I am 21 years old.I am investing in ‘Atal Pension Yojana’ scheme of Central Govt. Is this decision of mine correct? Should I make any other investments for my future?
Sathya Murthy, Email.
Thinking about the money you will need after retirement at such a young age is amazingly young! This project is a good project. But, this is not enough.
39 more years until you turn 60. Taking fifteen years as a generation, it is a bit difficult to predict what the economy will look like after two generations.
Masal Dosa, which sells for Rs 120 today, may cost Rs 450 in 40 years. It is not known whether rice and wheat will be available that day. Let’s just eat seaweed or something!
See if you can save 50 percent of your income. Invest in all types of stocks, mutual funds, ETFs, gold.
Invest to earn at least 10 percent growth, excluding income tax and inflation. Whatever the future holds, it can be dealt with.
My annual CDC is Rs 4.25 lakh. How much will the income tax be? Is there any income tax deduction if I take life insurance?
Ajay, Whatsapp.
If no investment is made, the income tax can be up to almost 50 thousand rupees. Investing in not only life insurance but also health insurance and tax saving mutual fund schemes can reduce income tax.
Tax saving is also indirect future planning. Likewise, protection against future risk. Don’t look at it short-term.
For example, save in a scheme like ‘National Pension Scheme’. An additional tax deduction of up to Rs 50,000 can be availed on NPS savings.
At the same time, in the long term, it will grow exponentially. Insurance is for unforeseen risks. And approach it with a long-term perspective.
We are building a house on our two acre garden. Is it possible to get a home loan?
Jyotimani, Avinasi.
generously. Every major bank lends as home construction loan. The loan amount will be determined based on the value of your land, your income and the income of other family members. Loans are available for up to 30 years. The interest rate starts from 8.60 percent.
If there is no hurdle in the land deed, go to public sector banks and ask for a loan. Wherever you get a loan, read and understand the fine print documents patiently and sign them.
Can I invest in government gold bond for long term investment?
R. Matangi, WhatsApp.
Feel free to do so. Gold has fallen to Rs 1,000 a bar since January. Invest not only in government gold bonds but also in gold exchange traded funds.
As the price of gold rises, you reap the benefits of that growth. A gold bond earns 2.5 percent interest every half year.
Look at it this way, keep gold as a part of your various investments. When the economy is good, the price of gold does not go up much.
Now that there is talk of recession all over the world, gold is on everyone’s lips. Now its price will also increase. Invest 10-15 percent of your total investment in various forms of gold.
I am 93 years old. Pensioner. My wife is also a pensioner. disappeared. I am getting ‘Family Pension’. Do I have to pay income tax on that amount?
Vaidyanathan, WhatsApp.
What is ‘Family Pension’ and what is it coming to you? It will be counted as your income. Perhaps if your total income is sufficient to pay income tax, family pension will be added to it. Income tax should be paid keeping that in mind.
I have a ‘demat account’. There is also 50 thousand rupees. Which stock to invest in?
A. Sebastien, email.
For the past couple of months, the stock market has been reeling. There are no strong reasons for the rise. Not enough fear of collapse. By the end of this financial year, every company will show its annual total revenue.
Show expenses and net profit. Then whichever sector you like, plan and invest according to the growth opportunity of that sector.
To name the companies, I am not a SEBI registered investment advisor.
Readers, you can send your financial queries through ‘e—mail’ and ‘whats app’.
A thousand doubts
It can also be sent by post to our office address 39, Dinamalar, White’s Road, Chennai – 600 014. Ask the questions briefly in Tamil.
R. Venkatesh,
ph:98410 53881
Subscribe Dinamalar channel for new news