1. YEARPLAN YOUR AHEAD
By now, you have some sense on your salary or fee structures. This means you know how much income you will earn. At the same time, you would also have an idea about major spends as well as Tax liabilities. So start planning quickly
2. SPREAD OUT INVESTMENTS
Once you have a better idea about your spending and investments, start accumulating funds. With investments too, you can avoid investing a big sum in a single transaction. Through an SIP, you can invest in small bits every month
3. MORE TIME TO INVEST
When you start an SIP in April, you have more months to spread out your investments over. This can help you reduce your monthly outgo to achievable levels. This also ensures that you have more ?exibility with your monthly expenses
4. UNDERSTAND WITH EXAMPLE
Let’s suppose you plan to invest ` 1.5 lakh in a year in a Mutual Fund scheme for Tax-saving. Spreading this out over a period of 12 months would mean a monthly expenditure of ` 12,500. Suppose you planned this late, say in August. This means, you only have seven months. This translates to a higher monthly expenditure of ` 21,450
5. NO PRESSURE ON LIQUIDITY
With more time on hand, your monthly investment amount reduces. So, you have more money left in your hands. So by investing in SIP right from April, you can easily manage your regular monthly expenses without worrying about how much cash is left. You may even discover that you have the capacity to nudge up your monthly investments a little.
6. TARGETS BECOME ACHIEVABLE
When you start right away in April, your targets become more achievable. It becomes easier to invest a large sum (like ` 1.5 lakh) since you have more time. Otherwise, you would constantly be under pressure ?nancially. As a result, you may even miss investing the right amount. Starting an SIP in April helps avoid this.
7. BETTER PREPARED FOR EMERGENCIES
With a good 12-month period in your hand, you can easily achieve your investment Goals and still have money left for regular expenses and savings. You may even ?nd money left in your bank account at the end of every month. This extra could come really handy during emergencies