Is investing in NPS (National Pension Scheme) really useful? (QandA : 004)

Question : 004

Is investing in NPS (National Pension Scheme) really useful?

Even if your company has aligned its salary structure to provide you "additional tax benefits" and persuading you to invest in NPS, you must think through before indulging in this long term commitment.

Credit Cards Vs Debit Cards

On the journey towards financial freedom, i strictly recommended in my book (From the Rat Race to Financial Freedom) that Debit Card is the only way for a freedom seeker. Credit Card will always lead you to spend more, even if you manage to stay out of its debt trap. At the same time, many readers came back to me asking how do we have a win-win wherein we can en cash the benefits of both the credit cards and debit cards... Read on...

Tax Free Bonds in India

Tax free bonds have emerged as highly popular investment option among investors due to the taxation benefit that they offer. These bonds, generally issued by government backed entities, are exempt from taxation on the interest income received from such instruments under the Income Tax Act, 1961.

Double Indexation Benefit on Debt Funds

Background

Many investors park their surplus fund in fixed maturity plans (FMPs) and other debt funds in March every year to take advantage of the double indexation benefit and to bring down (and almost eliminate) the tax liability on returns.