan Saral?
Tax Benefit for Electric Car Loans under Sec 80EEB: What are the real tax savings?
The Union Budget 2019 brought good news if you were planning to purchase an electric bike or car on loan. A new section 80EEB was introduced to provide deduction up to Rs 1.5 lacs on the interest paid on electric vehicle loans. Car loans are medium value and short (or medium) term loans. Given this peculiarity about car loans, how much tax savings does this section really … [Read more...] about Tax Benefit for Electric Car Loans under Sec 80EEB: What are the real tax savings?
New Life Insurance Rules: Lower Sum Assured in ULIPs, Better returns but Higher tax
IRDA, the insurance regulator, announced a few changes to product structures of life insurance plans through its latest regulations on Linked and non-linked life insurance products. ULIPs are linked products while traditional insurance plans are non-linked products. Here are some of the prominent changes. #1 Minimum Sum Assured goes down in ULIPs As per IRDA Linked … [Read more...] about New Life Insurance Rules: Lower Sum Assured in ULIPs, Better returns but Higher tax
NPS: Your Employer offers to contribute, Should you sign up?
Tax incentives for NPS have gotten better and better over the last few years. In 2018, NPS almost became an EEE product. Almost. The entire lump sum withdrawal at the time of retirement (60 years) became exempt from tax. The same was notified in Union Budget 2019 too. In my previous posts on NPS, I have solely focussed on if and how much you must invest in NPS. Here is my … [Read more...] about NPS: Your Employer offers to contribute, Should you sign up?
Final Budget 2019: Taxes for the Rich, Benefits for Buyers of Homes, Electric Vehicles
The Finance Minister presented the final budget for FY2019-2020 on July 5, 2019. Here are the key highlights of the budget. Income Tax slabs unchanged; Surcharge increased for the rich There has been no change in the income tax slabs. There is a sharp increase in surcharge for those earning more than Rs 2 crores. We must understand the impact of the surcharge … [Read more...] about Final Budget 2019: Taxes for the Rich, Benefits for Buyers of Homes, Electric Vehicles
Liquid Funds to have exit load and will now be a bit volatile
SEBI, in June 2019, made a few changes to investment guidelines and valuation of securities in debt mutual funds. These changes enhance credit and liquidity profile of the liquid funds. At the same time, these changes can make liquid funds a bit volatile. Let’s try to understand the new SEBI rules. #1 Liquid funds are now required to hold 20% in liquid … [Read more...] about Liquid Funds to have exit load and will now be a bit volatile
5 Financial Habits that can ruin your Financial Life
Avoiding bad financial decisions is as important as making good ones, but what influences you to make such good or bad financial decisions? Your decisions are a reflection of your financial habits i.e. a reflection of who you are as an investor and as a person. In this post, we will look at 5 financial habits that you can affect your financial lives adversely. #1 Think more and … [Read more...] about 5 Financial Habits that can ruin your Financial Life
Planning to Retire early? A few things to keep in mind
Who does not want to retire early? No bosses to report to. No need to slog or worry about Monday blues. Sounds interesting, doesn’t it? By the way, an early retirement does not mean that you will simply sit around and do nothing. It is about the freedom to do what you want to do without affecting the lifestyle you desire. That may mean no work or engaging in something … [Read more...] about Planning to Retire early? A few things to keep in mind
