In the last two decades, Indian women have fearlessly challenged social norms to become financially independent. It is heartening to see more and more women making a career and earning a living for themselves.
Along with financial independence, it is also important for women to learn about financial management and tax savings. The objective of tax planning is to make the best use of government concessions and minimize the tax liability.
The Income Tax Act has several provisions that can help women do this. Income tax liability can be reduced by claiming deductions or through tax-saving investments.


Below mentioned are three recommendations on how to reduce tax liability.

  1. Health insurance
    Section 80D allows taxpayers to claim a deduction for the premium amount paid towards health insurance up to ₹ 25,000. The premium payment can be on behalf of the individual, her spouse, or parents. An additional deduction of ₹ 5,000 is allowed when health insurance is purchased for senior citizens.
  2. Home loans
    Availing of home loans offers tax benefits to women on both, the principal as well as the interest to be paid. Section 80C allows a tax exemption of up to ₹ 1.5 lakh every year for the principal amount. Additionally, Section 24 has a provision for tax exemption of up to INR 2 lakh per annum towards interest.
  3. Education loans
    Education loans are eligible to be claimed for tax exemption under section 80E. The maximum exemption allowed for interest payment per year is INR 1.5 lakh for up to seven assessment years. The loan may be availed for self, spouse, or children.


Tax saving is very important when it comes to managing personal finances. However, it is also important to enhance the value of your money for long-term financial benefits. There are several tax-saving investments that can be used for this purpose. Popular investments include Equity-Linked Savings Schemes (ELSS), Public Provident Fund (PPF), National Savings Scheme (NSC), tax-saving fixed deposits (FDs), and Unit-Linked Insurance Plans (ULIPs).


Equity Linked Saving Scheme or ELSS is a tax saving mutual fund where you can save up to ₹1.5 lakh in a financial year under Section 80C.
For women who want to know how to save income tax, checking ELSS funds is a good option. ELSS, an innovative tax-saving product, effectively addresses this problem. ELSS funds offer relatively higher returns while also being eligible for tax deductions. Here are five features of ELSS.

  1. Equity-focused investment
    More than 80% of the ELSS corpus is invested in equity and related securities. Investors can buy ELSS online or offline to reduce their tax liability.
  2. Long-term investment
    ELSS is designed as a long-term investment and has a lock-in period of three years. However, to maximize returns, it is recommended that individuals stay invested for five to ten years. Long-term investment in ELSS enables fund managers to focus on delivering stellar returns instead of volatile short-term fluctuations.
  3. Flexibility
    ELSS allows investors to set the pace of their investment. One can make a lumpsum investment, or create a Systematic Investment Plan (SIP) based on their individual preference. Furthermore, investors may buy ELSS online or offline as per their convenience.
  4. ELSS returns
    The value of an ELSS unit is reflected in its Net Asset Value (NAV). The NAV changes daily due to market forces. These schemes do not offer a fixed rate of return as most of the corpus is invested in equities and related instruments. The value of the investment is naturally subject to fluctuations due to the nature of the equities. However, long-term investment in these funds has historically provided returns that are far better than any other tax-saving investment.
  5. Tax-saving investment
    The most attractive feature of ELSS is that investment in these products qualifies for tax exemption of up to INR 1.5 lakh under section 80C of the Income Tax Act. The principal, dividends, and maturity proceeds are all exempt from taxes.
    The aforementioned are some tips to help women understand how to save income tax using the different tax-saving products available today. However, like all other investment options, it is important to understand the pros and cons of various choices to make an informed decision.
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Plan your Retirement with Mutual fund

Mutual fund companies are coming up with Retirement plans in recent past , insurance companies have already flooded the market place with plethora of products which say they are made for your retirement planning. Do you really need all these or you need just simple mutual funds which can solve your purpose ? By the end of this article you will get the answer.

A decade ago it would have been unimaginable that a person in his 20s talk about retirement planning.  Well that’s not the case any more things have changed now.

 Now people have started to look for retirement solutions from staring year of their earning cycles. Gone are the days when Government use to give pension to employees after their retirement.  Life expectancy has also increased with better medical facilities available so in turn you require a larger nest egg to take care of your sunset lives.

So how do you start planning for it. Well the answer is SSIP (Small Systematic Investment Plan) in Equity mutual fund. A small sum invested regularly over a long period of time will create wealth for you and in turn your retirement corpus. Equity Mutual funds provide inflation-beating better post tax returns over a long period.

Return offered by Various Equity Mutual funds over 10 Year:  Large Cap category offered around  15% ; Multicap Category gave 18% and Mid and small caps gave 20% during this period.

Investment can be made after considering your risk profile and time horizon. For a conservative investor Large cap category offer better risk reward. For an Moderate Investor Multi Cap category will be rewarding  and for an aggressive investor a portion of portfolio in small and mid cap will also do wonders.

Choose your scheme wisely which suits your goal and risk profile category and start SSIP  for long term and sit back and relax.

Now coming to funds which are specifically created for retirement savings , these funds have typically lock-in period of 5 years. So if you think that in future you can face the urge to redeem your investments before reaching the retirement age , that you should definitely choose these retirement mutual funds to achieve your goals as they will not allow you to redeem before the lock-in or reaching your retirement age. Otherwise open ended mutual fund are equally good for you.

You can start your mutual fund investments using sign up on

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