Hi, I am of 38 yrs and having 16 K/month in SIP. SBI magnum midcap (5k), SBI contra(3k), Axis small cap(3k), Axis Large & midcap (3k) and ICICI multi assest allocation (2k) . I want to invest 4k more with target of 50L from all SIPs together in 10 years from here. Could you please analyse my portfolio and suggest fund for 4k SIP? Thanks.

Ans: Dear Anonymous,
It seems like your girlfriend is two-timing unless that proposal was a joke. Either way, speak directly to her and ask her about her intentions. If he is interested in the other guy, it is best to move on from her. You deserve better.

Best Wishes.

Ans: Dear Sanu,
Please do not make any commitments without meeting this guy and his family in person. He can be a scammer or someone looking for a casual fling. Be careful.

Best Wishes.

Ans: Dear Anonymous,
I understand your concerns. But, trust is important in a relationship. If she says they are just friends, if your relationship is healthy, you should be able to trust her.

Having said that, I would suggest you take some time to think if you can get to the point where you can actually trust her without being bothered about this friendship, and not forcefully trust her. Demanding to end the friendship or approaching her ex is not the right way to deal with this situation. You two are not married yet; you still have the time to rethink.

I don't know whether you should move on to someone else, but I believe that you should take some time to rethink. You two are still matches and these problems are trivial now, but once you get married, things will get even more complicated. You can either sort the matter by having an open conversation where you explain how her relationship with her ex bothers you, or you can both consider parting ways. But please do not commit just yet, especially since there is an existing issue.

Best Wishes.

Ans: Dear Anonymous,
Your concerns make sense, but if you think about it, the majority of people do not know how to take accountability- it has nothing to do with gender. For instance, some men say they are acting like casanovas because of some girl they had a crush on, who rejected their proposal, and some say they have commitment issues because an ex-girlfriend had broken their trust. So, my point is, it's a people problem, not a woman problem.
Having said that, a good way to judge someone is to open up about yourself first. Next time you meet someone, instead of asking about her past, try talking about yours. Mention that you did not have a relationship, or you like people who can own up to their mistakes, etc. This way, you will make her feel comfortable enough to open up to you. It's not easy for women to disclose sensitive details, especially to men. And, ideally, their past should not play a part in their present, but since it is so important to you, try this technique.

Best Wishes.

Ans: Dear Bhavna,
I am not sure why you are getting into them over and over again, but these types of relationships have a pattern- high highs and low lows. They start quickly and intensely and then fizzle out until there's a huge conflict, which jolts the relationship into life. It has a lot of red flags. There's an extreme level of co-dependence. If you do not want it to happen again, I suggest you take some time before you jump into a relationship. Since these relationships are known to start off quickly, taking some time can be a good way to avoid them. If you see things falling into the same pattern, reconsider the relationship. And, slowing down in general can help people from getting into the wrong relationships.

Best Wishes.

Ans: To determine your tax liability for the sale of the plot, let’s break down the situation:

Important Details from Your Case
Date of Allotment: 25-May-2016.
Date of Registration: 17-Jun-2024.
Date of Possession: 18-Nov-2024.
Total Cost of Acquisition: Rs. 23,64,631 (including stamp duty).
Sale Price: Rs. 33,00,000.
Circle Rate: Rs. 25,900 per square metre (revised from Rs. 15,620 per square metre).
The total holding period and your choice of taxation method will determine whether you incur LTCG (Long-Term Capital Gains) or STCG (Short-Term Capital Gains) and the corresponding tax liabilities.

Is the Gain Long-Term or Short-Term?
The date of allotment (25-May-2016) is generally considered the purchase date for real estate. Since you are selling the plot after holding it for more than 36 months (over 8 years in your case), your gain qualifies as Long-Term Capital Gain (LTCG).

Calculating the Capital Gains
Sale Price: Rs. 33,00,000.

Cost of Acquisition: Rs. 23,64,631.

Capital Gain: Rs. 33,00,000 – Rs. 23,64,631 = Rs. 9,35,369.

Taxation Options for LTCG (as per the updated rules for sales after 23-Jul-2024):

Option 1: Tax at 12.5% without indexation.

Tax = 12.5% of Rs. 9,35,369 = Rs. 1,16,921 (plus applicable cess and surcharges).
Option 2: Tax at 20% with indexation.
Indexed Capital Gain = Rs. 33,00,000 – Rs. 31,15,434 = Rs. 1,84,566.
Tax = 20% of Rs. 1,84,566 = Rs. 36,913 (plus applicable cess and surcharges).
Choosing the Better Taxation Option
Option 2 (with indexation) is clearly more tax-efficient in this case.
You will pay a lower tax of Rs. 36,913 instead of Rs. 1,16,921 under Option 1.
Suggestions for LTCG Exemption
To further reduce or eliminate your LTCG tax, you can explore the following exemptions under the Income Tax Act, 1961:

1. Section 54F: Invest in a Residential Property
If you use the sale proceeds to purchase or construct a residential property, you can claim exemption under Section 54F.
Conditions:
You must not own more than one house property on the date of transfer.
The new property must be purchased within one year before or two years after the sale, or constructed within three years.
The entire sale consideration should be utilised to claim full exemption.
2. Section 54EC: Invest in Specified Bonds
Invest up to Rs. 50 lakhs in NHAI or REC Capital Gain Bonds within six months of the sale.
The investment is locked in for five years and offers a safe, tax-saving option.
3. Capital Gains Account Scheme (CGAS)
If you cannot immediately utilise the sale proceeds, deposit them in a CGAS account before the filing deadline.
This allows you to keep the exemption intact while planning future investments.
Final Insights
Your plot sale qualifies for LTCG tax. The 20% with indexation option significantly reduces your tax burden.
To minimise tax, consider reinvesting under Section 54F or 54EC.
Consult a Certified Financial Planner or tax expert for tailored advice on reinvestment options and compliance with timelines.
Best Regards,

K. Ramalingam, MBA, CFP,

Chief Financial Planner,

www.holisticinvestment.in
https://www.youtube.com/@HolisticInvestment

Ans: Hello Tushar
Surprisingly, even after completing two years and now studying in the third year, you won't be able to manage your studies, assignments, and other activities. Please note that the same schedule applies to other students. Yet, if others can manage then why not you? Please check your regular timetable and other timetables. Soon you will come to know where you are going wrong. The engineering course is just a time management course. One of the possibilities that you might be lagging is, you may be doing engineering without any interest or you might be forced to do it. You did not mention where you are studying in a government or private college. Start creating an interest in CSE subjects, set your target for the future, and plan accordingly your studies. if lazy, then come out of that factor which is very common. Only 1 and 1/2 years remain in your hand. If you excel in your studies, your CGPA will also improve. Focus on your personality, communication skills, and other parameters that are badly needed at the time of campus interview. Talk with the senior and passed-out students and change yourself as early as possible. Last but not least, remove negative thoughts from your mind. For jobs, CGPA is not the only deciding factor. Overall curricular activities also matters.

If satisfied, please like and follow me.
If dissatisfied with the reply, please ask again without hesitation.
Thanks.

Radheshyam

Ans: The effect of Botox takes around 3-4 months to wear off. Usually, the skin will become as it was , if you do not continue. It doesn't become loose.
But it is advisable that if you start the treatment and like the post treatment effect, you should continue it

Ans: Your requirement for short-term investments of Rs 50,000 per month is unique. The strategy must ensure capital safety, liquidity, and minimal risk. Here’s a step-by-step guide:

1. Understand Short-Term Investment Options
Low-Risk Focus: Investments should avoid high-risk avenues like equity or aggressive hybrid funds.
Liquidity Matters: The funds must be easily accessible without penalties.
Capital Preservation: Priority must be given to protecting the principal amount.
2. Recommended Avenues for Short-Term Investments
Fixed Maturity Plans (FMPs) or Short-Term Debt Funds
These funds invest in short-duration instruments with maturity matching your tenure.
They aim to generate higher returns than savings accounts.
Ideal for short-term goals due to low volatility.
Ultra-Short-Duration Funds
These funds invest in instruments maturing within 3-6 months.
They offer better returns compared to bank fixed deposits.
Risk is minimal, and liquidity is high.
Liquid Funds
These are ideal for parking surplus money for a few months.
Funds are invested in treasury bills and other short-term securities.
They provide slightly better returns than savings accounts.
Bank Recurring Deposits (RDs)
Since you plan to invest every month, RDs provide a fixed interest rate.
These are safe and predictable for short-term savings.
However, returns might be lower than mutual fund options.
Corporate Fixed Deposits (with High Ratings)
Corporate FDs with AAA ratings can offer higher interest rates.
Ensure the tenure aligns with your requirement.
Check pre-withdrawal penalties before opting.
3. Why Not Equity Funds for Six Months?
Equity funds are volatile in the short term and unsuitable for a 6-month horizon.
Market fluctuations can erode capital, leading to potential losses.
Actively managed funds work better for long-term goals, not short-term needs.
4. Disadvantages of Direct Funds in Your Case
Direct funds lack the personalised advice needed for time-bound goals.
Regular funds through a Certified Financial Planner provide tailored strategies.
Professional guidance ensures better alignment with your objectives.
5. Tax Considerations for Short-Term Investments
Gains from debt funds held for less than 3 years are taxed as per your income slab.
Fixed deposits and RDs also fall under the taxable income category.
Ensure tax efficiency by consulting a Certified Financial Planner.
Action Plan for Six Months
Start Monthly Investments
Allocate Rs 50,000 monthly to liquid funds or ultra-short-duration funds.
Avoid locking the amount entirely to ensure liquidity.
Automate RD for Predictable Savings
If risk-averse, opt for RDs in a trusted bank or post office.
Use this option for guaranteed returns, albeit lower.
Monitor Returns and Tax Impact
Track the performance of your chosen funds every 1-2 months.
Consider tax obligations when redeeming the investments.
Final Insights
Investing Rs 50,000 monthly for 6 months requires low-risk, liquid options. Prioritise liquid funds, ultra-short-duration funds, or RDs based on your risk profile and preference for returns. Avoid equity or high-risk funds as they are unsuitable for short-term goals. A Certified Financial Planner can guide you in aligning these investments with your needs effectively.

Best Regards,

K. Ramalingam, MBA, CFP,

Chief Financial Planner,

www.holisticinvestment.in
https://www.youtube.com/@HolisticInvestment