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Finance

Finance

Life Insurance for Children

Should you purchase life insurance for your children? Well, it’s a tricky question because typically life insurance is to protect investments and those making a salary. Your children are probably doing neither at this time. Whole life insurance protection can be a good option if you understand it.

People typically give their kids life insurance to lock in premiums, cover funeral expenses for the tragedy of an early death and allow for parents to build up a savings stockpile for college. Whole life insurance gives out a death benefit, or parents can add in a child rider.

Child Rider in the Sky

Child riders can be added to your own life insurance, and it provides another death benefit. Plus, for many people, the cash value can build up over time as long as you pay the premiums. The premiums don’t increase as the benefits do, so you’ll be paying the same price no matter what. Plus, the coverage can double the year that your child becomes an adult. In addition, when your child becomes an adult and starts his or her own journey on the life insurance track, they often get the option to continue paying the child premium with their adult life insurance. This ensures that your child will be able to afford and qualify for life insurance.

Protecting Against Problems

If your child wants to get adult life insurance, then they can turn in the child policy and get the insurance’s cash value. Plus, parents can borrow against it as long as they keep up the premium payments. Sometimes having that financial buffer will make all the difference with the unpredictability of life right around the corner.

Having a Whole Life Insurance For Child policy also protects them from potentially being disqualified from other problems later in life. Once they have some form of insurance, they have the ability to get insurance, no matter what happens to them as an adult.

Don’t Sacrifice You For Your Child

Now, while giving life insurance to your kids is okay and has a lot of great pros, be sure not to forget about yourself. You as an adult are far more likely to have problems that require you to use a life insurance plan, and you need to make sure that you are ready. Only once your life insurance is taken care off, should you consider buying some for your kids. Then everyone can reap the benefits together.

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Finance

Medical Bill Income Tax Exemption and Steps to Claim It

income tax calculator

In the recent past, the number of health issues and their treatment costs has gone up by leaps and bounds all across. The main culprit for this includes poor lifestyle choices and changing food habits. As per a leading report, Indians pay around 78% of their medical costs out of their own pockets.

As a result, many companies in India pay their employees the medical allowance to cover up the costs. It is an allowance which is a fixed amount paid by some companies to employees on a monthly basis.

However, when it comes to saving some income tax, the medical allowance can’t be claimed as a cut from the taxable income. Medical allowance needs to be entirely taxable under the head ‘income from other sources’ in such cases.

For anyone who does not know how to calculate tax on income can take the help of the income tax calculator. It is an online tool that can help you know the taxable income at the click of a button. The income tax calculator is generally made available free of cost at many finance websites and apps.

Reimbursement of medical bills by the company

The Income Tax Act allows a series of deductions and exemptions. One of these exemptions is related to medical bills and similar costs incurred during the fiscal year.

All these costs/expenses include those incurred for self and family members/dependents treatments. The medical expenses’ reimbursement to salaried class employees by employers are not taken under the umbrella of the taxes.

However, to claim this exemption, the following conditions need to be fulfilled such as:

  • The medical expenses incurred on self, spouse, dependent parents, siblings and children can only be claimed for exemption
  • You can also relate these medical expenses with medicines brought from pharmacies or medical shops. It also includes treatments of a disease undertaken at a clinic, private and public hospital.
  • You need to submit these discussed medical bills only with your employer. You should always note that you can’t claim any reimbursement at the time of filing the Income Tax Return (ITR)
  • When it comes to claiming the income tax deduction for medical expenses in a year, there is a limit that you need to adhere to. You can claim tax exemption in lieu of medical bills along with transport allowances up to a deduction of Rs.40,000 per year.
  • For the financial year 2018-19, a standard deduction of up to Rs.40,000 has been proposed for pensioners and salaried professionals. The amount is in lieu of travel, medical costs reimbursement and any other proposed allowances.
  • A salaried employee working for a company either is eligible to receive a fixed medical allowance or is entitled a reimbursement by the company.

Read Also: Quick Insights on Calculating Income Tax on Your Interest Income

How to claim the benefits?

The only condition for claiming the deduction is to provide the certificate of the diseases that you or any other eligible members may suffer from. You can obtain the same from a specialist medical officer. He/she should be practicing at a private or public hospital from where you availed the medical services.

The medical specialist should also possess a degree in which he claims to have the specializations. The Medical Council of India must approve the degree.

However, the medical expenses’ deduction can’t be claimed if an insurance company does your reimbursement.

However, if the reimbursement done by the insurance agency is lower than the actual costs, you can claim a tax deduction for the remaining amount.

If you are a salaried employee and wish to claim income tax deductions, you are now aware of what you can claim and how. If you are still unsure, you can contact a known income tax expert to help you out. All the best!

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Finance

Documents Required for GST registration in India

GST

Goods and Services Tax is abbreviated as GST, a tax which is levied on most goods and services. The GST is paid by consumers, but it is sent to the government by selling goods by the business holders. There are 5 different rates such as 0%, 3%, 5%, 12%, 18%, 28% for Goods and Services Tax which are differentiated as per the type of goods and services.

As per the GST law, it is necessary for every taxpayer whose annual turnover is above 20 lakhs (10 lakhs for Northern Eastern states) have to register themselves under GST.

In this article let us have a glimpse at the requirement and GST registration documents.

List of Documents Required For GST Registration

Proprietorship

  • PAN card of the owner
  • Aadhar Card
  • Bank details
  • Address proof

Private limited

  • PAN card
  • Aadhar card of the directors
  • Bank details
  • Address proof
  • MOA and AOA
  • Company incorporation

Partnership/ Limited Liability Partnership

  • PAN card
  • Aadhar Card
  • Bank details
  • Address proof
  • Partnership deed/ LLP certificate

Let us have a brief look at the required documents and the purpose of their requirement.

  • PAN Card

PAN (Permanent Account Number) is required for every taxable person. GST registration is linked with PAN card number, therefore it is necessary to have a PAN card while applying for GST registration.

  • Aadhar Card

As per the government, it is necessary to provide Aadhar Card details while every registration. The Income Tax return can be filed on when the Aadhar Card and PAN Card is linked. Nowadays, Aadhar Card should be available with every individual and also works as the Identity proof of an individual.

  • Bank Account

The details of the bank will be required while registering under GST, The details such as the front page of the passbook (Account number detail, IFSC code), One canceled cheque.

  • Identity proof

The identity proof such as PAN, Aadhar Card, Passport, Voter ID, Driving license can be submitted while applying for GST registration.

  • Address proof (Individual residential proof)

Address proof such as Driving license, Electricity bill, Passport, PAN Card, Voters Identity number can be used as address proof while registering for GST.

  • Address proof (Office)

Address proof such as the certificate of the company incorporation, Electricity bill, Rent agreement(If the property is rented) can be provided as Address proof while registering GST.

  • Digital signature certificate (DSC)

While applying for GST registration online you need to provide DSC as the process cannot be carry forwarded without the proprietor’s permission.

  • MOA / AOA

MOA is nothing but Memorandum of Association and AOA is Article of Association. MOA includes every data which is required for company incorporation; AOA contains every rules and regulation for the company. These two documents are required while applying for GST registration.

These above mentioned are the basic requirements for registering GST. Make sure you register your business under GST as soon as possible if you fall in those criteria.

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Finance

The True Extent of the South African Loan Shark Problem

Loan sharks, or so-called ‘mashonisas’, have long been a problem in South Africa, offering unregulated loans with high interest rates to those who are unable to access credit by regular means. Now a new report by online loans provider Wonga has looked more closely into the extent of the loan shark problem and the issues they are causing.

The Wonga Informal Lending Report has revealed that non-registered credit lenders are more of a widespread problem than previously thought. It found that there could be as many as 40,000 loan sharks operating in South Africa, which is approximately 1 for every 100 households in informal settlements.

The report found that the average loan was for relatively small amounts of between R500 and R1,000, while the most someone could typically borrow was around R5,000. The interest charged on the loans ranged from 30-50 percent.

The credit problem in South Africa

While mashonisas clearly present a problem, it is the misuse of credit in South Africa that is a real cause for concern in the wider economy. The number of credit users in the country has grown by 12 percent since 2008, up from 57 percent to 69 percent, with a proportion of that credit completely unsustainable.

During 2017, household indebtedness as a share of disposable income, which is seen as a metric of financial stress, continued the downward trajectory it has been on since 2007. One of the enduring problems is the value of long overdue credit and store cards debts, with the value of debt in deep arrears (over 120 days) now heading towards the R18 billion mark.

The growing reliance on loan sharks is exacerbating this credit problem by giving South African communities access to credit from unregulated sources that many are simply unable to repay.

Mashonisas are not always ‘big scary men’

While the reliance on unregulated loan sharks is clearly indicative of a wider problem, the report did highlight that South African loan sharks are not always as destructive an influence as some might think. In fact, they are often valued members of the community from all walks of life who simply have a surplus of cash available and see lending as a viable form of employment.

With financial literacy levels typically low in South African communities, it seems many people prefer to borrow from unregulated rather than regulated lenders as they find the service they provide easier to access and more convenient. Mashonisas also offer much more simplistic pricing structures, with no admin fees or hidden charges and interest rates that remain constant regardless of the loan amount or term.

Intimidation and shame can be used

While that might paint a rosy picture of the way loan sharks work, the report also shed some light on the less savoury behaviours associated with unregulated lenders. For example, lenders will often roll over loans and add a new charge of interest, take IDs and bank cards as security and seize assets if repayments cannot be made. Intimidation and shame are also commonly used to ensure loan repayments are made.

However, despite the drawbacks, Brett van Aswegen, CEO of Wonga SA, said: “It would be naïve to think that mashonisas can be regulated like the formal market. The sheer scale of mashonisas would make this virtually impossible and I don’t believe customers would want mashonisas threatened as they depend on them on a monthly basis to get by”.

With that said, potentially there could be some way the formal and informal lenders could come together to make sure the demand for quick, short-term loans is met but in a safer and cheaper way.

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BusinessFinance

Impact of a POS System on Your Business

POS System on Your Business

A point of sale system offers many benefits to business owners compared to the traditional cash registers. If your business establishment currently uses a credit card terminal and an Electronic Cash Register system, it would be wise to consider upgrading your system to the more efficient Point of Sale system. POS systems are cost effective and easier to operate; by using this system, you are guaranteed to see drastic changes in all areas of your business. Below are a few advantages that Point of Sale systems have over cash registers.

It increases efficiency

By empowering your cashiers with the right tools of work, you increase the efficiency of your business operations. It is impossible for your employees to increase their output if they are not afforded the right tools of work. A point of sale system and a bar code will greatly help decrease the time taken to clear customers.

It is easy to use

Analog technology continues to fall behind further. Using a touchscreen has become a common thing to everyone. The system has an intuitive interface that makes it easy for your staff to learn and use. It takes a very short time to train people on how to use the POS cloud software. Consequently, the productivity of your employees will go up drastically.

The system widens the customers payment capabilities

One of the major benefits of using a point of sale system is its ability to expand your clientele’s payment capabilities. It makes financial transactions in your business more convenient and efficient. The system supports many payment options; this, in turn, boosts customer satisfaction, and it also increases revenue for your establishment.

It improves the accuracy of your staff

The system’s easy to use touchscreen interface enables your staff and associates to access all information they need readily. With this system, your employees do not need to key in the prices of items manually. This is one of the things that make a POS system outstanding. The technology enhances accuracy in your business operation and minimizes human error. This is due to the fact that you do not need to, always, upload data into your back-office systems.

It helps in the management of inventory

This technology differs from the cash register system because it utilizes advanced capabilities of managing inventory. A point of sale system saves you time since you will not need to do inventory management on a weekly basis. Additionally, it gives you real-time data on your inventory. This is something that cannot be done even by the best cash registers.

It helps you manage your employees

A point of sale software will greatly reduce the amount of time you spend making schedules and enforcing them. The POS technology comes with time clock functionality. This means that your staff can clock in and out on the POS system. It allows you as a business owner or manager to have access control; this ensures that the identity of your employees is verified at all times. It also helps reduce the possibility of theft from your employees.

It simplifies accounting

This technology will play a pivotal role in streamlining the accounting processes of your business. Initially, cash register systems forced accountants to go through large numbers of receipts in order to verify accounts. With the POS technology, however, you can print receipts and reports at any time. This information can also be easily transferred to your accounting software.

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Finance

WHY DO MOST TRADERS CHOOSE EXNESS FOREX BROKER? – EXNESS QUICK REVIEW 2018

exness

It can’t be denied that Exness is one of the biggest brokers and best ECN brokers by now. It has the great withdrawal system, excellent support team with reasonable cost of transactions. This article will be bringing an overall quick Exness reviews for those traders who are now considering to work with one of the top 10 forex brokers.

KINDS OF ACCOUNT AT EXNESS

Like many biggest brokers in the market, Exness forex broker also has some different types of account for traders, which are Cent, Mini, Classic, and ECN. Each type is created for certain kind of traders or you could choose your own kind based on your trading plan or strategies. For example, Mini and Cent account require only $1 minimum deposit and then, they allow us to check and test our trading plans or have more experience, knowledge about forex market. Therefore, they are mostly for beginners or new traders. In contrast, ECN account of Exness which is like that of other best ECN brokers is mostly for experts because of its special conditions.

WITHDRAWING IN EXNESS  

It could be said that the withdrawal system of Exness is the best in the best forex brokers 2018. Withdrawing fund or transferring money at Exness is really fast and instant. It only takes a moment to finish a transaction while it could take up to hours or days to do the same tasks in other brokers. You may ask how a broker on the top 10 forex brokers in the world could execute the withdrawal system accurately, automatically with enormous amount. The answer is using machines to do the job instead of human. Exness is one of the biggest brokers to take advantage of machines to enhance the productivity and efficiency for the system. The withdrawal speed is even the fastest in the market that it attracts more and more traders.

THE SUPPORT TEAM OF EXNESS

Exness forex broker really focuses on the customer service in many countries that it has targeted. It offers supports not only in English but also in other languages such as Vietnamese, Persian, Chinese, Thai and Bahasa Malaysian. The support team even works 24/7 to help traders at local offices, which is convenient and kind. Exness is the best place for those traders who are not good at English since it brings the care in many other languages. Moreover, now Deloitte – one of the Big 4 accounting and consulting firms, is hired to audit Exness and that means you can totally have a trust in Exness.

COST OF TRANSACTION AT EXNESS

Exness charges spread as the cost of transaction, and it is said to have the lowest spread in the forex market. It now has the lowest spread of the top 6 most trading currency pairs, which might be higher at other brokers. Especially, it is very convenient for traders who trade currency pairs with fixed spread that Exness also offers the lowest fixed spread, which you cannot find at any other brokers in the market.

THE HIGH LEVERAGE OF EXNESS

Some traders said that they are not interested in the high leverage because the higher the leverage, the riskier they might face. Meanwhile, the experienced traders believes that it is safer to have the higher leverage. Exness offers the highest leverage and even up to unlimited.  It means that margins don’t have to be paid and your orders are open for nothing.

In conclusion, Exness forex broker is one of the largest brokers, the best ECN brokers 2018 and the most reliable for most traders from all over the world.

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BusinessFinance

Key rules for startups in the Middle East

The Middle East states are very prosperous states in this world. These lands are full of riches and culture. Being rich in culture and heritage, the Middle East states have their own way of doing business. They are famous for their business all over the world. Thus business in the Middle East gives a huge opportunity to people for their startups and gain huge profit from it. The projects in the Middle East are very famous all over the world. These projects give huge benefits to the startups to focus on their business and expand them efficiently. Thus one should gain information’s about the projects in the Middle East.

Why should one start up their business in the Middle East?

Middle East countries are always famous for their huge business. It is true that from ancient times these countries are expert in the business line. They not only get benefited but people all around the world get benefited. Thus if one start their business where they are surely going to gain benefits and have huge gains. The projects in the Middle East are very famous and thus one should focus on them. Thus it gives a promising future for the new startups.

What are the key rules for startups in the Middle East?

It is true that one can gain great profits from starting a business in the Middle East countries but it is also true that one needs to follow certain rules to survive in the market. Here are some of the rules which will help one to establish their business in the Middle East. They are as follows:

• Time is very precious thus one should always give priority to time as time is money.
• One should do huge investments in the beginning to start their business.
• One should be cooperative with their client 24×7 to gain their trust and to show one’s efficiency.
• Before launching one’s product or service one should do a quick survey to see if the product or service will be effective or not.
• People should give importance to the culture and heritage of the Middle East and understand it properly before launching the product or service in the market.

These are some of the rules that one should follow especially those who are new to the Middle East market. Thus it will give one the confidence and assurance that the business will gain a huge profit.

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Finance

Wanna Know How to Get an Instant Loan without Documents? Read This

Looking for a fund instantly to meet your financial emergency? Well, if you have just nodded your head in a yes, all you need to know about an instant loan facility. By the term,it clearly means that the loan would be credited to your account instantly, unlike the regular loan that takes 3-4 days to disbursed.

If we talk more about the same, it is nothing but a pre-approved loan amount which is based on your relationship with a lender. And, the best thing about this facility is that it comes to you within a short span of time and that too without documents. That’s right, you can avail instant loan without documents.

Yes, being an existing customer of the bank, you already have a credit history with the lender, which helps the lender to give away the loan easily to you. Now, before we move on further,let’s just take a look at some lenders that give away the loan to you instantly.

HDFC Bank: The lender offers the instant loan to the applicants to meet the varied needs. If we talk more about the same, the loan amount being offered by the lender is up to Rs.40 Lakh that can be availed at an interest rate of 10.99%-20.99% per annum for a tenure of up to 5 years. Talking about the response time, within 4 hours an applicant can get the loan,either through branch or online. Not only this, there is a one-time processing fee of Rs.1,999 that an applicant needs to bear so as to avail this loan.

ICICI Bank: In order to avail the loan instantly, there is another lender in the market that offers this credit facility to the needful. The borrowers can avail the loan for a loan amount of up to Rs.15 Lakh at an interest rate of 10.99%-18.49% per annum for a tenure of up to 5 years. The best thing about this lender is that you can avail the loan instantly, right upon sending the application. As far as processing fee is concerned, it goes up to 2.25% of the loan amount via ATM, mobile banking application and branches.

Bajaj Finserv: Known for offering the loan amount of up to Rs.25 Lakh within 24 hours, there is no denying the fact that Bajaj Finserv personal loan comes to you without any hassle. This credit facility can be availed online at an interest rate of 10.99%-16% per annum for a tenure of 5 years. Not only this, you can get the loan after paying a processing fee of 2% of the loan amount.

However, one thing that needs to be mentioned here is the fact that if you are thinking to get a personal loan without cibil check, you are wrong. Yes, your three-digit numeric summary is something which always comes into the picture. Lenders always keep an eye on your score and soon after checking your score take the decision, whether you are eligible for a loan or not.

So, hope this article was worth reading for you!

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Finance

Top Profitable Investment Options in India

It’s always a better thing to save some money and even smarter to invest it in a lucrative saving and investment plan.

People invest money majorly for two reasons – either for earning a considerable return on investment on it or to attain financial security. You may have many reasons to invest, and whatever may be your motive, the habit of saving and investment is good.

If you are a newbie in the world of saving and investment and unaware of the best investment plan in India, this post will help you know some investment options. Let’s get started!

Leading five investment options in India

1. Public Provident Fund

Public Provident Fund (PPF) is a Government-sponsored investment option in India which offers good interest returns. You need to put in your money in the scheme for a period of 15 years, expandable further by 5 years. You can open a PPF plan in a post office or bank branch and can withdraw a sum of your investment only in the 6th year. You can also avail a loan against the money invested in this plan during an emergency at reasonable rates. The most vital part of this plan is that you need not worry about the returns of the scheme as it’s guaranteed and not affected by market conditions, unlike other plans.

2. Company fixed deposit

Company fixed deposit schemes also offer up to 8.75% as the interest returns as per your age. The deposit in this plan is also secure and not affected by market conditions. You can invest in a plan as per your needs or goals that you want to fulfil and see it grow over a tenor and secure a fixed ROI. You can also avail a loan on fixed deposits in case if you need some money rather than breaking it before maturity and losing interest ROI. You can open a company fixed deposit plan with a tenor between 1-5 years with leading non-banking financial companies (NBFCs).

3. Mutual funds

In recent times, mutual funds have found a new form of acceptance from investors as it offers a higher interest-based return. The only drawback of this scheme is that unlike PPF and fixed deposits, its ROI is not fixed and regulated by market conditions. Thus, if you don’t have enough knowledge of how market functions, you should not invest in it as the purpose of investing may not yield profits as expected. Even seasoned mutual funds investors need to keep investing for a longer period to make some higher profits.

4. Share and stock

A majority of people also put their savings and a portion of their income into share and stock. Investing in such schemes can help you enjoy the advantage of a higher interest based ROI. Before making an investment in such a plan, you ought to research about it as even their ROI is affected by prevailing conditions in the market. It will be better to consult a stock analyst before starting to invest in such plans.

5. Real Estate Investment

Real estate investment is one of the fastest growing sectors and buying flats or plots is one of the best investment plans in India. As real estate investment can easily offer amazing and higher degree of liquidity, it is a better option if you want quick money.

Related Read: What Are The Best Investment Plans In India?

The Bottom Line

Other than the discussed best investment plan in India, there are many more that you can analyze and invest as per your needs and goals. It’s good to invest in a plan and embark on a journey towards savings and money growth. All the best!

 

 

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Finance

How Can You Get Instant Approval For A Citibank Credit Card?

Citibank credit card is the best product for any purpose. They can give a loan with the low-interest rate, provide services with extra facilities and more. This bank has an operational presence of over 45 branches in 28 cities. They can serve banking needs according to every individual’s lifestyle. Citibank can give a wide range of services.

They offer a host of credit cards for different types of customers. Their products specially designed for travel, shop, dine and rest advantages so that you can fulfill your wishlist without any burden. As a cardholder, you can also earn reward points, cash back, gift vouchers, and more.

Citibank credit card application procedure has two an online or offline. You can choose any of the options as per your convenience. Each service is available for you, should apply and enjoy the discounts, offers and rest facilities.

When you select the offline option, should visit the nearest bank branch. Fill the physical application form along with providing self-attested documents. Share registered email ID or mobile number, and a recent passport size recent photograph.

When you feel the easy and comfortable way the online, should go to the official site and select the product. You can choose the product as per your lifestyle or spending habits. Fill the application form with the full name, date of birth, and gender, employment type, registered postal address, and a recent passport photograph.

For both process, should provide correct and proper information. The bank can cross-check all the details then give approval. When shared all data according to the bank’s norm nobody will stop you, and it will take 2 to 3 weeks to receive a card.

What Are The Basic Requirements For A Citibank Cardholders?

To get immediate approval for this bank’s product, should check online your age, income, and KYC. These are the main steps, should check and go ahead step by step. You can check online their requirements and needs as per the income. If all your filled match with the Citibank, then nobody will stop you.

You should be 18 years of age with a clear CIBIL score. CIBIL can play the main role in front of card approval. If you will get less than 650 means out of the range and more than 750 gives an indication to have a loan or credit card approval.

You can also share identity proof, address proof, and income proof. For identity voter ID, driving license, and passport needs to submit. For residential address should submit aadhaar, a recent electricity bill, and phone bill. And for income have to give a copy of income tax return, recent salary slip, or bank statement. They ask for income proof because it can show your credibility, the capacity for repayment or payment on time.

When you are using the product and have a problem related to the Citibank credit card features, cash back, points or anything should call on customer care toll-free 1860 2102 484 and get a prompt response.

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