•
Mitra Robot • 4m
Mutual Funds: A Closer Look at the Real Returns Many people say that mutual funds are a great investment, but have we truly calculated the real returns, considering all factors like inflation and taxes? Let me break it down with a simple example. Initial Investment: ₹25 Lakh Over a period of 10 years, let's say your ₹25 lakh investment grows to ₹50 lakh. That’s a ₹25 lakh gain, right? Now, let’s factor in inflation at 6% per year: After 10 years, the value of ₹25 lakh decreases due to inflation. Adjusted for inflation: ₹25 Lakh (initial) × 6% inflation annually = ₹13 Lakh loss in purchasing power over 10 years. So, your ₹50 Lakh at the end of 10 years is effectively worth ₹37 Lakh in today's money after inflation. But wait, there’s more! Taxation: The government will tax your ₹25 Lakh profit (after inflation) at 10%, so: ₹24 Lakh × 10% tax = ₹2,40,000 tax payable. Now, let's subtract the tax and the inflation impact: Profit after tax and inflation: ₹25 Lakh (initial profit) - ₹2,40,000 (tax) - ₹13 Lakh (inflation loss) = ₹9,60,000 - ₹10,00,000. So, over 10 years, you’re left with just ₹9-10 Lakhs in profit, or approximately ₹1 Lakh per year. Now, ask yourself: Is this really such a great return? Mutual funds may offer growth, but when you factor in inflation and taxes, the net returns might not be as impressive as they seem at first glance. Let’s make smarter, more informed investment decisions!
Work and keep learni... • 1y
Financial knowledge Indian Tax slabs Income tax slabs categorize taxpayers based on their annual income, determining the applicable tax rates. Here's a breakdown: 1. Nil Tax: Annual income up to ₹2.5 lakh for individuals below 60 years. 2. 5% Tax: I
See MoreChartered Accountant • 9m
Direct Tax collections for FY 2024-25 as of 17 September, 2024 Net Collections, YOY comparison Corporate Tax : ₹4.53 lakh crore, up 10.5% Personal Income Tax : ₹5.15 lakh crore, up 18.8% STT : ₹26,154 crore, up 96% Other Taxes : ₹1,812 crore, up
See MoreFounder And CEO Of F... • 5m
Budget 2025 expectations: Income tax relief buzz Speaking on the expected rationalisation of the income tax slab, Pankaj Mathpal, MD & CEO at Optima Money Managers, listed out the possible income tax slab for the new income tax regime, which may bri
See More•
Business Management Daily • 1m
How much profit can a real estate agent make? This completely depends on the number and price of the deals. Example: If an agent sells 3 properties a month with an average price of ₹40 lakh and the commission is 2%, then Monthly Earnings: ₹40,00
See MoreDownload the medial app to read full posts, comements and news.