Dreamzunlimited...

Life Insurance Policies:  1) Traditional policies : Where total premiums of policies taken from 1st of April 2023 is less than 5 lakhs per year.  2) ULIPs : Where total premiums paid is less than 2.50 lakhs per year.  3) Death Benefit : is always tax-free in the hands of the nominee, irrespective of the amount.  Mutual Funds:  1) Equity-Oriented Schemes : Total Gains up to 1.25 lakhs in a financial year.  Small Savings Schemes:  1) Public Provident Fund 2) Sukanya Samridhi Scheme  Pension Schemes :  1) NPS - Up to 60% of the amount commuted at the time of pension. 2) Annuity Plans - Up to 1/3rd of the amount commuted at the time of pension.  3) Provident Fund - withdrawal after 5 years.  Sovereign Gold Bonds : if held until maturity. 

10-5-3 Rule: (for reasonable return expectations) Equity Products: 10% (Equity Mutual Funds, Shares) Debt Instruments: 5% (Bank / Post Office Deposits, Debt MFs, etc.) 50:25:25 Rule (for balanced life now & for future) 50% of your income towards NEEDS (Food, Home loan EMIs, education, etc.) 25% of your income towards WANTS (Entertainment, Vacations, etc.) 25% of your income towards SAVINGS (for retirement, children's future, etc.) 3x-6x Emergency Rule: (for peace of mind) Set aside 3 to 6 times of your monthly income as Emergency fund & maintain this as a fixed deposit or in Liquid funds. Don't touch it unless it is an emergency (Loss of employment, Medical expenses, etc.) 30% EMI Rule: (for not becoming a slave to money) Do not exceed 30% of your monthly income for payment of EMIs. Banks may offer more - but if you have to escape the rat race, then it is important not to have too much of your income going towards EMIs.  100-Age Rule: (How much risk can be taken on the ...