Naari- Nothing But the Best!!!

To understand the facts of women’s participation in personal finances and to study their behavior towards financial decisions, Saarthi Financial Planners conducted a small survey fortnight before the Women’s day. The findings of this survey were varied and we can easily say that women are slowly developing liking for the “Money Matters”. 

The Sample Size

 The sample survey (110 participants) was conducted via the social media and conventional emails. It covered the views of all women from ages 25 – 70 years. The participants were from all across all occupational background – including Information Technology, Chartered Accountants, Lawyers, Teachers, Home Bakers, Designers, Pyschologist and even Medical Practitioners. They formulated the largest mass of the survey at 45%. The home makers were the second largest group at 22%. There is a small section (15%) of women working as freelancer (i.e. work from home / contractual working) at their flexible hours. Beyond this, there were growing numbers of professional ventures helmed by women –majorly in food and education industry. 

The Survey Findings 

a)    Out of the total participants, only 62% of the participants had a monthly budget to manage the house. For the remaining participants, few never felt a need to have a budget.

b)   A startling 75% of participants need help of their partners, colleagues or parents to plan their daily household financial decisions.  

c)    Out of 78%, income earning women only 58% contribute for household expenses. Less than 10% of women prefer to save their income separately beyond their family goals.

d)   Investment decisions are made by 58% of participants by discussing with their partners. Around 21% of women make investment decisions individually. Around 15% of women don’t invest due to lack of separate funds, lack of time or knowledge.

e)   Capital Market products (Mutual funds, Direct Shares) are growing popularity with 41% of women having it as preferred investment. Real Estate and insurance have also caught fancy as attractive investment options.

f)     Out of total participants, 75% are confident of managing the home finances independently in case of any adverse situations. 

g)    About 68% of women prefer to buy small gifts for self over splurging money on self.

h)   For mostly all participants, Financial Freedom is related to free will to spend money without any restriction or probation and being happy.   

We, at Saarthi Financial Planners, have been regularly speaking about the need for women participation in the financial decisions. The survey results highlight that women shy away from taking individual financial decisions. Although, consultation with family is good practice but learning to make individual decisions is necessary. Also, the survey highlights a very crucial point that women are good savers but bad investors. (They don’t grab good investing opportunities). They take their decisions emotionally and procrastinate when it comes to decisions. 

Thank You,

Ami Shah

Saarthi Financial Planners

EPF UAN Member Portal Contact Us details

In case of any difficulty related to the EPF UAN Member Portal following are the mode of communications.

#EPFO #PF #EPF #Compliance #LabourLaws #IndianLabourLaws #SocialSecuritySchemes #SocialSecurity #IndianSocialSecuritySchemes #EmployeesProvidentFundOrganisation #UAN #UniversalAccountNumber.

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Team
Saarthi Financial Planners
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Prevention is better than Cure & Cry

Very often we hear, “I had to rush my father to the hospital for sudden chest pain. He was fit till previous night, but got unwell in the morning.” Maybe this situation is true in case of many diseases. However, as we all are aware that sedentary lifestyle with unhealthy eating and improper rest can often give rise to such health issues. So, if there is no way to offbeat it, we should at least be aware about it. One of the easiest ways to do it is going for regular health checkups. Please note any health checkup does necessarily mean detection of illness. It is to determine that the body clock is doing its job well and there is no sign of rotting organs.

You might be wondering why a Personal Finance blogger is today concerned about our personal health. Of course there is a finance angle attached to it, where every tax filing individual can in addition to health insurance premium paid for self, spouse, children and parents under Sec 80D can also claim deduction up to Rs. 5000 pa for the entire family.

Yes, it is a preventative health check up benefit, which we hardly are aware about. We all spend on different blood tests and body check up at different stages of our life but ignore to claim it under tax. Thus, we would just like to share pointers that would help you determine your eligibility for claiming the amount under tax.

Quick info about Preventive health Check up expense benefit under Sec 80D

1. Preventive health Check up is not undertaken on advice of doctor on detection of any illness. It is a general test, which is undertaken voluntarily by an individual. It is for Prevention and not benefit for treatment.
2. It is in addition to your health insurance premium. So, if you have any family member (i.e. including self, spouse, children or parents) up to the age of 60, then you claim total deduction of Rs. 25000/- under 80D. If the age of any member or parent is above 60, you can increase the claim amount to Rs. 30,000/-.
3. You can make the payment for the preventive check up even in cash.
4. There is no specified law mentioning the kind of test you can claim as deduction, hence it is safe to include any health checkup in this parlance.
5. There is no need to submit any proof or document to the IT department. However as a better practice, keep the payment receipt safe to show in case of any query raised in future.

We would like to conclude that if there is a facility made available for the betterment of an individual health, then we should use it to the fullest. With new lifestyle diseases cropping up with new day, isn’t it better to have our precautionary tool ready. Also, there is a monetary benefit attached to it. What else do we need to motivate us for a healthy living.

Team
Saarthi Financial Planners
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All about law of Maintenance of Senior Citizens

Do you know some elderly person, who have done a lot of good work in their life time but is unable to maintain a dignified life in their needy times? Do you feel the need to help them but back off stating some kind of interference from your side? So, we would just like to highlight a few pointers from a law, not so popular in India. It is known as Maintenance and Welfare of Parents and Senior Citizens Act, 2007. This law is to protect the senior citizens, who have a right to claim maintenance from their children or grandchildren if, they are unable to take care of themselves.

Some points under this law are as follows: 

·         The law is applicable to senior citizens above 60 years. It is for asking for maintenance help from children, grandchildren or from relatives, who are going to inherit your property.

·         The law mentions that abandoning senior citizens is a crime.

·         If in case any senior citizen, has transferred their property to their legal heirs with the hope of been taken off, they can lodge a claim with the tribunal, if their maintenance is not taken care for. Maintenance includes food, residence, medical assistance and treatment.

·         The general limit of maintenance help is limited to Rs. 10000 pm. The amount can vary state wise.

·         The senior citizen can file a case against all their major children, inheriting the property. They can share the maintenance amount depending on the proportion of property received by them.

·       The state government is responsible to appoint an Maintenance officer, ensures that the amount of maintenance is received on time.

·         The State Government is also responsible to set up old age homes and medical assistance for chronic diseases, of the senior citizens are not able to maintain themselves.

You can read in detail about the law at

http://socialjustice.nic.in/writereaddata/UploadFile/Annexure-X635996104030434742.pdf

Saarthi would request all it readers to spread the word about the law to most of the required people in need. Also, ensure that we give a little more dignity to our elders, who have given us the maximum attention in our days of needs.

Thanks and Regards
Team
Saarthi Financial Planners
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Email: saarthifp@gmail.com

Out for Vacations...

Are you leaving for a long vacation this month to escape the heat and crowds? Are you concerned with the impending preparations before you leave? You might get many checklists for your travelling guides but what should not be neglected in it is your routine home management planning.

Here's a quick checklist before you leave for your annual summer vacations:

1. Pay all your pending utility bills- including gas, electricity, telephone and internet expenses.
2. If you have given ECS mandate for the same- check for the required notification on the provided date on your mobile or email.
3. Close down all your major appliances from the mains to avoid any accident – like gas, refrigerator, air conditioners, room heaters, laptops, televisions and even gas geysers.
4. If you have some valuables – like jewellery, agreements move it to a secure corner of home or bank lockers.
5. If your life or health insurance premium is due when you are travelling, then please pay the same in advance or leave a post dated cheque with your agent or planner.
6. Get a home burglary insurance if you are travelling for really long time.
7. Ensure your travel insurance is in place and covers all the emergency medical needs for any picky situation. This insurance should ideally begin from the time you leave for airport/ train and end when you reach you home.
8. Share your entire travel itinerary with a trustworthy source within your immediate family and friends.
9. If possible , give them your contact details to call you in case of emergency. Sign and keep two or more cheques with your family back at home, in case required to service emergency expense or payments. It is better to define a upper limit for the same.
10. Let the neighbours,building security know your travel and ask them to avoid any strangers to your place.
11. If you are carrying your bank cards, ensure you have the required helpline numbers for it, which is helpful to make any emergency transfers to your account or block the cards , in case if is it stolen.
12. Carry enough cash , as per the scheduled travel and make a provision of contingency for any sudden splurge or excursion.
13. Avoid lending strangers on travel any funds as you never know when you might require additional funds.
14. Also, if out are travelling out of the country secure well the foreign currencies well in advance to get the best possible rates.

So go ahead and enjoy your break time.Saarthi wishes all its readers a wonderful vacation time ahead. Plan your trip, enjoy your vacation and stay safe. It is time to enjoy fruits of your planning. 

Thanks and Regards

Team

Saarthi Financial Planners

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Email: saarthifp@gmail.com

 

Labor... Law... Know More

On the occasion International Labour Day, we would like to discuss few privileges, which are essential to be known to you, if you are serving as an employee to any company. In case of any personal situation you can stand for your own case and make the required decision.

Some of the commonly applicable rules are as follows:

1. Employment contract – A written employment although is not mandated in all roles and across India, it is always recommended to have one. This contract would help to outline the role and responsibilities of the employee. It helps to understand better the scope of work and avoid any disputes in future. All the necessary conditions – regarding work scope, job pay can be rightfully put on the paper. Also, the employee can use the same as a source of information regarding all the perquisites, allowances or even retirement benefits. The professional service of ”letter of Appointment” is drafted in similar lines of the above mentioned written contract. 
2. Leave – Every employee is entitled to a work holiday. It can be rightfully classified as sick leave (average 14 days annually), national holidays, casual leave (average 7-8 days annually) or even Privilege leave. If the employee cannot attend office due to medical conditions, a medical certificate if provided, it is to be granted as paid as per the company policy. Beyond this, there is need to have a weekly off or even some commonly celebrated festivals.
3. Protection from Work Place Sexual Harassment – it is necessary to set up a framework for protection of employees especially female employees. The employees should be made aware of the process to file complaints in case of objectionable behaviour by any colleague, senior or any subordinate. In case of any complaint received, a transparent inquiry should be made with making the punishment public to discourage any future incidents. The women can take legal guidance under Sexual Harassment Of Women at Workplace (Prevention, Prohibition and Redressal) Act 2013.
4. Maternity Benefit- the employer is to provide the required pregnancy holiday benefit to all its female employees. Earlier the leave was limited to 12 weeks including the post pregnancy break. This has now been extended to 26 weeks in private sector. If there are complications including miscarriage or pregnancy termination, a one month paid leave is mandated by the law. Also, the employer cannot terminate services of any female staff stating her pregnancy condition. Also, they are supposed to support any kind of breaks for medical checkups or for feeding needs of babies post delivery.
5. Retirement Benefits – there are many benefits which an employer needs to provide to his employees including Employee Provident Fund (EPF), gratuity and bonus. Every employee who works in a firm which has more than 9 employees on its muster roll and earns less than Rs 15000 per month, then he is eligible for EPF. Also, for gratuity if he has served continuous five years in a company, where the employee strength is more than 9 employees working, then he is eligible for gratuity.

The rules are not all on its own; it has some conditions, which we might have not covered in detail or completely. Hence, we would suggest that you make your decision in light of your current situation and only after consulting the required Human Resource Official at your workplace. Saarth+i wants to congratulate all the employees/ labour around the globe that bravely face all the difficulties and continues to grow in their work.

Thanks and Regards

Team

Saarthi Financial Planners

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RERA.. .Ready to go

Real estate regulator act (RERA) is expected to be enforced from 1^st may 2017. It is expected to be a blessing for all future home seekers and also bring the real estate industry under control over huge unsold inventories and sky rocketing prices. This act is expected to reduce delay in project completion and increasing hooliganism in case of default. 

Some of the facts of the RERA are as follows: 

a)  Pay for only the area you can use- one of the misleading facts in every home purchase is the use of words like” super built up” or “ built up “ with 25-30% loading which wrongly includes the window/ balcony or loft  space I calculation. Going forward it is mandated to only mention the usable area where the space ca n be actually used by the buyer. The advertisement or agreement should contain the carpet area. It is rightfully known as carpet area as the place where you can lay down the flooring or carpet. The buyer needs to pay price on this area only.

b)   Creation of bank escrow accounts – usually the builders have had a tendency of starting multiple projects at one go and collecting funds from home buyers showing them futuristic images. Going forward, to avoid pumping of funds from one project to another, an escrow account has been mandated to all. At any given point of time, the builders can only withdraw 70% of available funds of home buyers after required approvals from their engineers and chartered accountants. 

c)   Payment schedule – the buyers are expected to pay only 10% of amount before the signing of agreement. Also, the buyer is entitled to see all the layout plans, copy of entire sanctioned plans and the schedule of completion. The maximum period of project completion is currently 7 years. The buyer is entitled to get possession within 2 months of getting the Occupation certificate.  The onus of getting the OC is with the promoter. The promoter is also responsible for creating a society and is responsible for complete maintenance till then. There is also a five year warranty of structural defect in the interest of buyers but it has not been clearly defined in the law. The promoter cannot make any change in the layout plan without seeking approval of 2/3^rd buyers. Also, the promoter can’t transfer the project to any other developer without again seeking permission by 2/3^rd of allotees.

d)  Registration of projects- the developers need to register their projects with the regulators before making any public announcement of the project. The permission is necessary for any construction beyond eight floors. Also, it is necessary to submit details about the past performances of projection completion, any impending cases against the builders and copies of necessary sanctions from the land department. Also, the registration seeks details of complete layout including the latitudes and longitude details. The total number of flats to be created and commitment of creating the mandated escrow accounts for the said projects. The registration would include the deadline to complete the project. 

e) Audited papers for the projects – the promoter are responsible for submitted audited project accounts to the RERA every 6 months for approval. If the project is expected to be completed in phases then each phase is considered as an individual project and separate registration is necessary for all phases. There is also mandated updating the webpage to mention the quarterly progress of the project. The brochure created should include the details of the webpage. The builder would have to abide by all the details mentioned in the brochure. An tribunal Appellate is expected to be created in each state to hear the queries of the aggrieved parties. The role of RERA is to protect the interest of home buyers but in case of delayed payments by the buyer, he could also be liable for penalties or punishments.

Our word of caution

The provisions for ongoing projects are that the builders only require submitting the time frame from now on to complete the project. Also, the latest layout and other details of status of project would be visited as on date ignoring all the previous delays and structural changes. So, it is not much beneficial for the already invested new home buyer. Also, the RERA is a central rule; the State government has additional right to amend the rule any further. So if you are on the one, who has been stuck with delayed possession of your dream home, your wait has just got legitimatized and not over. 

     

Thanks and Regards

Team

Saarthi Financial Planners

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