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NRI with SIP in India: Can I transfer funds from Sweden?

Moneywize |174 Answers |Ask -Follow

Financial Planner - Answered on Aug 16, 2024

MoneyWize helps you make smart investment choices.... more

Asked by Anonymous - Aug 14, 2024Hindi

Money

I am an NRI from Sweden. I have SIP running in India. The same is paid for from the Indian bank account with money which was there in the accounts before coming to Sweden. As of now, no money has been transferred to any bank account from Sweden. Can I do so? Also, if I have multiple bank accounts In India, do I need to convert all bank accounts to NRO/NRE accounts?

Ans: Understanding Your Situation

You're an NRI from Sweden with an ongoing SIP in India funded by money already in your Indian bank account. You haven't transferred any funds from Sweden to India yet.

Can You Transfer Money from Sweden?

Yes, you can transfer money from Sweden to your Indian bank account. However, the type of account you have will determine the implications:

• NRE Account: This account is specifically designed for NRIs to hold their foreign income earned. You can freely transfer money from Sweden to this account. The interest earned is tax-free in India.
• NRO Account: This account is for holding income earned in India. You can transfer money from Sweden to this account, but it's subject to certain restrictions and taxation.

Do You Need to Convert All Accounts to NRO/NRE?

It depends on your specific circumstances and financial goals.

If the funds in your Indian bank accounts are solely from your past earnings in India: You might consider converting them to NRO accounts. This would help manage your Indian income efficiently.

If the funds are from sources outside India (like inheritance or gifts): Converting them to NRE accounts might be more suitable as you can repatriate the funds and earnings freely.

Key Considerations:

• Tax Implications: Understand the tax implications of different account types and how they affect your overall financial situation.
• Repatriation Needs: If you plan to transfer funds back to Sweden in the future, an NRE account would be more flexible.
• Currency Fluctuations: Consider the impact of currency exchange rates when transferring funds between countries.

Recommendations:

• Consult a Financial Advisor: Seek professional advice tailored to your specific situation.
• Review Your Financial Goals: Determine your long-term financial plans and how different account types align with them.
• Understand Account Features: Familiarise yourself with the features and benefits of NRE and NRO accounts.

By carefully considering these factors, you can make informed decisions about your NRI bank accounts and financial planning.

Disclaimer: While I can provide general information, it's crucial to consult with a financial advisor or tax expert for personalised advice regarding your specific situation.

DISCLAIMER: The content of this post by the expert is the personal view of the rediffGURU. Users are advised to pursue the information provided by the rediffGURU only as a source of information to be as a point of reference and to rely on their own judgement when making a decision.

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Tax, MF Expert - Answered on Jul 09, 2024

Question by Mamta - Jul 09, 2024Hindi

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Hello Sir I am an NRI and I still have an old SB account in India. I have not changed it to NRO or NRI account. I have a Demat account and investments in demat throgh this SB account. And I am still investing in shares through this demat a/c. Now is it better to change the account to NRI account and also update the demat account or can I continue as it is till I shift back to India?. I am not sure if it is that simple. What are the implications please explain.

Ans: Yes please get your SB changed to NRO , and also open a NRE bank account
All the details will be explained by the bank you are banking with

Ramalingam Kalirajan |7290 Answers |Ask -Follow

Mutual Funds, Financial Planning Expert - Answered on Aug 20, 2024

Asked by Anonymous - Aug 08, 2024Hindi

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Hi, I am an NRI in Australia and I have SIP running in India. The same is paid for from the Indian Bank Account with money which was there in the accounts before coming to Australia. As of now, no money has been transferred to any bank account from Australia. Can I do so? Also, if I have multiple bank accounts In India, do I need to convert all bank accounts to NRO/NRE accounts?

Ans: Yes, you can transfer money from Australia to your Indian bank account, but it’s advisable to use an NRE (Non-Resident External) account for such transfers. Earnings in Australia can be transferred to an NRE account, which is repatriable and tax-free in India.

As an NRI, you should convert your existing resident savings accounts to NRO (Non-Resident Ordinary) accounts. NRO accounts can be used for managing income earned in India, such as rent or dividends. You can also open an NRE account for transferring foreign earnings to India.

It’s mandatory to convert all your Indian bank accounts to NRO/NRE accounts to comply with Indian regulations.

Best Regards,

K. Ramalingam, MBA, CFP,

Chief Financial Planner,

www.holisticinvestment.in

Ramalingam Kalirajan |7290 Answers |Ask -Follow

Mutual Funds, Financial Planning Expert - Answered on Oct 24, 2024

Asked by Anonymous - Sep 23, 2024Hindi

Money

Hi Ramalingam, I am an IT professional living and working in Dubai from past 7 years. I hold SIP approximately around 1 lacs a month in different schemes. Currently my SIP is going from my Indian savings account. 1. Should I continue to invest thorugh Savings account? 2. Should I invest the SIP via NRE/NRO account? 3. What are the taxes implications if I Invest from savings account or NRE/NRO account? 4. Which account would be better? Thank you!

Ans: Investing Rs 1 lakh monthly in SIPs from Dubai reflects excellent discipline. You’re already on a strong path toward building wealth. However, there are certain adjustments and optimisations you can consider, especially regarding the type of account you use for these investments.

Now, let’s address each of your concerns step by step to offer a 360-degree solution.

Should You Continue Investing Through Your Indian Savings Account?
Your current SIP investments are routed through your Indian savings account. While this approach works, it may not be the most efficient for an NRI like you.

Resident Account Issues: Technically, once you become an NRI, you should convert your regular savings account to an NRO account. NRIs are not permitted to operate regular resident savings accounts indefinitely.

Potential Complications: Keeping your SIPs running from an Indian savings account while being an NRI can create compliance issues if detected by authorities or your bank.

In short, while investing through your Indian savings account is possible, it’s not advisable for the long term due to potential regulatory concerns.

Should You Invest the SIP via NRE or NRO Account?
As an NRI, you have the option to route your investments through either an NRE (Non-Resident External) or NRO (Non-Resident Ordinary) account. Both accounts have different implications, and it’s crucial to choose the right one.

NRE Account:

This account allows you to repatriate funds freely to your country of residence, tax-free.
All deposits in an NRE account must be made in foreign currency, and they are converted to INR.
Income earned through the NRE account is tax-free in India, including interest and capital gains from mutual fund investments.
NRO Account:

This account is used for income earned in India, such as rent or dividends.
The interest earned on this account is taxable in India.
Investments through an NRO account will be subject to Indian tax laws, and repatriation limits apply.
Using an NRE account for SIPs is generally better for NRIs like you, as the funds are freely repatriable, and there’s no tax liability on interest or capital gains.

Tax Implications of Investing from Savings Account or NRE/NRO Account
The tax implications vary depending on the account used for the investment.

Investing via Savings Account:

If you continue investing through your Indian savings account, the tax treatment will be the same as that for resident Indians. You’ll be subject to 12.5% tax on LTCG above Rs 1.25 lakh and 20% on STCG for equity funds.
For debt mutual funds, the gains will be taxed as per your income tax slab.
Investing via NRE Account:

The interest and capital gains from investments made through an NRE account are tax-free. This makes it a highly efficient route for NRIs investing in mutual funds.
You will not face any tax on repatriated funds to your country of residence.
Investing via NRO Account:

While investing through an NRO account is permissible, the income generated, including interest and capital gains, will be taxable as per Indian tax laws.
NRO accounts also have restrictions on repatriation, with a maximum limit of up to USD 1 million per financial year.
In conclusion, from a tax-efficiency standpoint, the NRE account is far superior to both the NRO account and your Indian savings account.

Which Account Would Be Better?
Given the options, let’s assess the best choice for you:

NRE Account: This should be your primary choice for routing your SIPs. It offers complete repatriation flexibility and tax-free benefits. Since your earnings are from Dubai, investing through this account makes the most sense.

NRO Account: This account can be used for Indian income sources such as rental income. However, it is not ideal for mutual fund SIPs due to the tax liabilities attached.

Indian Savings Account: As mentioned earlier, continuing to use your resident savings account is not advisable. It can lead to potential regulatory issues.

Switching your SIPs to an NRE account will give you maximum tax benefits and ensure that your investments are legally compliant.

Further Recommendations to Maximise Your Investment Strategy
While your SIP investments of Rs 1 lakh per month are already impressive, there are additional steps you can take to optimise your wealth-building strategy:

Increase SIP Amount Gradually: As your income grows, you should gradually increase your SIP investments. Aim for a 10-15% increase annually. This ensures that your investment grows faster with your rising income and inflation.

Diversification Across Fund Categories: Ensure that your Rs 1 lakh SIP is spread across different mutual fund categories like large-cap, mid-cap, and small-cap equity funds. A well-diversified portfolio can provide both stability and growth potential.

Review Portfolio Annually: Regularly review your portfolio with the help of a Certified Financial Planner (CFP). This will help you rebalance your portfolio and align it with your financial goals.

Avoid Direct Mutual Funds: Direct funds may seem cheaper due to lower expense ratios, but they lack expert guidance. Investing through a CFP ensures that you get professional advice and better fund selection.

Tax Planning for NRIs
Since you’re an NRI, it’s essential to be aware of tax laws, both in India and Dubai. Some points to consider:

Double Taxation Avoidance Agreement (DTAA): Check if your country of residence (Dubai) has a DTAA with India. This ensures that you don’t pay taxes twice on the same income.

Tax-Free Income in Dubai: Dubai does not impose personal income tax, so your primary tax concerns will be in India.

Capital Gains Tax: Ensure you’re investing through an NRE account to enjoy tax-free capital gains. This simplifies your tax liabilities and ensures easy repatriation of funds.

Consulting a tax expert or CFP will help ensure you remain compliant with both Indian and Dubai tax laws.

Additional Considerations for NRIs
Apart from tax and investment strategies, there are other factors you should consider as an NRI:

Exchange Rate Fluctuations: Keep an eye on exchange rate fluctuations between INR and your currency. This can impact the value of your investments when repatriating funds.

Repatriation Needs: If you have plans to repatriate funds to Dubai in the future, ensure your investments are made through an NRE account. This allows free repatriation without tax implications.

Insurance Needs: Consider purchasing an NRI-specific health or life insurance policy. Some insurance providers offer plans tailored to NRIs, which provide global coverage and better flexibility.

Final Insights
You are already on a commendable path with Rs 1 lakh monthly SIPs. However, switching to an NRE account will be the most tax-efficient and compliant way to continue investing as an NRI. It allows you to enjoy tax-free income and easy repatriation. Ensure you diversify your portfolio across different fund categories, review your investments regularly, and gradually increase your SIP amounts as your income grows.

By focusing on these strategies, you will maximize your returns and stay aligned with your long-term financial goals.

Best Regards,

K. Ramalingam, MBA, CFP,
Chief Financial Planner,
www.holisticinvestment.in
https://www.youtube.com/@HolisticInvestment

Latest Questions

Dr Nagarajan Jsk |183 Answers |Ask -Follow

NEET, Medical, Pharmacy Careers - Answered on Dec 21, 2024

Asked by Anonymous - Nov 19, 2024Hindi

Career

Hello sir I am mbbs graduated from russia in 2020,n passed with my fmge exam in india in 2021, I want to ask if i want to practice medicine or work as doctor in uk ? Is it necessary for me to pass plab exam exam? Or if i get sponsorship from any uk i will be able to work there and simultaneously i will give plab exam?? Please guide me i m so confused?

Ans: Hi, I understand that you pursued a medicine course in Russia (a non-European country) and, since you are from India, you have completed the FMGE. Now you want to practice or work in the UK as a doctor?

Based on your question, you are eligible to practice in India after completing your internship (which you haven't mentioned, but I assume you have completed it). The FMGE is essentially a licensure exam for Indian students who have completed their medical studies abroad, so you are eligible to practice in India only.

If you want to practice medicine in the UK, you need to complete the PLAB test, as you are from outside the UK/Switzerland/European countries (Austria, Belgium, Bulgaria, Croatia, Cyprus, Czech Republic, Denmark, Estonia, Finland, France, Germany, Greece, Hungary, Iceland, Ireland, Italy, Latvia, Lithuania, Luxembourg, Malta, Netherlands, Norway, Poland, Portugal, Romania, Slovakia, Slovenia, Spain, Sweden, Switzerland).

You also inquired about sponsorship. Here is the information related to sponsorship for practicing medicine in the UK.
(Extracted from general medical council, uk org. )Applying for registration using sponsorship
If you apply through sponsorship, you will have to satisfy the sponsor that you possess the knowledge, skills and experience required for practising as a fully registered medical practitioner in the UK. Each sponsor has their own scheme which we have pre-approved. If you can satisfy the requirements of their scheme, they will issue you with a Sponsorship Registration Certificate (SRC) which you will need for your application with us. Please ensure this is a Sponsorship Registration Certificate for GMC registration, as we can’t accept UK visa sponsorship certificates for your application for registration.
Please note that a core part of all sponsors' criteria is that a doctor applying for an offer of sponsorship must have been engaged in medical practice for three out of the last five years including the most recent 12 months. If you cannot meet these minimum criteria, it is unlikely that you'll be able to supply sufficient evidence to support your application for sponsorship.
Doctors applying through sponsorship are required to demonstrate their English language skills by achieving our current minimum scores in the academic version of the IELTS test or the OET (medicine version).
• Alder Hey International Fellowship Scheme (Anaesthetics)
• Betsi Cadwaladr University Health Board - BCUHB IMG Sponsorship Scheme
• BAPIO Training Academy Ltd – BTA International Fellowship Scheme
• BAPIO Training Academy Ltd – International Training Programme for Postgraduate Doctors
• BAPIO Training Academy Ltd - BTA International Fellowship Scheme – Internal Medicine with interest in Oncology with MSc in Oncology
• Barking Havering and Redbridge University Hospitals NHS Trust - BHRUT Sponsorship Scheme for Overseas Doctors in Clinical Radiology
• Birmingham and Solihull Mental Health NHS Foundation Trust - International Medical Fellowship Programme in Psychiatry (Birmingham)
• Birmingham Women’s and Children’s Hospital – Birmingham Women’s and Children’s International Medical Graduate sponsorship scheme
• Bradford District Care NHS Foundation Trust - International Medical Fellowship in Psychiatry
• Cambridge IVF, Cambridge University Hospitals NHS Trust – IVF Senior Clinical Fellowship Scheme
• Cambridge University Hospital – Senior Clinical Fellowship Scheme in Intensive Care Medicine/Anaesthesia
• Canterbury Christ Church University
• Cumbria Northumberland Tyne and Wear NHS Psychiatry Fellowship Programme
• Derbyshire Healthcare NHS Foundation Trust - International Medical Fellowship Programme in Psychiatry
• Dudley Group NHS Foundation Trust
• East Lancashire Hospitals NHS Trust - Clinical Fellowship in Urology or Ophthalmology
• East Lancashire Hospital NHS Trust - Specialist Clinical Fellowship in Pain Management
• East London NHS Foundation Trust (ELFT) – ELFT Advanced International Fellowship in Psychiatry
• East Suffolk and North Essex NHS Foundation Trust – ICENI Centre Fellowships Programme
• Edge Hill University and Wrightington, Wigan and Leigh NHS Trust – International Training Fellowships in MCh programmes
• ENT UK – Royal College of Surgeons
• Essex Partnership University NHS Foundation Trust – EPUT Advanced Fellowship in Psychiatry
• Frimley Health NHS Foundation Trust – International Fellowship in Regional Anaesthesia combined with MSc in Principles of Regional Anaesthesia at the University of East Anglia
• Great Ormond Street Hospital International Fellowship Programme
• Guy's and St Thomas' Hospitals NHS Foundation Trust – Critical Care
• Guy’s and St Thomas’ NHS Foundation Trust – International Clinical Fellowship Programme (ICFP)
• Guy's and St Thomas' Hospitals NHS Foundation Trust – Obstetrics and Gynaecology
• Guy’s and St Thomas’ NHS Hospitals Foundation Trust – Oncology Specialty Training
• Guy's and St Thomas' NHS Hospitals Foundation Trust – Specialty Training in Anaesthetics
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• Hertfordshire Partnership University NHS Foundation Trust
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• Humber Teaching NHS Foundation Trust - Sponsored International Fellowship Scheme in Psychiatry
• Imperial College Healthcare NHS Trust – Emergency Medicine
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• Imperial College Healthcare NHS Trust – International Anaesthesia Trainees
• Imperial College Healthcare NHS Trust – Intensive Care Medicine
• Imperial College, London - Clinical Research
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• Lancashire & South Cumbria NHS Foundation Trust - Psychiatry specialty Fellowship Scheme
• Lancashire Teaching Hospitals NHS Trust - Overseas Registrar Development and Recruitment (ORDER)
• Leeds Teaching Hospitals NHS Trust – International Fellowship Programme
• Leicestershire Partnership NHS Trust – International Medical Fellowship Programme in Psychiatry
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• Modality Partnership - Modality Primary Care International Fellowship Scheme
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• Northamptonshire Healthcare NHS Foundation Trust – International Clinical Fellowship Scheme
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• Oxford University Hospitals NHS Foundation Trust – Oxford University Hospitals Sponsorship Scheme
• Oxford University Hospitals NHS Foundation Trust – The Oxford International Neonatal and Paediatric Fellowship Programme
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• University of Chester and Cheshire and Wirral Partnership NHS Trust – International Training Fellows Psychiatry
• University of Hertfordshire – Professional Doctorate in General Internal Medicine (Clinical MD) Programme
KINDLY NOTE: If your sponsor is not on this list then you cannot apply using sponsorship.
If you have any further questions, please visit the GMC website for more information.

WISH YOU ALL THE VERY BEST.

Dr Nagarajan Jsk |183 Answers |Ask -Follow

NEET, Medical, Pharmacy Careers - Answered on Dec 21, 2024

Asked by Anonymous - Aug 02, 2024Hindi

Career

I’m mbbs final year student from Kathmandu university want pg medicine from UAE

Ans: You have provided very limited information. I understand that you are a student from Kathmandu University and wish to pursue higher education in medicine in the UAE. To provide a more accurate response, I need the following details:

What is your nationality? (Based on your nationality, I can check the relevant requirements from the health department regarding courses and internships).

Dr Nagarajan Jsk |183 Answers |Ask -Follow

NEET, Medical, Pharmacy Careers - Answered on Dec 21, 2024

Asked by Anonymous - Dec 20, 2024Hindi

Career

Sir my son has 92 percentile in cat 2024..what are his scopes of admission.

Ans: Hi Sir,
You have provided very limited information to obtain the details. However, the percentile of the candidate will not solely determine the admission process. Other factors are also involved, including:

- Course
- Institution
- Caste
- Creamy layer
- Gender

But, there may be possibilities for admission to the following IIMs: IIM Visakhapatnam, Udaipur, Bodhgaya, Shillong, and Rohtak.

Ramalingam Kalirajan |7290 Answers |Ask -Follow

Mutual Funds, Financial Planning Expert - Answered on Dec 21, 2024

Asked by Anonymous - Dec 21, 2024Hindi

Money

Hi Sir, I follow your articles regularly and your detailed assessment is really awesome.I am 47yrs Male with wife, 20&18 years kids, elder one is in B.Tech and younger one is 12th. My wife is a home maker. Coming to financials. I have 4 houses including the one residing worth 10cr(total) and getting rental income of 70k per month, invested in stocks and MFs worth 60L, have foreign stocks of worth 1.7cr, accumulated pf around 1.3cr. I have farm lands worth 5cr. Have 1.2cr loan and salary of ~4L (net). current sips in equity 70k/month, have 5Cr term plan, health insurance for family 50L. How do I plan my retirement at 52-53years assuming 80 years life expectancy. Don't want to depend on kids and need regular income ~3-4L per month.

Ans: Asset Evaluation
Real Estate:
You own four houses worth Rs 10 crore, generating Rs 70,000 monthly rental income. This is a solid base for passive income. However, real estate can have fluctuating maintenance costs, tenant issues, and varying rental yields over time.

Stocks and Mutual Funds:
Your Rs 60 lakh investment in stocks and mutual funds is a commendable step. Active mutual funds offer professional fund management and can outperform index funds over time.

Foreign Stocks:
Your Rs 1.7 crore portfolio in foreign stocks adds geographical diversification. Monitor currency exchange fluctuations and global market trends.

Provident Fund (PF):
With Rs 1.3 crore in PF, this is a reliable retirement corpus. The fund provides fixed returns and tax benefits, adding stability.

Farm Lands:
Farm lands worth Rs 5 crore are an illiquid but valuable asset. They might not generate consistent income unless leased or developed.

Loans:
A loan liability of Rs 1.2 crore needs prioritised repayment. Focus on loans with higher interest rates first.

Insurance Coverage:
A Rs 5 crore term plan is robust. Your Rs 50 lakh health insurance is sufficient for unexpected medical emergencies.

Retirement Goals
You need Rs 3–4 lakh monthly for 27–28 years post-retirement.
The portfolio must generate steady, inflation-adjusted returns.
Action Plan for Retirement
Debt Management
Prepay High-Interest Loans:
Use a portion of your surplus income to prepay loans. This reduces interest outflow and increases your cash flow.

Avoid New Loans:
Focus on reducing existing liabilities instead of taking on new ones.

Portfolio Restructuring
Real Estate:
Retain essential properties. Sell underperforming or non-essential properties to reduce concentration in real estate. Invest proceeds in mutual funds or debt instruments for diversification.

Mutual Funds (MFs):
Increase SIPs in actively managed funds. They outperform direct funds due to guidance from Certified Financial Planners and MFDs. Regular funds offer better tracking and professional assistance.

Stocks:
Monitor direct equity investments closely. Consider reallocating underperforming stocks to mutual funds for better management.

Debt Instruments:
Invest in high-quality debt funds or fixed-income securities for stability. These instruments balance equity volatility and ensure steady returns.

SIP Strategy
Increase SIPs from Rs 70,000 to Rs 1 lakh/month.
Allocate 70% to equity funds for long-term growth.
Invest 30% in debt funds for stability and liquidity.
Emergency Fund
Maintain a 12-month expense reserve in liquid funds or fixed deposits.
This covers unexpected expenses without disturbing investments.
Income During Retirement
Systematic Withdrawal Plan (SWP)
Use SWPs in mutual funds to generate regular income.
Withdraw 6–8% annually from your mutual fund portfolio for a steady income stream.
Rental Income Optimisation
Review property rents regularly.
Invest part of rental income in equity or debt mutual funds for compounding.
Dividend Stocks
Retain high-dividend-yield stocks for regular income.
Reinvest surplus dividends for long-term growth.
Tax Efficiency
Equity Funds Taxation:
Long-term gains above Rs 1.25 lakh are taxed at 12.5%. Short-term gains are taxed at 20%.

Debt Funds Taxation:
Both short- and long-term gains are taxed per your income slab.

Real Estate Capital Gains:
Use exemptions under Sections 54 or 54F to save tax on property sales.

Inflation Protection
Allocate 60–70% of your portfolio to equity investments.

Equity provides inflation-adjusted returns over time.

Debt funds and fixed instruments safeguard against equity market volatility.

Estate Planning
Draft a will to allocate assets transparently among family members.
Use nomination and joint ownership to avoid legal complications.
Consider a family trust for farm lands to avoid disputes.
Periodic Review
Review your financial plan every six months.
Adjust investments based on market conditions, goals, and needs.
Consult a Certified Financial Planner regularly for updates.
Finally
A well-diversified portfolio ensures financial independence post-retirement. Focus on debt repayment, portfolio balance, and tax-efficient withdrawals. Your assets can comfortably generate Rs 3–4 lakh monthly income, adjusted for inflation.

Best Regards,
K. Ramalingam, MBA, CFP,

Chief Financial Planner,

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

Kanchan Rai |444 Answers |Ask -Follow

Relationships Expert, Mind Coach - Answered on Dec 21, 2024

Question by Kevin - Dec 19, 2024Hindi

Relationship

I am the eldest sibling in our families and aged 51. Normally, whenever anyone in the family has a problem - financial, mental, psychological, issue with people or anything else, they come up to discuss with me and share. Well, many would say I am lucky as people look up to me when they are in any kind of a problem. But that is not the case. Sadly no one is around with whom I can discuss or even think to share my issues, my problems. I do not have any friends. Sadly, yes, that is a fact and at my age, I dont expect that here we have a culture where we can get to making friends, at least the kind of friends with whom you can confide, share your feelings, problems. I tried and failed. Maybe because I am introvert or maybe I am too cautious. To make it more complicated, I dont work in the regular kind of job. I am a lone person who works as a freelance from home. This limits my outreach when it comes to interacting with real people. I have clients, business contacts, but I cannot get personal with them. It will never be a good choice. My wife is busy with her job + we do not have any relation beyond the daily matters related to household and it has been more than 10 years now that we live this way. Tried to sort out things with her but she just does not have time and interest (after all who wants to add on to tensions, stress). My daughter is after all my daughter - I cannot share these with her, and definitely at 10 she is too young to be one to discuss such stuff. I am not sure how far this issue can be fixed but I am hopeful to find some path here.

Ans: Dear Kevin,
Starting small can be helpful. Consider connecting with people through shared interests or hobbies, either online or in person, where the pressure to immediately open up is minimal. Online communities, local meetups, or volunteer activities can create low-stakes opportunities to connect with like-minded individuals. The goal isn’t to instantly find someone to confide in but to slowly build a sense of belonging and companionship.

Your relationship with your wife appears to be another significant source of emotional distance. While her lack of interest in deep conversations may seem like a barrier, it’s worth exploring other ways to reconnect—perhaps by spending time together in shared activities or revisiting moments that once brought you closer. Sometimes, relationships stuck in routines benefit from new experiences or even professional counseling to navigate the underlying dynamics.

Regarding your daughter, while it’s clear she cannot shoulder your emotional burdens, she can still be a source of joy and connection. Investing time in activities with her can provide a sense of fulfillment and grounding that counters loneliness.

Above all, remember that reaching out for professional support, such as therapy, is not a sign of weakness but an act of self-care. A therapist can provide a safe space to express your feelings and help you develop strategies to foster deeper connections and manage emotional isolation.

You deserve to feel supported and connected, and even if the journey to finding that seems long, every step you take toward opening up or seeking out others is a move toward a more fulfilling and less lonely existence.

T S Khurana |260 Answers |Ask -Follow

Tax Expert - Answered on Dec 21, 2024

Asked by Anonymous - Nov 22, 2024Hindi

Money

My Question is for New Tax Regime for Financial Year 2024 – 25. Total gross Income is Rs.9 lakhs and along with that income from share / stock trading i.e short term gains of Rs. 1 lakh. Could you please help me advise if what would be the tax liability?

Ans: 01. Considering your Income of Rs.9.00 lakhs as business income & Rs.1.00 lakh as STCG on securities, without any tax savings, your tax liability would be around Rs.62,400.00 in New tax regime. If we opt for the old tax regime, your tax liability would be much more than this.
Most welcome for any further clarifications. Thanks.

T S Khurana |260 Answers |Ask -Follow

Tax Expert - Answered on Dec 21, 2024

Question by SA - Nov 11, 2024Hindi

Money

I got a residential property through will from my mother,,property is 30 years old and i am planning to sell it, in that case i am going to get Rs 165lacks,, what will be the tax implication and how to avoid the same kindly advise i am 55 years old married man with a daughter

Ans: 01. In this case, you would be subjected to LTCG (Long Term Capital Gain) tax.
02. To work out LTCG, you should reduce its Cost from the Sale proceeds (Rs.165.00 lakhs).
of property, which was costed to your mother.
03. However, following details may help you to assess your tax liability.
Under present provisions of Income Tax Act, you may opt any of the options (Long Term
Capital Gains), as under :
(a). Tax Rate 12.50% without indexation or
(b). Tax Rate of 20% with Indexation.
04. You may calculate your tax liability under both options & may opt for the tax regime, where tax liability is minimum.
05. To avoid tax, you may invest in purchase of some house property. Exemption available would be minimum of Cost of new house property or the LTCG, which ever is less.
06. You have the option to purchase Capital Gain Bonds of NHAI etc., for tax saving.
07. Most welcome for any further clarifications. Thanks.

T S Khurana |260 Answers |Ask -Follow

Tax Expert - Answered on Dec 21, 2024

Asked by Anonymous - Dec 19, 2024Hindi

Money

Hello Sir, I worked in a Pvt Ltd company from 2006 to 2011, and they had their own PF trust. The company was later sold off to another firm. I still haven't withdrawn the my PF amount. How will i be able to do that. I have the PF number and ESP number. Since this was before 2011 , my UAN is not linked to this account. How will i be able to retrieve my PF amount that is still stuck here.

Ans: Kindly keep in touch with your previous employer (present owner of the company), in this connection. There should not be any problem in getting your PF amount, except certain formalities/ forms to be submitted.
Most welcome for any further clarifications. Thanks.

T S Khurana |260 Answers |Ask -Follow

Tax Expert - Answered on Dec 21, 2024

Asked by Anonymous - Dec 21, 2024Hindi

Money

Dear Guru. I have inherited a property in Mumbai from my deceased father which was purchased in 1983 by him. If today i sell the property which is worth 2.60 Crs whats my capital gains tax and how will it be calculated

Ans: 01. In absence of exact figures, it is not possible to calculate your Capital Gains Tax. However, following details may help you to assess your tax liability.
02. Under present provisions of Income Tax Act, you may opt any of the options (Long Term
Capital Gains), as under :
(a). Tax Rate 12.50% without indexation or
(b). Tax Rate of 20% with Indexation.
03. You may calculate your tax liability under both options & may opt for the tax regime, where tax liability is minimum.
04. Most welcome for any further clarifications. Thanks.

Ramalingam Kalirajan |7290 Answers |Ask -Follow

Mutual Funds, Financial Planning Expert - Answered on Dec 21, 2024

Question by Anil - Dec 20, 2024Hindi

Money

Top4 sips with 15k amount suggest me

Ans: Here’s an updated strategy for your Rs. 15,000 SIP allocation, replacing the sectoral/thematic fund with a small-cap fund for better long-term growth potential.

Suggested SIP Allocation (Rs. 15,000)
Large-Cap Fund

Allocation: Rs. 4,000/month
Objective: Stability and steady growth by investing in India’s top 100 companies.
Why Choose: Provides consistent returns and low volatility in your portfolio.
Flexi-Cap Fund

Allocation: Rs. 4,000/month
Objective: Diversified exposure across large, mid, and small-cap stocks.
Why Choose: Offers balanced risk and returns with flexibility during market cycles.
Mid-Cap Fund

Allocation: Rs. 3,500/month
Objective: Tap into the growth potential of medium-sized companies.
Why Choose: Higher returns with manageable risk compared to small caps.
Small-Cap Fund

Allocation: Rs. 3,500/month
Objective: Focus on fast-growing small-cap companies.
Why Choose: High-growth potential over the long term, though with higher volatility.
Why Include Small-Cap Funds?
Long-Term Growth: Small-cap companies have immense potential to grow significantly over time.
Diversification: Adds exposure to an underrepresented segment, complementing large and mid-caps.
High Returns: Potential for higher returns compared to other categories, albeit with higher risk.
Key Considerations
Investment Horizon: Stay invested for at least 7-10 years to mitigate short-term volatility.
Active Fund Management: Avoid direct or index funds to leverage professional expertise.
Regular Monitoring: Review fund performance periodically with a Certified Financial Planner.
Tax Implications
Equity Funds:
LTCG above Rs. 1.25 lakh/year taxed at 12.5%.
STCG (held less than 1 year) taxed at 20%.
Final Insights
This updated allocation ensures a mix of stability, moderate risk, and high growth. With consistent SIPs and periodic reviews, you can achieve robust wealth creation over the long term. A Certified Financial Planner can assist in optimising your investment strategy.

Best Regards,

K. Ramalingam, MBA, CFP,

Chief Financial Planner,

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

See more questions »

DISCLAIMER: The content of this post by the expert is the personal view of the rediffGURU. Investment in securities market are subject to market risks. Read all the related document carefully before investing. The securities quoted are for illustration only and are not recommendatory. Users are advised to pursue the information provided by the rediffGURU only as a source of information and as a point of reference and to rely on their own judgement when making a decision. RediffGURUS is an intermediary as per India's Information Technology Act.

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