🔴NPS Annuity calculation | ELSS में 3 गुना ज़्यादा PENSION? LLA NPS Ep#4 Financial Advice
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- Опубликовано: 5 авг 2024
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Mandeep makes yet another video on NPS and this time, he compares it with ELSS. Let's see the NPS annuity calculation and understand whether the ELSS can give us a higher pension than NPS ever can.
You will learn:
1. What is an annuity and what are annuity plans offered by top insurance companies in India?/
2. How to calculate NPS pension?
3. A practical example comparing NPS with ELSS
4. What are other alternatives to generate a monthly income after retirement which are even better than annuity plans?
Read the blog in English: labourlawadvisor.in/blog/nati...
NPS calculator: www.npstrust.org.in/content/pe...
HDFC annuity calculator: bit.ly/2C4cTWz
SBI annuity calculator: bit.ly/2MVHhEQ
0:00 Can ELSS give a better pension than NPS?
2:01 What is annuity?
4:43 Elss vs NPS (practical example to understand pension/annuity calculation)
12:45 Better ways to generate pension, than annuity
14:26 Mudde ki baat
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Read about this in English: esipfadvisor.com/blog/
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#nps #annuity #npscalculation #LLA
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🔹📚Payroll, Excel & Labour Law Courses for career growth: lpt.institute/courses/
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Nice
Sir NPS 2 account open kar sakte he kya 1person ka.
7717754433
7717754433
Sir I have to invest money in matual fund but for only 5years so please suggest me whom I go for opt matual fund so that it will give me good return.....
Thanks Mandeep. Really enjoy your videos.
I think one thing you missed while calculating the overall corpus at the age of 60 for NPS is the additional tax saving component for NPS over 1.5L 80C. I invest in NPS just for that sole purpose. So if I am investing 50K annually (which is the max exemption) in NPS, it saves me 30% tax (depending on the tax bracket). If I invest that 15K tax saving in mutual funds, then at a 12% rate I will have an additional lumpsum of around 50-60L at the age of 60. This will help us compare NPS to ELSS more realistically in terms of the lumpsum amount at 60.
In fact the companies (not all) offering "Corporate NPS", i.e. 80CCD (2) to it's employees, the tax exposure would be further reduced depending on the tax slab. It is worth mentioning here that there is absolutely "no cap" on the amount that can be invested monthly provided it's falling under maximum 10% of basic salary requirement.
I think investing in both Corporate NPS, 80CCD (2) and additional 50K, 80CCD (1B) would be a wise choice to reduce the tax exposure significantly in the course of building retirement corpus.
@mandeep Please include this also in the calculation as 30% tax saving on additional 50k in a long run or investing remaining 35k somewhere else after paying 30% as (15k) tax.
Nice example, but this will help to those folks who understand , investing the savings. But the above video is a simple exercise. this should help people to invest in both NPS and ELSS. Diversification and long term.
I think his video is one sided to ELSS as it's a paid video by Groww, hence he increased the Interest rate in ELSS multiple times, it's nowhere mentioned that in NPS i will only get 10 percent only.
@@Sabbanwar bro, if we contribute self, along with additional benefit of 50k exemption can we also get exemption under 80C if we contribute over n above 50k??
Higher annuity by ELSS is based on assumption that it will give 2 percent extra return than NPS. What if both give same return of 10 percent, keeping low expense ratio of NPS in mind. Viewers please compare it also.
Of course, couldn't agree more. I tried keeping the numbers realistic. 12-14% from ELSS is what's expected. And yes, there's no denying that ELSS carry higher risk than NPS, which is why it was necessary to mention the last part about how to properly disversify between equity and debt based on the age
Nps is giving an extra tax rebate to the subscriber. If u invest 50000 per annum then it will be 65000 rs effectively.
Bhai tu sahi bol raha h aaj tho ye Labour Law Advisor wala hi chuitya bna raha hai public ko.
@@LabourLawAdvisor IF I choose 70 _75% equity in NPS contribution then return will be similar with ELSS plus extra tax benefits
@@LabourLawAdvisor Please cover the same considering 50,000 extra tax deduction . If someone is in 30% Tax Bracket he/she will end up paying only Rs 2100 as he will save on Rs 900. So Keep the investment as Rs 2100 only for NPS. Also deduct 30% on the total net Amount you get in ELSS then have a fair comparison .
Title of this video should be "Compounding effect of 2% returns over 35 years" You have merely proved that 12% is higher than 10% 🤔
Correct, no logic of taking 12% in elss and 10% in nps
Add to that 80CCD totally ignored which makes Nps income already grown by 30% more than ELSS
Correct 😀
Hum mera graduation mein jitna nahi sikha finance ke bara mein wis se zada toh hum youtube se sikha hai.... Thank you LLA
You are 25 years old.. I see you are so proud of that.. Observed in many videos
Lol .well spotted..now i wonder that he is... 😅
Iska retirement 45 pr he hone wala hai. Paaaa
I have watched this video twice.. and came to conclusion.
NPS : 50,000/-
ELSS/EPF/PPF .. : 1,50,000/-
Diversified MF : 50 - 60 %
Emergency Funds : 2-5 Lakhs/- (depending on req.)
Health Insurance : 20,000/-
Life Insurance : 10,000/-
Stocks and Experimental : 5%
and Live Some Life for yourself.
Seems like a nice saving/investment strategy for an Individual.
Hello sir, i am aditya rai and was thinking to do some investment on my mother's name for her future. Can you suggest me that should i open her NPS account or invest in ELSS for her. My income is less than 2.5 L. I hope you have understood what i am trying to say. I will be pleased if you reply me.
I’m getting glued to ur channel. Thank you! Consciously or unconsciously I have been doing it right since three years. 😊
U didnt cover tax savings of nps 80 CCD of 50000 deduction
I have two suggestion to include while comparing NPS and ELSS :
1. In case of NPS we have extra tax deduction under section 8ccd(1) so saving 30% direct on 50k every year for 35years.
2. ELSS has expense ratio of around 1% yearly . Which is not the case with NPS.
Hindi language main likhe sir
@@yatishtailor3439 1. एनपीएस के मामले में हमारे पास धारा 8सीसीडी (1) के तहत अतिरिक्त कर कटौती है, इसलिए 35 साल के लिए हर साल 50k पर सीधे 30% की बचत करें।
2. ईएलएसएस का व्यय अनुपात लगभग 1% वार्षिक है। एनपीएस में ऐसा नहीं है।
Also NPS reduce market risk with age by reducing equity components.
What is better :
1. Investing 60k in NPS in April starting or
2. Investing 5k every month in NPS?
@@keshavgupta129 2nd option is better if you’re keeping high % in equity.
Good analysis and crisp video👍
Few suggestions: I have seen NPS giving 11-12% between 2011-21 period and has better tax features. ELSS can drop below 10 also (can go to 15%, as you mentioned).
Flexibility in ELSS at the time of retirement is a big plus. I liked your analysis and point on Liquid funds instead of an annuity.
But, in NPS you also get additional tax exemption of Rs 50000, which may also be factored to calculate returns
Exactly
Yes this basic and most important fact is missed by this EXPERT
Bhai mai 1.5 lac ElSs mai rebate 80C
And 50000 NPS me dal ke 80 D ki rebate milegi. Alaga se kya???
@@Singh-jp7zp main 2 sal se le raha hu.
@@Singh-jp7zp Haan
Good narration but, I mean BUT couple of points -
1. Investment in NPS (when chosen via corporate or government) is over and above 80C exemption whereas ELSS is only expempt within 80C. So if I am already having investments taking care of my 80C, ELSS is NOT lucarative. Infact, then it is not even an option.
2. Basis the above, assumption is that throught my lifetime, I will be able to take exemption under 80C
3. For returns, Its again based on Assumption. The assumption of NPS on an average giving 10% and ELSS giving 12%. Higher returns come along with higher volatility. And when it comes to near retirement age, having great money in Equity is NOT a wise option😎
As mentioned by other viewers in the comments section , NPS provides tax rebate on employee plus employer contribution. Please do consider that in the next video or in the calculator itself.
Section 80C
@@colgate4646no. Under section 80ccd 2 and 80ccd 1(B)
There are three kinds of lies: lies, damned lies, and statistics.. #12%
My mother is 45 year old I'm 17 father don't live with us. We are dependent on my uncle(mama) . Should we go with NPS or ELSS for my mother. My uncle as saying not to open NPS otherwise my father would also get benefit from it. What should I do sir?
I Jai Om Sharma 64year old impressed with your NPS vidio for making public aware regarding making money.
Thanks a lot.
YOU ARE A LIFE SAVER TO ENTIRE INDIA... WHERE CORPORATERS AND OTHERS JUST WANT TO MANUPULATE US WITH DIFFERENT SCEMES YOU ALWAYS ADVICE US BEST SOLUTION....PLEASE KEEP GOING SIR. YOU ARE REDUCING FEAR INSIDE REGARDING FINANCE GRADUALY DAY BY DAY.
THANK YOU
Nice analysis, one suggestion though, you should increase the contribution in NPS by 30% of 3000 per month taking into account the tax break up to 50,000 under 80CCD(1B). Also even though ELSS is assumed to give better returns because of 100% equity, the risks and fluctuations are correspondingly higher
right.....this will give you more accurate
Same thing i was thinking...good advertisement for groww but if we see reality than NPS seems better for present tax we save.
Also people can see the drop we got in market for covid..it has scared hell out of many and some lost all there savings and pull out the money left due to uncertainty
We can do one things though..spend some amount in NPS and whatever tax we save we can put in ELSS so double benefits 😅
In NPS now one can invest 75% of the amount in equity which will be equivalent to ELSS returns post-tax.
Why return % is different 12 vs 10 is a huge difference , video is little biased towards ELSS
@Piyush caught super point, as he said, considering above example 3000 NPF every month + 900 (saved tax under 80CCD(1B) in ELSS/Equality Stocks) with 12 percent returns will give 11484831 + 5261168 (after tax) = 16745999 - and why NPS is just 10% where ELSS is 12 !
I would add one point that NPS also allows active choice and three categories Equity Debt Govt security. Yiu can manage your fund actively there too. I think rather than sticking to one plan, use diversification, NPS + ELSS too because both provides deduction 80C and 80CCD respectively.
Extremely good idea, even i am 38 but not though about investment and now feeling sorry for that.
Me too 😕😕😕😕😕
I am 27 year
Jab jago tabhi savera. Bas start karne ka deri h.
@@a.yashwanth Congratulations...Bhai m 36 , started working since 21, but I wasted 13 yrs of my life by not saving my hard earn money...May god bless you so that you will at better stage once you reach my age..👍
@@a.yashwanth which job it is? Directly paying 60k at 20years of age...
The best part about NPS is its lockin. It leads to discipline, which our parents used to have while purchasing LICs. ELSS is liquid after 3 years, thus the chances are high that the person will not have it maintained for 35 years.
Everyone will not retire at 60 yrs most people r now working in pvt sectors nowadays so Nps is not a good option
2 points are missing out here.
1) Extra Rs 50000 tax benifit on NPS.
2) 8% & 12% are main differences here. Risk factors, more returns more risk is another factors
If a Person who is able to complete 1.5 lakh of investment u/s 80c without considering NPS. And he is taking additional benefit of 80CCD for additional Rs.50k then NPS is equally good option in terms of returns.
See below calculation taking reference from ur illustration.
You hv considered Rs.3000 monthly contribution towads NPS. As a result you will save Tax of 30% on Rs.3000.
Therefore Tax saving comes to Rs.900 and if u invest the same in any MF scheme @ 12% return for 35 years of investment. You will end up generating wealth of Rs.50 lakh.
If you hv noticed in your illustration you mentioned ELSS is generation Rs.60 lakh more returns. Now the gap is reduced by Rs.50 lakh and will come to ONLY Rs.10 lakh.
Plus NPS has other benefits of diversification and reducing risk across Equity and Debt
Same thing came to my mind also.
And, one more thing I want to add into it that not only we can save tax @30% on invested amount i.e 4,166.67×30%×12 = Rs 15,000 of tax saved Rs 50,000 deduction u/s 80ccd(1b). Plus, your tax slab can also be reduced because of nps and this will have impact on all over your income you pay on tax as per slabs for so many years and you can invest this amount in equity or mutual funds also to generate higher return in future.
You are right.
But hardly anyone is that disciplined enough to invest the taxes saved in MF. (Don't get me wrong, I'm not saying they won't invest in MF, im just saying they are more likely to forget about the tax saved and may not invest 900 additionally in MF)
That said, i do understand that hardly anyone will be disciplined enough to follow the ELSS route too, because one will always have the option to withdraw (which can be tempting). Also, NPS is more secured and there's no denying there.
There are a lot of assumptions in both of our approaches.
I just want people to start thinking in these lines and become more aware, like you
@@LabourLawAdvisor
For a person who has utilised complete limit of 80c and is getting opportunity to invest in both 80 ccd (1a) & 80 ccd (1b) investing in NPS makes much more lucrative. What's your opinion on that..?
Have you made any comparative video on Superannuation Vs NPS...? And what if to do both if person is under 7.5 lac annual capping (Employer EPF + Employer NPS @ 10% of basic + Superannuation @ 15% of basic).
Would like to watch it. Thanks
Whao! Mind blown @anand mehta
Rightly explained. In addition to this, if someone's employer is eligible for 80ccd2..than individual will get additional tax benefit ....NPS is good for investing under 80CCD2 and 80CCD1B
Mandeep , you are doing a great job!! Keep it up!
Only thing to add here is the salary bracket ,as this will be an amazing comparison for someone in the tax bracket of 10-15% plus for the one who has not already exhausted their 80C contribution. But for someone in tax bracket of 30% and already making contribution towards instrument available in 80C , the comparison will be just upside down ,given tax saving on NPS under Section 80CCD(1B) and reinvestment of saved tax to the same ELSS. :)
One thing u missed out completely... Minimum 8-9 return ban hi jayega in. NPS due to purely bonds investment + 5% equity.
+ Zero tax.
Us time ELSS nai bana paya itna , only 10-11% return + TAXES
mota moti barabar hi ho gaya na
Great video. Would be great if you can compare between ELSS and other Mutual Funds. If someone has exhausted their 80C, which would be better ELSS or other Mutual Funds. Does the extra lock in period help the fund managers to generate better returns in case of ELSS?
Absolutely misleading. Consistently we will never get 12% or, 15 % rate of interest. Now a days 6 % is also difficult. So this is rubbish to think ELSS brings you fortune. Many time your principal amount itself gets eroded. Depending on liquid fund after retirement is highly risky. See what happened in Franklin Templeton Debt funds. Principal (investment amount) itself become zero. So do not believe this at all. Secondly Annuities are with gurantee and for lifelong . Hence peaceful. How you are misleading by saying NPS Returns are at 8% whereas ELSS gives 12% or, 15 % Returns. At least you should take same rate of return. Many times actually some ELSS can give less return than NPS. Actually it is safer to calculate at 6% only. Liquid funds Returns are fluctuating. May be at times it can give 4% also. Just slightly more than Savings bank interest. For direct investment one should be knowledgeable.
Many unscrupulous advisors only mess up the things. People should be grateful.
My mother is 45 year old I'm 17 father don't live with us. We are dependent on my uncle(mama) . Should we go with NPS or ELSS for my mother. My uncle as saying not to open NPS otherwise my father would also get benefit from it. What should I do sir?
Completely agree, for retirement I would advice to go with aggressive nps if less than 30 and move to low risk with age or when you feel market is not good
@@RealThingX0 open nps account and get yourself as nominee while selecting annuity you can take the option of pension and nominee
These all youtuber are promoting company by which they can earn Butter for their bread. Misleading Krna inka kaam ho gya h aajkal
@@RealThingX0 start reading and learning on Cooperate Bonds, Govt Bonds and investment some part of savings in bonds of good stable company you may get 8.5% to 11% return to your account directly on monthly, yearly, commutative as you choose while investing. NPS is good if compared to ELSS.
Hi bro, all your videos are very helpful. I am from Kerala. I understand hindi, but many of my friends dont. I kindly request you to add English subtitles to all your videos so it can be understood by non-Hindi speaking people too. Also you will get more views and subscribers.
Chahe mene yeh video late hi dekha, par dekhne k baad Dil se sirf thank you Bhai hi kaha 🙏🙏
Bhai elss ka return 20% lelo aur paise ban jaenge.you also missed 50000 adition yearly tax benifit in nps.
Not just 80CCD1B but for corporate NPS there is extra tax savings...
Yeah what do u think if we add 50 k extra
Zruri nahi h 20 percentage milega.
NPS TIER 2 vs ELSS would be interesting in terms of projected returns, as NPS TIER 2 allows anytime widthdrawal & can be switched to have less exposure to equity when desired.
Nice suggestion
I think there's no tax exemption in nps tier 2? I might be wrong.Please correct me if I'm wrong
@rohithkumar3480 yes no tax benefits on tier 2
Thanks -very good comparison - God bless your team for your efforts
The only youtube channel, I can trust regarding finance. thank you
Only question, how did you choose 12% and 15% for ELSS ? what's the base for that ? Did you compare historical data ?
One of the best person on youtube👍👍
Thanks a lot 😊
Superb and Easy Analysis, tooooo beneficial, I was about to invest in NPS, now will rethink.
Very good guidance .Thank you brother . I am also 25 and have keen interest in these matters .
Nice explanation. I like your all videos on finance mutual fund shares. Keep it up. Which is best investment for me in ELSS or NPS. because my salary is not taxable as well as age is 45+.
Thanks Mandeep, Its quite helpful... Please do make videos on good 5/10 years investment plans whereby you can withdraw money after 5 years or 10 years...matlab ke short term investments, Thanks again !!! Keep It Up...
Go for ulip if you don't have term plan, if you have term plan than go with elss. Let me know if you want to get help in buying any investment product. I am a Financal Consultatant and can help you to buy one
Superb..thankyou sir. Very informative video. Keep going 👍
Hi Mandeep,
You have given an excellent explanation and analysis. I request if we can also include the Tax saving as one of the benefits to it and the saving in taxes, which is one kind of earning to income. Then, we may use it to buy MF or other investments. This will be a great understanding to employee.
You forgot about taking into consideration of income tax benefit by investing in NPS
He told about tha
Extra 50k tax benefit in NPS investment s over 80C
@@praveenpandey669 At what time in the video?
Sir Age factor is important in your calculation, you have considered 35 years of maturity period in which ELSS can beat NPS even after LTCG, but for 20-24 yrs period NPS seems to be good option because in ELSS LTCG will bring down it's maturity amount, it will be less compared to NPS corpus, please correct me if I am wrong.
You can't exit NPS before 60 years of age. If you exit before that it will be considered as premature withdrawal and you will only get 20% of the total fund in your hand and remaining 80% shall be invested in annuity mandatorily.
@@arorakirti Generally people investing in NPS are aware that it's a Pension scheme therefore very few people will think to withdraw before 60yrs of age
@@gc19208 Yes, but those who will withdraw before 60 years of age will get only 20% of the total corpus. So, this option is not for them. They should either go with safer PPF & EPF or if want to take risks then MF or NPS Tire 2 A/c is already there, but then forget about tax free corpus...
@@gc19208 Yes, then NPS is not for them. Better to go with safe EPF & PPF or they may go with NPS Tire 2 A/c or MF. Can't say about ELSS. But then forget about tax free corpus.
My previous reply comment having same points has been deleted. Someone don't want me to tell the reality.
Good job, when you earn experience you will know the reality of equity and so called investments
Happy Birthday, Mandeep! And thank you for making the janta jagruk.
Super Duper Information... Request for More detailed video on Liquid Fund and different category fund. Large, Mid, Multi, Small CAP.
Thanks, you should watch our playlist: smart stock tip
@@LabourLawAdvisor bro don't lie with people because you are getting paid from grow.
@@LabourLawAdvisor you are assuming return 12% from ELSS but from NPS you said 10%.Are you a joker because All ELSS having expense ratio more than 0.5% and in NPS it is 0.01% You are more stupid than rahul gandhi if you still say 10% of NPS and extra 50000 tax savings is still not calculated.
@@LabourLawAdvisor Don't lie just because you are paid from grow app
@@RahulYadav-mm2ho If you don't have complete knowledge on expense ratios of mutual funds, don't start bullshitting everywhere. If you have genuine query, then ask. Typical Indian mindset of bullshitting that everyone is thief/fake/liar etc. without providing any proof.
The daily NAVs which are published are INCLUSIVE of expense ratio. So you don't have to subtract 0.5-1% fees from annualized returns. Annualized returns are calculated on change in NAV and since everyday NAV values are after deducting everyday expense ratio, no extra calculation is needed. Only thing to care about is using direct mutual funds.
Unable to understand why u have considered 12% in elss and 10% in NPS... Both are market dependent and will provide same returns na???
Because in nps, as your age increase the weightage of debt investment increase and equity decrease. So returns will be less than elss.
Investing in NPS will give two advantages from tax saving perspective.
1. You will get additional (above 1.5 lakhs in 80C) 50k each year from tax saving perspective
2. And if your employer provides this facility for NPS deduction than you will get tax benifits of your deducted amount ( mostly 12 percentage of your basic salary)
So double tax saving.
I've reviewed your channel and appreciate your research!!!
So much hypothecation jus for favouring elss... Sab market pe depend hai kahi nhi likha hai nps elss se kam hi return dega
Groww walo ki payment ka kamaal
Just saw your vedio of Data Entry scam thank you for awaring us. I need an advise. Recently I've quit my job without proper resignation or prior notice period but as per the agreement if we leave the job without any prior notice then we won't get the experience letter and even my company can take a legal action against me. Can you please suggest me how can I get my experience letter and P. F. money.
2 cases you forgot to mention
1) 50000 extra benefit in 80c slab of income tax in nps
2) 14% of extra contributions for gov salaried person
Behtareen video dost...hats off
NPS is Aggressive Hybrid (75:25) till age 50, then Balanced Hybrid (50:50) after age 50 which is a rational Asset Allocation. No investor can keep 100% into ELSS Equity right till retirement day. He has to maintain a proper Asset allocation. Hence 12% from ELSS is too enthusiastic.
Totally misleading. As far as tax savings is concerned, ELSS comes under 80c, while NPS comes under 80ccd. That means, NPS is more tax efficient than ELSS.
yes correct
80ccd is considered after maxing out on 80C for NPS.
@animesh , add a parallel SIP of your tax savings (50000/12) and add that maturity with NPS retirement corpus , still it'll be less than ELSS corpus.
Mandeep..!
thanks a lot brother, I was looking for a comparison like this and it was in my mind for a while :)
amazing content, keep educating us
btw SUBSCRIBED :)
Very much informative, thank you.
You are my Avenger of investments.
Best compliment till date
I am 35 years I am paying 800 per month and opted 5000 per month after 60. My question is is is possible to get more pension?
it depends upon your years of contribution and allocations into asset classes such as Equity, Debt, Bond and Alternate Investment Fund (A).
For upto 5000 / month pension , Atal pension Yojana is the answer, monthly contribution will be acc to age you are right now, Else if you need more pension open NPS acc and increase your monthly contribution by 10% every year.
Woww woww wowwww
Great explanation...
Firstly, I would like to thank you Mandeep and LLA for bringing such knowledgeful and insightful content.
I have recently started job and I got to know that additional ₹50k can be exempted from the income under NPS. So I thought to invest ₹50k in NPS and hence, decided to see your video.
This part didn't come initially on search anf hence I was confused about annuity plans.
Now, considering i will never get my money back, it is disheartening.
I had thought that investing in nps(would save me 30% tax) and hence, it can be taken as its return. But now i will need to revisit my calculations.
Please include tax saving calculation also on such products. Like 30% tax will be saved and it will be invested also.
You seems to have bias in favour of ELSS vs NPS, should have also highlighted the risk associated with ELSS vs NPS. Just a suggestion, anyway great effort!
wo koi nahi karega.. video ko jyada attractive aise hi banaya jata hai
Not a single risk assessment has been done here. Only positive assumptions, either for NPS of ELSS.
This video is misguided us.
@Aman singh because you can't get 15% consistent returns year after year for decades. 😂
+ NPS is safe due to bond and govt security
+ NPS will give 50k extra tax savings
Btana kuch ata nahi, kami nikalnr aa jate ho
Exactly. Nps is purely safe.
@Aman singh 1. we can try for higher return in Nps by having max equity exposure allowed. That means the returns of Nps and Elss wont have much difference. 2.Also the expense ratio in nps is lesser. 3. 16k tax is saved by Nps if 30% tax slab. So we have to consider the investment of that 16k for those many years.
I like it, than stats watching , Valuable advice ~
Mere pass 2 suggestions hai:-
1.) ELSS me agar aap 35 years tak investment kiye SIP mode me to 35 year ke baad total paisa nhi withdraw kr sakte hai kyoki 35 year me jo investement hoga uske liye bhi 3 years wait krna hoga kyoki 3 years locked in hota hai. Means, 35 year ke baad investment band kiya toh 38 year me total paisa aap nikal paoge.
2.) NPS me 30% extra tax ka save krne ka benefit hai jo ki ELSS me nhi hai. Baki kitna % intrest milega wo koi nhi janta. ELSS and NPS dono market based hai.
Best ELSS "Axis long term Equity fund"
I also have that fund ..is there any risks?
@@MsPratik777 no this best elss plan
Best elss. I am investing from last 5 years ans it is performing awesome.
There is no best ELSS fund. It changes every year. Yes Axis ELSS is good fund but last year Mirae Asset performed better. So do your own research.
Excellent explanation just when my financial advisor was recommending NPS for tax benefits 🙄
NPS and ELSS fall under different exempt category
Actually it's still a good product if you have exhausted the 1,50,000/- under 80C and fall under 20% or 30% tax slab. If it's just 5% then we can just pay tax and relax
I will still say go with nps only.. he manipulated all the data. And do not talk about 80ccd and lot of other human behavior stuff.. this video is sponsored. Save yourself
fantastic sir.....u dont know how you cleared many theories for which i was not getting answr since last 6months
I was looking for this exact information. Thanks
The percentage numbers way too unrealistic. Also, with the economy reaching its peak, near to developed economies in next 20-30 years. The rate of return will only come down.
Yes, equity is the way to go for long term and I'd go with an equity based fund for retirement planning, but I'll take a much safer 9-10% return in my calculation to budget and plan better for future.
Absoultely. A safe bet on 9-10% is much better than a fluctuated ELSS or Equity for 30 years which depends on 100+ parameters and many are externals.
My mother is 45 year old I'm 17 father don't live with us. We are dependent on my uncle(mama) . Should we go with NPS or ELSS for my mother. My uncle as saying not to open NPS otherwise my father would also get benefit from it. What should I do sir?
@@RealThingX0 if you are coming under 30% bracket then go for it. My personal opinion.
Bro...you haven't considered the factor for tax savings option in present year...you will get extra benefits of 50k
Perfect analysis
u r very good man. ur videos are very informative. thanks
You forgot to mention the extra tax benefit on 50k in NPS
That's what I was thinking too!
yes this comparison is very good for 1.5lakh what about 50k we obviously need to invest in it. no option. wht do you want to analyse
Simply awesome
Very knowledgeable content
Great video bhai...
Explained beautifully
Totally biased video... I think Groww has compensated you for this. 12% or 15% return in ELSS is totally impractical thinking, pls don’t make such videos, I have high hopes from you based on your previous videos. FYI i am investing in ELSS since 6 years.
How much interest you got in these 6 yrs?
@@amitnelson6442 close to 8-9%. Funds are ABSL tax relief 96 and IDFC Tax Advantage.
Agreed
NPS with 10% is also biased though.
This is just an example and assumptions. It's not practical.
Toh lu kya
After watching too many CarryMinati videos, when I hears chalo shuru karte hai bina kisi... (Deri ke).. my brain presumes (Bakchodi ke)😂
When you consider accumulating retirement corpus through equity mutual fund route, why shift to liquid fund, why not just start SWP from the same equity fund at around 7-9% per annum of the fund value at the beginning of every year. The fund shall keep growing and cash flow shall take care of inflation too. If your risk appetite is bit less consider shifting to equity oriented balanced fund through STP during last 3 years before retirement. This will also lessen the tax burden on regular pay ins as also headache of complex tax calculation associated with liquid/debt funds (index calculation, etc)
Thanks for d info....was extremely helpful ❤️
Hahaha, you're so obsessed with your age. 25 saal :D
Couldn't agree more 😂
True 😂
Ready for shadi 🤣
Thanks sir, for providing such valuable information.
man these comparisons are amazing !!
Hello Mandeep.. Really very informative n encouraging video for not only investment but also for retirement..ye equity n debt me jo apne last me kaha usme thoda confusion ho gaya..plz ye equity n debt ke bare me mns relating with age n %of investment ko lekar thoda samjaiye..n 1 kind request..can you go little bit slow..thoda speedy ho jata he..but
ofcourse video bahut achha hota he..
Great video thank you LLA team
Very informative video, an eye opener for people
There are few more points that we should consider actually:
1. ELSS tax saving is part of 80C which is limited to 1.5 L which is very narrow considering your EPF and almost all other tax saving investments are part of 80C basket. So, ELSS is beneficial in tax saving terms only if your EPF is very less and you do not have any other 80C instruments already.
2. NPS has 50k extra limit to get tax exception under 80CCD
3. NPS for corporate scheme allows you to invest up to 10 % of your basic pay additionally (over and above 50k under 80CCD)
4. ELSS and NPS both being market linked and similar to MF, in your calculation you have considered 10% return for NPS while 12 % for ELSS, so it is natural elss amount will be higher for a long term investment. Isn't it ?
5. In my view ELSS is good from blocking period and control perspective but if tax saving is the key moto of your investment then NPSS is always a better investment with higher investment limit and EEE category.
Good comparison. However, you should also explain the tax benefits that come along with NPS as that is one of the critical factor why people invest in NPS.
Brother you are doing really a great work and efforts for us.
I have a request, please make a detailed video for Postal Life Insurance ( PLI & RPLI)
it will be very beneficiary for Small investors and villagers 😇😇
1. Generally NPS give more interest in fact compare to ELSS.
2. Low expense ratio
3. Rating of ELSS keep changing, NPS is evergreen
4. Person tend not to discipline toward elss.
5. Due course of time govt will make NPS more attractive
Vai Aap 25pe itna serious ho,, 10 saal pahle hum jo chillar bachata tha usse to sirf Bikes, Love life success karawane aur dosto k saath party karne pe hi nikal diye.. Pochle 5saal se savings k bare me soche,, hai, Share k bare me last 1yr se tumse sikh rahe hai... Tum log bahot aage jaoge vai..
Very good information ... But I believe in comparison we should consider the tax exemption on investment in NPS as it is EEE type..
Hello Mandeep,
Enjoyed your video, quite informative.
But I think one part you missed in the calculation was the expense ratio of ELSS should also be considered.
liked it bro, was thinking what to do with some buffer money, ELSS i have always discounted, but its good to know the importance, i was investing in Large, Flexi, Mid, Small and couple more, will add ELSS, and yes LIQUID fund is very good investment. I learnt from my VP Mr Sanjay Parekh sir, i thought to put in liquid fund, but this video helps to prioritize. Thank you Brother.
Thank you Sir 👍
Great sir👌👌
👌 mandeep sir i am now 24.
Thank you so much.. i am started Invest with Groww app when i watched your videos.
You are very good 👍
ਬਹੁਤ ਵਧੀਆ ਜੀ।
It's a great information of comparison of both instrument.
But there is one more benifit in NPS U/S 80CCD 1B that could be used as extra saving for taxable income more than 1.5 lac in 80C.
& Also if the employer allows there is one more option of adding 10% of basic + da in it that can be added in savings for taxable imcome.
So if we consider both option nps can be use as additional approx 1 lac saving other than 80c(ELSS or PF).
So we get 2.5 lac saving from our taxable income.
Thanks for excellent information