14/02/2024 | 4 Comments

Who wouldn’t want to save money? Money fuels everyone’s life and hence, is a prominent part of everyone’s lifestyle. We all work hard to fulfil our wishes which in some way or the other are linked to money. That’s why saving money should be an essential part of your life.

But now the question arises – how to save money? Well, there are various monthly saving schemes in India that would look after your financial goals and requirements. These top monthly saving schemes not only cater to your needs and help you save regularly but also offer attractive benefits and returns. So, understand these monthly saving schemes and plans and how they can be beneficial to you.

Benefits of Monthly Saving Schemes In India

Before we delve into the list of best saving plans for Indians, let’s first understand what merits these saving schemes and plans bring to you.

Disciplined Saving

When you invest your money in monthly saving schemes, you indirectly embrace a disciplined saving lifestyle. Eventually, you develop saving habits when you keep contributing a small amount of your earnings regularly.

Tax Benefits

You get several tax benefits as well when you are in for monthly saving schemes as they offer substantial tax advantages on contributions. This helps you reduce your taxable income and save on taxes.

Financial Goals

These monthly saving schemes also assist in achieving various financial goals whether it is retirement planning, education funding, and wealth creation.

Flexibility

You have the flexibility in terms of your contributions and hence, these schemes can very well fit your needs and requirements.

Low Risk

More often than not, saving schemes are low-risk investments and this is one thing that makes them suitable for conservative investors who have a low risk appetite.

Best Monthly Saving Schemes and Plans For You

Now let’s talk about the top saving plans for India which also include SIP, PPF, and recurring deposit schemes in India.

Public Provident Fund (PPF)

Quite a popular way of investing to save money! PPF is a long-term investment scheme offered by the Government of India and allows you to deposit a fixed amount every month. You then earn a tax-free return on this investment. PPF has a lock-in period of 15 years and hence, is often considered for those who are looking for retirement planning.

Systematic Investment Plan (SIP)

Today, SIPs have become quite a popular investment option. It is an investment in mutual funds wherein you invest a fixed amount on a regular basis. You can invest in it weekly, monthly, or quarterly. If you wish to invest in the stock market with smaller amounts, then SIP is the option for you.
Recurring Deposit (RD)

Traditional Investments

Recurring Deposit is a type of deposit offered by banks wherein you can deposit a fixed amount every month for a period you have pre-decided upon. RDs provide guaranteed returns and are a low-risk investment option. The interest rates on RDs are generally higher than regular savings accounts and that’s why it is an attractive choice for investors.

National Pension System (NPS)

NPS is a retirement savings scheme which is regulated by the Pension Fund Regulatory and Development Authority (PFRDA). With NPS, you can contribute regularly towards your retirement fund during your working years. It offers you the flexibility to choose between various investment options and also provides tax benefits under Section 80CCD of the Income Tax Act

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