30 Plus age Women should Invest Earlier For Future Finance Security

There are no easy ways to generate the money we have to work hard and be focused on the goal always. There are no shortcuts to generate income. You not only need to get started as early as possible but you also have to be prepared for continuous and monitored investing.

30 Plus age Women should Invest Earlier For Future Finance Security

There are no easy ways to generate the money we have to work hard and be focused on the goal always. There are no shortcuts to generate income. You not only need to get started as early as possible but you also have to be prepared for continuous and monitored investing.

The best time to start our investment once you take your first job right from your 20’s that’s the time for new beginnings. Many used to start building their asset portfolios in their 30’s.

 

The late 30’s burry one with more responsibilities that too for women she owes various responsibilities towards family, parenting, etc which hike’s up to the financial responsibilities and your prime focus is to build a comfortable investment plan. Especially it is important for women to ensure her financial security for herself and her loved ones.

There are some investments options for a working woman in her 30’s.

Public Provident Fund is one of the best retirement investment schemes which offer complete tax-free benefits as well as steady interest income. In this scheme, one can deposit up to Rs.1.5 lakh a year and earn an interest rate of 8%. However, the interest keeps compounding annually and credited at the end of every year. It doesn’t provide long-term stability and decent returns after a span of 15 years.

Another tax efficient long term investment option is the National Pension Scheme a concoction of equity, fixed deposits, corporate bonds, liquid funds, and government bonds. It offers completely tax-free benefits under section 80 C of the Income Tax Act to the tune of Rs.1.5 Lakh plus you can claim an additional tax-free deduction up to Rs 50,000 under Section CCD (1B).

Buying Mutual Funds are another method of investment. The equity-linked investment plan schemes a diversified equity mutual fund product that will allow tax saving under section 80c of the Income Tax Act.

In the last years, the average return from the top 10 ELSS stands at almost 20% so even the introduction of 10% long-term capital gains (LTCG) tax on equity earnings does not dent its appeal.

Life Insurance means protection against the risks in life. These risks also exist in a woman’s life, sometimes even more than a man’s life.

According to the data Insurance Regulatory and Development Authority of India show that only 90 lakh women bought life insurance policy in 2017-18 while 1.91 crore policies were purchased by men in the same period. So women should invest more on Life insurance so that she can manage her lateral financial stability.

As per the studies, the women not only live longer than man but they also use more medical services due to a greater likelihood of chronic disease and disability apart from reproduction. Expenses for normal delivery are about between Rs 15,000 and Rs 1.5 lakh, without accounting for unexpected occurrences that may need urgent medical intervention and, hence, further expenditure. Without a health policy in place, such out-of-pocket expenses can do a number on a family’s budget.

According to the analyst, the portfolio of a 35-year-old woman ought to be composed of 65% of equity funds and 35%%  should be in debt, insurance, and cash. But even conservative investors should not go below the 60% equity allocation mark in order to maximize returns at an age when you are able to afford more risk. The older you get, the safer your portfolio will have to be.