5 Essential Financial Tips to save money
As the financial year 2017 commences, changes in the income tax slab and goods prices will start to strengthen its roots in the fiscal area. Digital means of payment are being promoted by the government, compounded with attractive incentives and schemes. To save you from Union Budget 2017’s negatives and accentuate the effects of its positives, we offer 5 important financial tips to save money.
- Give up smoking
Don’t fret if you don’t smoke. Cigarette, cigar, and bidi prices are going to rise quite fast. If you quit tobacco products today, you’ll be able to save money as well as your health. Other things that you should not depend on are LED lamps and silver medallions. On the flip-side, frequent fliers can celebrate the fact that there will be no charges on online booking for airlines.
- Go digital
Digital payments ease the whole payment process and open windows to earn handsome returns. Since there is a limit to what you can carry in cash, your money in the bank will be able to generate a lot of interest.
- Plan your taxes
Citizens earning up to Rs 3 lakh per annum are tax-exempt. The income tax rates have been halved from 10% to 5% for those who earn up to Rs 5 lakh per annum. You can save around Rs 12,500 if you put those percentages in actual figures. If you plan your expenses around this, you can save a lot.
- Avoid Late ITR filings
Filing late income tax returns will incur a penalty of Rs 5,000 if paid before December 31 of the fiscal year. In other cases, that late fee is Rs 10,000.
- Start saving for your retirement
Saving for your retirement the day you land a job is the best way you can end up with a good sum of money when you retire. This is safer than investing in mutual funds. Always make a small contribution to a high-interest fetching savings account.
Want to suggest more tips to save money this financial year 2017 in this list? Let us know!
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