Employees’ State Insurance Scheme of India, is a multidimensional social security system tailored to provide socio-economic protection to worker population and their dependants covered under the scheme. Besides full medical care for self and dependants, that is admissible from day one of insurable employment, the insured persons are also entitled to a variety of cash benefits in times of physical distress due to sickness, temporary or permanent disablement etc. resulting in loss of earning capacity, the confinement in respect of insured women, dependants of insured persons who die in industrial accidents or because of employment injury or occupational hazard are entitled to a monthly pension called the dependants benefit.
Sunday, September 4, 2011
Thursday, April 7, 2011
Anna Hazare anti corruption movement is not for anyone else, but you
We all must have heard by now that there is someone by the name Anna Hazare who is there on indefinite hunger strike against corruption. Most of us would be thinking that whatever we may do, its impossible to stop corruption. Hold on, let me tell you that this news had been distorted by Media and, yes he had been on hunger strike to fight against corruption, but his present step is in the form of getting "Jan Lokpal Bill" passed which has been stucked for approximately 4 decades.
Tuesday, April 5, 2011
Purchase Life Insurance online and benefit by saving Costs
Internet Penetration in India stands at 7%, which is not very high but still Life as well as General Insurance Industry has not utilized this mode of distribution of its products. Still they rely of Individual as well as corporate agents to sell their products. Till now, insurance companies mostly allowed to pay the renewal premium online.
Now with the launch of 3G, internet penetration is all set to rise and we have seen in last couple of years that Insurance companies have come up with few products which can be purchased online. In future, we can expect that all insurance companies will be offering Online distribution model, where one can purchase the policy online.
Sunday, March 27, 2011
Are you aware that you can get No Claim Bonus (NCB) even on your new Car
No Claim bonus is a reward in the form of a discount offered while you pay the renewal premium on your Motor Insurance Policy. No Claim Bonus is 20% for first claim free year and the same keeps on increasing by 5% for every claim free year till it reaches 50%. Afterall, why should'nt you be rewarded for being a good driver.
Thursday, March 17, 2011
RBI Hikes Rep Rate and Reverse Repo rate by 25 basis points
In line with the market expectations, RBI has hiked the Repo Rate and the Reverse Repo Rate by 25 basis points each after Quarterly Review of Monetary Policy, and has also revised upward inflation target to 8% from earlier year-end expectation of 7%.
Food inflation may not come down in a hurry. Global oil & commodity prices, which have remained high for some time. With high inflation, real interest rates have remained negative and we expect that RBI would continue to hike rates as least by 50 bps more in the coming months in a phased manner.
Sunday, March 13, 2011
Invest in Gold? Invest in Kotak Gold Mutual Fund
After Reliance Mutual Fund, Kotak Mutual Fund has come up with Gold Mutual Fund. It is an open ended fund of funds. And we surely can expect more similar gold related mutual fund (which primarily invests in their respective Gold ETFs) from other fund houses pretty soon. This Kotak Gold Fund just like theReliance Gold Savings Fund invests primarily at the Kotak Gold ETF.
Tuesday, March 8, 2011
Employee Provident Fund (EPF) not to give interest for non operative accounts for 36 months effective April 1, 2011
All provident fund subscribers who have accounts which are not operative for 36 months will cease to accumulate any interest after April 1, 2011. Hence it is important that all non operative provident fund (PF) accounts should be transferred or settled before April 1, 2011.
According to EPFO estimates, there were 30.5 million inoperative accounts across 120 offices. In all, the agency had 47.1 million subscribers at the end of March 2009, which is estimated to have increased during the last financial year.
Monday, February 28, 2011
Budget 2011 and its impact explained : Rs 2060 is what all every males (Not women) would be saving as per new exemption limits
The budget is out. A quick look at what's in for all of us. Detailed coverage will follow in me next posts.
Brief Synopsis
- Unlike the last year, where the Finance Minister had announced high tax sops for individual tax payers, this year there are just minor tweaks on the income tax front.
- Males of all income group would be getting Tax Exemption of Maximum of Rs.2060 as per new tax slabs. No new tax exemption limits for women.
- The year was full of challenges for fiscal consolidation: FM
Sunday, February 27, 2011
Review LIC Samridhi Plus (Table no. 804)
Samridhi Plus (Table No.804) in a new ULIP plan which offers Highest NAV of 1st 100 months or fund value whichever is higher.
Summary
This is Guaranteed highest NAV ULIP plan in which you get highest NAV of First 100 months or the fund value at maturity (Whichever is higher), similar to LIC Wealth Plus but charges are much lesser in this plan.
Thursday, February 24, 2011
Power Finance Corporation (PFC) Infrastructure bonds open from February 24, 2011 to March 22, 2011
Power Finance Corporation (PFC) declared the launch of its income tax saving infrastructure bond with the offering set to raise Rs 5300 crore, the biggest among all recent bond issuances.
The bond will be issued in one or two tranches and will have a face value of Rs 5000. The public issue of secured, redeemable, non-convertible debentures of face value of Rs 5,000 each, will open for subscription on Feb 24 and closes on Mar 22. The bond issue is under Sec 80CCF of the Income Tax Act, wherein an investor can avail a deduction of up to Rs 20,000 in the taxable income for the current financial year.
Wednesday, February 23, 2011
10 advantages of buying a home Vs renting
Buying and renting both have their ups and down, but one is proven to make your money go further. Buying a home is almost always the better choice, if you’re ready to take on a mortgage and all of the other costs that come with home ownership, that is. But, before you shy away and sign that 12-month lease, consider what you could be getting and saving by buying a home instead. Here are 10 advantages of buying a home versus renting:
Tuesday, February 22, 2011
Know all about IIFCL Infrastructure Bonds a Tax Saving Bond under Section 80 CCF open from February 4 2011 to March 4 2011
IIFCL is a wholly-owned Government company providing financial assistance to long-term infrastructure projects. As on 30 Sept 2010; 105 of the 124 projects for which IIFCL has sanctioned finances. As on March 31, 2010 and September 30, 2010, it had no non-performing advances. The GoI has identified infrastructure development as a key priority and the Eleventh 5 Year Plan (FY 2008-2012) and envisage investments of US$ 514 bn. in the Indian infrastructure sector. Thus, IIFCL is expected to play a prominent role in the infrastructure finance space in India going forward.
Saturday, February 19, 2011
When you will become crorepati: Crorepati Planner Reverse Table
Ever wondered, how much monthly savings you need in order to create a corpus of 1 Crore at the specified rate of return. Below is the table where it shows how much money you need to contribute at specified rate of return in order to achieve the target of 1 crore.
Friday, February 18, 2011
Reliance Mutual Fund brings First gold fund of fund in India "Reliance Gold Savings Fund"
Reliance Mutual Fund presents - Reliance Gold Savings Fund , first Gold Fund of Fund in India. This is Fund of Fund which allows you to invest in gold even if you dont hold the Demat Account.
Brief Synopsis
- The first fund of fund in India which enables you to reap the returns of gold as an asset class in a paper form without the need of a demat account.
- This fund would facilitate you to accumulate gold returns from a long term perspective through lump sum and systematic regular investments.
Thursday, February 17, 2011
Complete details of State bank Of India (SBI) Retail Bond Issue opening 21st february offering high returns of upto 9.95%
SBI launches Series 3 lower Tier II bonds of face value of Rs 10,000 each and series 4 lower Tier II bonds of face value of Rs 10,000 each aggregating to Rs 1,000 crore, with an option to retain over-subscription upto Rs 1,000 crore for issuance of additional bonds aggregating to a total of upto Rs 2,000 crore.
Returns are 9.75% per annum on series 3 lower Tier II bonds and 9.95% in case of series 4 lower Tier II bonds. Non retail applicants will get 9.3% and 9.45%, respectively.
Tuesday, February 15, 2011
Mutual Fund Fixed Maturity Plan (FMP) better as well as tax efficient option to fixed deposits (FD)
The primary objective of a FMP is to generate income while protecting the capital by investing in a portfolio of debt and money market securities. The tenure can be of different maturities, ranging from one month to five years.
FMPs can be compared to fixed deposits of a bank. While a fixed deposit offers a 'guaranteed' return, returns in FMPs are only 'indicative'. Typically, the fund house fixes a 'target amount' for a scheme, which it ties up informally with borrowers before the scheme opens. That way it knows the interest rate it will earn on its investments, providing the 'indicative return' to investors.
Monday, February 14, 2011
Complete details on Interbank Mobile Payment Service (IMPS) the Future of Money Transfer and Payments
As of now, interbank funds transfer electronically is done through National Electronic Funds Transfer(NEFT). But issue with these transfers is the time lag as this is not a real time service and transactions are settled in batches. The other instant funds transfer service available in name of Real Time Gross Settlement (RTGS), but that has minimum transfer limit of 2 lakhs.
Sunday, February 13, 2011
L&T Infrastructure Bonds Tranche II Open from Feb 7 2011 to March 7 2011
First tranche of the L&T Infrastructure Bonds came in the market on 15th October 2010 and was available for subscription up to 2nd November 2010. Now again L&T Infrastructure Finance Company Limited has come up with their second tranche of Infra Bonds and the issue is going to open on 7th Feb 2011 and will be available for subscription up to 7th Mar 2011. The issue size of this second tranche is Rs 100 crore. Offering a interest of 8.20% per annum in the first series (series I) which can be redeemed after 5 years and 8.3% in the second series or (series II) can be redeemed after 7 years.
Review Aegon Religare I-Maximize: Low cost Online ULIP to multiply your returns
It was in later part of 2009 that Online term Insurance was launched by Aegon Religare by the name of I-Term plan, which at that time had offered us at less than half the rate then prevailing in the market. Later there was a revolution in the market and many other Insurance companies followed the same Route to offer Term Insurance Product Online. This included ICICI Prudential with Launch of I-Protect, Metlife's Metprotect, and Kotak Life Insurance with Kotak Term Plan. Since the launch of these products people are becoming more aware and they have started realizing the importance of Term Plan.
Saturday, February 12, 2011
After long rule of Plastic Money, Comes Mobile Money: Airtel Launches Airtelmoney
This might be just the begining of a new era. Earlier plastic changed the way we used to keep money, now a new concept of mobile money has been launched in India by "Airtel" India's No.1 Telecom Company which has been granted license by RBI to use semi closed wallet.
Have you ever wanted to buy tickets for the evening movie show without visiting the theatre, pay your electricity bill without waiting in a long queue, buy yourself a coffee without the need to take out change – or wished you could magically pay for groceries after forgetting your wallet at home? Your wait is finally over.
Friday, February 11, 2011
Now Change Your Health Insurance service Provider without loosing Benefits- Health Insurance Portability to be launched on 1st July 2011
The much awaited "Health Insurance Portability" is all set for launch from July 1, 2011. Now, health Insurance customers can switch to Health Insurance provider without losing on no claim benefits and waiting Period exclusion. Earlier, portability was possible only in Motor Insurance policy. This is a positive move for customers who has the option to choose services from desired service provider enabling offering best of services and price.
Wednesday, February 9, 2011
Complete details LIC Bima Account1(Table No, 805) and Bima Account 2 (Table No. 806): A very innovative and tricky product with 0-1% guaranteed return
LIC has recently launched 2 new plans Bima Account1 and Bima account 2. Although these plans comes from the house of most trusted name in Indian Insurance "Life Insurance Corporation (LIC)" of India. Although I believed that I know a lot about Insurance I completely failed to understand both the products. Details of the plans are under but please go through Synopsis once you read about product details.
Tuesday, February 8, 2011
Payment of New Pension System (NPS) contribution in a single Installment
For the convenience of the subscribers, and help popularise the NPS, it has been decided that NPS subscribers
will, henceforth, have the option to pay their yearly NPS subscriptions in a single installment (as against the stipulated minimum 4 installments in a year) on payment of fee applicable to one installment.
Sunday, February 6, 2011
Now pay your contribution for New Pension System (NPS) through Electronic Clearance System (ECS):
The NPS provides Electronic Clearing Service (ECS) facility to its subscribers. This will facilitate the subscriber to electronically pay NPS contribution from their respective bank accounts. To avail this facility, subscriber is required to submit the ECS form to any of the NPS registered Point of Presence (POP)/ Point of Presence‐Service Provider (POP‐SP). The subscriber will provide details of bank account in the ECS Mandate form prescribed by respective POP. Once the ECS request is accepted the subscriber contribution amount will be debited from their respective account on the specified date.
Thursday, February 3, 2011
And you thought Demat account is only for Safe keeping of Shares: Other avenues of Demat accounts
As you are aware, a Demat Account is mandatory for safe keeping ‘Shares’. Whether you buy shares from the market or apply IPOs, a Demat Account is compulsory. But today the scope of Demat Account has gone beyond “Shares”.
Now its highly unlikely to find any smart investor who would avouid opening demat acount.
- Mutual Funds: Now, you can invest in Mutual Fund Schemes through our NSE terminals ( as you are buying shares ) and the units will get credited into your Demat account. No need for too many statements from various fund houses. A single Demat account will take care of all your MF investments.
Sunday, January 23, 2011
Mutual Fund Systematic Withdrawal Plan (STP): A scientific way of Investments
STP refers to Systematic Transfer Plan where in an investor invests a lump sum amount in one scheme and regularly transfers (i.e. switches) a pre-defined amount into another scheme. This transfer frequency could be weekly, Fortnightly, monthly or quarterly as offered by Mutual fund.
Investors who want to invest lump sum money in schemes with stable returns and ensure small exposure to equity schemes in order to avail of the potential for higher growth through equities.
Investors who want to invest lump sum money in schemes with stable returns and ensure small exposure to equity schemes in order to avail of the potential for higher growth through equities.
Tuesday, January 18, 2011
Complete information on Hindu Undivided Family (HUF): An ultimate tax saver
HUF or Hindu Undivided Family is defined under the Hindu Law as a family that consists of all persons lineally descended from a common ancestor, including wives and unmarried daughters. All male adults in the family are called Co-Parceners, and all female members of the family are called Members, and the head of the family Karta (Generally the eldest male).
Who Can Create HUF
Any hindu individual male can create HUF as soon as he gets married to a hindu female. Its not necessary to have children to create HUF. Persons from other religion are not eligible to create HUF except Jain and Sikh who can create HUF even though they are not governed by hindu law.
Monday, January 17, 2011
Subscribe to REC Long term Infrastructure Bonds: Save tax under section 80CCF
Rural Electrification Corporation Ltd (REC), a Navaratna enterprise, has come up with section 80CCF tax saving infrastructure bonds. The issue is open from 12th January to 28th March 2011.
REC, one of the infrastructure companies which is eligible to float section 80CCF tax saving long term infrastructure bonds, is planning to raise Rs 50 Crore by issuing 1 Lakh bonds, Rs 5000 face value each.
Sunday, January 16, 2011
IDFC Infrastructure Bond Tranche 2 opening 17 January 2010: Does it make sense to Invest in Infrastructure Bonds
Does it male sense to invest in Infrastructure bond?
If you happen to be in the highest tax bracket then by Investing Rs 20000/- you would get a tax rebate of Rs. 6000/-. Considering you have invested 14000/-(Rs.20000-Rs.6000 tax benefit) then you would be earning 8% interest annualy on Rs.20000/- you would be getting maturity of Rs. 43200/-.So your Rs. 14000/- becomes Rs. 43200/- after 10 years which is more than 3 times offering you Net Yield of greater than 12.5%. This kind of return is not available in any secured & guaranteed Investments.
Applications Supported by Blocked Amount (ASBA): New way to apply in IPO's
SEBI in a Retail Investor's Interest has Introduced new system "Applications Supported by Blocked Amount" (ASBA) Processan additional optional method for IPO application where instead of making payments by cheque, IPO bidding amount remains in investors account, but blocked by the bank until allotment is done.
This alternate method has been exclusively for retail individual investors through participatory banks (SCSB's). Earlier, many retail investors faced various issues in getting the refund of amount, but Investors applying for IPO through ASBA will not have to face issues like this anymore. Although this system is already in place from May 1, 2010, retail investors are not aware of this and not using this facility.
Tuesday, January 11, 2011
Mobile Number Portability (MNP) Completely Explained: How to Change Mobile Service Operator and FAQ's
Telecom Regulatory Authority of India (TRAI) fixed the maximum rate of mobile number portability fee at Rs.19. Although Telecom operators are free to charge less than Rs.19 or even offer this service free. Now it is imperative for the Telecom company to offer best Coverage, Connectivity, and quality of service.
Monday, January 10, 2011
Complete Information of PAN (Permanent Account Number)
A permanent account number (PAN) is a ten-digit alphanumeric number, issued in the form of a laminated card, by an assessing officer of the Income Tax Department. It is mandatory to quote PAN on returns of income, all correspondence with any income tax authority and challans for any payments due to the Income Tax Department.
Saturday, January 8, 2011
Long Term and Short Term Capital gain in Mutual fund Explained
The difference between the sale consideration (selling price) and the cost of acquisition (purchase price) of the asset is called capital gain. If the investor sells his units and earns capital gains he is liable to pay capital gains tax.
Capital gains are of two types:
Short Term Capital Gains
Long Term Capital Gains
Friday, January 7, 2011
Recieved a Tax Refunds mail- Its a SCAM !! Be Careful!!
Recently many of us must have recieved an e-mail stating that there is some amount which is due for refund and in order to claim that money one needs to click a link which takes to Income tax website.
The body of the mail says
"Dear Valued Taxpayer,
We have reviewed your tax fiscal payment for previous months and have resolved that you are qualified to obtain a refund of the sum of 47,320.00 INR which is your accumulated tax excesses. Please submit a tax refund request and allow us to process it within 7 days.
Tuesday, January 4, 2011
Tax Saving and other Investment option in India Ready Reckoner
I wish All my readers a Very Happy new Year. Since financial year end is approaching fast, we have very less to to invest in tax savings instruments. Please find comparison of various investment options in the form of a ready reckoner.
How to open Online NPS account with ICICIdirect.com and FAQ's
Pension Fund Regulatory and Development Authority (PFRDA) was established by the Government of India on August 23, 2003 to promote old age income security by establishing, developing and regulating pension funds, to protect the interests of subscribers to schemes of pension funds and for matters connected therewith or incidental thereto.
The NPS is a new vouluntary contributory pension scheme introduced by the Central Government . Under the new pension system , individuals can open a personal retirement account and can accumulate a pension corpus during their work life to meet financial needs post retirement. These contributions would grow and accumulate over the years, depending on the returns earned on the investment made. When the person retires, he will be able to use these savings to take care of the needs and expenses of his family during old age.The subscribers may use the accumulated pension wealth under the scheme to purchase a life annuity from a life insurance company. Alternatively, depending on the age of the subscriber, a part of the wealth may be withdrawn as lump-sum.
Saturday, January 1, 2011
Open NPS account online with ICICIdirect.com
PFRDA has now started using technology to distribute NPS which has failed to take of till now. Now they have started offering this product online by tying up with ICICIdirect.com to distribute this product through e channel. Anyone having account with ICICI Direct can apply for this product online and even invest in the form of SIP.
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