#15 15 15 rule mutual fund

[personal-finance8]

Reach 1 CRORE through SIP I 3 Strategies

MAKE 1Cr with 15K investment I 15-15-15 Rule of Mutual Funds

An SIP or systematic investment plan is a popular and effective investment strategy to build wealth.

Many investors think in terms of 1 crore SIPs as their goal which I will discuss in this video about various SIP combinations that can help you achieve your financial goals especially that 1 crore Mutual Fund goal.

Wealth-building is a combination of three factors 1) the capital you put in i.e. our monthly SIP investments, 2) the return or yield we receive on our investment and 3) the time we give to these investments to compound

Now, the famous thumb rule for 1 crore SIP is the 15-15-15 i.e. invest 15,000 rupees every month, in an instrument that gives 15% returns per annum and to do it over 15 years. Effectively you have a 1 crore Mutual Fund plan for 15 years.

But then, there are more such combinations such as

a) you can look at 20-12-15 i.e. invest 20000 a month at 12% return for 15 years and you still create a wealth of 1 crore rupees

b) you can also try a 10-12-20 i.e. a monthly SIP of 10000 rupees in a mutual fund giving 12% returns and for a period of 20 years. So now you have a 1 crore SIP plan for 20 years

I'm certain this video on how to earn 1 crore through SIP will be helpful to you whether you are a noob investor or a professional one and you will be able to use it in building your own investment portfolio and in tracking your progress.

[happilyfeatherafter]

Happilyfeatherafter’s ficrec Fridays

Back back back again, and I don't know guys, I think we should all just totally stab Caesar! Welcome back to a new fortnight of fics that I’ve read and loved recently.

If you want to find more you can see my previous rec lists here!

15 March 2024

Are You Writing From the Heart? by  @luckshiptoshore is now complete!! Congrats Luck! Full disclosure, Luck is one of my very best friends, but that just means I know not only how much of a talented fic writer she is, but also how much of her heart and soul she poured into writing this love letter to queer storytelling, season 4 Destiel as a romcom, meta text (and subtext), and finding out who you really are when society and your upbringing is fighting against you. Castiel is a ghostwriter for L.S. Shore's Supernatural novels about Neal and his brother. Caught in a storytelling rut, Cas finds himself adding the fallen angel character of Bel...what could possible go wrong? Meanwhile at his local writing coffee shop spot, he meets the handsome stranger Dean who is an up and coming standup comedian and Supernatural fanboy. They because firm friends, but that's definitely it because Cas is straight....right?! Following these two dummies as they FAIL TO USE THEIR WORDS is a total joy, as Luck's humorous and emotional writing paired with her eye for detail is so very on point, and I'm so excited more people will finally get to read this story in full.

Baker Six by komodobits because !!!!!!!!!!!!!!!!!! I cannot tell you how goddamn excited I was to get this email notification and finally be back in 91w world, and to witness these early stages of Dean and Cas' relationship through Dean's eyes at last. This barely needs a rec because it's THEE 91w Dean, but komodobits hasn't missed a beat in getting back inside their heads and I was once again swept away by this iconic love story against the odds. Head the trigger warnings as always, this is truly on the front lines as a medic in a war zone. Baker Six was written for the very good cause of the fandom Palestine fundraiser, in support of the Palestine Children’s Relief Fund. Please donate if you can!

Truth & despair by @shallowseeker was a recent discovery and such a fascinating read! It's set in a post-15x18 verse, but importantly it features a fun Sam narrative perspective that delights in his lens by...being a bit of an unsympathetic oblivious dummy (affectionate). I really appreciate a crunchy Sam characterisation and oooboy does this pay off. Dean is steeped in his grief for Cas, and Sam is oh so concerned. He reaches out to Mia Vallens to understand his own grieving, and that leads to him making a discovery...Dean's memories of Cas' death aren't what he claims happened. With the unwelcome reappearance of Chuck (he lost...didn't he?) and LITERAL sinkholes appearing in the fabric of the universe, can they figure out what's happening to save Cas and save the world? This wip plays with physics, theology and narrative fuckery in such intriguing ways. I can't wait to see how it wraps up in the next two chapters.

The Leap by @friendofcarlotta started reading this one when Tina reshared it on Leap Day...because of course. I'd actually read it before but it more than lived up to the reread. 'Castiel Krushnic is a police officer in Soviet-occupied East Berlin. He is also gay, in a city where that’s a dangerous thing to be. One night, he meets Dean Winchester, a mechanic from the American sector. Their mutual attraction is instant, and a convenient hookup quickly turns into a passionate love affair that defies all rules and expectations.' Meticulously researched, emotional, heartrending and thought provoking. I highly recommend taking the leap on this fic!

See you in two weeks and OMG it's @deancaspinefest time!!!! I'm so excited *clears calendar*

Tag list under the cut - let me know if you'd like to be added to be notified of future recs!

@dean-you-assbutt-cas-loves-you

[lol-jackles]

I love your insights and agree that Jensen’s deal with Amazon seems to fit more like a actor’s holding deal. If I understand how those work, it’s where the studio pays the actor a salary for a year to hold them to try and find a role for him/her in a tv show or movie. Is that correct?

You’ve said Amazon doesn’t pay actors very well, so what is your guess to Jensen’s salary that Amazon is paying him? (Is that how he was able to afford a $10million mansion in Connecticut?)

Do those work like typical salaries (weekly/monthly) or because it was also tied to his production company, was that annual salary paid to him in an upfront sum with hopes the ackles would use the money to develop a project?

given the strike, the ackles cannot develop anything, do they have to refund any money back to amazon?

Thank you and yes, in typical holding deals the actor will receive a salary for at least one year while the studio finds a suitable project for them. Similarly, Jensen would get paid X amount of dollars for the term no matter what. He would get a check every month that comes out of the millions in his deal, this will go to pay for overhead of running Chaos Machine, including employee salaries., office space, etc. So any advanced money the Ackles received is their's to keep even if there are no project(s) for Amazon's original programming.

With that said, I highly doubt that the CMP received the typical starter $10 million for production overheads as the deal was to hire Jensen for his acting (and his fandom). Jensen may have received $1 million in retainer fee instead.

As for the Ackles' ~ investment in Connecticut, he's going to sell that house in a year or two to an Irrevocable Life Insurance Trust, then use the “sale” and the equity in the CT house to buy another house, just like he did with the Colorado house that was brought when he sold the Austin lake house (at half the market value) to the same trust. For example, if the Ackles put down at least 20% for the lake house, when the property’s value goes up by 20% (and it will), the Ackles have now made a 100% ROI and that’s before considering rents and tax write offs. Then when the houses like the lake house is sold for real in 10, 15, or 20 years, it will be sold at it's actual market price. It's a classic use of these types of trusts to make money by reaping the actual profit from the real sale and on top of the previous profit when the house was first sold into the trust. 

Jensen can easily never work again in his life just by living off his net worth, which I’ve speculated to be 20-25 million dollars and if he invest conservatively his net worth will double in ten years. While he's ~investing in real estates, I suspect his main source of passive income comes from investing in target-date funds, they’re a mix of stocks, bonds, and alternative assets and probably in a collection of mutual funds. If Jensen keeps to the common rule of withdrawal limit of 4%, he’ll have at least $1 million fuck-you money every year, more than enough to cover property tax and he and his family will be comfortably wealthy for the rest of their lives without working. But men need to work, hence why he pitched to WB the ideal of continuing SPN after Jared leaves.

@supernaturalconvert techically the trusts own the houses, and the people currently living at the lake house are paying rent to the "beneficiaries", which are the Ackles.

[financeattips]

Millennials Money Tips for Personal Finance

It is very difficult for millennials to manage their own finances today as the world of competition requiring one to workout harder has changed in a matter of months. From student loan debt to increasing living costs, this generation has faced financial struggles that are all its own. Nevertheless, there are strategies out there that can work for the millennial in search of sustainable financial security or even just a better bottom line. Below are a few of the basic personal finance tips for millennials.

1. Set Clear Financial Goals

The first step in any financial plan is establishing specific and attainable goals. Whether it's to buy a home, pay off your student loans, or save for retirement — knowing what you're working towards will keep you more engaged and inspired. Divide your goals into short-term (one to two years), medium-term (three to five years) and long-(five or more). This approach helps you to prioritize and use your resources accordingly.

2. Create and Stick to a Budget

The Facet of Financial Management: Budgeting Track your income and expenses: The very first step is to track how much you are earning, after that what things consume your bills? Budgeting tools; you may use an app to categorize what you spend on and where they can be reduced. If possible, adhere to the 50/30/20 rule — apportion half of your funds towards needs and twenty percent for saving or repaying debt.

3. Build an Emergency Fund                                                                         

It is only a rainy day fund to act as an emergency safety net in case life decides not to follow your plan. The hopefully three to six months of absolute must-have sequestered in a separate, liquid account. It can help you with the cost of surprising expenses–whether they be medical bills or it lets you maintain your financial schedule, rather than having a huge hole in it due to car repairs.

4. Manage Debt Wisely

For many millennials, student loan debt can be a large financial weight. Start your payoff journey with high-interest debt — credit card balances are a solid place to begin. Refinance or consolidate student loans at a lower interest rate. Establish and Maintain a HISTORY of consistent on-time payments to improve your credit score, reducing overall debt.

5. Invest for the Future

If you want to create wealth then investment is the most important thing for it. If your employer offers a matching 401(k) plan, that is what you should start with. Demand more investment options like IRAs, Stocks and Mutual Funds. Simply Diversify A toasted way to diversification! The point is that, your money should earning with compounding.

6. Enhance Financial Literacy

One can be really good at making informed decision which is backed by financial literacy. Use online sources, books and courses to learn more about personal finance. Understanding concepts such as interest rates, inflation and investment options can help you make more informed financial decisions.

7. Plan for Retirement

Architecting retirement: It is never too early to plan for retirement. Save a minimum of 15% of your income toward retirement. Make use of Roth IRAs and traditional IRA tax-advantaged accounts. You may want to talk with a financial advisor who can help you put together your own retirement plan based on what you hope for in retirement and how much risk you are willing to take.

8. Protect Your Assets

But while it may not be the sexiest asset class around, insurance is integral to any complete financial plan. Make sure of health, auto and and home insurance coverage. Good idea: If you have dependents, consider life insurance. Disability insurance provides you income in the event of an illness or injury.

9. Check Your Credit Score

Great credit can unlock lower-interest rates and financial possibilities. Review your credit report on a regular basis for inaccuracies and work towards building up the score. By paying your bills on time, keeping credit card balances low and only opening new accounts when you need them (and therefore improved scores so long as other key factors don't weigh in ).

10. Seek Professional Advice

If you are unsure of where to begin or need help, then speak with a financial advisor. They can give you advice and even consult with you to build a financial plan as well. Also look for a good pedigree — Certified Financial Planner (CFP) or Chartered Financial Analyst (CFA).

With these personal finance tips, a millennial can move forward in the financial journey feeling more secure for their future. Earning money is only part of the process… its mastering discipline, consistency and continuous learning that leads to long-term financial success.

[brexiiton]

UK terror attack survivors warn politicians over anti-Muslim hate

By Arab News 10 Mar 2024 13:35

A photograph taken on March 22, 2022 shows a wreath of flowers laid on Westminster Bridge in front of Palace of Westminster, home to the House of Parliament and House of Lords, in London, to mark the fifth anniversary of the Westminster Bridge terror attack (AFP)

London: A group of more than 50 survivors of Islamist terror attacks in the UK have signed an open letter warning politicians against tarring British Muslims as extremists.

The letter against anti-Muslim hate was coordinated by Survivors Against Terror, a network of people in the UK and British people overseas who have been affected by terrorism.

Signatories include Rebecca Rigby, the widow of Lee Rigby, a soldier who was stabbed to death in London in 2013, as well as Paul Price, whose partner Elaine McIver was killed in the 2017 Manchester Arena bombing.

The letter reads: “To defeat this (extremist) threat the single most important thing we can do is to isolate the extremists and the terrorists from the vast majority of British Muslims who deplore such violence.

“In recent weeks there have been too many cases where politicians and others have failed to do this; in some cases equating being Muslim with being an extremist, facilitating anti-Muslim hate or failing to challenge it.”

The signatories say defeating Islamism and extremism should be a “national priority” and they are “only too aware” of the threat posed by terrorism.

But they are saddened by a series of controversies in which major political figures in the UK have conflated Islam with extremism.

Last month, the former deputy chair of the governing Conservative Party, Lee Anderson, was suspended after claiming that Islamists had “got control” of Sadiq Khan, London’s first Muslim mayor.

Suella Braverman, the former home secretary, also faced controversy after warning that “the Islamists, the extremists and the antisemites are in charge now,” referring to pro-Palestine protests that have taken place in London amid the Gaza conflict.

Their comments are “playing into the hands of terrorists,” signatories to the letter believe.

Darryn Frost, who fended off a terrorist who had killed two people near London Bridge in 2019, said: “I think it’s dangerous when any of our leaders marginalise communities and paint a very broad brush.

“People need to consider the power of their words because they have the power to incite further hatred.”

The letter is being published ahead of the fifth anniversary of the Christchurch mosque killings on March 15.

The attack, carried out by a far-right terrorist, led to the murder of more than 50 Muslims in the New Zealand city.

Brendan Cox, co-founder of Survivors Against Terrorism, said: “Anyone using the issue (of extremism) to seek tactical party advantage risks undermining that consensus and making our efforts less successful.

“The message from survivors of attacks is clear: you can play politics all you like, but not with the safety of our country.”

Among the 57 signatories is Magen Inon, whose parents were killed during the Oct. 7 Hamas attack on Israel.

The letter coincides with UK government plans to update the official definition of extremism, which will allow authorities to suspend ties or funding to groups found to have exceeded the new definition.

Currently, extremism is defined by the government as “vocal or active opposition to fundamental British values, including democracy, the rule of law, individual liberty and mutual respect and tolerance of different faiths and beliefs.”

Communities Secretary Michael Gove, who is leading the change, has claimed that pro-Palestine marches in London have included groups who are “trying to subvert democracy,” and that some pro-Palestine events have been organized by “extremist” organizations.

[charcha-equity]

Revolutionizing Digital Lending

Poonawalla Fincorp Limited is reshaping the unsecured lending landscape by focusing on premium borrowers. The company offers digital loans of up to Rs 15 lakh with a fully online process that takes just 15 minutes. With no paperwork or branch visits, Poonawalla Fincorp Limited ensures seamless access to credit for eligible borrowers. Unlike traditional banks that still rely on lengthy approvals, Poonawalla Fincorp Limited leverages technology to provide instant financial solutions.

The financial sector is rapidly evolving, and Poonawalla Fincorp Limited is taking the lead in digital lending. Its emphasis on efficiency and customer convenience sets it apart. By targeting high-quality borrowers, the company maintains a robust loan portfolio while effectively managing risks.

CEO’s Vision for Financial Growth Poonawalla Fincorp CEO Arvind Kapil highlights the company’s expertise in unsecured lending. He stresses that premium borrowers have low delinquency rates, allowing Poonawalla Fincorp Limited to expand its offerings while managing risks effectively. Plans are also underway to introduce loan options for self-employed individuals.

Kapil has played a crucial role in shaping the company’s strategy. His leadership is centered on harnessing digital tools to improve operational efficiency and strengthen financial stability. By utilizing data-driven risk management, Poonawalla Fincorp Limited stays ahead of potential defaults, ensuring long-term sustainability.

Expanding Financial ServicesPoonawalla Fincorp Limited is preparing to roll out new financial products, including gold loans, consumer durable loans, used commercial vehicle loans, education loans, and shopkeeper loans. These additions will further diversify its portfolio. With the help of data analytics, the company ensures optimal risk assessment and pricing. Borrowers can access 24/7 digital loan approvals, making the process more convenient than traditional banking methods. Interest rates start at 12%, adjusted based on credit scores.

By introducing diverse loan categories, Poonawalla Fincorp Limited aims to serve a broader customer base. Gold loans offer quick financial relief, while education loans support students in achieving their academic aspirations. Consumer durable and shopkeeper loans provide much-needed financial assistance for both individuals and businesses.

Poonawalla Fincorp Limited’s reliance on data analytics ensures smarter lending decisions. Through AI-driven assessment models, the company identifies creditworthy borrowers, reducing the chances of defaults. By analyzing borrower patterns, Poonawalla Fincorp Limited refines its strategies to maintain a healthy lending ecosystem.

AI and the Future of Lending Poonawalla Fincorp Limited is collaborating with IIT Mumbai to implement AI-driven lending solutions. It is also broadening its footprint in digital payments while securing institutional and mutual fund investments. A capital raise is being considered for next year. Although Poonawalla Fincorp Limited has opted out of the credit card business due to privacy concerns, it remains open to regulatory changes. Kapil expects RBI’s revised asset rules to enhance liquidity and lower funding costs. The company targets a net credit cost of 1.5-2% and an ROA of over 3% in the near future, with specific segments projected to reach 6%.

Artificial intelligence is playing a critical role in financial innovation, and Poonawalla Fincorp Limited is leading this transformation. By working alongside IIT Mumbai, the company is developing AI-powered tools to streamline lending processes, improve fraud detection, and enhance customer engagement. AI-backed decision-making improves efficiency and sharpens risk evaluation.

Additionally, Poonawalla Fincorp Limited’s expansion into digital payments is a strategic move. With the growing preference for online transactions, integrating payment solutions enables the company to serve a larger customer base while ensuring smooth transactions. By diversifying its funding channels, Poonawalla Fincorp Limited secures financial stability and lessens dependence on conventional banking methods.

While Poonawalla Fincorp Limited remains cautious about entering the credit card space due to data privacy issues, it remains adaptable to future market shifts. As fintech evolves, the company may explore new financial solutions that align with its mission of responsible and innovative lending.

Through a tech-driven and data-backed approach, Poonawalla Fincorp Limited is revolutionizing unsecured lending. Under PFCEO Kapil’s leadership, the company is positioned for sustained success. With continuous technological advancements, expansion into new financial services, and a focus on responsible lending, Poonawalla Fincorp Limited is shaping the future of digital finance in India. By prioritizing efficiency, risk control, and customer satisfaction, Poonawalla Fincorp Limited continues to lead in the evolving financial sector.

[accelero25]

FBAR vs FATCA: Reporting Foreign Accounts as a US Expat

Introduction

As a U.S. citizen living abroad, it is important to understand your tax obligations, especially with regard to reporting foreign bank accounts and financial assets. Two significant regulations that U.S. expats must adhere to are the FBAR (Foreign Bank Account Report) and FATCA (Foreign Account Tax Compliance Act). Although both rules require you to report foreign accounts, they have different requirements and thresholds. We are going to break down the basics of FBAR and FATCA, explain their differences, and show how Expat Tax Services can help you stay compliant with both.

What is FBAR?

FBAR is a requirement by the Financial Crimes Enforcement Network (FinCEN) that applies to U.S. citizens and residents, even expats, who have foreign financial accounts. In other words, if you hold a total of more than $10,000 in foreign accounts at any time during the year, you have to file the FBAR.

Important Facts About FBAR:

Who must file? If you are a U.S. expat and have foreign financial accounts, such as bank accounts or investment accounts, that exceed $10,000 at any time during the year, you must file FBAR.

What accounts need to be reported? FBAR includes a wide range of foreign accounts, such aFATCAs checking accounts, savings accounts, investment accounts, and much more.

When is it due? FBAR must be filed by April 15 each year, and you can get an automatic extension until October 15.

Where do you file? Unlike your tax return, the FBAR is filed electronically through the FinCEN website, not the IRS.

Penalties for Not Filing FBAR:

Failure to file an FBAR invites stiffer penalties. If you fail to meet the deadline or omit reporting foreign accounts, then the penalty is $10,000 for each violation. The penalty even balloons if the IRS finds that you deliberately omitted such account details, which can reach $100,000 or even up to 50% of the account balance!

What is FATCA?

FATCA is the U.S. tax law created with an aim of combating tax evasion by U.S. citizens holding assets elsewhere. Under this scheme, U.S. expatriates are required to report foreign financial assets to the IRS using Form 8938. Furthermore, under this law, foreign financial institutions have a duty to report to the IRS all U.S. account holders.

Key Points About FATCA:

Who must file? U.S. expats with foreign assets exceeding specific thresholds. These thresholds are significantly higher than FBAR's.

What assets need to be reported? FATCA includes not only bank accounts but also foreign stocks, bonds, mutual funds, real estate, and certain foreign retirement accounts.

The time it is due: FATCA is filed in conjunction with an annual tax return. It's due on April 15; however, the same as any tax return it can be automatically extended to the following October 15.

Where do you file? FATCA is reported on Form 8938, which you file with your tax return, Form 1040.

Penalties for Not Filing FATCA:

Failure to file Form 8938 can trigger significant penalties as follows: It attracts an initial penalty of $10,000, and in case you do not file within 90 days after sending a notice from the IRS, you will attract another penalty of $50,000. The failure to report assets on FATCA has the resulted in other potential penalties for inaccuracies or fraud committed.

How Expat Tax Services Can Help

Navigating the requirements of FBAR and FATCA can be a complex task for expats, especially if you have multiple foreign accounts or complex financial assets. That is where Expat Tax Services come in. These services specialize in helping U.S. citizens living abroad understand and comply with tax rules.

Here is how expat tax services can help with FBAR and FATCA:

Accurate Reporting: Expat tax professionals ensure that you report all of your foreign accounts and assets accurately, whether for FBAR or FATCA. They'll make sure nothing is missed, reducing the chance of errors that could lead to penalties.

Understanding Complex Rules: rules regarding which accounts or assets must be reported can be rather confusing. If you hold accounts in several foreign countries, the rules are especially complicated. Expat tax services can help determine just what you need to report on both the FBAR and FATCA.

Meeting Deadlines: With numerous forms and filing deadlines, meeting the deadlines will be challenging. Expat tax professionals can assist you in keeping track of filing deadlines for FBAR and FATCA and get extensions if need be.

Penalty Prevention: If you have ever missed a deadline or made an error in the past, expat tax services can guide you on how to correct the mistake and minimize any potential penalties.

Knowing that professionals are handling your tax and reporting obligations takes the stress out of managing your financial affairs abroad. You can feel confident that you're meeting all the necessary requirements.

Conclusion

Understanding and adhering to FBAR and FATCA reporting for U.S. expats can save one from penalties and the wrong side of the law. Although these regulations are very complicated, tax services for expats can help you make the process easier and ensure that you file your reports correctly and timely. You can now live abroad with no fear of missing a form or deadline if you have a tax professional.

[abhijeetmeenarajput]

How can US NRI Comply with PFIC and FBAR Rules on Indian Investments?

For US-based Non-Resident Indians (NRIs), complying with tax regulations related to foreign financial assets is crucial to avoid legal and financial penalties. The US tax system requires NRIs to report their global income and foreign financial holdings, including Indian investments, under stringent compliance rules like PFIC (Passive Foreign Investment Company) and FBAR (Foreign Bank Account Report). Understanding these regulations and their impact is essential for effective financial planning.

Understanding PFIC Rules for US NRIs

The IRS classifies most Indian mutual funds and certain other investments as PFICs. PFIC rules impose heavy tax burdens and complex reporting requirements on NRIs. To determine whether your Indian investments fall under PFIC regulations, you must file Form 1040NR for Indian citizens in the US and declare all relevant details.

Tax Implications of PFIC for NRIs

PFIC investments are taxed at the highest ordinary income tax rate instead of the lower capital gains rate.

Non-compliance may lead to severe penalties and back taxes.

Using Foreign Tax Credit for NRIs in USA may help reduce the tax burden on Indian investments.

FBAR Filing for Indian-Origin US Taxpayers

If you are a US NRI with financial assets in India exceeding $10,000 at any point in a calendar year, you must file FBAR filing for Indian-origin US taxpayers using FinCEN Form 114. The penalties for non-compliance can be significant, making it essential to fulfill this requirement.

Key Points About FBAR Filing

Must be submitted annually by April 15.

Includes bank accounts, mutual funds, and foreign investments.

Failing to report can lead to fines of up to $10,000 per violation.

Double Taxation Avoidance Agreement (DTAA) Between India and USA

The Double Taxation Avoidance Agreement (DTAA) between India and USA ensures that NRIs are not taxed twice on the same income. Under DTAA, you can claim tax credits to offset US tax liabilities if you have already paid taxes in India.

How to Utilize DTAA?

File Form 67 to claim Foreign Tax Credit.

Declare Indian income under Form 1040NR for Indian citizens in the US.

Use the US tax on foreign income for NRIs provision to avoid double taxation.

Essential Tax Forms for US NRIs with Indian Investments

NRIs dealing with Indian investments need to be aware of various tax forms to ensure compliance:

Form 16A – Tax Deducted at Source (TDS) certificate for Indian income.

Schedule FA – Declaration of foreign assets in the US tax return.

Form 15CA CB – Required for remittances from India to the US.

Form 10F – Essential for NRIs claiming DTAA benefits.

Form 10BA – Declaration for rent-related deductions.

How to Calculate and File Taxes as a US NRI?

Using an income tax calculator can help NRIs determine their tax liabilities on Indian income before filing their returns.

Steps for US NRIs to File Taxes on Indian Investments:

Gather all necessary documents, including Form 16A and Schedule FA.

Calculate taxable income using an income tax calculator.

File FBAR filing India for foreign account reporting.

Claim tax credits under DTAA India USA.

Submit returns on time to avoid penalties.

Conclusion

US NRIs must ensure compliance with PFIC and FBAR regulations when dealing with Indian investments. Understanding the US tax on foreign income for NRIs and leveraging Foreign Tax Credit for NRIs in USA can help mitigate tax burdens. By filing Form 1040NR for Indian citizens in the US correctly and reporting Indian financial assets under FBAR filing for Indian-origin US taxpayers, NRIs can stay compliant and avoid unnecessary penalties.

For expert assistance on NRI tax compliance, visit India For NRI.

[expertmoneytalk]

Investing Tips for College Students

Investing Tips for College Students: Your Guide to Financial Success

As a college student, it’s important to start thinking about your financial future. Building financial stability involves understanding your current financial situation and making smart choices for the future. One key first step is calculating your net worth by subtracting what you owe from what you own. This helps you understand where you stand financially and where to focus your efforts.

A great budgeting strategy to follow is the 50/30/20 rule: allocate 50% of your income for needs (like housing and food), 30% for wants (discretionary spending), and 20% for savings and debt repayment. Additionally, setting SMART goals, like saving 15% of your income for retirement, can help ensure long-term financial success. Tackling high-interest debt early on is also a wise choice. By focusing on your most important goals first, you can better plan your financial future.

Understanding the Basics of Investing as a Student

Investing during college may seem daunting, but it’s a great way to start building wealth for the future. The earlier you start investing, the more your money can grow due to the power of compound interest. Even small investments can accumulate significantly over time.

As a young investor, you can generally afford to take on more risk since you have time on your side. It’s important to understand your risk tolerance to make informed investment decisions. Compound interest, in particular, can make investments grow exponentially, even if you're only contributing small amounts regularly.

Before diving into investments, it's crucial to have a solid financial base. Begin by creating a budget based on the 50/30/20 rule. Pay off high-interest debt, and aim to build an emergency fund that covers three to six months of living expenses. This ensures you are financially stable and can weather unexpected expenses.

Key Financial Tips for College Students

Here are some key tips for managing money while you’re in college:

Build an Emergency Fund: Start by saving three to six months' worth of living expenses to cover unexpected costs.

Manage Student Loans: Consider balancing your loan repayment with investments. If your loans have low interest, investing could potentially offer better long-term growth.

Balance Savings and Investments: Set aside money for short-term goals while investing for the long term. Diversifying your investments can reduce risk and benefit from compound interest.

Choosing the Right Investment Vehicles

For college students, the right investment vehicles can help set the stage for long-term financial success. Some options include:

Index Funds: These are great for passive investing. They offer broad market exposure, which helps with diversification and lowers risk.

ETFs: Exchange-Traded Funds (ETFs) are similar to index funds but can be traded like stocks, offering flexibility.

Mutual Funds: These are managed investments that help you grow your wealth over time with the help of professionals.

Selecting the right investment vehicle depends on factors like fees, ease of management, and how well they align with your financial goals.

Investing on a Student Budget

Even with a tight budget, there are ways to start investing. Many apps allow you to invest with just a few dollars. Dollar-cost averaging is an excellent strategy for beginners, as it involves investing a fixed amount regularly, regardless of market conditions. This can help you avoid major losses during market downturns and build your portfolio over time.

Micro-investing apps like Acorns or Robinhood let you start investing with small amounts, even rounding up your purchases to the nearest dollar to invest the spare change. These tools make investing automated and easy to manage, even on a student budget.

Leveraging Technology for Investment Success

Technology has revolutionized investing, making it more accessible than ever. Many investment apps offer easy-to-use platforms for students to start investing with minimal effort. Apps like Robinhood and Acorns are popular choices for beginners due to their user-friendly interfaces and low fees. Robo-advisors, such as Betterment or Wealthfront, can also help manage your investments by using algorithms to automatically rebalance your portfolio and optimize returns.

For those who prefer a more hands-on approach, platforms like E*TRADE and TD Ameritrade offer research tools and customizable portfolios.

Diversification: The Key to Managing Risk

Diversification is one of the most important strategies for reducing investment risk. By spreading your investments across different asset classes—such as stocks, bonds, and real estate—you can protect your portfolio from market volatility. For college students, a good balance might include both equities (stocks) and fixed-income securities (bonds), as well as some alternative investments like real estate or cryptocurrency. This balanced approach allows you to benefit from market growth while minimizing risk.

Modern Investment Opportunities

In addition to traditional investment vehicles, modern options like cryptocurrency and sustainable investments are gaining popularity:

Cryptocurrency: While volatile, cryptocurrency offers high-growth potential for investors who are willing to take on risk.

Sustainable Investing: ESG (Environmental, Social, and Governance) funds allow you to invest in companies that align with your values, such as those focused on sustainability or social impact.

Common Investment Mistakes to Avoid

As a beginner, there are a few common mistakes to watch out for:

Emotional Trading: Letting emotions dictate your investment decisions can lead to impulsive actions and significant losses. Stick to your investment plan and avoid reacting to market fluctuations.

Over-concentration: Putting too much money into one stock or sector increases risk. Diversify your investments to reduce exposure to any single asset.

Timing the Market: Trying to predict market movements is difficult and often leads to missed opportunities. A long-term approach is generally more successful.

By avoiding these mistakes and staying disciplined, you can enhance your chances of financial success.

Conclusion

Starting to invest during college is a powerful way to build wealth for your future. Even small, consistent investments can grow significantly over time due to compound interest. Begin by setting a budget, building an emergency fund, and managing your student loans. Once you have a solid foundation, you can explore different investment options like index funds, ETFs, and sustainable investments. Use technology and apps to make the process easier and more efficient.

Diversifying your investments is essential for managing risk and boosting long-term returns. With a disciplined approach and the right strategies, you can set yourself up for financial success and independence.

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[paylessaccountants]

Capital Gains Tax Explained: Tips for Investors and Property Owners

Navigating the world of taxes can be overwhelming, especially when it comes to capital gains tax (CGT). Whether you’re an investor looking to sell assets or a property owner thinking of selling your home or rental property, understanding CGT is crucial to making informed decisions. In this blog, we'll break down the essentials of CGT and offer some practical tips to help you minimize your tax liability.

What is Capital Gains Tax?

Capital gains tax is a levy on the profit made when you sell an asset that has increased in value. The tax is applied to the "capital gain," which is the difference between the selling price and the asset's purchase price (or its "cost basis").

Key examples of taxable assets include:

Real estate (other than your primary residence in many cases)

Stocks and mutual funds

Businesses

Collectibles (like art or antiques)

Exemptions may apply to:

Your primary residence (in some cases)

Assets passed to heirs upon death (subject to different tax rules)

Certain investments held in tax-advantaged accounts (e.g., retirement funds)

How is Capital Gains Tax Calculated?

The amount of CGT you owe depends on:

The holding period of the asset:

Short-term gains: For assets held less than a year, profits are taxed at your regular income tax rate.

Long-term gains: For assets held more than a year, a lower, preferential tax rate applies.

Your income level:

Many countries, including the U.S., have a tiered system where higher-income individuals pay higher CGT rates on long-term gains.

For example, in the U.S., long-term capital gains tax rates are typically 0%, 15%, or 20%, depending on your taxable income.

Capital Gains Tax on Property

Real estate transactions often have unique rules. Here's what property owners need to know:

Primary Residence Exclusion: If you sell your primary residence, you may be eligible to exclude up to $250,000 ($500,000 for married couples) of the capital gain, provided you meet ownership and use requirements.

1031 Exchanges (in the U.S.): Investors can defer paying CGT on real estate by reinvesting the proceeds from a sale into a "like-kind" property through a 1031 exchange.

Depreciation Recapture: If you’ve claimed depreciation on a rental property, you’ll need to pay taxes on the recaptured depreciation amount when you sell.

Tips to Reduce Capital Gains Tax

Hold Assets Longer Whenever possible, aim to hold your investments for more than a year to qualify for long-term capital gains rates.

Use Tax-Advantaged Accounts Invest through retirement accounts (like IRAs or 401(k)s in the U.S.) to defer or avoid CGT.

Offset Gains with Losses Capital losses can be used to offset capital gains, reducing your taxable amount. If your losses exceed your gains, you may even be able to deduct a portion against your regular income.

Time Your Sales Strategically Plan to sell assets in years when your income is lower to reduce your CGT rate.

Consider Gifting or Inheritance In some cases, gifting appreciated assets or passing them through inheritance can reduce CGT burdens for you and your heirs, depending on local laws.

Seek Professional Advice Tax laws are complex and vary by jurisdiction. A tax advisor can help you navigate the rules and identify the best strategies for your situation.

The Bottom Line

Capital gains tax is an essential consideration for anyone selling investments or property. By understanding the rules and using smart strategies, you can keep more of your profits while staying compliant with tax laws. Whether you're selling stocks, a second home, or other valuable assets, planning ahead can make all the difference.

Ready to take charge of your financial future? Start by assessing your portfolio and consulting with a tax professional to ensure you're maximizing your gains and minimizing your taxes

[financialeducationsip]

Mutual Fund SIP Vs PPF: A Complete Guide for Smart Investors

When it comes to growing your wealth, there are numerous investment options to consider. Two popular choices in India are Mutual Fund SIP (Systematic Investment Plan) and the Public Provident Fund (PPF). Both of these options offer different benefits, making it essential to understand their differences and evaluate which one aligns better with your financial goals.

Understanding Mutual Fund SIP and PPF

What is a Mutual Fund SIP?

A Systematic Investment Plan (SIP) is a method of investing in mutual funds where you invest a fixed amount at regular intervals, typically monthly. SIPs are an effective way to invest in equity or debt mutual funds, helping to spread investment over time and reduce market risk.

What is Public Provident Fund (PPF)?

The Public Provident Fund (PPF) is a government-backed savings scheme that provides a guaranteed return on investment. It’s a long-term savings option primarily for conservative investors who seek a safe and tax-saving instrument with assured returns.

The Basics: How SIP and PPF Work

How a SIP Works in Mutual Funds

In a Mutual Fund SIP, investors deposit a fixed amount monthly, which is then used to purchase fund units. This way, investors benefit from rupee cost averaging and have the potential to accumulate wealth over time through compounding.

How the PPF Scheme Works

In PPF, individuals open an account with a bank or post office, deposit funds annually (with a minimum and maximum limit), and earn a government-fixed interest rate. The PPF has a lock-in period of 15 years, though partial withdrawals are allowed after the sixth year.

Key Differences Between Mutual Fund SIP and PPF

Investment Objective

SIP: Ideal for wealth creation and capital appreciation over the long term.

PPF: Primarily for safe savings with guaranteed returns and tax benefits.

Risk Factor

SIP: Market-linked, meaning the returns can vary based on market performance.

PPF: Government-backed and risk-free, offering guaranteed returns.

Returns on Investment

SIP: Potentially high returns due to equity market exposure, although there are risks.

PPF: Fixed interest rate, typically lower but secure.

Investment Horizon Comparison

SIP Investment Duration

There is no fixed duration for SIP investments. Investors can choose to invest for any time frame, though long-term SIPs (5-10 years or more) usually yield better returns due to compounding.

PPF Maturity Period

PPF has a fixed maturity period of 15 years, which can be extended in blocks of 5 years upon request.

Tax Benefits of SIP and PPF

Tax Deductions for SIP

Equity-linked SIPs that invest in Equity-Linked Savings Scheme (ELSS) funds qualify for tax deductions under Section 80C, up to INR 1.5 lakh annually.

Tax Benefits of PPF

PPF investments qualify for tax deductions under Section 80C, and the interest earned is tax-free, making it an EEE (Exempt-Exempt-Exempt) instrument.

Liquidity and Withdrawal Flexibility

SIP Withdrawal Options

SIP investors can usually withdraw their funds anytime, though exiting too soon may result in exit load charges or short-term capital gains tax.

PPF Withdrawal Rules

PPF has restricted liquidity, allowing partial withdrawals only from the seventh year of investment, with specific conditions.

Interest Rates and Returns

Expected Returns from SIP

Returns from SIPs in equity mutual funds vary with market performance and have historically offered 10-15% annually for long-term investments.

Guaranteed Returns from PPF

PPF provides a fixed rate of interest, currently around 7-8%, reviewed quarterly by the government.

Who Should Consider Investing in SIP?

Individuals looking for higher growth potential with a tolerance for risk may find SIPs appealing. They suit investors aiming for long-term financial goals like buying a home, funding children’s education, or retirement.

Who Should Consider Investing in PPF?

PPF is ideal for risk-averse individuals seeking a safe, guaranteed return and tax savings. It suits long-term savings goals, such as retirement, without exposure to market volatility.

Impact of Inflation on SIP and PPF

SIP: Potentially combats inflation due to higher returns from equity markets.

PPF: Provides fixed returns, which may not always keep pace with inflation.

SIP vs PPF: Wealth Creation Potential

SIPs, especially in equity mutual funds, offer a better wealth creation potential over the long term than PPF. However, they come with market risks, whereas PPF is a safer but lower-yield option.

SIP vs PPF: Which One is Better for Retirement?

For retirement planning, combining both SIP and PPF can create a balanced portfolio, with SIP offering growth potential and PPF providing stability and tax-free benefits.

How to Start Investing in SIP and PPF

Steps to Start a SIP

Select a reliable fund house or broker.

Choose the type of mutual fund (equity, debt, hybrid).

Set the SIP amount and duration.

Complete KYC and link your bank account.

Start investing and monitor regularly.

Steps to Open a PPF Account

Visit a bank or post office.

Fill out the PPF account opening form.

Submit KYC documents.

Deposit the minimum required amount.

Start depositing regularly.

Conclusion

Both Mutual Fund SIP and PPF have their own set of advantages and suit different types of investors. SIPs are ideal for investors looking for higher returns and can tolerate market risks, while PPF is perfect for those who prioritize security and guaranteed returns. Choosing between SIP and PPF depends on your financial goals, risk appetite, and investment horizon. A combination of both can also help achieve a balanced portfolio with growth and stability.

FAQs

Can I invest in both SIP and PPF?

Yes, investing in both can offer a balanced mix of growth and security.

Which one is better for tax savings: SIP or PPF?

Both SIP (in ELSS funds) and PPF offer tax deductions under Section 80C, but PPF offers tax-free returns.

Is SIP riskier than PPF?

Yes, SIPs are market-linked and can be volatile, while PPF offers guaranteed, risk-free returns.

What is the ideal duration for SIP investments?

A 5-10 year horizon is recommended for SIPs to maximize growth potential through compounding.

Can I withdraw money from my PPF before maturity?

Partial withdrawals are allowed after the sixth year, with certain restrictions.

[personal-finance8]

MAKE 1Cr with 15K investment I 15-15-15 Rule of Mutual Funds

1. Investment Rules: *15-15-15 Rule *Thumb Rule of Investing *15x15x15 Rule of Investing

2. Mutual Fund Rules: *15-15-30 Rule of Mutual Funds

3. SIP Investment: *Benefits of SIP Investment

4. Explaining the Rules: *What is the 151515 Rule of Investing? *How the 15x15x15 Rule of Investing Works *What is the 15x15x15 Rule of Investing? *What is the 15x15x15 Rule in Investing? *What is the 15x15x15 Rule in Investing?

[vedantbhoomidigital]

Mutual Fund: SEBI's insider trading rules will be applicable from November 1, if any transaction is done then information will have to be given within 2 days.

Market regulator SEBI said on Tuesday that insider trading rules for mutual funds will come into effect from November 1. Under this, all transactions of more than Rs 15 lakh made by nominees, trustees or their close relatives in mutual funds of the asset management company will be reported within two business days (…).

[digitalworldmarketview]

💡 Mutual Fund Taxation 2024: What You Need to Know! 💰 The 2024 Union Budget has brought major changes to how your mutual fund investments are taxed. 🏦 Whether you're investing in equity or debt mutual funds, understanding the new tax rules is essential for maximizing your returns. Here’s what’s new: 📊 Equity Mutual Funds: Short-Term Capital Gains (STCG): For units held less than 12 months, gains are taxed at 20% after July 23, 2024 (previously 15%). Long-Term Capital Gains (LTCG): For units held over 12 months, gains above ₹1.25L are taxed at 12.5%. 📊 Debt Mutual Funds: All gains taxed at your income tax slab rate, regardless of holding period, after April 1, 2023. Plan your investments wisely to optimize tax benefits! 📈 #MutualFunds #TaxPlanning #FinanceTips #Investment #TaxSeason #GrowYourWealth #FinancialFreedom #worldmarketview

[cryptogirl2024]

Thai SEC Allows Crypto Investment in Mutual & Private Funds

The Thai SEC has proposed new rules for mutual and private funds for crypto investment.

This proposal aims to enhance investors and align with international developments.

The rules would differ between high-risk assets and stablecoins to maintain a steady value.

Thailand Securities and Exchange Commission (SEC) has proposed new regulations for mutual and private funds to invest in cryptocurrency. The regulations aim to enhance investor growth and promote the digital economy. Further, these regulations emphasize risk management and transparency as cryptocurrency seeps into Thailand's financial system.

On Wednesday, a draft proposal of the guidelines was released. It requested feedback from the public and stakeholders on future investment in cryptocurrency in Thailand. The proposal outlines the limits for various fund types. Retail mutual funds would be restricted by 15%, while major funds face no such restrictions. The last day to provide feedback on the proposal is November 8, and the final regulation is expected in 2025.

The proposal also allows institutional investors to participate in digital assets. However, the SEC requires that only licensed fund managers manage these assets to protect hedge fund investors. The new guidelines would limit exposure to high-risk crypto assets and enable the practice of diversification. This plan seeks to set up a structure that helps minimize the dangers associated with such assets. 

The idea behind the proposal of the SEC is the rapid rise of the digital asset market in Thailand. With the growing interest in cryptocurrencies and blockchain technology, necessary measures are being taken to follow international demands while maintaining domestic market conditions. It is believed that the new regulations would increase the confidence of investors. This would reduce unfair gains through volatility, fraud, and other manipulations. Moreover, the rules would differ between high-risk assets like Bitcoin and stablecoins like Tether. this is done to ensure a steady value.

Related: https://cryptotale.org/bitcoin-could-reach-90k-if-trump-wins-u-s-election-report/

With the proposal of new regulations, the authorities in Thailand have finally started to see the opportunities that blockchain and digital currencies can open in the country’s financial sector. However, the SEC is still wary. Although it has not given up on innovation, it ensures that regulatory measures are provided. 

[financialfriend123]

Retirement Planning 101: How to Secure Your Future Financially

Retirement is one of the most significant life milestones, marking the transition from a career-driven lifestyle to a more relaxed, fulfilling phase. However, ensuring financial security during retirement requires thoughtful planning and strategic investment. In this guide, we will break down the essentials of retirement planning, helping you build a roadmap to a secure and comfortable future.

1. Start Early, Reap the Rewards

The most crucial rule of retirement planning is to start as early as possible. Compounding works best when given time to grow. By starting your investments early, you allow your money to grow exponentially, providing you with a sizable retirement fund by the time you retire.

Key tip: Set aside at least 15-20% of your monthly income for retirement savings, especially if you're in your 20s or 30s. Use tools like Employee Provident Fund (EPF), Public Provident Fund (PPF), and mutual funds to build wealth consistently over time.

2. Understand Your Retirement Goals

Before diving into investments, it's essential to know how much you need for retirement. What kind of lifestyle do you envision? Do you plan to travel extensively, or are you happy living a quiet life in your hometown? Estimate your post-retirement expenses, including medical bills, daily living costs, and potential travel plans.

Key tip: A common rule of thumb is that you will need about 70-80% of your pre-retirement income to maintain your lifestyle post-retirement.

3. Diversify Your Investment Portfolio

Retirement planning isn’t about putting all your eggs in one basket. Diversification is key to managing risk while maximizing returns. Consider a mix of low-risk options like government bonds and fixed deposits, along with higher-risk options such as stocks, mutual funds, and real estate.

Key tip: Equity-linked saving schemes (ELSS) and Unit Linked Insurance Plans (ULIPs) can offer tax benefits and long-term returns, making them ideal for retirement planning.

4. Leverage Tax Benefits

Investing in tax-saving instruments can significantly boost your retirement savings. Under Section 80C of the Income Tax Act, various investments, such as the EPF, PPF, National Pension Scheme (NPS), and life insurance premiums, are eligible for deductions.

Key tip: Make sure to invest the maximum allowable amount in these tax-saving instruments each financial year to reduce your taxable income and enhance your retirement savings.

5. Don’t Underestimate Inflation

While planning for retirement, it’s vital to account for inflation, which can erode the value of your money over time. For instance, what may seem like a sufficient amount today may not cover your living expenses 20 years down the line.

Key tip: Invest in inflation-beating assets like equity and real estate, and ensure that your retirement corpus grows faster than inflation.

6. Consider Health Insurance

Medical expenses can be a huge drain on retirement savings, especially as healthcare costs continue to rise. While building a retirement fund, make sure to have comprehensive health insurance coverage that will take care of your medical bills post-retirement.

Key tip: Opt for a health insurance plan with lifetime renewability and adequate coverage, keeping future healthcare needs in mind.

7. Create a Post-Retirement Income Stream

Apart from saving and investing, consider ways to generate a steady income during your retirement years. Annuities, dividend-paying stocks, and rental properties can provide you with additional income to maintain your lifestyle.

Key tip: The National Pension System (NPS) allows you to withdraw a portion of your corpus at retirement, while the remainder can be converted into a regular pension, ensuring consistent cash flow.

8. Review and Adjust Your Plan Regularly

Retirement planning is not a one-time task. You must review and adjust your strategy periodically based on changes in your income, expenses, and goals. Rebalancing your portfolio to match your risk tolerance as you approach retirement is essential to secure your future.

Key tip: Conduct an annual review of your retirement savings and investments to ensure they align with your long-term goals.

9. Seek Professional Guidance

Retirement planning can be complex, and it’s easy to feel overwhelmed. Consider consulting a financial planner who can provide personalized advice tailored to your retirement goals. They can help you choose the right investment vehicles, create a tax-efficient plan, and ensure you’re on track for a secure retirement.

Key tip: A financial advisor can help you make informed decisions, especially when it comes to balancing risk and returns as you approach retirement age.

Conclusion

Retirement planning is a crucial part of financial planning that requires disciplined savings, prudent investments, and strategic decision-making. By starting early, understanding your goals, and consistently reviewing your plans, you can build a retirement corpus that will provide financial security in your golden years.

If you're looking for personalized retirement planning advice, feel free to reach out to Financial Friend. Call Us at +91 9460825477 or visit our website www.financialfriend.in

 Our team of financial experts will help you navigate your financial journey, ensuring a secure and stress-free retirement.