Income Tax savings, Investments and Insurance

Takumi-san · 8th June 2009, 09:59

Buy an Audi R8. Hang on to her till she becomes an antique. Make sure she is well maintained. Your kids will enjoy a lovely appreciation.

jkdas · 8th June 2009, 10:03

Quote:

Originally Posted by amohit

Buy a huge chunk of land someplace remote.
20 years down the line you will be able to sell it of for a fortune.

Alternately give it to me..i promise I will keep it safe and return it to you whenever you need it back

Regards,

Land.

Can you spare 10-20lac ? Buy some rubber estate at Pala or so. Rubber = income and you have an 'estate' , build a house, and then you have 'bungalow'; this can be your holiday home. Sell it in 3-5 years and double price.

Oh, forgot for 10-15 lacs you get couple of acres of rubber estate.

Red Liner · 8th June 2009, 12:29

Quote:

Originally Posted by dockap

dont take a bank loan and dont invest the whole amount in one place
25 laks in real estate(land is better than apartment)
15 lakhs in stocks
10 lakhs in fd(you never know when you need ready cash)

I would have loved to have done this - but the 50L component is subject to capital gains and I will HAVE to reinvest it right away to avoid that tax.

Quote:

Originally Posted by ajmat

Only take a loan for an asset

That is precisely what I am doing...

Quote:

Originally Posted by ajmat

SJP and whitefield have oversupply and poor water. Land is the better option

Nitesh is in big trouble. Sobha also but will somehow come out

Poor water supply is a massive concern. Considering the number of apartments which have come up there, the ground water situation must be quite horrible.

Nitesh is in trouble? Read that somewhere? Let me google them up. Almost everyone is hammered right now. Sobha just got a cash-lifeline from the big boys at Infy.

Quote:

Originally Posted by amohit

Buy a huge chunk of land someplace remote.
20 years down the line you will be able to sell it of for a fortune.

The problem with buying this huge amount of land will be encroachment. I will have to work really hard to ensure that does not happen overnight. Which was why I was looking at a gated community project.

Quote:

Originally Posted by major

If you are planning for investment in fixed deposits(FD), do it as soon as possible in any Nationalised Bank, interest rates are falling. Ask for special rates before investing, Banks (sometimes) do offer better rates on FD above 15 Lakhs.

FD's are kind of out of the question now. I am looking at a good appreciation for my investment - not a safe haven.

Quote:

Originally Posted by navpreet318

Do one thing.Buy lots of NTPC and wait for the IPO of NHPC to come out.Both companies will have eventual privatisation and disinvestment.So the shares will go up.Even otherwise these are the two shares which will go up no matter what.NTPC is considered as a very very good fixed deposite if you will.

By the way these are my observations and please don't hold me responsible for them or flame me about them.I'm sure the brainy Tbhians have tons of other better ideas.

I am here for new fresh ideas, so I wont hold you responsible. I am responsible at the end of the day. I cannot put the money in the market because of capital gains tax issues.

Quote:

Originally Posted by Takumi-san

Buy an Audi R8. Hang on to her till she becomes an antique. Make sure she is well maintained. Your kids will enjoy a lovely appreciation.

Those kids (of mine?) can go buy their OWN damn R8. They are getting kicked out of the house when they turn majors.

Quote:

Originally Posted by jkdas

Land.

Can you spare 10-20lac ? Buy some rubber estate at Pala or so. Rubber = income and you have an 'estate' , build a house, and then you have 'bungalow'; this can be your holiday home. Sell it in 3-5 years and double price.

Oh, forgot for 10-15 lacs you get couple of acres of rubber estate.

Land is a very good option. I am seriously considering it, but I am extremely lost in this area. Calls for a lot of research and thinking. Sparing 10-20 lakhs is not an issue really, since I have 50L in the bank waiting to be invested.

hrishig · 3rd August 2009, 12:08

(Pl merge thread if already exists..)

What is better , to invest in Flat/Apartment or FD's/ any traditional methods

Inputs

1) 15-20 lkh in hand ( 50% of total amount )
2)rest in loan @ 9%( 15-20 lkh is loan amount )
3)Investment for 20years.
4) EMI around 25k per month for next 12 years

Apartment will be rented out around 15k per month.

OR

earn Interest @ 9% on total investment i.e
1)15- 20lkh present in hand
2) Recurring of 25k per month.

Any inputs?

In long term ( after 20 years) what will be helpful?

mobike008 · 3rd August 2009, 12:28

2nd Option is good since gone are those heyday when flats used to appreciate heavily. However, you can also considering spreading the money in the following way for 20 Lakh in hand

1) Purchase a plot far away from city where you know development will happen - 2-3 Lakhs

2) Spread some of that money in reliable and consistent return giving mutual funds- 2 Lakhs

3) Park some of that money in your parents name in a Post Office Account and with interest earned start another Recurring Depost account ( if they are above 60- you get a higher rate of interest)

4) Rest FD it at 9%

hrishig · 3rd August 2009, 12:54

Quote:

Originally Posted by mobike008

2nd Option is good since gone are those heyday when flats used to appreciate heavily. However, you can also considering spreading the money in the following way for 20 Lakh in hand

1) Purchase a plot far away from city where you know development will happen - 2-3 Lakhs

My friend remembered Khosala ka Ghosala

Just to clarify , This is for my close friend and not me as I was for option 1.

mobike008 · 3rd August 2009, 13:04

Quote:

Originally Posted by hrishig

My friend remembered Khosala ka Ghosala

Just to clarify , This is for my close friend and not me as I was for option 1.

I do remember Khosla ka Ghosla. It does not happen to everyone in life if your careful. Anyways, that was just my opinion and i would have done that if i were in your friend's shoes.

NOTORIOUS · 3rd August 2009, 18:46

Quote:

Originally Posted by mobike008

Rest FD it at 9%

the max now is 7.5% for a year , from where do you get 9% ?????

pranavt · 3rd August 2009, 19:08

Quote:

Originally Posted by anilkalvani

Hi Redliner,
I am the heir to His Royal Highnesses estate and property. My country Zimbabwe is in strife. I need to tranfer 1,000,000,000,000,000,000,000,000 Zimbabwean Dollars from my account to a safe haven and I think India is the best option. The person who will carry out this transaction will receive 50% of the transferred amount. From my sources and information you have been selected for this. You are one lucky man. Please transfer 100,000 USD in my account for this transaction to be processed.

Bank of Nigeria, Nigeria
A/c No: 0000-0000-0000-0420

Yours... Honestly,
Prince Peter Zumba
(they call me Princey)

How much is that? 100 rupees?

mithun · 3rd August 2009, 19:39

Quote:

Originally Posted by hrishig

My friend remembered Khosala ka Ghosala

Just to clarify , This is for my close friend and not me as I was for option 1.

Khosla Ka Ghosla happened in the case of an acquaintance at Chennai when the guy when for a short stint to US.

null · 3rd August 2009, 22:29

why break your head soo much? give it all to me and be happy that you have made a wise decision

PAVAN KADAM · 3rd August 2009, 23:29

Quote:

Originally Posted by null

why break your head soo much? give it all to me and be happy that you have made a wise decision

Great minds think alike

Mee tooo in the que venky.

Be wise, we'll equally take care of your money.

s0uljah · 3rd August 2009, 23:42

Where do you live? Do you have any dogs?

Jokes apart, I see JK.Das suggestion as something I would do.

Food prices = Going up
Population = Going up
Food Supply = Stagnant or dropping

Invest in land. Sow the seed. You shall reap.

While your at it, go green, go organic, get certified. If you really want to take it next level go natural. You can charge a premium with the 'organic' tag when you sell or if you plan to sell your estate in the future.

Area's in around Denkanikottai are still attractive, barring some water problems. The area will appreciate rapidly in coming years. Access through Electronic city.

If your interested in Kerala estates I know just the agency, honest & 100% transparent. Lots of NRI's have invested through them and successfully built up home stay resorts / retirement homes.

supercars · 27th September 2009, 09:30

Do not invest anywhere ? Why not buy a Porsche Cayenne ?

btw We have some very rich guys with a lot of money to spare.
I know for sure that India is not poor anymore except some few unfortunate people. LOL

I am surprised that no one gave you the Bad Idea of investing in MF/SIP/Whatever MF. Investing in Stock Market is dangerous.

cpyder · 27th September 2009, 10:19

Well, IF i had that kind of money, I would research about some good MFs across different industries. Deposit that entire sum for some sort of FD from which I could withdraw a particular amount every month/fortnight. I am sure with this kind of money, banks can customise a scheme if they do not already have one. This sum goes via SIP to my chosen MFs every month. The best part - It all happens automatically, so I dont even have to bother about anything. The money just keeps growing.

In fact I am already doing so, its just that my amount is quite humble 50k (less than 10% of what you got), out of which Rs 3500/- goes for SIP every month. The MF is a dividend option which keeps getting back to same bank, so it is pretty much self sustaining now. I started it about 3 years ago, and despite all that downturn and all, I am still sitting at a profit of about 30%.

@Supercars, Investing in stock market is dangerous if you dont know what you are doing. Pretty much like buying cars without any research and all (which includes consulting tbhp), you might end up with a good vehicle or with a lemon from Skoda. There is an old saying in stocks, it is not the timing, but the time in the market. In my case, I was running a loss of around 15-20% in 2008, had i exited, I would've been also saying that stock is dangerous. But I have maintained my position and continued the SIP and thats what is yielding profits for me. With a modest returns of just about 10% p.a., my account will be perfectly self sustaining in another one year. Another year later, it would generate enough income for me to invest somewhere else as well. And mind you, the average returns are going to be 15%-30%!!

3rd August 2009, 12:08	#19
hrishig BHPian Join Date: Apr 2007 Location: Pune Posts: 352 Thanked: Once	Investment question (Pl merge thread if already exists..) What is better , to invest in Flat/Apartment or FD's/ any traditional methods Inputs 1) 15-20 lkh in hand ( 50% of total amount ) 2)rest in loan @ 9%( 15-20 lkh is loan amount ) 3)Investment for 20years. 4) EMI around 25k per month for next 12 years Apartment will be rented out around 15k per month. OR earn Interest @ 9% on total investment i.e 1)15- 20lkh present in hand 2) Recurring of 25k per month. Any inputs? In long term ( after 20 years) what will be helpful?

3rd August 2009, 23:42	#28
s0uljah Senior - BHPian Join Date: Feb 2006 Location: BLR Posts: 2,222 Thanked: 5 Times View My Garage	Where do you live? Do you have any dogs? Jokes apart, I see JK.Das suggestion as something I would do. Food prices = Going up Population = Going up Food Supply = Stagnant or dropping Invest in land. Sow the seed. You shall reap. While your at it, go green, go organic, get certified. If you really want to take it next level go natural. You can charge a premium with the 'organic' tag when you sell or if you plan to sell your estate in the future. Area's in around Denkanikottai are still attractive, barring some water problems. The area will appreciate rapidly in coming years. Access through Electronic city. If your interested in Kerala estates I know just the agency, honest & 100% transparent. Lots of NRI's have invested through them and successfully built up home stay resorts / retirement homes. Last edited by s0uljah : 3rd August 2009 at 23:43.

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8th June 2009, 09:59	#16
Takumi-san BHPian Join Date: Apr 2009 Location: Melbourne Posts: 365 Thanked: 2 Times View My Garage	Buy an Audi R8. Hang on to her till she becomes an antique. Make sure she is well maintained. Your kids will enjoy a lovely appreciation.

3rd August 2009, 12:28	#20
mobike008 Team-BHP Support Join Date: Sep 2006 Location: Hyderabad Posts: 7,095 Thanked: 1,360 Times View My Garage	2nd Option is good since gone are those heyday when flats used to appreciate heavily. However, you can also considering spreading the money in the following way for 20 Lakh in hand 1) Purchase a plot far away from city where you know development will happen - 2-3 Lakhs 2) Spread some of that money in reliable and consistent return giving mutual funds- 2 Lakhs 3) Park some of that money in your parents name in a Post Office Account and with interest earned start another Recurring Depost account ( if they are above 60- you get a higher rate of interest) 4) Rest FD it at 9%

3rd August 2009, 22:29	#26
null BHPian Join Date: Aug 2007 Location: Paradise (wish it was) Posts: 142 Thanked: 3 Times	why break your head soo much? give it all to me and be happy that you have made a wise decision

27th September 2009, 09:30	#29
supercars BHPian Join Date: Sep 2007 Location: Bombay Posts: 430 Thanked: 6 Times	Do not invest anywhere ? Why not buy a Porsche Cayenne ? btw We have some very rich guys with a lot of money to spare. I know for sure that India is not poor anymore except some few unfortunate people. LOL I am surprised that no one gave you the Bad Idea of investing in MF/SIP/Whatever MF. Investing in Stock Market is dangerous.

27th September 2009, 10:19	#30
cpyder BHPian Join Date: Aug 2009 Location: Chennai Posts: 79 Thanked: 2 Times	Well, IF i had that kind of money, I would research about some good MFs across different industries. Deposit that entire sum for some sort of FD from which I could withdraw a particular amount every month/fortnight. I am sure with this kind of money, banks can customise a scheme if they do not already have one. This sum goes via SIP to my chosen MFs every month. The best part - It all happens automatically, so I dont even have to bother about anything. The money just keeps growing. In fact I am already doing so, its just that my amount is quite humble 50k (less than 10% of what you got), out of which Rs 3500/- goes for SIP every month. The MF is a dividend option which keeps getting back to same bank, so it is pretty much self sustaining now. I started it about 3 years ago, and despite all that downturn and all, I am still sitting at a profit of about 30%. @Supercars, Investing in stock market is dangerous if you dont know what you are doing. Pretty much like buying cars without any research and all (which includes consulting tbhp), you might end up with a good vehicle or with a lemon from Skoda. There is an old saying in stocks, it is not the timing, but the time in the market. In my case, I was running a loss of around 15-20% in 2008, had i exited, I would've been also saying that stock is dangerous. But I have maintained my position and continued the SIP and thats what is yielding profits for me. With a modest returns of just about 10% p.a., my account will be perfectly self sustaining in another one year. Another year later, it would generate enough income for me to invest somewhere else as well. And mind you, the average returns are going to be 15%-30%!!