Close
Close

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

Close

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.

How to create a savings plan and make good investment choices

This blog post aims to throw light on Financial Planning and Investment model. It introduces you to various critical aspects of financial assistance and how one can choose the best tax saving and investment plan for themselves.

  • Jan 13, 2023
  • 2,774 Views

    Key takeaways

    Some of the best savings plans

  • Public Provident Fund (PPF)
  • National Savings Certificate (NSC)
  • Senior Citizens’ Saving Scheme (SCSS)
  • Post Office Schemes and Deposits

What is Financial Planning?

Financial planning is integral to one’s life and aims to ensure that the household has the requisite resources and income to meet current and future requirements and expenses. The usual household activities and routine expenses are woven around the regular income. However, not all days are the same. Some unexpected expenses may arise in future, high-value future needs, medical emergencies that require an enormous amount, and a need for funding expenses when the income slows down or completely stops, as in retirement.

Need for Financial Advisory Services

The first and foremost step towards making a good investment is that you should have a fair share of knowledge about it and who can help better than the financial advisors themselves. Primarily a financial adviser links the range of financial products and services considering the specific needs and situation of the client. Not every service would benefit you, and hence the experts help you select the best savings investment plan in your interest. In addition, they help you understand the dynamics of financial products and services.

  • Personal financial management requires time and utmost attention, which we lack due to the rush and monotony of life.
  • Expertise in finance and maths and allocation of assets in the best plan.
  • Selecting the right investment products requires extensive research, and the capability to compare, evaluate and analyse various products enables making an efficient choice from competing options.
  • Asset allocation is a technical approach to managing money that requires evaluating and monitoring asset classes and modifying weights to each asset periodically.

Investment and Saving Plans

Choosing the best savings plan for wealth management is an area of concern for everyone in any income group. While saving money is crucial for future financial security, relying totally on savings does not make sense. Instead, opting for the top savings investment plans in India is one of the best ways to make your money grow over the year and create a better and more secure future for you and your family.

Your savings today can decide the stability of your family in the coming times. At the same time, consider diversifying your portfolio and investing in some of the best investment options giving maximum returns associated with minimum risks. Betterment lies in your choice.

Listed below are some of the best Savings Investment Plans

Small Saving Instruments

India’s government has instituted several small saving schemes to help and encourage investors to save regularly. Most people interested in investments are attracted to these schemes as they provide you with the government’s implicit guarantee, which is the borrower.

Savings schemes currently offered by the government are-

  • Public Provident Fund (PPF)

PPF was instituted in 1968 and came with the objective of a long-term benefit option to those individuals who may not be covered by provident funds of their employers or may be self-employed. PPF is affiliated with the government of India and offers security with attractive interest brackets and returns that are fully exempted from tax. It is a 15-year bank account that allows you much flexibility with the investment amount.

  • National Savings Certificate (NSC)

NSCs are bonds issued by the government for a specific period and pay interest. They can be bought from a post office and are usually held until maturity. NSC offers you a handsome sum of interest up to 8.5% on your savings, and it also guarantees assured returns to the investors investing for 5 to 10 years.

  • Senior Citizens’ Saving Scheme (SCSS)

Only senior citizens of 60 years or above can open an account with the Senior Citizens Saving Scheme. Evidence of age and a photograph of the account holder are required. In the case of an individual retiring on superannuation, under VRS or unique VRS, the age is reduced to 55 years. The retired personnel of Defense Services, excluding Civilian Defense Employees, shall be eligible irrespective of age limit. The term for the scheme is five-year, and the maximum investment limit of investment one can make is ₹15 lakhs. The interest rate is 9.2% p.a., payable quarterly. An annualized equivalent is 9.53% p.a. assuming the interest component is re-invested. SCSS is considered one of the best savings investment plans for the security of the elderly.

  • Post Office Schemes and Deposits

Post Office Monthly Income Scheme (POMIS)

As the name suggests, this is a short term scheme that lasts for a term of 5 years that provides a regular monthly income to the depositors.

Post Office Time Deposits (POTD)

POTD is an investment savings account scheme offered by the department of post, wherein a depositor wants to deposit a lump sum of money for a fixed tenure of five years, which is tax saving.

Conclusion

Concluding, proper and resourceful financial planning is required for a better future. Each investor has a different investment goal, risk appetite and return expectations, so one should be well-researched about their investment decisions. Only your lifelong investments and savings will provide you with financial security and stability in the darkest times; hence make the best choice.

Download Brochure

Features

  • 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

T&C

Download Brochure

Features

  • 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

T&C

- A Consumer Education Initiative series by Kotak Life

Similar Articles

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

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

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

Financial Benefits and Government Schemes Every Woman in India Should Know

Budget 2019: Impact on the Common Man in India

How to Claim a Tax Refund?

Tax Benefit of Investing in Term Plan

Saving Plans to Give Children a Debt-free College Education

What is Section 80CCC of the Income Tax Act 1961

Tax Planning Tips for a Newly Married Couple

What is Section 10D of the Income Tax Act?

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

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

आयकर रिटर्न (आईटीआर) फॉर्म के प्रकार

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

How to Save Tax on Salary Arrears?

What is the Difference Direct Tax and Indirect Tax

How to File Income Tax Return without Form 16

How Inflation Affects Savings and Investment?

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

Union Budget 2023: Impact on Life Insurance

Tax-Free Income in India

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

Income Tax Benefits for Doctors

Insurance and Endowment: Everything You Need to Know!

All You Need to Know About Section 80C

All about TDS Payment Online & Due Dates

आयकर स्लैब 2021-2022

Plan your Daughter's Wedding With Best Monthly Savings Plan

Tax Planning and Tax Benefits of Life Insurance

प्रत्यक्ष कर और अप्रत्यक्ष कर में क्या अंतर है?

Things to Do After Filing Income Tax Returns

Home Investment Plan to Buy Dream Home

Income-Tax Liability- The Difference Between Gross Income & Total Income in Calculating Income Tax

Types of Riders in Insurance Policy

Income Tax Deductions for Disabled Persons Under Section 80U

Importance of Savings Plan You Need to Know

Section 80E: Tax Exemption on Interest on Education Loan

How to File Income Tax Return for First Time Tax Payers

What is Section 80C - Explained in Detail

All you need to know About Tax on Inheritance

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

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

Best Savings plan for the middle class in India

What is Tax Deduction at Source (TDS)?

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

What is indirect tax and its types?

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

How to View 26AS and Download Form 26AS Online

Easy ways to make personal savings plans

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

How to e-Verify your Income Tax Return

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

How To Save Tax Better with 80C

Why Tax Planning Should Be an All-year Round Activity

Complete Savings Plan for Low Income Earners

How to Check Income Tax Refund Status Online in India

What is Form 26AS - All You Need To Know

भारत में महिलाओं के लिए सरकारी योजना

Section 80C Deductions as per Income Tax Act, 1961

Tax Structure in India

धारा 80सी आयकर अधिनियम, 1961

A Complete Guide for Filing ITR 3 Form

What is Section 80C Deduction Limit?

How to Calculate returns on an assured savings plan?

What is Salary Protection Insurance and Why You Need It

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

How to save tax for salaried person?

What is the TDS Rate on Salary?

Post Office Savings Scheme - All You Need to Know

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

Are Financial Planning and Tax Planning the Same Thing?

Section 80G of the Income Tax Act

Saving Income tax in 2017 - 18

What is TDS Slab?

Why is Form 16 Important?

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

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

Guide for Tax Calculation on your Salary

How can NRIs prevent double taxation in India?

What are Direct Taxes? How to Avoid being Overtaxed?

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

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

What Is Advance Tax and How Is It Calculated?

A Comprehensive Guide to Understand the ITR 7 Form

इनकम टैक्स रिटर्न कैसे फाइल करें?

5 Popular Tax-Saving Schemes in India

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

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

धारा 80डी आयकर अधिनियम, 1961

Do Beneficiaries Pay Taxes on Life Insurance?

Investing Lump Sum Amount

What is Form 16A?

All You Need To Know About Assured Savings Plan

How to Save Income Tax with Insurance

Problems People Face with Tax Returns after a Job Change

Income Tax Filing Using Multiple Form 16

How to File TDS Return?

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

Income Tax Deductions Under Section 80C

Highlights of the Union Budget 2023-24

3 Tips to Buy Guaranteed Savings Plan

Difference Between Guaranteed Savings Plan and Guaranteed Income Plan

Tax Benefits of ULIP Plans Available for NRIs

What is a savings plan?

How to Boost Your Savings with Guaranteed Results

What is TDS Exemption Limit?

What Investment Options Come with Tax Incentives?

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

Income Tax Filing For NRI in India

How to File ITR Online

Money Saving Tips for Single Women

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

List of Important Income Tax FAQs

How Much Money This Budget 2019 Can Help You Save

What is Section 80C Deduction?

What are the Different Types of Taxes in India?

Can You Get Term Insurance Without Income Proof?

What is the Maximum Maturity Benefit in Assured Savings Plans?

Why PAN Card is Essential for Income Tax Filing?

Income Tax Exemption for Disabled

What are Deferred Savings Plans?

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

Tax Saving Options for Salaried Employees

Penalty For Late Filing TDS Return

How to Download Form 16?

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

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

Tax Exemption and Scope of Coverage

Who Should Invest In Savings Plan

8 Things to Help You Select a Savings Investment plan

How to Pay Advance Tax Online in India

ITR 1: Sahaj Form

How to file Form 16 online?

What is TDS Refund Process?

Tax Season is Coming- Know How to Save Tax

What is Form 16B?

Tax Saving Options other than Section 80C

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

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

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

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

What is ITR & How to File Income Tax Return?

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

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

How to e file ITR on Income Tax Government Portal

E-Filing of Income Tax Returns in India

How to File Form 16 for Salaried Employees?

How to Check Income Tax Refund Status Online in India

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

Pradhan Mantri Suraksha Bima Yojana

Tax Deductions You MUST Know

What is capital gains tax, and how it works?

Tax Benefits for Startups in India

ITR 2 Form – Complete Guide

TDS Due Dates of FY 2022-23 For Return Filing

Why January Is an Important Month for Saving Tax?

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

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

Understanding Tax Exemptions in ULIP (Old and New)

Tax-Savings Investments and Options in India

Income Tax Deduction Under Section 80CCC In India

Financial Planning and Best investment options for Housewives

Types of Income Tax Return (ITR) Forms

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

All about TDS on Salary under Section 192 – Kotak Life

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

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

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

Difference Between Guaranteed and Assured Returns

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

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

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

Income Tax Exemption for Physically Handicapped Dependent

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

How to create wealth through a savings plan?

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

TDS rules on the sale of jointly owned property

How To Save Tax Using Life Insurance?

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

What is the difference between TDS and TCS?

What is Tax Evasion and What Are The Penalties For Tax Evasion In India?

How to Check Income Tax Returns Status Onine?

Tax Saving for Self Employed in India

Tips to plan your savings in 2022

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

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

Presumptive Taxation for Business and Profession

Impact of GST on Life Insurance in India

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

Tax Saving Guide for 2019-20

How can I get Form 16B from traces?

Is PF Withdrawal Taxable for NRI?

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

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

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

Top 8 Tax-Saving Methods in India- Budget Planning

How to Get Form 16?

Basics of Guaranteed Savings Plan