Close
Close

Buy a Life Insurance Plan in a few clicks

Now you can buy life insurance plan online.

Kotak Guaranteed Fortune Builder

A plan that offers guaranteed income for your future goals. Know more

Kotak e-Term

Protect your family's financial future. 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 life cover. Know more

Kotak e-Invest

Insurance and Investment in one plan. Know more

Kotak Lifetime Income Plan

Retirement years are the golden years of life. 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 wealth through a savings plan?

Do you desire to accumulate wealth creation that will last throughout your life and that you can leave to your loved ones after your demise? Most people have this desire, but they rarely fulfil it. When they are older, they lament the opportunities they mi

  • Jan 13, 2023
  • 3,317 Views

    Key takeaways

    Sticking to three fundamental actions can help you accumulate a wealth creation plan over time.

  • Earning enough money to take care of your fundamental necessities while still having enough left over for savings is the first step.
  • Managing your spending is the second stage to optimise your savings.
  • The third step is to invest your money in various assets so that it is sufficiently diversified over the long term.

Most of the time, when we dream, we dream large! There are numerous things we want in life, from a beach house, a BMW to a piece of land on the moon. But then we conclude that achieving such wealth creation in our lifetimes is unachievable, and we gradually begin to give up on our aspirations.

Money can’t be generated overnight, it’s true, but with frequent and disciplined investing, it is possible to accumulate wealth creation over time.

Here are 7 wealth creation tips for working on if you want to achieve lifetime financial independence and a more secure future:

Create a Financial Safety Net

It is not enough for wealth creation plans to calculate anticipated costs, like child’s education or retirement. You must budget for unforeseen costs like automobile trouble and home repairs. Create an emergency reserve that is equal to three months’ worth of income.

Streamline Your Cash Flow

While money is coming in, it is also going out. Controlling your expenditures and keeping an eye on your cash flow can do wonders for what money can accomplish for you. Create a net worth statement, maintain a family budget, and evaluate it each month.

Safeguard Your Greatest Asset – You

Your earning potential is your most valuable asset. At all costs, you must keep doing that. Get life insurance in case you pass away suddenly. But that is not always sufficient. For financial security, you must also obtain critical illness coverage to cater for emergencies where you are not able to work.

Settle Your Inefficient Debts

Deal with unproductive debts like credit card balances head-on. Spending much money on interest each month stems from using credit cards frequently for purchases. Instead of putting money into the pockets of credit card companies, you could invest it in long-term projects.

Invest at Least 10% of Your Monthly Income

After saving at least 10% of your monthly income in long-term investments, adjust your lifestyle to the remaining 90% of that amount.

Create a well-diversified portfolio of several asset types for wealth creation, ideally one that also produces passive income. Strong investment alternatives include bonds, shares in companies that provide dividends, and rental income. Also, put a lot of money into annuities.

Plan Your Legacy

The creation of wealth that endures long after your death would be the finishing touch. Your net worth statement can help you create a will so that the assets you’ve gathered over your lifetime pass to the beneficiaries of your choice.

Frugality is the Key

If something is desired, a sacrifice must be made. Cut back on your reliance on eating out, make fewer online purchases, or go on vacation every two years rather than annually. The additional funds you can save will amaze you.

Conclusion

Rome, as the cliché goes, was not created in a day. This also holds true for the process of wealth creation.

However, if you are consistent with your saving and investing methods and adhere to a few basic investment guidelines. In that case, you can accumulate enough wealth creation over time to lead a comfortable life. Even though schemes to become rich quickly occasionally may seem alluring, the tried-and-true method of accumulating wealth creation is via consistent saving and investing and patiently waiting for that money to grow over time. Starting little is acceptable. The most crucial thing is to begin.

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

What is indirect tax and its types?

9 Income Tax Myths That Could Cost You Money While Filing Returns

E-Filing vs. Offline Filing: Choosing the Right Approach for Seamless ITR Submission

Post Office Savings Scheme - All You Need to Know

Ways to Deal With Financial Emergencies

What is Form 16A?

What is Form 26AS - All You Need To Know

Different Types of Endowment Plans

Budget 2023 – Impact on Life Insurance sector.

What Is Advance Tax and How Is It Calculated?

Ways to Maximize your Gains from ULIP

TDS rules on the sale of jointly owned property

All you need to know About Tax on Inheritance

Understanding Tax Exemptions in ULIP (Old and New)

Section 80G of the Income Tax Act

Invest for your second innings with a guaranteed savings plan

What is capital gains tax, and how it works?

What is Section 80C - Explained in Detail

Income Tax Exemption for Physically Handicapped under Section 80DD

How to create a savings plan and make good investment choices

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

Tax Benefit of Investing in Term Plan

What Investment Options Come with Tax Incentives?

ITR 1: Sahaj Form

Section 80C Deductions as per Income Tax Act, 1961

All You Need to Know About Section 80C

ITR 2 Form – Complete Guide

What are the Different Types of Taxes in India?

All you need to know about National Pension System (NPS) and its tax benefits

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

धारा 80सी आयकर अधिनियम, 1961

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

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

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

Top 8 Tax-Saving Methods in India- Budget Planning

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

What is the TDS Rate on Salary?

How to Link Aadhaar to Your PAN?

How to Check Income Tax Returns Status Onine?

E-Filing of Income Tax Returns in India

How to Save Income Tax with Insurance Policy

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

Home Investment Plan to Buy Dream Home

What is Form 16B?

Difference Between Guaranteed and Assured Returns

Do Beneficiaries Pay Taxes on Life Insurance?

How To Save Tax Better with 80C

All about TDS on Salary under Section 192 – Kotak Life

What is the Maximum Maturity Benefit in Assured Savings Plans?

Things to Do After Filing Income Tax Returns

How Much Money This Budget 2019 Can Help You Save

Plan your Daughter's Wedding With Best Monthly Savings Plan

What is Section 80CCC of the Income Tax Act 1961

What are the Various Income Tax Benefits for Doctors?

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

What is presumptive taxation and how it is beneficial for small businesses, professionals?

स्रोत पर कर कटौती के बारे में सब कुछ

Tax Obligations for Freelancers and Gig Economy Professionals in India

Lesser-Known Tax Deductions That Could Lower Your Tax Burden

Importance of Savings Plan You Need to Know

Tax-Free Income Sources in India – Overview

Tax Planning and Tax Benefits of Life Insurance

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

Steps to Claim TDS Refunds

How to Download Form 16?

Income Tax Deduction Under Section 80CCC In India

Difference between Section 80C and 80CCC of the Income Tax Act, 1961

Saving Plans to Give Children a Debt-free College Education

Income Tax Exemption for Disabled

Income Tax Deductions for Disabled Persons Under Section 80U

What is Section 80C Deduction?

How to Save Income Tax on Your Salary Arrears?

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

How to Calculate returns on an assured savings plan?

Why is Form 16 Important?

इनकम टैक्स रिटर्न कैसे फाइल करें?

How can NRIs prevent double taxation in India?

Income Tax Deductions & Exemptions under Sections 80C, 80D & 80DDB for FY 2023-24 & 2024-25

How to File Income Tax Return for First Time Tax Payers

प्रत्यक्ष कर और अप्रत्यक्ष कर में क्या अंतर है?

How to Check Income Tax Refund Status Online in India

Why PAN Card is Essential for Income Tax Filing?

Key Changes of the Union Budget 2023 You Must Know

TDS Due Dates of FY 2022-23 For Return Filing

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

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

Section 80E: Tax Exemption on Interest on Education Loan

Why Tax Planning Should Be an All-year Round Activity

Difference Between Gross Income & Total Income in Calculating Income Tax

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

Money Saving Tips for Single Women

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

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

Things to Know Before Buying an Endowment Plan

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

Benefits of GST on Household Appliances, Phones & Daily Consumer Goods

What is TDS Slab?

आयकर रिटर्न (आईटीआर) फॉर्म के प्रकार

Should You File ITR Even Without Taxable Income?

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

Tax Season is Coming- Know How to Save Tax

Highlights of the Union Budget 2023-24

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

Income Tax Filing Using Multiple Form 16

Deductions Under Section 80C, 80CCC, 80CCD and 80D

How to Pay Advance Tax Online in India

All about TDS Payment Online & Due Dates

आयकर स्लैब 2021-2022

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

Income Tax Effects on Salary Deductions in the Union Budget 2023

Tips to plan your savings in 2023

Problems People Face with Tax Returns after a Job Change

How to File Form 16 for Salaried Employees?

Financial Planning and Best investment options for Housewives

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

Income Tax Deductions Under Section 80C

5 Popular Tax-Saving Schemes in India

Validation Rules Issued by Income Tax India for ITR 1 / ITR 2 and ITR 4 for AY 2024-25

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

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

What is a savings plan?

Guide for Tax Calculation on your Salary

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

धारा 80डी आयकर अधिनियम, 1961

Tax-Savings Investments and Options in India

What is Form 16, Form 16 part A, Form 16 part B, Information Required and FAQs

Are Financial Planning and Tax Planning the Same Thing?

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

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

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

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

Prefilled Data for ITR Forms 1 and 4

Types of Income Tax Return (ITR) Forms

How to e-file ITR on Income Tax Government Portal?

Why January Is an Important Month for Saving Tax?

How to Get Form 16?

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

Income Tax Slab for Women in India

How to Save Income Tax for FY 2023-24

Challan 280 - How to Pay Your Income Tax Online with Challan 280?

Difference Between Guaranteed Savings Plan and Guaranteed Income Plan

What is Section 10D of the Income Tax Act?

Tax Exemption and Scope of Coverage

What is Tax Deduction at Source (TDS)?

Do NRIs have to pay tax on PF withdrawal?

Saving Income tax in 2017 - 18

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

A Complete Guide for Filing ITR 3 Form

Who Should Invest in Savings Plan?

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

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

How Does an Endowment Plan Work?

Difference Between Form 16 and Form 16A

TDS Return Due Dates, Payment Due Dates & Late Filing Penalty

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

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

Understanding GST on Life Insurance Premium: Key Insights

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

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

What is better - Guaranteed Savings Plan or Fixed Deposit?

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

Do Long-term Investments in Saving Plans Ensure Better Returns?

Here's How to Boost Your Savings with Guaranteed Results

How To Save Tax Using Life Insurance?

Tax Benefits of ULIP Plans Available for NRIs

7 Tax Saving Options for Salaried Employees

Tax Benefits for Startups in India

How to Claim a Tax Refund?

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

What is Section 80C Deduction Limit?

How to View 26AS and Download Form 26AS Online

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

What is an Endowment Plan?

All You Need To Know About Assured Savings Plan

Income Tax Slabs and Rates in India for FY 2023-24/AY 2024-25

How can I get Form 16B from traces?

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

Tax Deductions You MUST Know

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

Tax Exemption on Life Insurance Premium Over ₹5 Lakhs & Union Budget 2023

Complete Savings Plan for Low Income Earners

How to File Income Tax Return without Form 16

IT Returns for NRI in India – Kotak Life

What are Direct Taxes? How to Avoid being Overtaxed?

List of Important Income Tax FAQs in India

What is the difference between TDS and TCS?

3 Tips to Buy Guaranteed Savings Plan

Tax Structure in India

ITR-6: Step-by-Step Guide to Fill ITR-6 Form Online

How to save tax for salaried person?

What are Deferred Savings Plans?

All about Online Income Tax Calculator

Tax Planning Tips for a Newly Married Couple

Threshold Limit for TDS Under Income Tax Act

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

Endowment Plan – Why Parents Must Invest In It?

Tax Saving Options other than Section 80C

Guaranteed Savings Plan, Online Insurance Plan

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

12 Things to Help You Select a Savings Investment Plan

What is the Difference Direct Tax and Indirect Tax

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

Tax Saving for Self Employed in India

A Comprehensive Guide to Understand the ITR 7 Form

Best Savings plan for the middle class in India

Investment Proofs You Need Submit to Lower TDS Cut from Your Salary

How to File ITR Online

What is ITR & How to File Income Tax Return?

Easy ways to make personal savings plans

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

Navigating the New Tax Regime for Senior Citizens

How to File TDS Return?

Budget 2019: Impact on the Common Man in India

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

Investing Lump Sum Amount

How to Check Income Tax Refund Status Online in India

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

How Inflation Affects Savings and Investment?

9 Point Guide on how to File Income Tax Return Online