How will a saving plan help you plan your future?

Savings is perhaps one of the earliest habits which are taught to you in your childhood. The idea of setting aside a specific amount of funds for the rainy day or to enjoy our tomorrow without having to worry about finances is ingrained in many. Taking from this need, many financial institutions have designed lucrative savings plans. Some of the best saving plans in India helps you create a substantial financial corpus for the future.

In this article, let us understand what saving plans are and the many benefits which come with it, which will help you plan your future:

What are Saving Plans?

Simply put, saving plans are essentially a form of life insurance. It offers individuals an opportunity to save, invest, and build a substantial financial corpus to meet their monetary needs in the future. They also help you with disciplined monthly savings. Savings plan gives significant returns at a time of maturity or when you need financial support.

Some of the best savings plans in India come with flexible features which are designed to meet each individual’s specific requirement. These features make the savings plan one of the best investment plans in India. Furthermore, these savings plan also offer insurance coverage which allows you to safeguard your family’s future when it comes to finances, even in your absence.

What are the benefits of Saving Plans?

Savings insurance plans are one of the preferred investment. One of the reasons why the savings plan is preferred by many is the various saving and future-cantered benefits which this plan provides. Below, we list down some of the benefits of a savings plan.

• Coverage and pay-outs:

Since this plan is a predominantly a life insurance product, it offers lots of options when it comes coverage to the insured and their family. Along with this, some of the best savings plans in India offer flexible pay-outs. This additional benefit helps to protect your family financially in a comprehensive manner.

• Financial discipline:

Since savings is an integral and vital part of being financially secured, a savings plan allows you to save in a disciplined manner. You can even put your payments on auto-mode, this way; you won’t have to worry about manually investing your money. The auto-mode will set the specified amount in your investment, helping you save every month.

• Saves tax:

Another benefit of the savings plan is that it helps you save tax. The tax benefits offered by a savings plan are the same as those provided by insurance plans. But, you can also avail an exemption of up to Rs. 1.5 lakh towards your premium payments as cited in Section 80C of the Income Tax Act.

• Helps with long-term financial goals:

Some of the best savings plans in India are geared towards helping you meet your long-term financial goals. So, be it your child’s higher education or their wedding or any big occasion, savings plan will come handy then.

On a final note:

Given the benefits mentioned above, savings plans certainly help you build a monetary corpus for your future. Will strong financial backing, you can save and plan your future better.