A savings plan helps you build a corpus for your future financial needs while providing life insurance coverage in the present. The policy builds financial discipline, encouraging investors to put money away every month for their future goals. ...Read More
With investment plans from HDFC Life you can opt for market linked returns or guaranteed1 returns as per your financial goals -
Francis Rodrigues has a decade long experience in the insurance sector, and as SVP, E-Commerce and Digital Marketing, HDFC Life, manages the online sales channel, as well as digital and performance marketing. He has had hands-on experience in setting up sales channels and functional teams from scratch over a career spanning 2 decades.
Vishal Subharwal heads the Strategy, Marketing, E-Commerce, Digital Business & Sustainability initiatives at HDFC Life. He is responsible for crafting and ensuring successful implementation of the overall organisation strategy.
Savings Plans are essentially life insurance plans that offer you an opportunity to save and build a corpus to meet your future needs. These are designed to help policy holders develop a regular savings habit, as well as give significant returns when you need them. In addition, savings plans offer insurance coverage, which means your family's financial needs are met even if you are not around to support them.
Savings plans usually give a fixed amount of maturity benefit when the policy term ends. Some best savings plans also ensure a regular income throughout the duration of the policy or as a part of maturity proceeds. Savings plans essentially help you in reaching your life goals, protect your family in case of any unforeseen circumstances and help create a corpus to pay liabilities in the future. Choosing the right savings plan that offers flexible features and caters to your specific requirement, can be one of the best investment decisions you make.
Savings plans are basically traditional life insurance products which can be clubbed with riders that can provide additional benefits in case of unforeseen emergencies. These optional riders include death benefit, critical illness rider, among others. The best savings plans can be a great tool to help begin your savings journey with low risk plans that also give insurance cover.
Savings and income plans are important for achieving financial security in the long run. There are a variety of savings and income plans available to individuals depending on their needs and goals.
Monthly Income Plans are designed to provide a regular income to individuals for a specified period of time.
Money-back plans are insurance policies that provide periodic payments in addition to a lump sum at the end of the policy term.
Endowment Plans provide a lump sum payment at maturity in addition to regular payments throughout the term.
Unit Linked Insurance Plans (ULIPs) are investment-linked insurance plans that provide life cover as well as the opportunity to invest in equity or debt markets.
The National Savings Certificate (NSC) and the National Savings Scheme (NSS) provide risk-free investments with tax benefits.
The Public Provident Fund (PPF) is a long-term investment option with tax benefits and an assured return.
The Post Office Savings Scheme offers a range of deposit options with different interest rates.
The Senior Citizen Savings Scheme (SCSS) is a government-sponsored savings scheme for senior citizens.
The Sukanya Samriddhi Yojana (SSY) is a savings scheme for the benefit of girl children.
Coming with cumulative/non-cumulative options, FDs offer fixed returns over the investment tenure and the returns are payable on a monthly, annual or bi-annual basis, depending on the bank policy.
The Atal Pension Yojana (APY) is a pension plan backed by the government.
The Employee Provident Fund (EPF) is a retirement savings scheme for salaried individuals.
The National Pension System (NPS) is a pension and investment scheme for individuals.
Kisan Vikas Patra is a government-backed savings scheme which provides an attractive long-term investment option where you get double the amount invested upon maturity.
All of these savings and income plans offer different benefits and features that can help individuals meet their financial goals. It is important to understand the details of these plans and choose the ones that best suit your needs and goals.
Plan for your future as you enjoy guaranteed1 returns at regular intervals6.
A Non-Participating, Non-Linked Savings Insurance Plan that offers flexibility to customize the benefits
UIN: 101N186V02
Life Insurance Cover for financial security of your family
Guaranteed1 benefits – Rest assured of the returns
Deferral of Survival/Income Benefit(s) – Feature to accrue the benefit and take it as lumpsum when required
Juvenile CI Cover - Enhance your protection coverage for your child
A Savings Plan with immediate income option to take care day to day expenses and various financial goals along with life cover.
UIN: 101N136V03
Get assured life cover up to 100 years of age3.
Choose between immediate income or deferred income options.
Enjoy enhanced benefits for policies with Annual Premium of ₹ 1 lakh and above.
Flexibility to choose payout date based on your various milestones and financial goals.
Minimum Death Benefit 105% of the total premiums paid10.
A traditional Savings Plan with guaranteed1 regular returns to fulfill your family’s dreams with ease, whilst safeguarding their future against the unforeseen events.
UIN: 101N134V19
Enjoy steady guaranteed1 income up to 99 years of age with our Life Long Income option.
Flexibility to choose guaranteed1 income as a lump sum or as regular income for 10/12/ 25/30 years or upto 99 years based on your needs.
Choose to receive guaranteed1 returns as lumpsum2 to meet your various financial goals, or as a regular income.
In case of the death of the insured during the policy period, the nominee has the option to receive death benefit as lump sum or regular income as per benefit payout schedule
Enjoy enhanced benefits for policies with Annual / Single Premium greater than ₹ 1.5 lakh.
A Non-Linked, Non-Participating, Individual, Savings, Life Insurance Plan that ensures you and your loved ones are financially protected.
UIN: 101N142V04
Anyone who is looking for guaranteed1 Long Term Income during the policy term in addition to other benefits like life cover, tax savings, lump sum amount on maturity.
UIN: 101N146V04
If you want to start saving regularly with a small amount and want to get guaranteed1 returns to fulfill your short term goals, along with the benefit of life insurance cover, then this plan is suitable for you.
UIN: 101N160V02
An ideal plan if you wish to pay premium for a limited period. Meet your long term financial goals while creating a financial cushion to secure your family’s future.
UIN: 101N089V05
You need to pay premium payment for a period of 7 or 10 years only and can choose to stay insured.
Enjoy a discount on basic premium for policies with sum assured of ₹ 10 lakhs or above.
Option to avail of a loan under this policy.
A regular money back policy with guaranteed1 benefits and bonus. Ideal for individuals who need additional income to support day to day expenses and to fulfill their aspirations at various stages of life.
UIN: 101N098V05
Get guaranteed1 regular monthly income for a period of 8 to 15 years after premium payment term.
Option to a one-time premium payment and receive regular income from 2nd year of the policy.
Flexibility in premium payment- Choose between single premium payment option or pay premium for a period of 5, 8, 10 or 12 years.
Loan facility available against policy.
Pay premium for a limited period of time and stay insured till 100 years of age. This traditional endowment policy is a smarter way to stay prepared to deal with life’s unexpected turns.
UIN: 101N102V05
Option to pay premium for a limited period equal to policy term less 5 years.
Enjoy the flexibility to stay insured for 15 to 40 years period.
Get additional sum assured in case if the insured meets with an accidental death.
Flexibility to choose between monthly / quarterly / half yearly / annual premium payment as per your convenience.
Get guaranteed1 addition of 3% to 5% per annum of the “sum assured on maturity” for first 5 years (in addition to declared bonuses).
A flexible endowment plan with limited period premium payment, making insurance affordable for all.
UIN: 101N105V04
Get an insurance coverage by paying as low as ₹ 500 per month or ₹ 5000 per year.
Pay premium for 8 or 10 years only and enjoy coverage for 12/15 years.
Get guaranteed1 addition of 3% on sum assured per annum during the first five policy years7.
Bonuses (if declared) will be at the end of each financial year.
You will get additional death benefit on accidental death.
Meet the dual objectives of savings and protection with this affordable policy that comes with flexible terms and conditions.
UIN: 101N114V04
We make insurance affordable for everyone-Premiums starting as low as ₹ 100 per month8.
Flexibility to choose a policy term and premium payment term combination of your choice.
Pay a lump sum one time premium and stay covered for 5 to 20 years.
Even if you miss premium payment for a year or two, we will continue to pay full death9 benefit for 2 years from the date of last unpaid premiums.
This plan is suitable to you, if you are looking to secure a guaranteed1 source of income to fulfil your family’s dreams and aspirations.
UIN: 101N166V02
This plan is suitable for those looking for guaranteed1 returns and want payment commitment for few years only
UIN: 101N151V02
This plan is suitable if you are looking for guaranteed1 tax free benefits12 along with a life cover
UIN: 101N167V01
This plan is suitable for you, if you are looking for long-term guaranteed1 returns to fulfil your dreams while providing financially security to your family.
UIN: 101N165V04
This plan is suited for those who want to build savings securely for their child’s career and want to ensure planned financial help for their loved ones in case of an unfortunate eventuality
UIN: 101N168V01 / 101N150V01
If you want to buy a plan that helps you fulfill multiple financial needs, like getting a life insurance cover, creating a second income, saving for child's education, receiving post-retirement income, then this plan is suitable for you.
UIN: 101N158V05
This plan is suited for those who don’t want to take much risk with their investments and are willing to save money regularly.
UIN: 101N148V01
This plan is suitable if you are looking for a second income
UIN: 101N152V02
The plan is suitable for those who want to pay premium for a shorter duration of time and receive assured regular income in the future
UIN: 101N155V01
If you want guaranteed1 returns on your regular savings to fulfill your long term goals and you want to start with a smaller premium, this plan can be suitable for you.
UIN: 101N157V01
This plan is suited for those who don’t want to take much risk with their investments and are willing to save money regularly.
UIN: 101N147V01
This plan is suitable for those looking for long term financial protection through guaranteed1 money backs.
UIN: 101N149V01
Savings Plans help you save regularly and prepare to meet your family’s financial needs in the future. These online investment plans offer various features that help meet your financial goals with investments made according to your risk appetite. A savings plan is a critical component of financial planning. It can help you achieve your financial goals, including saving for emergencies, buying a home, funding education, or planning for retirement. A best savings plan is essential for achieving your financial goals and ensuring financial security for you and your family. By starting early, investing in the right savings plan, and sticking to a regular savings plan, you can build a solid financial foundation for the future.
Basis your desired financial goals you can explore the following options:
Saving money is a necessity for everyone, regardless of age, income, or lifestyle. A savings plan provides a secure and organized way to save money for the future. It offers a variety of benefits that can help people reach their financial goals.
Overall, a savings plan is a smart investment for anyone looking to secure their financial future. It offers a variety of benefits that can help you reach your financial goals and build a secure financial base. Investing in a savings plan is one of the best ways to ensure you have the funds you need when you need them.
Before you pick a savings plan to safeguard your financial future, let’s look at how they function:
In most cases, you can purchase a savings policy from a very young age. In fact, you can even purchase a policy for your child from the time they are just 90 days. You can select a policy term as per your personal requirements. Some plans offer only long-term savings, while others have short-term options as well. When it comes to savings and investments, the longer you stay invested, the better it is for you and your finances.
A savings plan provides low-risk investment opportunities. Over time, you can rest assured of steady returns on your investment. These plans provide a good maturity benefit and steady returns, which allows you to make prudent financial choices in the future.
Savings plans offer guaranteed1 benefits and life cover. When you purchase a plan, you also get life insurance coverage. If you wish to, you can purchase riders that offer enhanced protection. For example, you can purchase an accidental disability rider to ensure you and your family enjoy financial security when you require it most. You can also purchase a rider that provides a payout in case of a critical illness diagnosis during the policy term.
Since savings plans come with a life insurance component, you can enjoy deduction u/s 80C of Income tax Act, 196113 up to INR 1, 50,000 from your taxable income for the premium amount paid. But that’s not all. The maturity benefit you receive from the plan is also exempt u/s 10(10D) of the Income Tax Act, 196114 from taxation, as is the death benefit that your nominee receives. With this in mind, a best savings plan allows you to save for the future, while saving on taxes# today.
When you purchase a savings plan, you benefit from:
Your savings plan offers a life insurance component. If anything were to happen to you, your family will receive the payout ensuring financial protection during a time of need.
Your savings plan encourages you to put money away regularly. It helps you build a financial habit that will prove useful even later in life.
You can use a savings plan to steadily build up a corpus for your financial goals. With a best savings plan, you can save up money to purchase your dream car, take a vacation, and pay for your child’s education and even plan for retirement.
You can customise your savings plan as per your unique needs and requirements. Depending on the plan you choose, you also have the ability to choose how and where your funds get invested for your future. You can pick funds as per your risk appetite and even makes changes depending on your dynamic financial situation.
Savings plans provide life insurance benefits, so they offer tax savings under section 80C of the Income Tax Act, 196113.You can avail a deduction of up to INR 1, 50,000 u/s sections 80C of the Income tax Act, 196113 per year against the money you invest in your savings plan.
Depending on the plan you purchase, you will enjoy returns on your investment when the plan matures. Most often, you can opt for payouts at regular intervals while keeping the plan active.
There is no simple answer to this question. The length of your investment depends on your financial objectives. You may have a savings plan to help you build a corpus for a short-term goal, such as buying a car. If this is the case, you may only need to stay invested for a few years. If you’re looking to save up excess funds for your retirement, you might have to invest for a few decades. You must decide your timeline based on your unique financial goals. You can then find a plan that helps you build a corpus for your needs.
Before you go ahead and purchase a savings plan, you need to:
Before you can invest, you need to know why you’re putting money away. Think about your financial goals and what you hope to achieve. Once you know what you’re saving for, you can pick a plan that helps you achieve your goal.
Depending on where you are in life, you may be okay with risks or might want to keep them at a distance. Think about whether you’re okay to take a few risks with your investment. Remember, plans that offer high returns may come with high risks. Once you understand your risk appetite, you can look for plans that suit your needs. Ideally, look for plans that offer steady returns.
Most savings plans provide you with the flexibility to choose your premium frequency. You can choose to pay the premium monthly, quarterly, every six months, or annually. While browsing for plans, check for policies that provide some flexibility as it will make planning your finances easier.
Savings plans don’t have to limit themselves to returns and insurance. Search for policies that offer additional benefits like optional riders or free withdrawals. Ideally, look for a name that is trusted in the market. By choosing a brand with a good reputation, you can rest easy knowing that your money is in expert hands.
Most companies that offer saving plans levy a small charge to manage your money. Some companies have a higher fee than others. You should look for a plan that allows you to grow your money without impacting your wallet. Compare plans and charges from various companies before you make a decision.
Each individual has different financial needs and risk appetites. You have to consider the following factors before you choose the best Savings Plan that is right for you.
Goals change for every person at different stages in life. Assess your short term and long goals, the time you need to achieve them and the funds required to fulfil them. This will enable you to work out how much you need to start putting away in a Savings Plan to accumulate the funds you desire. The goals can range from funding your children's education to building a house, to building a corpus for the retirement years.
Select features that are affordable for you and can meet your future needs. Make sure your plan can give you the flexibility to access your funds in case of an emergency, and whether you can get a loan against the funds. Check for various riders like accident, disability and illness that help you get additional coverage. With the right coverage and flexible options, one can enjoy protection as well as growth through Savings Plans.
Choosing an investment horizon helps to ensure that the cover you have opted for is available when you need it. It also helps you map your long term goals and financial requirements which helps you choose the right plan accordingly.
Savings Plans offer a variety of choices that cater to all risk appetites. Age and personal factors determine the amount of risk people can take while investing in Savings Plans. People who have a higher risk appetite can choose plans that offer lucrative returns and can choose more aggressive plans, while those who are risk averse can opt for conservative Savings Plans that offer more security but give relatively lower returns.
Do not go for the first savings plan that appeals to you. It is better to review and compare different plans, their features and benefits and then choose one that aligns with your future needs. Ideally, use a savings and income calculator to determine the ideal coverage and premium payable towards the savings plan.
Savings plans are an attractive investment option for individuals of all ages and income levels. They come with a low premium, making them an accessible choice for everyone. Moreover, the savings plans offer a variety of features and benefits that make them an attractive choice for investors looking to make a secure and long-term investment.
If you are looking for an affordable way to save, a savings plan may be the perfect choice for you. A savings plan is an effective way to secure your financial future, and it is worth considering if you're looking for a secure yet affordable way to save.
Savings plans are life insurance products designed to help you make disciplined and periodic savings and cover your family financially in case of your untimely demise. Today, you can buy a savings plan online without the need for visiting the office of an insurer or agent. All the information about savings plans is available online. You can research for the plans best suited to your requirements, check your eligibility for the same, upload the documents needed and make the payments online. Policies are usually dispatched over e-mail and you can get notifications on your mobile phone as well. Here are some simple steps you need to buy savings plans online.
Assess your financial goals and requirements. Knowing the approximate amount of funds you could need for a big expenditure in future or the funds required to sustain your dependents after you are not around will help you fix an amount that needs to be assured.
Do your research thoroughly. Most insurers detail out their different savings plans on their websites, complete with inclusions and exclusions. Read the fine print about claim settlements and other terms and conditions before you decide on the savings plan you want to buy.
Do a due diligence on the insurer you have shortlisted to evaluate the insurer's financial strength, reputation, service quality, reviews and discounts offered.
Check the eligibility criteria, including the minimum and maximum ages at which you can opt for the policy, income brackets and the various proofs needed to buy a savings plan online.
Submit the online forms, relevant proofs - including that of address, identity, income, and age.
Receive the policy documents over email and relevant notifications over your mobile phone. Keep a record of all your investments in a folder so that you can refer to them easily whenever needed in an emergency.
A number of crucial factors can impact the premium you pay on the plan you choose.
This is the primary factor that decides the premium you pay, although some savings plans are age agnostic as well. At a younger age, a person is less likely to suffer from an age-related disease and pass away prematurely, hence the premiums are lower. You can lock in a good savings plan at lower premium rates when you opt for a savings plan at a younger age. The insurer increases the premium rates as your age goes up, as the chances of a claim (due to death) also increase.
There's usually a higher premium if you opt for a longer policy period, since the probability of claims is higher.Choosing a term that terminates with your retirement and a policy amount that is enough to protect your family's financial needs is the wise option.
A history of diseases that have tendency to run in the family and your own medical records as well as parameters like height and weight can raise flags about potential illness or obesity, and can impact the amount of premium you pay.
Since research indicates that people who smoke are likely to contract more illnesses than those who do not and also have a higher mortality rate, insurance premiums for smokers tend to be higher than for non-smokers. The same goes for excessive drinking habits. It is prudent to disclose your smoking and drinking habits to the insurer before purchasing a plan.
Some professions or lines of work carry more risk and hence, insurers might charge a higher premium. It is important to make proper disclosures about your work and income to the insurer before finalising the policy.
Additional riders like critical illness or accidental death cover can attract an additional premium since you are opting for extra benefits by opting for such riders.
The importance of life insurance has grown manifold in recent times with uncertainties around health, environment and professions. Unforeseen events like accidents, illness or death cannot just rob you of life, but your dependents can be left without an income and continued financial support for meeting emergencies, paying off liabilities or planning future goals.
Savings plans have a built in death benefit which ensures that the beneficiaries of your policy are financially secure even after you are no more. This becomes more crucial if you are the sole breadwinner and the family is dependent on your income. A savings plan will make them financially secure for their regular needs and help them pay off liabilities, even in the event of your untimely demise.
Savings plans help build a disciplined savings habit, thanks to the regular premium that need to be paid, ensuring that you put aside a regular sum at determined intervals. They help you budget your current expenses while ensuring that you have enough saved for the future. Savings plans also offer a fixed amount of maturity when the policy term ends, helping you to plan life goals like the purchase of a dream home. Long term financial goals like a child's education or marriage can also be met with the help of a prudent savings plan. Some plans also offer regular stream of income through the term of the plan, thus helping to supplement your income and helping you to lead a better lifestyle.
During your lifetime, savings plans help you meet your goals effectively, while helping you save taxes at the same time. Since savings plans have flexible features, they allow you to choose the right one depending on your risk appetite and your future financial requirements. Regardless of the life stage you are at, the best savings plans are an important tool to build your wealth while ensuring financial security for your family.
If you’re ready to purchase a savings plan, ensure you have the following documents:
You need to fill up a policy form application. The document provides the company with information about your finances and medical history. Based on your answers, the company will decide on your premium and sum assured.
You must showcase your income documents to prove you have the means to pay your premiums. Typically, you will have to share bank statements, previous Income Tax Returns (ITR) and salary slips with the company.
As part of the KYC process, you will need to provide documents that verify your identity and address. You can choose to submit the following documents:
Sr. No |
Documents |
Identity Proofs |
Address Proofs |
1 |
Passport |
Y |
Y |
2 |
Voter’s Identity Card issued by Election Commission of India |
Y |
Y |
3 |
Permanent Driving License |
Y |
Y |
4 |
Aadhaar Card |
Y |
Y |
5 |
Central KYC Identifier (can be accepted, if the downloaded documents are from the list of Officially Valid Documents (OVD) reflecting across Sr. No. 1 to 4 and there is no change in the address basis the document downloaded from Centralized KYC Registry (CKYCR) database as mentioned on the proposal form) |
Y |
Y |
They are the sweet spot of your insurance planning.
UIN: 101B013V03
Get additional income benefits over and above your Sum Assured in the event of total permanent disability due to an accident.
UIN: 101B014V02
We pay a lump sum amount equal to Rider Sum Assured upfront if diagnosed with of any of the specified critical illnesses.
Not sure which insurance to buy?
We help you to choose best insurance plan based on your needs
Choose your premium-paying term, payout period, and benefits based on your requirements.
Enjoy guaranteed 1 benefits with HDFC Life Sanchay Plus, and rest assured of the benefits.
HDFC Life Sanchay Plus allows you to choose a life-long income, so you never have to worry about outliving your savings.
Protect your family’s financial future with the life insurance coverage and death benefit offered by HDFC Life Sanchay Plus.
Enjoy tax deductions and savings per the conditions stipulated by the Income Tax Act of 196112.
Choose from the available riders to boost your life protection coverage.
Savings plans come in a wide variety of products and many savings plans can be bought online. First, you need to assess your financial requirements, and sort out your long term and short term goals. You should also determine your investment horizon and evaluate your risk appetite. Factors such as the savings plan’s unique features, the flexibility it offers and additional benefits such as add-on riders should also be considered before buying online savings plans.
Goals change with each life stage and hence it is important to understand your short-term and long-term goals and the time that you estimate it would take to achieve them. Set an amount against each goal and then reverse plan to decide how much you need to put into a savings plan that will get you those funds in the future.
Assess the benefits and features of the savings plan you choose to understand if it fits your requirements and risk taking appetite. Know the rider options that come with different plans to be able to choose the one that is right for you. Read the fine print in order to understand the eligibility criteria, various inclusions and exclusions and the documents you will need to buy the plan, so that you can make an informed choice.
Decide your investment horizon in accordance with your long-term goals and financial needs. It will also help to decide whether the cover you have opted for is available to you need it.
Our Savings Plan help you save ample amounts with the help of regular investments after taking into account your specific financial situation and future needs.
They also provide protection to your family and ensure all expenses are covered even in your absence.
We'll tell you everything you need to know about Savings Plans
There’s no magic number of exactly how much you should have in savings by the time you are 25. Assuming you have started working by this age, a good rule of thumb is to put aside 10 % of your salary each month into savings. If you get a raise or a bonus, you can put aside that much more. A smart way to go about this is to make a list of everything you spend money on every month, including the 'must spends' like rent, groceries and fuel to the 'feel good' expenses like eating out and spending on clothes, and then decide how much can be saved. Ideally, the amount you need to save should be put away at the start of each month before other expenses are met.
While Indian millennials do not save as much as their elders used to, expert estimates put the average savings of the Indian middle-class person at around ₹10,000 per month. Some simple thumb rules for savings say you should save 2 times your annual salary by age 35, or simply, save your age. This means that if you are in your 20s, you need to save 20% of your income, 30% if you are in your 30s and so on. In an uncertain world, it is better to save 30% of earnings to be prepared for any contingency.
Following are the documents needed to buy a saving plan online.
# Identity Proof- An official photo identity proof in the form of Aadhaar card, passport, PAN card, driving licence or Voter ID card.
# Age Proof - Age proof can be gathered from most of the documents submitted for identity proof. Apart from these, you can also submit proof such as birth certificate, school or college leaving certificate or marriage certificate, which has the date of birth mentioned.
# Address Proof - Official proof of your permanent address is required, in the form of your passport, PAN card or other documents for identity mentioned above. Address proof can also be in the form of ration card, bank statement as well as utility bills, including an electricity or telephone bill.
# Income Proof - Since income proofs help determine the amount of the sum assured for your saving plan, this is crucial proof needed. It can take the form of salary slips for the past 3 months or your bank statement for the past 6 months with the salary entries recorded in it. Relevant tax-related documents such as the latest Form 16 or your Income Tax returns over the past 2-3 years can also be submitted.
# Medical Reports - Your past medical records as well as the results of any medical tests your insurer may require are also needed to be submitted to buy saving plan online.
# Photograph - A specified number of your latest passport size photographs for verification are needed to be submitted along with the documents while buying saving plan online.
Several experts recommend saving 20% of your income every month. According to this analysis, which is known as the popular 50/30/20 rule, you should reserve 50% of your budget for essentials like rent, food and essentials, 30% for discretionary spending, and at least 20% for savings. Merely saving money allows you to put away part of your earnings regularly, but earns a lower return although with lower risk. On the other hand, investing allows you to earn a higher return, but you take on the risk of loss in order to do so. Experts say you should save an amount equal to six months of expenses before you start investing. Some experts advise an eight-month emergency fund because that's about how long it takes an average person to find a job if you lose one and this amount can cover your expenses.
Savings plans can help you save tax while giving you insurance cover as well as growing your wealth. This helps build up your insurance portfolio while giving you tax benefits. Life insurance premiums are deductible, and come with life insurance tax benefit under Section 80C of the Income Tax Act. Premiums you pay towards life insurance in a savings plan are deductible up to a maximum of Rs 1.5 lakh. Also, proceeds received upon the death of the policy holder or upon maturity are tax free under Section 10 10(D).
Persons who have a regular income and who know they would require a lump sum amount after some years should invest in a savings plan. Savings plans are also good for working professionals, self-employed persons as well as business persons so that their long-term financial obligations can be fulfilled easily. For individuals who do not want to risk much and would like to grow their wealth through relatively safer mediums, savings plans are a good choice.
If you’re ready to put your money in a long-term savings plan, you need to:
Compare available plans to find the one that suits your finances and needs.
Pick the policy tenure. Ideally, choose the maximum tenure since it is a long-term plan.
Select the frequency of premium payments and set up an auto-debit facility.
Decide how and when you want to receive the maturity benefit based on your goals.
There’s no right answer to this question. You should pick a savings plan or investment tenure based on your goals. If you have more short-term financial goals, short-term plans will work better. If you’re focused on long-term goals like retirement, you can opt for a long-term plan instead.
When it comes to savings schemes, the interest rates can change. Typically, savings schemes like the Employee Provident Fund (EPF), National Savings Certificate (NSC) and Senior Citizen Savings Scheme (SCSS) offer high returns. If you opt to purchase a market-link savings scheme, you can enjoy high returns. But you must remember that high returns are often linked to risks. Before you pick a policy, check what kind of returns each company and plan offers.
A basic savings plan is a financial strategy that involves setting aside a portion of your income each month to build a savings account for the future. This plan can help you save money for a rainy day, retirement, or other goals you may have. It also provides stable returns, making it a low-risk investment. Savings plans provide death benefits to nominees in the event of an unfortunate event.
Planning for future savings should involve creating a budget, setting financial goals, tracking your spending, and researching different types of savings accounts. Additionally, you can automate your savings and make regular deposits into your account to ensure you reach your savings goals.
To save money for 2024, you should create a budget and determine how much you can save each month. You should also research different types of savings accounts that offer the best return on your investment. Additionally, you can automate your savings and make regular deposits into your account to ensure you reach your goals.
A type of savings plan is a financial strategy that involves setting aside a portion of your income each month to build a savings account for the future. These plans can be tailored to meet your specific financial goals, such as retirement, emergency funds, or future investments. Some examples are Unit Linked Insurance Plans (ULIPs), monthly income plans and endowment plans.
HDFC Life offers a variety of plans, such as long-term savings, retirement, and children’s education plans. The best plan for you will depend on your specific financial goals and needs.
You can start saving by first creating a budget and determining how much you can save each month. You should research different types of savings plans to find one that fits your needs and offers the best return on your investment. You can also automate your savings by making regular deposits into your savings plans account to ensure you reach your savings goals.
We help you to make informed insurance decisions for a lifetime.
Provided all due premiums have been paid and the policy is in force.
Lump sum benefit is available under Guaranteed Maturity option. Regular Income is available under Guaranteed Income, Long Term Income and Life Long Income options.
Applicable on choosing a policy term as (100 - age at entry) years.
This applies to Income Variant, whereby guaranteed income is paid on survival of Life Assured during the policy term, provided all due premiums are paid during the premium payment term
ROP – Return of Premiums. This applies to Income variant, whereby all base premiums are returned to policyholder on survival of Life Assured at maturity, provided all due premiums are paid during the premium payment term.
This feature is available in select products under the savings category. Please read the product brochure of your selected product to know the details.
The Guaranteed Additions will accrue at the rate of 3% p.a. of Sum Assured on maturity during the first 5 policy years and are payable at maturity or death, whichever is earlier.
Premium amount excludes any underwriting extra premiums, any loading for modal premium and taxes and levies as applicable.
Please refer Auto Cover Continuance section in the brochure.
Total Premiums Paid is the total of all the premiums received, excluding any extra premium, any rider premium and taxes.
As per Income Tax Act, 1961. Tax benefits are subject to changes in tax laws.
Subject to conditions specified u/s 80C of the Income tax Act, 1961.
Subject to conditions specified u/s 10(10D) of the Income tax Act, 1961.
This is applicable for first year premium only for premium paying term (PPT) of 12 & 15.
Guaranteed Income Benefit (GIB) is paid on survival during the income payout term, provided all due premiums are paid during the premium payment term. The last installment of GIB is paid as part of maturity benefit and other installments are paid as part of survival benefits during the policy term
Quantum of benefits is guaranteed irrespective of the experience.
Save 46,800 on taxes if the insurance premium amount is Rs.1.5 lakh per annum and you are a Regular Individual, Fall under 30% income tax slab having taxable income less than Rs. 50 lakh and Opt for Old tax regime.
# The afore stated views are based on the current Income-tax law. Also, the customer is requested to seek tax advice from his Chartered Accountant or personal tax advisor with respect to his personal tax liabilities under the Income-tax law.
ARN - ED/11/23/6540
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