Buy a Life Insurance Plan in a few clicks

Now you can buy life insurance plan online.

Kotak e-Term

Protect Your family’s financial future with Kotak e-Term. Know more

Kotak Assured Savings Plan

A plan that offer guaranteed returns and financial protection for your family. Know more

Kotak Guaranteed Savings Plan

A plan that offers long term savings and insurance in one premium. Know more

Kotak e-Invest

Insurance and investment in one plan with Kotak e-Invest. Know more

Kotak Lifetime Income Plan

Retirement years are the golden years of life. Know more


Get a Call

Enter your contact details below and we will get in touch with you at the earliest.

  • Select your Query

Thank you

Our representative will get in touch with you at the earliest.

8 Things to Help You Select a Savings Investment plan

Savings Investment plan is important in order to achieve your short-term and long-term goals. Click here to know the factors involved while selecting a money saving plan on Kotak Life!

  • Jun 20, 2019

To achieve your short-term and long-term goals, it is important to invest in a savings plan. You can choose from various schemes and instruments available in India. However, it is important to carry out thorough market research and understand the features of the plan before making a decision.

Here are 8 factors that will help you choose the right savings plan for your financial needs.

Savings plans help you earn good returns over the long term. These plans can help you prepare for achieving life goals, save for that dream car or a destination wedding. Well, the last one might be too much, but why not? The right investments can help you achieve financial goals at the right time.

Now, if you are tempted to get one right away, hold your horses. You can keep the following factors in mind before choosing a savings investment plan that is best for you.

Your goals

Set long-term and short-term financial goals. It will bring in a lot of clarity and help you choose the right investment plan. Your goals will help you decide on the plan you need to buy. The process might sound tedious now, but it will pay later.

You can keep looking for a plan that helps you achieve your short and long-term goals. Prioritize these goals, and you will know what you need to do next. But wait, now that you have the goals in place, let’s go to the next step.

The balance between risk and reward

Now that you know that you want to buy a house or that dream car let’s help you go ahead and judge the risk and rewards.

When you choose an investment product, you need to invest very carefully and maintain a balance between the risk and reward associated with the same. Consider your risk appetite when you choose a plan. Risk appetite determines your ability to invest in taking financial risks. For example, if you are willing to invest more for more returns without hurting your financial stability, your risk appetite is high. If you have many financial commitments and cannot afford to lose money, you have a low-risk appetite.


Your savings plan should have adequate liquidity to satisfy your needs. You need to ensure that the plan provides funds to you in times of emergency. Consider your liquidity requirement before you choose a plan. For example, if you cannot withdraw funds in the case of an emergency, the aim of investing is lost.

If you are looking for short-term goals, liquidity should be your first factor to consider.

Understand the tax deduction offered

When you make a savings investment, consider the tax benefit offered by the investment product. Various investment products, such as life insurance and health insurance, offer a tax benefit. Investing in such products will not only reduce your tax amount but will also protect you in case of a medical emergency.

Look out for the diversity aspect

Your money-saving plan should not be restricted to one investment product. You will have to diversify your investment to reduce the risk associated with the same. Consider all the investment options which serve your purpose and diversify the investment. One of the major reasons to diversify your investments is that they help in coping up with market crashes and recession-type situations.

Performance of the plan

It is important to review your portfolio at least once a year in order to make necessary changes as and when required. Once you make an investment, you should not simply forget about the same. Review the portfolio regularly and then take necessary action to maximize your profits.

Check the charges

You should keep inflation in mind while investing in a savings plan. If the inflation is lower than the rates of return offered by the investment plan you choose, invest in it now. Real wealth would be produced by the investment. There won’t be any genuine wealth growth or capital accumulation if the inflation rate exceeds the rate of return.

Terms and conditions

This is a very important thing to remember when you buy a plan. Ask all the necessary questions before choosing a plan. Investment plans are complex as there are various terms and conditions attached to them. Hence, buy a plan only when you are well aware of what it is offering. Clear your doubts about the plan before you put your money into it.

Making an investment requires market research and an understanding of different plans. To make the right investment decision, you need to consider your financial goals and then look at the available alternatives for you. Making the right investment will help your wealth grow over a period of time.


1. What are investment funds offered under the Investment Plan?

Well-known investing alternatives include mutual funds, the Public Provident Fund, corporate and government bonds, exchange-traded funds, and the National Pension Scheme. The returns offered, level of risk, tenure, taxation, and whether the returns are guaranteed or market-linked are all different for each of them.

2.What is the safest investment with the highest return?

  • High-yield savings accounts
  • Short-term certificates of deposit
  • Money market funds
  • Corporate bonds
  • Dividend-paying stocks

3.What is Risk Appetite?

Risk appetite is the amount of risk that a company is willing to take on in order to achieve its goals before taking steps to lessen the risk. It represents a balance between the threats that change invariably brings and the possible rewards of innovation.

4.When should you consider liquidity while choosing a savings plan?

When investing, liquidity is crucial to access the capital you accumulate. You may become cash-poor if all of your assets are invested in long-term or highly illiquid securities. Your ability to invest money into a new investment opportunity may be considerably reduced as a result.

5.What to look for when choosing a savings account?

Here are five things to consider while choosing the right savings plan

  • Interest rate
  • Fees and charges
  • Accessing your money
  • Opening deposit
  • Government guarantee

Download Brochure


  • Increasing Life Cover*
  • Guaranteed^ Maturity Benefits
  • Enhanced Protection Through Riders
  • Tax Benefits
  • Dual Benefits: Guaranteed^Maturity + Death benefits

Ref. No. KLI/22-23/E-BB/999


Download Brochure


  • Enhanced Protection Through Riders
  • Life Cover
  • Tax Savings
  • Multiple Premium Payment Terms
  • Guaranteed @ Loyalty Addion
  • Accrued Guaranteed @ Additions

Ref. No. KLI/22-23/E-BB/490


- A Consumer Education Initiative series by Kotak Life

Similar Articles

Tax Saving for Self Employed in India

What is Form 16B?

Challan 280 - How to Use Challan 280 to Pay Income Tax

What is Section 80C Deduction Limit?

Received an Income Tax Notice? Your Guide to Understanding Intimations under Section 143 (1)

Income Tax Filing Using Multiple Form 16

What is the Difference Direct Tax and Indirect Tax

Post Office Savings Scheme - All You Need to Know

Should one prefer a guaranteed savings plan over monthly income schemes?

Why Tax Planning Should Be an All-year Round Activity

Presumptive Taxation for Business and Profession

Section 80D - Medical and Health Insurance Tax Benefits Under Section 80D

How to Claim a Tax Refund?

Understanding Tax Exemptions in ULIP (Old and New)

sections Under Section 80C of the Income Tax Act, 1961

Tax-Savings Investments and Options in India

What is Section 80C - Explained in Detail

Complete Savings Plan for Low Income Earners

What is Section 195 of the Income Tax Act? TDS on Non-Residents of India

Problems People Face with Tax Returns after a Job Change

Guide for Tax Calculation on your Salary

How to e file ITR on Income Tax Government Portal

Penalty For Late Filing TDS Return

धारा 80डी आयकर अधिनियम, 1961

Tax Deductions You MUST Know

Section 10 (10d) of Income Tax Act, 1961 on Payouts of Life Insurance Policy

What is a savings plan?

What is TDS Slab?

Income Tax Benefits for Doctors

Invest in Tax-Free Bonds: Understanding the Benefits and Who can Invest?

All you need to know About Tax on Inheritance

How to Get Form 16?

Tax Saving Options for Salaried Employees

Tax Benefit of Investing in Term Plan

What are the Different Types of Taxes in India?

Interest Imposed Under Sections 234A, 234B and 234C

Income Tax Calculator: How Life Insurance Policies are Taxed? Explained

A Comprehensive Guide to Understand the ITR 7 Form

Difference between Section 80C, 80CCC, 80CCD & 80D

How to Save Income Tax with Insurance

प्रत्यक्ष कर और अप्रत्यक्ष कर में क्या अंतर है?

What is Form 16A?

What is the difference between TDS and TCS?

Tax Exemption and Scope of Coverage

Income Tax Deduction Under Section 80CCC In India

ITR-6: Guide to filing ITR-6 Form online

Basics of Guaranteed Savings Plan

इनकम टैक्स रिटर्न कैसे फाइल करें?

Difference Between Guaranteed Savings Plan and Guaranteed Income Plan

How to create a savings plan and make good investment choices

How to File Income Tax Return for First Time Tax Payers

Easy ways to make personal savings plans

Types of Income Tax Return (ITR) Forms

9 Unusual Investments you Didn't Know for Saving Taxes in India

Section 16 of the Income Tax Act (ITA), 1961

What is Form 26AS - All You Need To Know

Difference Between Guaranteed and Assured Returns

Understand ITR4 Form: How to Fill, Structure & Determine Your Eligibility

How to Pay Advance Tax Online in India

सुकन्या समृद्धि योजना (SSY) के कर लाभ क्या हैं?

Union Budget 2023: Impact on Life Insurance

Financial Planning and Best investment options for Housewives

How to file Form 16 online?

Personal Finance - How to Deal with Emergencies When Preparing Finances

आयकर स्लैब 2021-2022

Best Savings plan for the middle class in India

Budget 2019: Impact on the Common Man in India

How to Check Income Tax Refund Status Online in India

What is Section 80CCC of the Income Tax Act 1961

What is HRA (House Rent Allowance) and How is HRA Exemption Calculated?

How To Save Tax Better with 80C

What is an Endowment Plan?

All about TDS Payment Online & Due Dates

Guaranteed Return Plans-Why is it a must for you?

All about TDS on Salary under Section 192 – Kotak Life

How to File Income Tax Return without Form 16

Should you prefer a Guaranteed Savings plan over monthly income schemes?

How to save tax for salaried person?

How to File Income Tax Return - Everything You Need to Know

Insurance and Endowment: Everything You Need to Know!

What is the Difference between Assessment Year (AY) and Financial Year (FY)?

What is EEE in income tax? 5 tax-free investment options to become crorepat

Section 80G of the Income Tax Act

Are Financial Planning and Tax Planning the Same Thing?

Form 16, Form 16A, and Form 16B?

Tax Saving Guide for 2019-20

Is PF Withdrawal Taxable for NRI?

Save Income Tax by 31st March: Here Is a Checklist

Types of Riders in Insurance Policy

Saving Plans to Give Children a Debt-free College Education

How to Check Income Tax Refund Status Online in India

How to File ITR Online

Plan your Daughter's Wedding With Best Monthly Savings Plan

Top 8 Tax-Saving Methods in India- Budget Planning

How Inflation Affects Savings and Investment?

TDS rules on the sale of jointly owned property

Tax-Free Income in India

How to Boost Your Savings with Guaranteed Results

प्रधानमंत्री सुरक्षा बीमा योजना

Section 80E: Tax Exemption on Interest on Education Loan

What is Tax Evasion, and What are the Penalties for Tax Evasion in India?

Tax Saving Tips: Best Ways to Save Income Tax for 2021

What are Direct Taxes? How to Avoid being Overtaxed?

स्रोत पर कर कटौती (टीडीएस) क्या है?

What is the Difference between Form 16 and Form 16A?

What Investment Options Come with Tax Incentives?

52 Weeks Savings Plan: Daily Savings Plans for a Better Tomorrow

Income Tax Exemption for Disabled

A Complete Guide for Filing ITR 3 Form

LTC Cash Voucher Scheme October 2020 – Everything You Need to Know

Things to Do After Filing Income Tax Returns

How to Check Income Tax Returns Status Onine?

What To Do If Your TDS Is Not Deposited With The Government?

What is the Maximum Maturity Benefit in Assured Savings Plans?

What is Tax Deduction at Source (TDS)?

Tax Planning Tips for a Newly Married Couple

ITR 1: Sahaj Form

How To Invest In Guaranteed Return Plans For Higher Returns And Financial Security?

What are Deferred Savings Plans?

What is the Percentage of Tax Deducted at Source (TDS)?

How to Download Form 16?

What is ITR & How to File Income Tax Return?

How can I get Form 16B from traces?

Why January Is an Important Month for Saving Tax?

12 Tax Changes in Budget 2022 that May Impact Your Personal Financial Planning

How to File Form 10E for Tax Relief on Salary Arrears?

Income Tax Deductions & Exemptions under Sections 80C, 80D & 80DDB for FY 2021-22 & 2022-23

E-Filing of Income Tax Returns in India

Union Budget 2023 and Tax Exemptions on Life Insurance Premium Over ₹5 Lakhs

List of Important Income Tax FAQs

Income Tax Deductions Under Section 80C

What is the TDS Rate on Salary?

Tax Benefits for Startups in India

How to Calculate returns on an assured savings plan?

What is Rule 132 of Income Tax? How Does it Affect You?

What is Section 80C Deduction?

What is TDS Refund Process?

How to E-Verify ITR: A Step-by-Step Guide to Electronically Verify your Income Tax Return

ITR 2 Form – Complete Guide

9 Income Tax Myths That Could Cost You Money while Filing returns

Importance of Savings Plan You Need to Know

How to File TDS Return?

What is better - Guaranteed Savings Plan or Fixed Deposit?

Section 80C Deductions as per Income Tax Act, 1961

Highlights of the Union Budget 2023-24

What is the Last ITR Filing Date and Penalty for Late Filing of ITR?

How Much Money This Budget 2019 Can Help You Save

धारा 80सी आयकर अधिनियम, 1961

How can NRIs prevent double taxation in India?

Tax Saving Options other than Section 80C

Pradhan Mantri Suraksha Bima Yojana

Income Tax Slabs and Rates in India for FY 2021-22/AY 2022-23

भारत में महिलाओं के लिए सरकारी योजना

Tips to plan your savings in 2022

How much gold can you keep at home? Limits and income tax rules explained

What is indirect tax and its types?

A Guide to Life Insurance Policy’s Tax Benefits and Taxability

How To Save Tax Using Life Insurance?

All You Need To Know About Assured Savings Plan

Maximize Your Savings: Tax Tips for Salaries Above ₹20 Lakhs

Do Beneficiaries Pay Taxes on Life Insurance?

Investment Proofs You Need Submit To Lower TDS Cut From Your Salary

How to create wealth through a savings plan?

Saving Income tax in 2017 - 18

What is TDS (Tax Collected at Source)? A comprehensive guide

What is ITR 5 Form and How to File ITR 5?

Everything You Need to Know About Tax Benefits of National Pension Scheme (NPS)

Income Tax Filing For NRI in India

5 Popular Tax-Saving Schemes in India

Money Saving Tips for Single Women

Section 44AD of Income Tax Act for AY 2021-22

What Is Advance Tax and How Is It Calculated?

हाउस रेंट अलाउंस क्या है और इसके छूट की गणना कैसे की जाती है?

3 Tips to Buy Guaranteed Savings Plan

All You Need to Know About Section 80C

Investing Lump Sum Amount

Tax Season is Coming- Know How to Save Tax

Income Tax Exemption for Physically Handicapped Dependent

Impact of GST on Life Insurance in India

Who Should Invest In Savings Plan

What is Section 10D of the Income Tax Act?

How Should I Allocate A Monthly Savings Plan For Long-Term Benefits?

How to Save Tax on Salary Arrears?

Tax Planning and Tax Benefits of Life Insurance

Key Changes of the Union Budget 2023 You Must Know

Home Investment Plan to Buy Dream Home

Difference Between Gross Income & Total Income in Calculating Income Tax

आयकर रिटर्न (आईटीआर) फॉर्म के प्रकार

Why PAN Card is Essential for Income Tax Filing?

How to View 26AS and Download Form 26AS Online?

When Should TDS be Deducted and Who is Liable to Deduct it?

What is Salary Protection Insurance and Why You Need It

Financial Benefits and Government Schemes Every Woman in India Should Know

How Do Assured Savings Plans Work and Why You Should Consider One?

Income Tax Deductions for Disabled Persons Under Section 80U

What is TDS Exemption Limit?

Tax Benefits of ULIP Plans Available for NRIs

How to View 26AS and Download Form 26AS Online

How to File Form 16 for Salaried Employees?

Tax Structure in India

Why is Form 16 Important?

TDS Due Dates of FY 2022-23 For Return Filing

Have You Considered Term Insurance a Part of Your Tax Planning?

Tax Rate Chart for FY 2022-2023: What is TDS Slab?

Personal Finance - Meaning, Importance, and Tips for Personal Finance

What is capital gains tax, and how it works?

Income Tax Effects on Salary Deductions in the Union Budget 2023