Monday, 31 December 2012
Friday, 28 December 2012
Monday, 17 December 2012
7 New Year Financial Resolution
7 - New Year Financial Resolution :-
1. I will Insure my Family & Property: - We work hard to earn, now is the time to protect your family & properties you owned, buying a medical for any medical disaster. Make sure its adequately insured.
2. Emergency money Planning:- A very commonly given financial advice, but not so commonly implemented across. generally, 6 to 8 months monthly total expenses/spending(total expense include all expenses including loans and credit cards payments, household bills etc.,)
3. Pay off your debts/ loans :- Make a plan for which debts to pay first. You must pay everyone something every month even if it's only a rupee, but you need to have one debt that you are going to get rid of first. Target the one(s) with the highest interest rate. Also, call them and ask them to reduce your interest rate - many times they will do this, just because you asked! Review your finances thoroughly, crunch the numbers, and see which method would be the most effective for your situation.
4. Start Early for Child Education & Marriage: - Kids grow quickly, so as their need, To ensure the financial comfort of your family as long as you are around and even after, you can designed an easy plan that stays with you for life.
5. Early Plan for Retirement: - its never too easy to plan for retirement, it takes years to build the kitty on which one can easily depend upon monthly income. Early start of investment will give you more money than starting a year after.
6. Create a Will :- Earning, Investing & Creating Wealth for your family. After all these, one should create a will to ensure, everything you created is protected for your loved ones.
7. Make an Appointment With a Financial Advisor:- Let a professional take care of your financials, take an expert advice on your Financial Goals & create your financial path for future.
- Manan Mankad
m2(money.manage)
mananmankad@gmail.com
Saturday, 10 November 2012
Wishing You A Very Happy Diwali & A Prosperous New Year
Dear Readers,
Wishing You A Very Happy Diwali & A Prosperous New Year.
Manan Mankad
Monday, 8 October 2012
Wednesday, 1 August 2012
Monday, 30 July 2012
Monday, 16 April 2012
RBI Policy: EMI Cut on Cards
RBI Policy:
- Repo cut by 50 points after 13 times rate hike.
- CRR & SLR Unchanged.
- No PrePayment Charges & No closure
charges on Floating Loans
- EMI for Loan Will get reduce soon.
Monday, 26 March 2012
Interest rates on post office-operated schemes like MIS, PPF up by up to 0.5%
NEW DELHI: The government today raised interest rates on post office-operated small savings like Monthly Income Scheme (MIS) and Public Provident Fund (PPF) by up to 0.5 per cent, making them more attractive to investors.
Interest rates on time deposits of one and two years have been increased by 0.5 per cent each to 8.2 per cent and 8.3 per cent respectively, while rates for popular MIS has been hiked by 0.3 per cent to 8.5 per cent, an official release said.
Interest rate on PPF has been increased by 0.2 per cent to 8.8 per cent.
The new rates will be effective from April 1, 2012 and will remain valid during 2012-13.
There has been no change in the savings deposit rate which has been retained at 4 per cent.
Interest rate for three-year time deposits has been increased from 8 per cent to 8.4 per cent. Similarly, interest rate on five-year time deposit has been raised from 8.3 per cent to and 8.5 per cent.
The five-year recurring deposits will fetch an interest of 8.4 per cent as against 8 per cent at present.
The rate for senior citizens savings scheme (SCSS) has been hiked to 9.3 per cent from 9 per cent.
The National Savings Certificates (NSC) having maturity of five and ten years will now attract 8.6 per cent and 8.9 per cent, respectively, up 0.2 per cent each.
The hike in interest rates on small savings schemes is based on the recommendations of the Shyamala Gopinath Committee which had suggested linking of interest rates on small savings with that of the market.
The panel had also suggested that the interest rates on small savings schemes should be revised annually.
The revision in the interest rates will help in maintaining the attractiveness of the small savings schemes vis-a-vis fixed deposit schemes operated by banks.
The government as part of economic liberalisation process had freed the interest rates on banks deposits giving freedom to lenders to fix rates depending upon the asset-liability position, but continued to fix rates for small savings schemes.
Pursuant to the recommendations of the Gopinath Committee, the government had also introduced the National Savings Scheme (NSC) with a 10-year maturity to attract long-term funds. It will now yield a return of 8.9 per cent.
The government had earlier raised annual investment ceiling in PPF savings to Rs 1 lakh from Rs 70,000. The PPF scheme has now been made more attractive and will provide a return of 8.8 per cent.
Article source :- http://economictimes.indiatimes.com/personal-finance/savings-centre/savings-news/interest-rates-on-post-office-operated-schemes-like-mis-ppf-up-by-up-to-0-5/articleshow/12416491.cms
Interest rates on time deposits of one and two years have been increased by 0.5 per cent each to 8.2 per cent and 8.3 per cent respectively, while rates for popular MIS has been hiked by 0.3 per cent to 8.5 per cent, an official release said.
Interest rate on PPF has been increased by 0.2 per cent to 8.8 per cent.
The new rates will be effective from April 1, 2012 and will remain valid during 2012-13.
There has been no change in the savings deposit rate which has been retained at 4 per cent.
Interest rate for three-year time deposits has been increased from 8 per cent to 8.4 per cent. Similarly, interest rate on five-year time deposit has been raised from 8.3 per cent to and 8.5 per cent.
The five-year recurring deposits will fetch an interest of 8.4 per cent as against 8 per cent at present.
The rate for senior citizens savings scheme (SCSS) has been hiked to 9.3 per cent from 9 per cent.
The National Savings Certificates (NSC) having maturity of five and ten years will now attract 8.6 per cent and 8.9 per cent, respectively, up 0.2 per cent each.
The hike in interest rates on small savings schemes is based on the recommendations of the Shyamala Gopinath Committee which had suggested linking of interest rates on small savings with that of the market.
The panel had also suggested that the interest rates on small savings schemes should be revised annually.
The revision in the interest rates will help in maintaining the attractiveness of the small savings schemes vis-a-vis fixed deposit schemes operated by banks.
The government as part of economic liberalisation process had freed the interest rates on banks deposits giving freedom to lenders to fix rates depending upon the asset-liability position, but continued to fix rates for small savings schemes.
Pursuant to the recommendations of the Gopinath Committee, the government had also introduced the National Savings Scheme (NSC) with a 10-year maturity to attract long-term funds. It will now yield a return of 8.9 per cent.
The government had earlier raised annual investment ceiling in PPF savings to Rs 1 lakh from Rs 70,000. The PPF scheme has now been made more attractive and will provide a return of 8.8 per cent.
Article source :- http://economictimes.indiatimes.com/personal-finance/savings-centre/savings-news/interest-rates-on-post-office-operated-schemes-like-mis-ppf-up-by-up-to-0-5/articleshow/12416491.cms
originally posted by Economic Times
Thursday, 22 March 2012
After 1 April, get your cheque encashed within three months
From 1 April, the validity of cheques would be reduced from six months to three months. In other words, you would need to en cash a cheque within three months or it would become invalid. So if you get your dividends or other payments through a cheque, make sure you get it processed as soon as possible. The Reserve Bank of India (RBI) notified this on 23 November 2011.
Friday, 16 March 2012
Budget 2012
Excise duty for large cars raised from 22% to 24%
- Standard excise duty hiked to 12%
- Corporate tax rate structure left untouched
Monday, 30 January 2012
Investment limit on infrastructure bonds may rise to Rs 50,000
Investment limit on infrastructure bonds may rise to Rs 50,000
NEW DELHI: The government is considering more than doubling the investment limit in infrastructure bonds eligible for tax rebates as part of a strategy to provide a funding boost to a vital sector while having a beneficial effect across the economy.
Officials told ET the finance ministry's department of economic affairs, as part of its suggestions for the 2012-13 budget, had proposed raising the investment limit in these bonds to Rs 50,000 from Rs 20,000 now. The revenue department is expected to take a final decision after weighing expected economic gains against short-term revenue losses.
Source :- Economic Times
- Manan Mankad
Read Personal Financial Article on : www.mananmankad.blogspot.com
follow us on twitter : www.twitter.com/mananmankad
Like us on Face Book : http://www.facebook.com/financialplanningawareness
Wednesday, 25 January 2012
Why you should hold policies in e-form
In an era where the business world is increasingly moving towards paperless transactions, the insurance sector does not seem to have kept pace. At least in certain aspects, that is. For instance, even in this digital age, life insurance policyholders are required to preserve the policy document issued over a period of 15-20 years, that is, the entire policy tenure.
Of course, you can always ask for a duplicate copy by calling up your agent or insurer , but wouldn't it be easier if you could simply maintain it in the electronic form? After all, investors have had the comfort of holding equity shares in dematerialised form for a long time. In case of mutual funds too, you are not required to produce a physical proof of your mutual fund investments for trading and redemption purposes.
Of course, you can always ask for a duplicate copy by calling up your agent or insurer , but wouldn't it be easier if you could simply maintain it in the electronic form? After all, investors have had the comfort of holding equity shares in dematerialised form for a long time. In case of mutual funds too, you are not required to produce a physical proof of your mutual fund investments for trading and redemption purposes.
ENTER DEMAT POLICIES
Realising the need to put in place similar infrastructure for insurance policies too, the Insurance Regulatory and Development Authority (Irda) issued guidelines last year for converting them into electronic form. It is expected to become operational by April 2012.
To begin with, only life insurance policies - including pension plans - can be dematerialised, but the regulator plans to extend the same to health and motor policies, going forward.
So far, the insurance regulator has given an in-principle approval to NSDL, CDSL, Karvy, CAMS and STCI to function as insurance repositories . These repositories will maintain basic information about policyholders and their dependents or nominees, along with the records of any claims made or loans taken against the policies.
SIGNING UP FOR E-INSURANCE
If you intend to convert your life policies into the demat form, you will have to open an e-insurance account , which is a one-time process. "They can either approach any of the insurance repositories to open an account or submit an account opening form along with the proposal for insurance cover to the insurance provider," explains Jayant Dua, managing director and CEO, Birla Sun Life Insurance. In case of new policies, the insurer will forward it to the approved repositories set up specifically to facilitate the process.
You will need to submit your identity and address proofs for the purpose. "Once the policy is issued , it will arrange to share the policy details with the insurance repository who in turn will update it to the customer's insurance account ," adds Dua. Those with a policy can open an account by themselves by submitting the policy conversion request along with the policy document to the repository .
While the insurance company will not levy any charges, you may have to pay a fee to the repositories . In case of new as well as old policies , the repository will intimate the policyholder after the account is opened and updations are made. You can view all these details by logging in to your e-insurance account using the log-in ID and password provided by the repository.
CONVENIENCE AMPLIFIED
Many feel that e-insurance can do to the insurance space what dematerialisation of equity shares did to the capital markets. "The biggest advantage is the convenience it offers. Policy documents can be maintained in electronic form, eliminating the need to make efforts to preserve them," says G Nageshwar Rao, CEO, IDBI Federal Life.
Moreover, if you have an account, you needn't go through the KYC compliance procedure every time you buy a policy. If you own multiple policies, all of them will be reflected in a single account and thus keeping track will become easier.
If you intend to convert your life policies into the demat form, you will have to open an e-insurance account , which is a one-time process. "They can either approach any of the insurance repositories to open an account or submit an account opening form along with the proposal for insurance cover to the insurance provider," explains Jayant Dua, managing director and CEO, Birla Sun Life Insurance. In case of new policies, the insurer will forward it to the approved repositories set up specifically to facilitate the process.
You will need to submit your identity and address proofs for the purpose. "Once the policy is issued , it will arrange to share the policy details with the insurance repository who in turn will update it to the customer's insurance account ," adds Dua. Those with a policy can open an account by themselves by submitting the policy conversion request along with the policy document to the repository .
While the insurance company will not levy any charges, you may have to pay a fee to the repositories . In case of new as well as old policies , the repository will intimate the policyholder after the account is opened and updations are made. You can view all these details by logging in to your e-insurance account using the log-in ID and password provided by the repository.
CONVENIENCE AMPLIFIED
Many feel that e-insurance can do to the insurance space what dematerialisation of equity shares did to the capital markets. "The biggest advantage is the convenience it offers. Policy documents can be maintained in electronic form, eliminating the need to make efforts to preserve them," says G Nageshwar Rao, CEO, IDBI Federal Life.
Moreover, if you have an account, you needn't go through the KYC compliance procedure every time you buy a policy. If you own multiple policies, all of them will be reflected in a single account and thus keeping track will become easier.
SOURCE :- Article Originally Posted By ECONOMIC TIMES -
Tuesday, 24 January 2012
Sec 80C - Tax Saving Bank Fixed Deposit
Option for 5 Year TaxSaving Bank Fixed Deposit
Happy Investing !!!
1. 5 Year Lock In Period of FD, hence no withdrawal will be allowed.
2. The interest rates for this scheme will be vary for each bank.
3. Min Amount – Rs. 100, Maximum is 1 Lac for Tax Saving every Financial Year
4. Available with Banks only – Not allowed under Company deposit schemes
6. No Overdraft is allowed
7. Not allowed for Pledging under Loan Against Securities.
8. Interest earned from this deposit will be added to your income (tax payable) on the same.
Happy Investing !!!
Monday, 23 January 2012
CRR CUT BY 50 BPS 24th January,2012
CRR Cut by 50 Bps, Immediate 36,000 Crore Liquidity in the system.
The Reserve Bank of India (RBI) has left its key policy rates unchanged in its third quarter monetary policy (October-December). The central bank has cut cash reserve ratio (CRR) by 50 basis points (bps).
RBI has hiked the policy rates 13 times since March 2010. The market was expecting no rate hike.
Friday, 20 January 2012
Monday, 9 January 2012
80 CCF (Tax Benefit Upto Rs. 6180) LONG TERM INFRASTRUCTURE BONDS
Finance Minister in Union Budget had introduced a new section 80CCF under the Income Tax Act, 1961 that provide income tax deduction of Rs. 20,000 in addition to Rs 1 Lakh available under other provisions for claiming tax deductions for investments made in the Long Term Infrastructure Bonds that are notified by the central government.
This announcement will boost the infrastructure projects in India. The deduction can be claimed by individuals or HUFs for the investments made in subscribing the long term infrastructure bonds
Which Long-term Infrastructure Bonds eligible for tax deduction?
As per the notification given by the central government, the bonds issued by following entities are eligible to subscribe as long term infrastructure bonds and eligible for a deduction under new section 80CCF
Industrial Finance Corporation of India (IFCI), Life Insurance Corporation of India (LIC), Infrastructure Development Finance Company (IDFC) and Non-Banking Finance Company (NBFCs) who are classified as an infrastructure finance company by the Reserve Bank of India (RBI).
Benefits of Tax savings for Long Term Infrastructure Bonds
Any investment in long term infrastructure bonds up to Rs. 20,000 is eligible for tax deduction from the taxable income. This means for an individual falling under 30% tax bracket will effectively save Rs 6,180 and a lower tax bracket individual of 10% will save tax up to Rs 2,060.
Lock-in period and Yield of the bond
These long term infrastructure bonds will be available for tenure of minimum 10 years and the lock-in period of 5 years. It means investors can not exit from the bonds before 5 years and after 5 years they have an option to exit in the secondary market or via buyback offer given by the issuer. Investors can also pledge the bonds in some specified banks to obtain the loan against the bonds only after completing the lock-in period.
Yields of the long term infrastructure bonds and other detailed terms and conditions are specified by the issuers at the time of launch on the respective bonds. However, the important thing to note is the yield will not be higher than the yield of government securities of corresponding residual maturity schemes.
Who are Eligible Investors?Only Resident Individual (Major) and HUF can invest in these bonds.
Any tax saving investment is always welcomed by tax payer however before investing such tools it is wise to check the returns from the investment over the long term period.
To Conclude
Friday, 6 January 2012
Subscribe to:
Posts (Atom)