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Retirement planning has become essential in today’s time, knowing that life is full of uncertainties. We want to spend our retirement days with our loved ones seamlessly without worrying about financial requirements. It is therefore essential to plan your retirement well in advance. Having invested in a retirement pension plan is the best retirement planner in today’s time. It financially secures you and provides you with regular pensions so that you and your loved ones face no hassle even when you have retired.

What makes investing in a retirement plan the best retirement planner is that it takes care of your golden years and ensures that you are at peace of mind and live a stress-free life and quality time with your near and dear ones.

Let us first understand what a retirement pension plan is.

What is a retirement pension plan?

A retirement plan is an investment plan wherein you invest your money while you are earning for a financially secure and stable retirement. It provides you with regular income, helps you face any financial uncertainty when you have retired and ensures that you do not face any hassle. Apart from financial security, a retirement plan also gives you the benefit of tax benefits. The premiums you pay for the retirement plan are eligible for tax benefits under Section 80C of the Income Tax Act. 1961. This is why investing in a retirement plan is the best retirement planner in today’s time.

We often face hassle in planning a well-structured retirement plan. To help you with this, we have provided a well-structured and conclusive guide on retirement planning.

A Step-by-Step on Retirement Planning

  1. Choose When You Want to Retire

Before investing in a retirement pension plan, it is imperative to plan your retirement age well in advance. This will help you plan your and your family’s financial requirements much easier.

  1. Decide Yours and Your Family’s Financial Requirement

It is imperative to decide an estimated financial requirement that our family and we will require after we have retired. This will ensure that you do not face any financial constraints in future, even in emergencies.

  1. The Early You Invest, the Better it is

It is always recommended to start investing in a retirement pension plan as soon as possible. This will help you save more for your retirement. Moreover, the premiums you pay for the retirement pension plan are much cheaper and more affordable at an early age than at a later age.

  1. Avoid Unnecessary Expenses

Cutting down unnecessary expenses can help you invest more for your retirement. This will ensure that you can achieve the life cover amount that you have planned for the financial security of your loved ones.

  1. Calculate Your Estimated Life Expectancy

To calculate a precise retirement corpus you will require, it is imperative to determine your estimated life expectancy, keeping in mind your health and medical condition, family history, etc.

  1. Regularly Track and Review Your Retirement Plan

It is necessary to keep track and review your retirement plan regularly. This ensures that there are no discrepancies and, in case of any changes in the retirement corpus, etc., can be done at the right time, without any delay. This will ensure that you do not face any hassle in future.

Wrapping Up

Investing in a retirement plan has become the best retirement planner in today’s changing times. It secures your retirement years and lets you enjoy without you having to worry. While it is imperative to go for the best retirement pension plans, choose the foremost and most trusted insurance company.

How much does it cost to file taxes?

The filing process is already tedious to many, especially the poor. The filing fees will also add to your problems. Without proper experience, you will end up with more severe tax issues.

The key is to prepare ahead. How much should you set aside when you pay taxes? Read on below for a breakdown of the cost of filing your taxes.

How Much Does It Cost to File Taxes?

How much does it cost to file taxes? It depends on the method that you’ll use for filing. One of the most common routes is hiring a tax advisor.

These professionals save you from all the complicated process of filing taxes. After all, tax advisors consider different factors for their fees. Some tax advisors charge an average minimum fee of $172.

The amount can go up depending on the complexity of the tax return. Others have a set fee for every form and schedule:

  • Form 940 (Federal Unemployment) is $78.
  • Form 941 (Employer’s Quarterly Return) is $96.
  • Form 1040 and state return, no itemized deductions is $220
  • Schedule C is $192

Most of today’s tax advisors charge an hourly rate that costs an average of $138.

How to File Your Own Taxes

You can also handle the filing yourself if you have time to spare. The traditional way is to fill out by hand and mail the IRS Form 1040 or Form 1040-SR. A better way is to file taxes online using tax software.

The software gives you online access to tax professionals who can answer your questions on-demand. They can do online reviews of your tax documents and file them online on your behalf.

You can get the tax software packages for as low as $39. Interestingly, you can file taxes online through the IRS Free File program. You’re eligible to pay taxes online for free if your 2021 adjusted gross income is $73,000 or less.

Single and married taxpayers can use the IRS Free File through any of the following services:

  • Free 1040 Tax Return
  • Online Taxes at OLT.com
  • ezTaxReturn.com
  • FreeTaxUSA
  • FileYourTaxes.com
  • TaxAct
  • TaxSlayer
  • 1040NOW.net

These options come with their respective restrictions that apply to certain states and ages of the taxpayers.

Tips for Lowering Your Taxes

On top of preparing for the tax filing fees, work on lowering your tax bill. Reduce your taxable income by adding more money to your 401(k).

Buy municipal bonds and place your money on a local government entity. The interest in municipal bonds is federally tax-exempt.

Aim for long-term capital gains by investing in mutual funds and real estate. Hold your capital asset for over a year and enjoy 0%, 15%, or 20% preferential tax rates on your capital gains.

You can also start a business and deduct some expenses from your income. Check out Wealthability reviews to learn how to reduce taxes on your business.

Increase Your Financial Knowledge

We hope our guide answered, “how much does it cost to file taxes?” Use this knowledge to choose the best filing method. You can also prepare a budget and simplify the tax filing process.

Are you interested in more financial topics? Check out our other blog posts today.

So one of us might be under the impression that there is some secret indicator, some secret thing that will tell us which direction the price is going to go. We may also have even stumbled across the MACD strategy. 

Today, we will look at one of the highest win rate strategies we can do in trading. Well enough talk, let’s get straight into it. 

What is MACD?

So what does MACD even stand for? It stands for moving average convergence divergence. This technical indicator is a technique for identifying moving averages that indicate a new trend, whether bullish or negative.

Why do we need such a strategy in trading? 

The answer is really simple. Finding a trend is where the greatest money is produced. However, doing so successfully in practice is far more difficult. The most common dread among trend traders is entering a trend too late, at the point of weariness.

MACD strategies 

There are two basic strategies when employing the MACD indicator: the crossover approach and the divergence method. We are just overviewing here. So just remember that the MACD indicator is made up of three parts:

This trend following indicator is made up of two lines, the MACD line, and the signal line. These are formed the same way that moving averages have formed. 

The lines of the MACD are created using a very precise calculation. But that is not very important for us to know. We just need to know the basics here. In addition to the two lines, a standard MACD also has a histogram. This is represented most typically as objects that look similar to the teeth of a comb. It is a graphical depiction of the MACD Line’s distance from the Signal Line.

The strategy’s fundamental idea is to buy or sell only when the price crosses the moving averages in the trend’s direction. This is because the faster line (MACD Line) reacts first when a new trend emerges, crossing the slower line (Signal Line). 

Because there are two distinct “speeds” of moving averages, the faster one will react to price movement faster than the slower one. When this crossover happens, and the MACD line begins to diverge or go away from the slower line, it usually signals the beginning of a new trend.

Applying the strategy 

For example, if combined with a 200-day moving average, MACD works extremely well if there is a lot of price movement. 

However, the strategy starts to get iffy and give false signals when the chart starts going sideways and losing momentum. 

On the other hand, the MACD indicator works extremely well if the market is in a trend. 

If we are experienced traders, we probably used or heard about the MACD indicator before. But the MACD indicator by itself is just alright, to be honest. Also, traders who use this approach should only do so on currency pairings that normally trend.

Bottom Line

Despite this, many traders continue to favor MACD as a trading technique. The moving average MACD combination approach might help you get in on a successful trend at the right moment. It is very easy to use, works in almost every single market, and most importantly, it makes money. 

Content sources and credit: https://www.fxcc.com/what-is-macd-strategy , https://www.babypips.com/learn/forex/macd 

Without a doubt, health insurance is a necessity we must consider investing in it today. Though people of all ages consider investing in one, we believe that health insurance for senior citizens is of paramount importance. There are several reasons why purchasing an insurance plan in old age is a good idea for your parents. First of all, it will save a major of their expenses related to any health condition they might be suffering with. Second, it will secure their future in the long run without putting a dent on their finances and give them a healthy and secure life. If you are wondering why senior citizens should invest in a health insurance policy, keep reading this post.

Prevents Stress

Having comprehensive medical insurance in place can keep you secure whenever a medical emergency arises. You could buy an insurance plan and never have to worry about unnecessary medical costs for the rest of your life. Also, you could purchase an insurance plan and plan for all your emergencies in a manner that is stress-free.

Saves You From Debt

When you are at the age of 60, have retired and don’t have a paycheck coming in every month, any sort of medical emergency can put a dent in your finances and rob you off all your money. Financial emergencies also sometimes lead you to debt.

Shields You From Diseases

When you grow older, you become prone to many diseases and illnesses. This is actually quite common amongst elderly people. Hence, it is important that you have a comprehensive health insurance policy when you are older.

Soaring Medical Costs

When technology increases, medical costs increase too. With so many costs skyrocketing in the medical field, you should have a good health insurance policy that will take care of all your expenses.

Unstable Income Post Retirement

After a certain age, there isn’t really anything called fixed income. Not just that, your income becomes unstable and limited during this time. Hence, after 60 it is essential that as a senior citizen you end up having a comprehensive health insurance plan so that you don’t have to deal with any financial crisis.

Dependency On Children

Usually, post retirement, a lot become dependent on their kids financially. At such a time, it is important for the bread earner of the family to step it up, pay up the expenses from their pocket even if you don’t have an insurance plan. Hence, experts suggest investing in the best health insurance for senior citizens as they are the most useful!

With medical costs rapidly increasing on a regular basis, it is important for senior citizens to be mindful of their future and invest in health insurance or term insurance. In the last few years, the life expectancy of average citizens has increased because of advanced technologies and healthcare facilities. Senior citizens also don’t have any fixed income sources and won’t be able to afford expensive treatments, if the need arises. Hence, it is important that they get proper treatment in order to take care of any emergency. Some comprehensive health insurance plans for senior citizens can help with that.

Many first-time home loan borrowers tend to confuse home loan with loan against property and use the terms interchangeably. However, while the terms sound similar, they are different financial products. 

While home loans are a type of secured loan, you can avail of this loan only to buy or construct a new home. You can also use the loan to purchase a resale property. In contrast, when you apply for a loan against property or LAP, you already have ownership of the property, and you use it as a collateral to get funds against it. 

In this write-up, we discuss the key difference between housing loan and loan against property. 

Interest rate

When you apply for any type of loan, the interest rate is one of the important factors that could affect your borrowing decision. The higher the interest rate, the higher will be the EMI. 

When it comes to home loans, the lenders today offer the loan at competitive interest rate. Today, you can easily get the loan at an internet rate starting from 6.70% per annum. On the other hand, the interest rate for loan against property can be higher than the home loan. 

Hower, if you do your research well, and compare the offers from different lenders, you can surely find an offer that fits your budget. 

Repayment tenure

Home loans are essentially long-term financial products. You can easily repay the amount over a longer period. Generally, the lenders in India offer home loans for a maximum period of 30 years. However, you have the flexibility to choose the loan tenure based on your repayment capacity. If you can pay a higher EMI, you can reduce the loan tenure. 

In contrast, the repayment tenure for LAP or mortgage loan is much lower than home loan. You can avail of LAP for a maximum period of 15 years. However, it is a much longer tenure than personal loan, which comes with a maximum duration of 5-10 years. 

LTV (Loan-to-value) Ratio

Another key difference between home loan and mortgage loan is the loan-to-value ratio. It refers to the maximum value that the lender funds against the value of the property. 

When it comes to home loans, the lenders generally fund a maximum of 80% of the property’s value. You must pay the balance amount from your pocket. This is called down payment and it must be paid upfront. 

For LAP, the financial institutions decide the maximum amount you can borrow based on their assessment of the property’s value. Generally, lenders do not lend more than 50% of the property’s value. 

Usage

You can use the home loan only for buying a new ready-to-move property or an under-construction property. You can also use it to build your own house on the plot you own or allotted to you by the government. 

When you apply for a loan against property, the lender does not have any restrictions on the usage. You can use the money for any purpose you want, such as increasing business capital, paying employees’ salaries, taking a world tour with your loved one, home renovation, paying your child’s college fees, etc. 

Final Word

Now that you are aware of the difference between home loan and LAP, you would understand that they are different types of loans and serve different purposes. So, assess your needs and choose the right type of loan to suit your specific needs.