Financial independence for women is the key to their empowerment. It is a vital part of having a happy successful life. It helps in evolving as a better decision maker but also makes them an independent individual. Traditionally, women have been investing in gold, but with changing times they are now becoming mature investor. They are now building long term goal plans. It’s a good sign not for them, but also for the economy as much of the money will now be circulated in the economy. Let’s look at some of the best investment options for females.
- PPF or NPS:
For any women saving for retirement is always a primary long-term goal. The main reason is mainly because they have more breaks in their career. The break includes, having a child, wedding and taking care of the elderly. Even though there may be a PF Fund allocated to you for each year (in case if they are working in the organization). It is advisable to get additional retirement/pension plan into play. The best option will be PPF or NPS or even both in case if necessary required. The lock-in period of PPF is minimum 15 years, while that of NPS is 10 years before they can withdraw some portion of funds. It also offers an additional exemption for up to Rs 50,000 under the section 80CCD (1 B).
- Fixed Deposit:
Fixed deposits are one of the safest investments to be made. In case, if a person doesn’t want to take risks on their capital, then fixed deposit is one of the best options to invest. These investments provide good returns as well as qualify for tax exemption under section 80 (C) of the income Tax.
- Mutual Funds:
Any women who want to invest in mutual fund must have little knowledge about the capital market. It is quite suitable for the investor, who have an appetite to take risk between moderate to high. They can choose to invest in either liquid, debt or hybrid. ELSS funds will be a great option, if they want to create wealth as well as take the tax benefit under section 80C.
- Real estate:
The real estate will be also a good option to protect your future in the long term. One can also take the benefit of home loans, as they charge a much lower rate compared to the men. Apart from that, one can also save tax by declaring the principal repayment under 80C for a maximum of Rs 1,50,000 and the interest repayment under section 24B of maximum up to Rs 2 lakh in case of a self-occupied house.
- Health Insurance:
It is the most important investment from a woman’s perspective. Investing in health insurance is the smartest thing to do, as it will help you take care of your medical needs without impacting your savings. Despite being already covered in a family floater plan by a member or your family or a corporate plan by your employer. It is wise to get an individual policy for not protecting your health, but also one can claim a tax benefit for the same for up to Rs 25,000 a year under section 80D.
Any women can choose either of the plans, depending upon their investing goals. But before investing, she must remember the fact that choosing the right investment options at the right age will help keep her and family financially secure.
Looking for some investment advice? Hop on to www.gulaq.com and talk to the experts.
*Mutual fund investments are subject to market risks. Please read the scheme information and other related documents carefully before investing.