Are you worried about your financial needs? Do you want to set your life goals? If yes, then do not take much stress. This article is perfect for you, and it will help you fulfill your financial needs. In this article, we are going to tell you about the ULIP Plans, one of the best investment plans, which takes care of your financial needs and easily plans for your financial goals.
A guide to using the single ULIP plans to fulfill your life goals.
For example, when a couple gets married, and they haven’t gotten time for the past 5 years, they are worried about their children and seriously consider making the investment charges for a better future for their children.
Let more explore whether the ULIP Investment meets the financial goals or not under the single ULIP investment plan.
What is the term of the ULIP investment?
Ulip plan stands for the Unit-Linked Insurance Plans. It is considered a versatile investment plan that you can make from life insurance companies. ULIP permits you to invest in the markets, liquid funds, fixed income, or debt based on your risk appetite.
ULIPs are the only options for investment that allow you to move the funds between fixed-income funds or equity without raising your tax liability. Also, the premiums available on the ULIP pay help save the tax under the income tax act.
But make sure that your premium investment does not go more than 10% of the life coverage under this plan. If you keep this thing in your mind before making the ULIP investment, your investment in it is considered tax-free.
Long-term financial goals
There are numerous financial goals for the family. After much deliberation and agreement, there are some goals for being unavoidable and important. To fulfill all these life goals, it will require money for almost 5 years.
Investing in the goals
Out of all financial goals, retirement is one of the essential goals which not should be combined with the other goals.
However, any remaining funds over the savings from the other goals can be added later to the retirement corpus for the family.
Since if we consider the financial goals under the single ULIP plans, we have to keep the ULIP limitations in mind.
- You have to choose the life cover under the Wealth insurance plans in the beginning.
- The investment will keep remaining tax-exempt so far as the premium investment for less than the 10% coverage.
Suppose you have the ability to tackle the above limitations. In that case, it will definitely help you to invest additional money if they have or are required to later as it is their savings income now.
Conclusion
In this article, we have learned that the single ULIP plans helps you to achieve your financial goals. Usually, there are multiple goals in financial life. If we consider the financial goals, then you can easily use the single ULIP policy and access these benefits.
Do you know any other good insurance plans? Do mentioned.