Skip to main content

How to make Rs 1 crore through Insurance Plan?

 

Are you aspiring to develop a retirement corpus of Rs 1 crore in a period of 15 years but worried about your investment capacity? Do not worry. There are potential ways through which you can reach your target without any difficulty.

The only thing you have to ensure is that you are able to invest Rs 5 lakh every year for a period of at least 7 years. Yes, you do not have to invest for all the 15 years. Just invest Rs 35 lakh spread over 7 years and then reap the benefits after 15 years.

How to go about it?

There are some certain insurance plans which can help you achieve this magic number of Rs 1 crore. Let's discuss those plans here.

HDFC Life's Classic Assure Plan is one of the best plans which can help you reach your goals in a hassle free manner. Just keep paying the premium amount of Rs 5 lakh every year and you can expect a pay back of Rs 1 crore after 15 years.

 

We are assuming that your premium investment yields returns to the tune of 12 per cent a year. This is the average rate of return and if the returns go higher, you may end up achieving much more that Rs 1 crore.

For instance, if your insurance plan is able to generate returns of 15 per cent a year, then you can get a corpus of Rs 1.30 crore in the same period. That's the power of compounding returns. A slight upsurge can bring you great benefits.

Given the investment scenario in the Indian market, the coming years are going to be promising ones and there are possibilities that your investments bring far superior returns.

Meanwhile, during the policy premium payment period, you can claim tax benefit of up to Rs 1.5 lakh under section 80C of the Income Tax Act. That means, if your annual income falls under the bracket of 20 per cent, you will straightaway save Rs 30,000 of tax every year.

If the tax bracket is 30 per cent, then this benefit will go up to Rs 45,000 a year. When you multiply this tax saving by 7 years, which is your premium payment term, the total comes anywhere from Rs 2.10 lakh to Rs 3.15 lakh.

There are several other benefits attached to the Classic Assure Plan. Of course, since it is a life insurance plan, you will get a 'sum insured' value of Rs 25 lakh and death benefits of around Rs 50 lakh.

What are the other options?

If you wish to reduce the period of pay out, then you have one more option which is a good one. HDFC Personal Pension Plan is the plan which can bring you Rs 1 crore in a period of 10 years. Just that you have to pay the same amount of Rs 5 lakh for 10 years. That means when you pay Rs 50 lakh spread over a period of 10 years, then you can receive an amount of Rs 1 crore.

 

Are there any further advantages?

The above plans make a great proposition given the fact that you do not have to do anything. Just invest and get returns after a certain time period. It is unlike stock markets or mutual funds where you have to keep an eye over your investments.

If the stock market is going bad, you have to exit from the market at the right time. But with the aforementioned insurance plans, you do not have to worry about the market movements.

That's the kind of peace and smooth ride you can expect. Plus there are benefits attached to life insurance.

These plans bring a complete package for you. You are able to secure your retirement plus your family's financial profile in case you go through a severe incident of death. The plans help you fulfill your responsibilities in a much more prudent manner.

So why to put your dreams at risk and go for risky investment in stock markets and other instruments? You can go for bank instruments but the downside is that you do not get tax benefits and life risk coverage. Also, the returns are quite average at 8-9 per cent a year.

Today, with the reforms in the insurance market, life insurance plans are more of savings driven investment plans than just risk coverage tools. Choice is yours!

-----------------------------------------------
Invest Rs 1,50,000 and Save Tax under Section 80C. Get Great Returns by Investing in Best Performing ELSS Mutual Funds

Top 10 Tax Saving Mutual Funds to invest in India for 2016

Best 10 ELSS Mutual Funds in india for 2016

1. BNP Paribas Long Term Equity Fund

2. Axis Tax Saver Fund

3. Franklin India TaxShield

4. ICICI Prudential Long Term Equity Fund

5. IDFC Tax Advantage (ELSS) Fund

6. Birla Sun Life Tax Relief 96

7. DSP BlackRock Tax Saver Fund

8. Reliance Tax Saver (ELSS) Fund

9. Religare Tax Plan

10. Birla Sun Life Tax Plan

Invest in Best Performing 2016 Tax Saver Mutual Funds Online

Invest Online

Download Application Forms

For further information contact Prajna Capital on 94 8300 8300 by leaving a missed call

---------------------------------------------

Leave your comment with mail ID and we will answer them

OR

You can write to us at

PrajnaCapital [at] Gmail [dot] Com

OR

Leave a missed Call on 94 8300 8300

-----------------------------------------------

Popular posts from this blog

What is Electronic Clearing Service (ECS)?

  As the name suggests, it's an electronic process through which money can be transferred from one bank account to another. According to RBI, this mode is usually used for regular payments and receipts, like distribution of dividend, interest, salary, pension etc. This mode is also used for collection of bills for telephone, electricity, water, various types of taxes, payment of EMIs , investments in mutual funds , payment of insurance premium etc. There are two types of ECS , like most other banking transactions, ECS credit and ECS debit. An ECS credit is used by a bank account holder , usually a large company or an institution for services like payment of dividend, in terest, salary, pension etc. If your mutual fund pays you dividend to your bank account, of all probability it is being paid through ECS credit.ECS debit, on the other hand, is used when a company or an institution is getting money from a large number of people. For example if you are investing in a mutual fund sc...

WEALTH TAX

Download Tax Saving Mutual Fund Application Forms Invest In Tax Saving Mutual Funds Online Buy Gold Mutual Funds Leave a missed Call on 94 8300 8300 WEALTH TAX   WHAT CONSTITUTES WEALTH? For wealth tax purposes, "wealth" means property , urban land, car, jewellery , yacht, boat, aircraft and cash in hand in excess of Rs 50,000. CAUTION POINT | Do not think you will have an easy escape from wealth tax by transferring your `wealth' without consideration to your spouse or minor child. Such assets will also be considered as your wealth. HOW TO DETERMINE YOUR TAXABLE WEALTH Add the taxable value of the above assets (computed as per the detailed rules for valuation) owned by you as on March 31 (for FY 2014-15, it will be March 31, 2015). In case you sold your car during the year, it will not be taxable wealth. Deduct loans if any obtained by you to acquire any of the taxable assets from the value of gross tax out for at least 300 days in a...

Equity Savings Fund

Invest Equity Savings Fund Online   The best part about these funds is that they are subject to equity fund taxation and at the same time are structured like MIP like funds . This new category, equity savings funds , offer a little of everything. They allocate money to equities & equity related instruments, and fixed income. They aim to generate returns by diversification. Such funds invest in fixed income and arbitrage to protect the investors from short term volatility and equity for capital gains. The best part of these funds is that they are subject to equity fund taxation and at the same time are structured like MIP funds.   MIP funds however are subject to debt fund taxation. Investors Equity savings funds are suitable for the following: First time investors who seek partial exposure to equity with less volatility and greater stability Investors seeking moderate capital appreciation with relatively lower risk Those wh...

How to Pick Top Performing Mutual Fund Schemes

Download Tax Saving Mutual Fund Application Forms Invest In Tax Saving Mutual Funds Online Buy Gold Mutual Funds Leave a missed Call on 94 8300 8300   How to Pick Performing Schemes  Funds that continue to stay in the top grade of performance over longer periods are the ones to bet on, advise investment experts   The mutual fund performance charts of the past few months make for an impressive reading. Funds across all categories boast of stellar returns. Sample this: The mid and small cap category has averaged 77 percent return over the past 12 months, with the best fund delivering a staggering 120 percent. The tax-saving funds also average an impressive 51 percent, including a fund which has soared 92 percent. Many of the table-toppers are funds of proven quality and track record. However, there are also schemes that are not that well-known. Some of these have rarely made it to the performance charts in the past, yet, of late, they bo...

8% Government of India Bonds quick guide

For those seeking comfort in safety of returns, the Government of India issued 8% savings bond once again comes to the fore. First launched in 2003, these bonds are issued by the government with a maturity of 6 years. The bonds are available at all times with specified distributors through whom you can apply to invest in them. Here is a quick guide to what the bond offers and its features to ascertain to check for suitability. What are Government of India bonds Government of India bonds are like any other government bonds with specified rate of interest. The rate is fixed at 8% per annum paid half yearly, or you can opt for cumulative payment of interest at the end of the tenure. You can buy these bonds from State Bank of India and its associates, other nationalized banks and some private sector banks such as HDFC Bank Ltd and ICICI Bank Ltd, among others. The bonds can be bought from the offices of Stock Holding Corporation of India as well. They are available in physical form onl...
Related Posts Plugin for WordPress, Blogger...
Invest in Tax Saving Mutual Funds Download Any Applications
Transact Mutual Funds Online Invest Online
Buy Gold Mutual Funds Invest Now