Hi! Required to know how to proceed rightly to invest money to secure the future liabilities (child education/retirement/car/home). Working in merchant navy 33 yr old married earning 1.5+ L/m avg; son – 1 yr old. Invested in FD (2017) – 1L, Mutual fund SIP- ICICI value discovery fund G – 6000 (2016)/Birla Pure value fund G -5000(2018)/lumpsump UTI focussed equity fund – 50,000 (2018). taken 1 Cr term plan/mediclaim for family -5L (parents not covered). Please suggest considering the occupational risk and early retirement from profession switching to shore after 5 yrs (may/not be). looking to buy home+car in coming 2-3 yrs. No loans yet! Accidental Insurance Rs.? BB-2.5L remains (2018)
Hard to guide and do the whole financial planning with mere few lines of your sharing.
There are several products which will help you to build your financial corpus. One of the instrument is NPS. National Pension System (NPS) is a pension scheme launched by Govt. of India and is regulated by PFRDA
The Benefits of Investing in NPS Scheme:
• Regulated by PFRDA
• Employer Contribution: Deduction up to 10% of salary (Basic + DA) from taxable income u/s 80 CCD(2). This is over and above the limits u/s 80 CCE.
• Employee Contribution: Deduction up to 10% of salary (basic+ DA) within overall ceiling Rs.1.50 Lakh u/s 80 CCE.
• Voluntary Contribution: Deduction up to Rs.50,000 u/s 80 CCD(1B) from taxable income for additional contribution to NPS.
• Low and Transparent Cost Structure
• Choice of Pension Funds for Investment
• Two Account Options – Tier I and Tier II
• Various services such as Missed call service, SMS and email alert, IVR access, Email statement for all transactions
• Access your NPS Investment through Mobile App
• 24 x 7 online NPS login available
• Exemption on Partial Withdrawal
• Diversification of Funds
The disadvantages of Investing in National Pension System (NPS) are:
• Portion of Withdrawal Taxable
• Low Returns on Annuity Plans
• Return on Investment Not Guaranteed