![\"Best](\"https:\/\/www.newsilike.in\/wp-content\/uploads\/Best-Tax-Saving-Investments.png\" "\\"\\"")
<\/p>\n<\/p>\n
“Financial peace isn’t the acquisition of stuff. It’s learning to live on less than you make, so you can give money back and have money to invest. You can’t win until you do this<\/strong>.”<\/em> \u2014 Dave Ramsey.<\/p>\n When one starts understanding the value of money, savings, and future goals, they will excel and build an empire for their descendants. Some believe investment and savings are the other names for killing your desires, but wise are those who have the power to balance and act with numbers in life.<\/p>\n One earns to have a smooth sail in life, and investment is one such way that can prepare the ground for future leisure and emergency. Good investments serve as a financial cushion for the long term.<\/p>\n While some dream of owning a big house, cars, providing pricey education to kids, and going on an international vacation, some work and invest timely to achieve those goals.<\/p>\n Apart from all the family expenditures, tax is also a considerable component that depletes a substantial percentage of your investments.<\/p>\n This blog will help you in understanding a basic idea about tax, and<\/p>\n Some might consider taxes a complicated subject, but don’t worry. After reading this, you will have a clear picture of the need to save tax and how investment is vital in the long run.<\/p>\n “Make sure you pay your taxes; otherwise, you can get in a lot of trouble.<\/em><\/strong>” ~ Richard M. Nixon.<\/p>\n You can consider tax saving as a method to deliberately and lawfully save money for yourself. Since school, we have been taught that paying taxes is a moral obligation, but it does not imply spending your money wisely or adequately for self-use. Our government has established some tax-saving investing instruments for businesses and the working class to support souls with such thinking.<\/p>\n Such provisions are written in our Indian constitution, and they are Sections 80C and 80D of the Income Tax Act of 1961. Two of the most prevalent ways for individuals to save taxes.<\/p>\n Here, if you invest in a suitable plan, you qualify for tax deductions of up to Rs.1.5 lakhs per year under Section 80C. However, if you get health insurance coverage, you can save money under Section 80D. Here, the tax deduction varies depending on whether you pay the premium for yourself, your children, spouse, or dependent parents.<\/p>\n You can earn 60,000 a month and home successfully, but the real success lies when you can divide 60,000 wisely and invest it in life insurance or other investment plans. Balancing finances accordingly is the place where people go astray.<\/p>\n It is where the women of the household excel where they know how to save and invest wisely without going wrong. I believe none has forgotten the demonetization phase where our mothers and wives were caught red-handed with hidden treasures.<\/p>\n A responsible earner would always be conscious about where their payment goes if they are saving, how the numbers are invested, and possible profits. Not every calculation in life turns out to be the same, but a tax calculation will help you give a rough idea about the taxable income.<\/p>\n It is where the tax calculator plays a significant role. It calculates your entire taxable income as well as your existing tax-saving investments. For instance,<\/p>\n Anjali is earning \u20b9 <\/strong>10,00,000 per annum. Her earnings face a standard deduction of 50,000. Apart from regular deductions, she also invested in ELSS to avail of tax benefits under Sec 80C, and here is the result:<\/p>\n <\/p>\n\n
What is Tax Saving?<\/h2>\n
How to Calculate tax?<\/h2>\n