I save Rs 4.5 lakh annually and want Rs 12 lakh as savings after four years for my marriage. Please help how I can achieve this?
Raghu Kini, Bangalore
At the onset, even if you keep the money in the bank that you save annually, you will have Rs 18 lakh in the year when you are planning your marriage. This is more than the money that you desire as savings for your marriage. You could plan your finances prudently and consider investing for other future needs once you get married. Being a first time investor, you could consider investing in funds from the OLM Elite list such as DSPBR Tax Saver or Franklin India Taxshield. The investments in these two qualify for tax deductions under Section 80C up to Rs 1.5 lakh in a financial year. These two funds also have a three year-lock in, so you could plan to invest in them based on your need for money after four years. There are other funds for beginners in which you could invest like HDFC Balanced and SBI Magnum Balanced, in which monthly SIPs will ensure that you invest regularly and build wealth.
The opportunity to make the most of your current annual savings is immense and you should use all the available options to maximise the avenues. At the same time, do use the money optimally to save taxes and also ensure your life and health are adequately insured.
