Saving money habits se banti hai financial freedom ki raah. Budget bana ke aur faaltu kharche se bacha ke, aap apne future ke liye ek strong savings ka jugad kar sakte ho. saving money very important but investment help your money growing fast.
Saving money are essential for securing one’s financial future. benefits of saving money point below,
– Financial Security: Saving money help build a safety net for unexpected expenses and long-term goals. – Wealth Creation: Investing in assets like stocks, bonds, or real estate can generate returns and create wealth over time.
– Risk Management: Diversifying investments can help manage risk and increase potential returns.
– Goal Achievement: Saving money can help achieve specific goals, such as buying a house and car, retirement, or funding education related skils.
– Financial Discipline: Regular saving and investing promote financial discipline and responsibility. help to growing your wealth.
Types of saving schemes:
Saving money is very important for your financial life. what are various short term and long-term saving schemes below.
• Sukanya Samriddhi Yojana (SSY) -
- Sukanya Samriddhi Account is a government-backed savings scheme for girl children under 10.
- It offers Rate of interest 8.2% Per Annum(with effect from 01-01-2024 ), tax-free returns, and triple tax benefits.
- Parents can invest Minimum INR. 250 up to ₹1.5 lakh yearly for 15 years. The account matures in 21 years, supporting education and marriage expenses.
- Deposits qualify for deduction under section 80C of Income Tax Act.
- Interest earned is tax free under Income Tax Act.
- After 21 years from the date of account opening. or at the time of marriage of girl child after attaining age of 18years.(but no closure is allowed before 1 month or after 3 months from the date of marriage). Sukanya samriddhi yojana help to saving money long time.
• Kisan Vikas Patra (KVP) -
Kisan Vikas Patra (KVP) is a savings scheme offered by the Indian Post Office. Kisan Vikas Patra offers guaranteed returns with a fixed interest rate (interest rate 7.50% as of 2024-25). The scheme promises to double the investment amount over a specified period (10-year 4 month). Interest earned is taxable, but the scheme offers a safe investment option. There is no specific lock-in period, but premature encashment rules apply. Any farmer or individual, including minors, can invest in KVP.
• Public provident fund (PPF) -
Public Provident Fund (PPF) is a long-term savings scheme offered by the Indian government offers tax deductions on investments under Section 80C.The scheme has a lock-in period of 15 years, promoting long-term savings offers a fixed interest rate, compounded annually (7.10% as of May 2025).Partial withdrawals are allowed after 6 years, and loans can be taken against the PPF balance is a safe and secure investment option, backed by the Indian government.
• National Savings Certificate (NSC) -
National Savings Certificate (NSC) is a tax-saving investment scheme offered by the Indian Post Office. NSC offers tax deductions under Section 80C of the Income Tax Act. NSC provides fixed interest rates (7.70%), compounded annually. The scheme has a tenure of 5 years, promoting long-term savings. NSC guarantees returns, making it a low-risk investment option. NSC is a safe and secure investment option, backed by the Indian government.
• Company Fixed Deposits (FDs) -
Company Fixed Deposits (FDs) are a type of investment offered by companies to raise funds. Company FDs offer fixed interest rates (6%-10% per annum), providing regular income. They often provide higher returns compared to traditional bank FDs and RD. Company FDs carry credit risk, as they are unsecured and dependent on the company’s financial health. FDs have a fixed tenure, ranging from a few months (short term) to several years (long term).
• Bonds -
Bonds are debt securities issued by any country’s governments or corporations to raise capital. Bonds provide regular interest payments and return of principal at maturity. Government bonds are generally considered low-risk investments, while corporate bonds carry high levels of credit risk. Bonds have a fixed tenure, ranging from short-term to long-term. Bonds can help diversify investment portfolios, reducing overall risk.
Disclaimer: The information provided herein is for informational purposes only and does not constitute investment advice, a recommendation, or an offer to buy or sell any securities. All investment strategies and investments involve risk of loss. Individuals should conduct their own research or consult a financial advisor before making any investment decisions. The author/publisher is not a registered investment advisor and does not accept responsibility for any trading losses incurred based on the information provided. Past performance is not indicative of future results.