What’s Your SIP Strategy? Let's Talk Money With Monika Halan podcast

17:01

Let's Talk Money with Monika Halan

1
Why Smart People Make Dumb Money Mistakes 18:17

13 days ago18:17

18:17

In this episode, Monika explores why even the smartest people fall into common money traps. Our emotions and habits often override logic, leading to costly mistakes like fearing market crashes, selling assets at the wrong time, or waiting too long to invest. She breaks down two key behavioral patterns—mental accounting and anchoring—that drive these poor financial decisions. Mental accounting makes us treat money differently based on its source, leading to suboptimal choices like keeping low-yield savings while carrying high-interest debt. Anchoring causes us to fixate on past prices and unrealistic expectations, preventing sound investment decisions. Monika shares practical ways to sidestep these traps and take a more rational approach to money management. Next, she explains the concept of purchasing power and how inflation erodes what money can buy over time. While prices rise for most goods and services, she points out that some costs, like mobile phone tariffs, have actually decreased, challenging the assumption that purchasing power always declines across the board. In the listener Q&A, Kiran asks whether buying term insurance at 48 is worth it when he plans to retire in five years. Anup shares his financial milestones and seeks advice on investing while planning for his daughter’s future and his parents’ health. Jay outlines his strategy for managing his parents’ finances after a recent windfall and wants feedback on how to refine his approach. Chapters: (00:30 - 07:19) Why smart people make dumb money mistakes (07:20 - 08:28) Understanding purchasing power (08:29 - 11:10) I s term insurance worth it at 48? (11:11 - 14:28) Investing for short- and long-term goals (14:29 - 17:10) Managing finances for retired parents If you have financial questions that you’d like answers for, please email us at ⁠mailme@monikahalan.com⁠ Monika’s book on basic money management ⁠ ⁠⁠⁠⁠⁠https://www.monikahalan.com/lets-talk-money-english/⁠⁠⁠⁠⁠⁠ Monika’s book on mutual funds ⁠⁠⁠⁠⁠https://www.monikahalan.com/lets-talk-mutual-funds/⁠⁠⁠⁠⁠ Monika’s workbook on recording your financial life ⁠⁠⁠⁠⁠⁠https://www.monikahalan.com/lets-talk-legacy/⁠⁠⁠⁠⁠⁠ Calculators ⁠ ⁠⁠⁠⁠⁠https://investor.sebi.gov.in/calculators/index.html⁠⁠⁠⁠⁠⁠ You can find Monika on her social media @monikahalan. Twitter ⁠ ⁠⁠⁠⁠⁠@MonikaHalan⁠⁠⁠⁠⁠⁠ Instagram ⁠ ⁠⁠⁠⁠⁠@MonikaHalan⁠⁠⁠⁠⁠⁠ Facebook ⁠ ⁠⁠⁠⁠⁠@MonikaHalan⁠⁠⁠⁠⁠⁠ LinkedIn ⁠⁠⁠⁠⁠@MonikaHalan⁠⁠⁠⁠ Production House: ⁠⁠⁠⁠⁠⁠www.inoutcreatives.com⁠⁠⁠⁠⁠⁠ Production Assistant: ⁠⁠⁠⁠⁠⁠ Anshika Gogoi⁠⁠⁠⁠…

Let's Talk Money with Monika Halan

1
Does Your Portfolio Tell a Story? 23:43

20 days ago23:43

23:43

In this episode, Monika challenges listeners to examine their portfolios and uncover the story they tell. Using a real-life example of a doctor struggling with scattered investments, she illustrates the importance of organizing financial data in a clear and structured manner. Monika emphasizes that knowing one's net worth, understanding asset allocation, and tracking investments in an accessible format are essential steps in financial planning. She walks through the process of categorizing investments into debt, equity, hybrid, and other assets, ensuring that every investor has a comprehensive view of their financial health. Next, Monika explains the concept of market capitalization and why it matters in investment decisions. She breaks down how a company's market cap is determined and what differentiates large-cap, mid-cap, and small-cap stocks. Using India's largest companies as examples, she highlights how market cap classification affects risk and return potential. She also answers a fundamental question: can mid-cap companies evolve into large caps or fall into small-cap territory? The discussion sheds light on how stock performance influences classification and investment strategies. In the listener Q&A, Archana Panda seeks guidance on managing her inherited wealth independently while ensuring she receives sound financial advice. Monika discusses the importance of working with a fee-only financial planner and warns against costly, complex products pushed by banks and PMS schemes. Manpreet Singh questions whether his large-cap allocation is sufficient, considering his diversified mutual fund portfolio. Monika analyzes his holdings and confirms that his indirect large-cap exposure aligns with his investment goals. Lastly, Umang Maheshwari, a 25-year-old NRI, asks if aggressively repaying his student loan is the right move. Monika reassures him that his disciplined financial approach will set him up for long-term success and financial freedom by his late twenties. Chapters: (00:51 - 08:35) Does your portfolio tell a story? (08:36 - 10:42) Understanding market cap (11:18 - 15:26) Finding the right advisory service (15:27 - 18:44) Large cap exposure in mutual funds (18:45 - 22:02) Balancing debt repayment and savings https://aria.org.in/ https://www.valueresearchonline.com/ If you have financial questions that you’d like answers for, please email us at ⁠mailme@monikahalan.com⁠ Monika’s book on basic money management ⁠ ⁠⁠⁠⁠https://www.monikahalan.com/lets-talk-money-english/⁠⁠⁠⁠⁠ Monika’s book on mutual funds ⁠⁠⁠⁠https://www.monikahalan.com/lets-talk-mutual-funds/⁠⁠⁠⁠ Monika’s workbook on recording your financial life ⁠⁠⁠⁠⁠https://www.monikahalan.com/lets-talk-legacy/⁠⁠⁠⁠⁠ Calculators ⁠ ⁠⁠⁠⁠https://investor.sebi.gov.in/calculators/index.html⁠⁠⁠⁠⁠ You can find Monika on her social media @monikahalan. Twitter ⁠ ⁠⁠⁠⁠@MonikaHalan⁠⁠⁠⁠⁠ Instagram ⁠ ⁠⁠⁠⁠@MonikaHalan⁠⁠⁠⁠⁠ Facebook ⁠ ⁠⁠⁠⁠@MonikaHalan⁠⁠⁠⁠⁠ LinkedIn ⁠⁠⁠⁠@MonikaHalan⁠⁠⁠ Production House: ⁠⁠⁠⁠⁠www.inoutcreatives.com⁠⁠⁠⁠⁠ Production Assistant: ⁠⁠⁠⁠⁠ Anshika Gogoi⁠⁠⁠ Sponsor Message: Start your journey towards financial well-being. Download the 1 Finance app now: ⁠⁠⁠https://1finance.onelink.me/5Kxt/peh3p2s8⁠⁠⁠ Disclaimer: Investment in securities market are subject to market risks. Read all the related documents carefully before investing. Registration granted by SEBI, enlistment of IA with Exchange and certification from NISM in no way guarantee performance of the intermediary or provide any assurance of returns to investors. SEBI RIA Registration No. INA000017523, ⁠⁠⁠www.1finance.co.in⁠…

Let's Talk Money with Monika Halan

1
How to Navigate a Down Market 20:38

27 days ago20:38

20:38

In this episode, Monika helps listeners navigate a down market, explaining why market downturns feel more painful than they actually are. Drawing from behavioral economics, she highlights how loss aversion—our tendency to feel losses more strongly than equivalent gains—affects investment decisions. While markets have declined 12% from their peak, the last four years have delivered over 20% annualized returns. Monika urges investors to zoom out, focusing on five-year rolling returns and asset allocation rather than reacting emotionally to short-term losses. She also discusses how seasoned investors weather market swings by sticking to a disciplined strategy. Shifting gears, Monika breaks down the concept of interest rates and how they impact loans and investments. She explains why interest is essentially the price of a loan, factoring in deferred consumption, inflation risk, and borrower creditworthiness. Using real-world examples, she compares secured loans like home loans, which carry lower interest rates, with unsecured loans like credit card debt, which come with significantly higher costs. Monika challenges listeners to think critically about risk, prompting them to consider why a blue-chip company would pay lower interest than a small real estate firm. In the listener Q&A, Himanshu Patnekar asks whether shifting PPF maturity proceeds into mutual funds makes sense for long-term goals, especially given his pension-backed retirement. Dhanya James struggles to decide between buying medical insurance online or through an agent, seeking Monika’s guidance on service quality versus cost. Lastly, an anonymous listener questions the viability of market-linked debentures promising high returns, prompting Monika to dissect the risks, taxation, and costs involved in such products. Chapters: (01:38 - 06:12) Understanding loss aversion and market downturns (06:13 - 08:38) Interest rates and their impact on borrowing (09:18 - 13:05) Should you move your PPF corpus to mutual funds? (13:07 - 15:52) How to choose the right medical insurance (15:54 - 18:56) Are market-linked debentures worth the risk? If you have financial questions that you’d like answers for, please email us at ⁠mailme@monikahalan.com⁠ Monika’s book on basic money management ⁠ ⁠⁠⁠https://www.monikahalan.com/lets-talk-money-english/⁠⁠⁠⁠ Monika’s book on mutual funds ⁠⁠⁠https://www.monikahalan.com/lets-talk-mutual-funds/⁠⁠⁠ Monika’s workbook on recording your financial life ⁠⁠⁠⁠https://www.monikahalan.com/lets-talk-legacy/⁠⁠⁠⁠ Calculators ⁠ ⁠⁠⁠https://investor.sebi.gov.in/calculators/index.html⁠⁠⁠⁠ You can find Monika on her social media @monikahalan. Twitter ⁠ ⁠⁠⁠@MonikaHalan⁠⁠⁠⁠ Instagram ⁠ ⁠⁠⁠@MonikaHalan⁠⁠⁠⁠ Facebook ⁠ ⁠⁠⁠@MonikaHalan⁠⁠⁠⁠ LinkedIn ⁠⁠⁠@MonikaHalan⁠⁠ Production House: ⁠⁠⁠⁠www.inoutcreatives.com⁠⁠⁠⁠ Production Assistant: ⁠⁠⁠⁠ Anshika Gogoi⁠⁠ Sponsor Message: Start your journey towards financial well-being. Download the 1 Finance app now: ⁠⁠https://1finance.onelink.me/5Kxt/peh3p2s8⁠⁠ Disclaimer: Investment in securities market are subject to market risks. Read all the related documents carefully before investing. Registration granted by SEBI, enlistment of IA with Exchange and certification from NISM in no way guarantee performance of the intermediary or provide any assurance of returns to investors. SEBI RIA Registration No. INA000017523, ⁠⁠www.1finance.co.in⁠…

Let's Talk Money with Monika Halan

1
What’s your SIP Strategy? 21:46

5 weeks ago21:46

21:46

In this episode, Monika dives into the debate surrounding Systematic Investment Plans (SIPs) and whether they are truly the wealth-building tool they are often made out to be. A prominent fund manager recently warned that SIPs in small- and mid-cap mutual funds may not yield the high returns investors expect, igniting a firestorm of discussion. Monika explores the claims, comparing historical returns across different asset classes and reminding listeners of the importance of long-term investing. She recounts a colleague’s decision to exit equity markets in 2020 due to short-term underperformance—only to miss out on the subsequent market boom. Monika also breaks down the concept of rolling returns, explaining why they offer a more accurate picture of investment performance than simple point-to-point returns. Analyzing Nifty indices over different time horizons, she highlights how long-term SIP investors in well-chosen funds have generally fared well despite market volatility. She stresses that while SIPs are a great tool, they are not a magic bullet—they must be part of a well-structured financial plan that includes asset allocation, rebalancing, and a mix of equity and debt investments. Listener questions bring in real-life concerns. Tanvi Telang, soon to be engaged, seeks advice on managing finances as a couple when incomes and money attitudes differ. Shakti Kumar wonders if four years of underperformance against the benchmark is a sign to switch funds. Lastly, Mahesh Patnala from Gurugram asks if Monika would personally manage his portfolio, expressing his struggles with long-term financial planning. Chapters: (00:48 - 09:37) The great SIP debate and why investors are worried (09:38 - 12:18) Understanding rolling returns and long-term performance (12:52 - 16:41) Managing finances as a couple (16:44 - 17:55) When to switch funds after underperformance (17:57 - 20:08) Finding the right financial guidance https://www.advisorkhoj.com/mutual-funds-research/benchmark-rolling-return https://aria.org.in/ If you have financial questions that you’d like answers for, please email us at ⁠mailme@monikahalan.com⁠ Monika’s book on basic money management ⁠ ⁠⁠https://www.monikahalan.com/lets-talk-money-english/⁠⁠⁠ Monika’s book on mutual funds ⁠⁠https://www.monikahalan.com/lets-talk-mutual-funds/⁠⁠ Monika’s workbook on recording your financial life ⁠⁠⁠https://www.monikahalan.com/lets-talk-legacy/⁠⁠⁠ Calculators ⁠ ⁠⁠https://investor.sebi.gov.in/calculators/index.html⁠⁠⁠ You can find Monika on her social media @monikahalan. Twitter ⁠ ⁠⁠@MonikaHalan⁠⁠⁠ Instagram ⁠ ⁠⁠@MonikaHalan⁠⁠⁠ Facebook ⁠ ⁠⁠@MonikaHalan⁠⁠⁠ LinkedIn ⁠⁠@MonikaHalan⁠ Production House: ⁠⁠⁠www.inoutcreatives.com⁠⁠⁠ Production Assistant: ⁠⁠⁠ Anshika Gogoi⁠ Sponsor Message: Start your journey towards financial well-being. Download the 1 Finance app now: ⁠https://1finance.onelink.me/5Kxt/peh3p2s8⁠ Disclaimer: Investment in securities market are subject to market risks. Read all the related documents carefully before investing. Registration granted by SEBI, enlistment of IA with Exchange and certification from NISM in no way guarantee performance of the intermediary or provide any assurance of returns to investors. SEBI RIA Registration No. INA000017523, ⁠www.1finance.co.in⁠…

Let's Talk Money with Monika Halan

1
Is it Enough to Plan Just Investments? 18:22

6 weeks ago18:22

18:22

In this episode, Monika explains why investment planning is just one piece of the larger financial planning puzzle. Many investors focus solely on where to put their money but overlook critical aspects like cash flow management, risk protection, and long-term goal setting. She walks listeners through the fundamentals of financial planning—starting with tracking expenses and setting savings targets, then building essential safeguards like an emergency fund, medical insurance, and life insurance before even thinking about investments. She emphasizes that true financial security comes from having a well-structured plan that includes retirement and estate planning, not just picking the right stocks or mutual funds. Monika also breaks down the concept of an asset, clarifying common misconceptions. An asset isn’t just something you own—it must generate income or appreciate in value. From stocks and bonds to property and even a taxi used for earnings, she explains how different assets work and why some, like insurance policies, don’t qualify. Understanding assets is key to making informed investment decisions, and Monika highlights why a thoughtful approach to asset allocation is essential for long-term wealth creation. Listener queries bring up diverse financial concerns. Himanshu Sharma from Wellington questions the need for asset allocation when small caps tend to outperform over the long term. Dr. Aishwarya from Bengaluru faces major life decisions, including moving cities, having a baby, and buying a home, while managing a partner who prefers to keep his money in a savings account. Finally, Dr. Ajith from the UK seeks Monika’s insights on whether index investing in mid- and small-cap funds is a smart strategy. Chapters: (00:46 - 08:01) Why investment planning is just one piece of financial planning (08:02 - 08:56) Understanding assets: What qualifies and what doesn’t (09:31 - 12:08) Asset allocation and compounding (12:10 - 14:43) Balancing homeownership, career moves, and family planning (14:45 - 16:44) Index investing in mid and small caps If you have financial questions that you’d like answers for, please email us at ⁠mailme@monikahalan.com⁠ Monika’s book on basic money management ⁠ ⁠https://www.monikahalan.com/lets-talk-money-english/⁠⁠ Monika’s book on mutual funds ⁠https://www.monikahalan.com/lets-talk-mutual-funds/⁠ Monika’s workbook on recording your financial life ⁠⁠https://www.monikahalan.com/lets-talk-legacy/⁠⁠ Calculators ⁠ ⁠https://investor.sebi.gov.in/calculators/index.html⁠⁠ You can find Monika on her social media @monikahalan. Twitter ⁠ ⁠@MonikaHalan⁠⁠ Instagram ⁠ ⁠@MonikaHalan⁠⁠ Facebook ⁠ ⁠@MonikaHalan⁠⁠ LinkedIn ⁠@MonikaHalan Production House: ⁠⁠www.inoutcreatives.com⁠⁠ Production Assistant: ⁠⁠ Anshika Gogoi Sponsor Message: Start your journey towards financial well-being. Download the 1 Finance app now: https://1finance.onelink.me/5Kxt/peh3p2s8 Disclaimer: Investment in securities market are subject to market risks. Read all the related documents carefully before investing. Registration granted by SEBI, enlistment of IA with Exchange and certification from NISM in no way guarantee performance of the intermediary or provide any assurance of returns to investors. SEBI RIA Registration No. INA000017523, www.1finance.co.in…

Let's Talk Money with Monika Halan

1
What Budget 2025 Means For You 17:12

7 weeks ago17:12

17:12

In this episode, Monika unpacks Budget 2025 and what it means for India’s middle class. She explains the government’s bold decision to leave over ₹1 lakh crore in taxpayers’ pockets by making income up to ₹12.75 lakh tax-free and raising the highest tax slab to ₹24 lakh. This massive relief comes amid rising middle-class frustration over stagnant tax breaks, poor public services, and increased welfare spending on lower-income groups. Monika assesses whether this budget signals a shift in economic priorities and what it reveals about the government’s political calculus. She then dives into the specifics of the new tax regime, breaking down the slab changes and their real impact on disposable income. From the marginal relief provided to those earning slightly above ₹12 lakh to the adjustments in tax deductions for senior citizens and rental income, she deciphers how different taxpayer segments will benefit. Monika also discusses why the market reacted negatively to the exclusion of capital gains from the new tax exemptions and how investors should interpret this policy move. Beyond income tax, Monika highlights other key proposals that could reshape financial planning for many Indians. She examines the introduction of a centralized KYC system, increased TCS limits on foreign spending, and tax benefits for gig workers and senior citizens. Additionally, she delves into long-awaited pension reforms that aim to streamline regulatory coordination and make retirement planning more investor-friendly. She reflects on whether these measures indicate a maturing economy that acknowledges its growing middle class as a cornerstone of future growth. Listener queries will return next week, but Monika invites questions on how Budget 2025 affects individual finances. Chapters: (00:033 - 03:47) Budget 2025 highlights and the middle-class impact (03:48 - 07:04) Key income tax changes and who benefits the most (07:05 - 15:49) New tax slabs, additional proposals, government strategy, and final thoughts https://www.hindustantimes.com/opinion/the-missing-taxpayer-in-india-s-middle-class-101737903920404.html?utm_source=ht_site_copyURL&utm_medium=social&utm_campaign=ht_site https://www.hindustantimes.com/opinion/a-high-class-budget-for-middle-class-india-101738432389365.html?utm_source=ht_site_copyURL&utm_medium=social&utm_campaign=ht_site If you have financial questions that you’d like answers for, please email us at ⁠mailme@monikahalan.com⁠ Monika’s book on basic money management ⁠ ⁠⁠⁠https://www.monikahalan.com/lets-talk-money-english/⁠⁠⁠⁠ Monika’s book on mutual funds ⁠⁠⁠https://www.monikahalan.com/lets-talk-mutual-funds/⁠⁠⁠ Monika’s workbook on recording your financial life ⁠⁠⁠⁠https://www.monikahalan.com/lets-talk-legacy/⁠⁠⁠⁠ Calculators ⁠ ⁠⁠⁠https://investor.sebi.gov.in/calculators/index.html⁠⁠⁠⁠ You can find Monika on her social media @monikahalan. Twitter ⁠ ⁠⁠⁠@MonikaHalan⁠⁠⁠⁠ Instagram ⁠ ⁠⁠⁠@MonikaHalan⁠⁠⁠⁠ Facebook ⁠ ⁠⁠⁠@MonikaHalan⁠⁠⁠⁠ LinkedIn ⁠⁠⁠@MonikaHalan⁠⁠⁠ Production House: ⁠⁠⁠www.inoutcreatives.com⁠⁠⁠ Production Assistant: ⁠⁠⁠ Anshika Gogoi⁠⁠ ⁠…

Let's Talk Money with Monika Halan

1
How Much Tax Do They Not Pay? 14:20

8 weeks ago14:20

14:20

In this episode, Monika investigates a pressing concern: the scale of income tax evasion within India’s middle class. She walks listeners through her extensive research to determine how many eligible taxpayers remain outside the tax net and how much revenue is lost. Using credible reports and official tax data, she arrives at a staggering number—8.3 crore people not paying taxes, leading to a revenue shortfall of ₹7.8 lakh crore. Monika urges policymakers to address this gap rather than burdening existing taxpayers with additional levies. Monika then breaks down the concept of fiscal deficit, explaining how it arises when government expenditures exceed revenue. She clarifies how borrowing works, the distinction between borrowing for consumption versus capital creation, and why India’s push for infrastructure investment is a positive sign. With fiscal deficit currently at 4.8% of GDP, she highlights the government's target of reducing it to 3% and why this number will be crucial in the upcoming budget. Listener queries bring up diverse financial concerns. Sujit Kumar asks for insights into Portfolio Management Schemes (PMS) and how they compare to mutual funds. Ajay Kumar worries about mid-cap holdings within his small-cap mutual fund and seeks guidance on rebalancing. Finally, Rohit Sasikumar wants to optimize tax harvesting while switching from an underperforming fund to a Nifty 50 index fund. Chapters: (00:34 - 05:09) The missing taxpayer: how much tax is not collected? (05:10 - 06:34) Understanding fiscal deficit and why it matters (06:35 - 09:26) Should you invest in a portfolio management scheme? (09:29 - 12:04) Why does your small cap fund have mid caps? (12:05 - 13:12) How to harvest tax-free long-term equity gains https://price360.in/Executive_Summary_Middle_Class.pdf https://incometaxindia.gov.in/Documents/Direct%20Tax%20Data/Income-tax-statistics-i-t-return-AY_2021-22.pdf If you have financial questions that you’d like answers for, please email us at ⁠mailme@monikahalan.com⁠ Monika’s book on basic money management ⁠ ⁠⁠https://www.monikahalan.com/lets-talk-money-english/⁠⁠⁠ Monika’s book on mutual funds ⁠⁠https://www.monikahalan.com/lets-talk-mutual-funds/⁠⁠ Monika’s workbook on recording your financial life ⁠⁠⁠https://www.monikahalan.com/lets-talk-legacy/⁠⁠⁠ Calculators ⁠ ⁠⁠https://investor.sebi.gov.in/calculators/index.html⁠⁠⁠ You can find Monika on her social media @monikahalan. Twitter ⁠ ⁠⁠@MonikaHalan⁠⁠⁠ Instagram ⁠ ⁠⁠@MonikaHalan⁠⁠⁠ Facebook ⁠ ⁠⁠@MonikaHalan⁠⁠⁠ LinkedIn ⁠⁠@MonikaHalan⁠⁠ Production House: ⁠⁠www.inoutcreatives.com⁠⁠ Production Assistant: ⁠⁠ Anshika Gogoi⁠ ⁠…

Let's Talk Money with Monika Halan

1
New or Old Tax Regime? 16:08

9 weeks ago16:08

16:08

In this episode, Monika helps you decide between the old and new tax regimes, guiding you through how to choose the right option for your financial situation. She explains the differences between the two regimes, how the new system was introduced in Budget 2020, and the pros and cons of each. Monika emphasizes the importance of understanding your deductions and income level to make an informed choice and offers simple guidelines to help you decide. She also touches on the expected shift to the new regime in the future and how it might affect your tax planning. Monika then delves into the standard deduction, a tax break that reduces your taxable income without requiring proof of expenses. She explains how this deduction works in both the old and new tax regimes and why it’s a helpful tool for simplifying your taxes. Monika highlights the flat standard deduction available in the new tax regime and how it addresses concerns for salaried individuals who may not benefit from itemized deductions. She wraps up with a brief look at the benefits this deduction brings to taxpayers across various income brackets. Listener queries bring in valuable real-world questions. Mr. S from Coimbatore, a 20-year-old just starting his career, asks for advice on choosing mutual funds for SIPs. Avantika Kapoor from Dubai inquires about surrendering her whole life policy. Suraj Paul from Bangalore seeks guidance on whether to handle his financial planning independently or hire a professional. Chapters: (00:33 - 05:06) Should you choose the old or the new tax regime? (05:07 - 06:02) Understanding standard deduction (06:03 - 09:08) How to choose a mutual fund (09:09 - 13:08) Should you exit your whole life policy? (13:09 - 15:00) Should you DIY or hire a financial planner? https://cleartax.in/s/old-tax-regime-vs-new-tax-regime https://aria.org.in/ If you have financial questions that you’d like answers for, please email us at ⁠mailme@monikahalan.com Monika’s book on basic money management ⁠ ⁠https://www.monikahalan.com/lets-talk-money-english/⁠⁠ Monika’s book on mutual funds ⁠https://www.monikahalan.com/lets-talk-mutual-funds/⁠ Monika’s workbook on recording your financial life ⁠⁠https://www.monikahalan.com/lets-talk-legacy/⁠⁠ Calculators ⁠ ⁠https://investor.sebi.gov.in/calculators/index.html⁠⁠ You can find Monika on her social media @monikahalan. Twitter ⁠ ⁠@MonikaHalan⁠⁠ Instagram ⁠ ⁠@MonikaHalan⁠⁠ Facebook ⁠ ⁠@MonikaHalan⁠⁠ LinkedIn ⁠@MonikaHalan⁠ Production House: ⁠www.inoutcreatives.com⁠ Production Assistant: ⁠ Anshika Gogoi ⁠…

Let's Talk Money with Monika Halan

1
How Much Tax do you Finally Pay 19:01

10 weeks ago19:01

19:01

In this episode, Monika takes an insightful dive into the Indian tax system, exploring how taxes shape individual behavior and government policies. She explains the key components of taxation in India, including direct and indirect taxes, and highlights their impact on your income, spending, and investments. By analyzing the distribution of the tax burden, Monika lays bare the disproportionate load borne by the middle class and high-income earners, and offers a clear perspective on how taxes contribute to government revenue and expenditure. Monika also breaks down the commonly misunderstood terms: exemptions, deductions, and rebates. Using practical examples, she clarifies how each impacts taxable income and overall tax liability. From exemptions like agricultural income to deductions for investments like PPF and medical insurance premiums, she simplifies these technicalities for better financial planning. She stresses the importance of understanding these distinctions, especially during budget season. Listener queries this week address diverse personal finance concerns. Amit Minocha worries about rising medical costs and how to secure adequate health insurance for retirement. Pavithran Selvakumar, a 24-year-old from Coimbatore, seeks advice on mitigating market risks for future redemptions from index funds. Raghuvendra from Bangalore asks whether investing in high-interest company deposits is a safe choice for his daughter’s education and marriage savings. Chapters: (00:34 - 11:31) How Much Tax Do You Really Pay? A Deep Dive into India's Tax System (11:33 - 12:40) Exemptions, Deductions, and Rebates: What’s the Difference? (12:41 - 15:00) Medical Insurance: Planning for Rising Costs with Super Top-Up Plans (15:02 - 16:25) Redeeming Investments in a Market Crash: Strategies for Safety (16:27 - 17:52) Should You Use Company Deposits for Long-Term Goals? https://cbic-gst.gov.in/gst-goods-services-rates.html If you have financial questions that you’d like answers for, please email us at ⁠mailme@monikahalan.com⁠ Monika’s book on basic money management ⁠ ⁠⁠https://www.monikahalan.com/lets-talk-money-english/⁠⁠⁠ Monika’s book on mutual funds ⁠⁠https://www.monikahalan.com/lets-talk-mutual-funds/⁠⁠ Monika’s workbook on recording your financial life ⁠⁠⁠https://www.monikahalan.com/lets-talk-legacy/⁠⁠⁠ Calculators ⁠ ⁠⁠https://investor.sebi.gov.in/calculators/index.html⁠⁠⁠ You can find Monika on her social media @monikahalan. Twitter ⁠ ⁠⁠@MonikaHalan⁠⁠⁠ Instagram ⁠ ⁠⁠@MonikaHalan⁠⁠⁠ Facebook ⁠ ⁠⁠@MonikaHalan⁠⁠⁠ LinkedIn ⁠⁠@MonikaHalan⁠⁠ Production House: ⁠⁠www.inoutcreatives.com⁠⁠ Production Assistant: ⁠⁠ Anshika Gogoi⁠⁠…

Let's Talk Money with Monika Halan

1
Why a Welfare State Means High Taxes for the Middle Class and Rich 16:00

11 weeks ago16:00

16:00

In this episode, Monika explores a tough yet important topic: the inevitability of high taxes for the middle class and the rich, even with possible tweaks in Budget 2025. She explains the evolution of taxation from ancient civilizations to modern welfare systems and why higher taxation is expected to persist in democracies with large lower-income populations. Monika emphasizes the burden on the top 10% and urges listeners to brace for higher taxes while hoping for more equitable contributions across society. Monika dives into the complexities of interest rates, offering a detailed breakdown of how they are determined. She explains the three main factors influencing interest rates: deferred consumption, inflation risk, and credit risk. By comparing home loans with credit card loans, she clarifies why interest rates on secured loans are lower. She concludes with a reminder to evaluate risks before accepting higher interest offers from alternative investments. Listener queries cover various personal finance topics. Ram Raju from Kerala asks about transitioning fully to small-cap index funds. Girishkumar from Chennai, at 26, inquires about using a financial planner early in his investment journey. Lastly, Smita Bhaskar asks for guidance on parking a lump sum for an upcoming home purchase. Chapters: (00:33 - 6:08) High Taxes in a Welfare State: Why the Middle Class and Rich Will Keep Paying (6:09 - 8:43) Understanding Interest Rates (8:48 - 11:26) Should You Shift Fully to Small-Cap Index Funds? (11:28 - 13:40) Should You Hire a Financial Planner at 26? (13:42 - 14:54) Best Way to Park Lump Sum for a Down Payment If you have financial questions that you’d like answers for, please email us at ⁠mailme@monikahalan.com⁠ Monika’s book on basic money management ⁠ ⁠https://www.monikahalan.com/lets-talk-money-english/⁠⁠ Monika’s book on mutual funds ⁠https://www.monikahalan.com/lets-talk-mutual-funds/⁠ Monika’s workbook on recording your financial life ⁠⁠https://www.monikahalan.com/lets-talk-legacy/⁠⁠ Calculators ⁠ ⁠https://investor.sebi.gov.in/calculators/index.html⁠⁠ You can find Monika on her social media @monikahalan. Twitter ⁠ ⁠@MonikaHalan⁠⁠ Instagram ⁠ ⁠@MonikaHalan⁠⁠ Facebook ⁠ ⁠@MonikaHalan⁠⁠ LinkedIn ⁠@MonikaHalan⁠ Production House: ⁠www.inoutcreatives.com⁠ Production Assistant: ⁠ Anshika Gogoi⁠…

Let's Talk Money with Monika Halan

1
Your Money in 2025 19:04

12 weeks ago19:04

19:04

In this episode, Monika shares a roadmap for managing your finances in 2025, reflecting on the market correction at the end of 2024 and its implications for investors. She delves into the fundamentals of projecting returns, linking them to GDP growth and inflation, and highlights the importance of having a solid financial plan. By emphasizing principles like asset allocation, long-term equity focus, and disciplined rebalancing, Monika demonstrates how to navigate uncertainties while building wealth sustainably in the years ahead. Monika explains the essentials of asset allocation, starting with the balance between equity and debt. She outlines the need for emergency funds and insurance as prerequisites for equity investments, which are critical for long-term wealth creation. Sharing examples, she highlights the power of patient, disciplined investing through diversified portfolios, including index funds and active mutual funds. She stresses a "thali" approach, balancing different asset classes to align with individual goals, and the importance of periodic rebalancing to maintain the desired risk level. Listener queries address diverse financial scenarios. Anubhav Agarwal asks whether to use separate funds for multiple long-term goals. Madhu Thakur seeks advice on buying a house versus renting, using parental retirement savings. Kiran Subramanium asks about managing his PF account post-retirement, including tax implications and reinvestment strategies. Chapters: (00:34 - 9:21) Your money in 2025: Ground rules for financial planning and investing (9:22 - 12:45) Choosing funds for multiple goals: Should you separate or combine investments? (12:46 - 15:59) Using parental retirement savings to buy a house: Balancing fairness and financial prudence (16:01 - 17:58) Managing EPF post-retirement: Maximizing returns and tax implications https://www.epfindia.gov.in/site_en/FAQ.php If you have financial questions that you’d like answers for, please email us at ⁠mailme@monikahalan.com⁠ Monika’s book on basic money management ⁠ ⁠https://www.monikahalan.com/lets-talk-money-english/⁠⁠ Monika’s book on mutual funds ⁠https://www.monikahalan.com/lets-talk-mutual-funds/⁠ Monika’s workbook on recording your financial life ⁠⁠https://www.monikahalan.com/lets-talk-legacy/⁠⁠ Calculators ⁠ ⁠https://investor.sebi.gov.in/calculators/index.html⁠⁠ You can find Monika on her social media @monikahalan. Twitter ⁠ ⁠@MonikaHalan⁠⁠ Instagram ⁠ ⁠@MonikaHalan⁠⁠ Facebook ⁠ ⁠@MonikaHalan⁠⁠ LinkedIn ⁠@MonikaHalan⁠ Production House: ⁠www.inoutcreatives.com⁠ Production Assistant: ⁠ Anshika Gogoi⁠…

Let's Talk Money with Monika Halan

1
Will Your Credit Card Unpaid Dues Cost More Now? 14:29

13 weeks ago14:29

14:29

In this episode, Monika discusses a recent Supreme Court judgment that impacts credit card holders, overturning a 2008 ruling by the National Consumer Disputes Redressal Commission (NCDRC) that capped interest rates on unpaid credit card dues at 30% per year. This decision now allows banks to set higher rates, arguing that credit cards, being unsecured loans, necessitate such charges. Monika highlights the pitfalls for consumers, such as interest being levied on the full bill amount if partial payments are made and the significant cost of revolving credit card debt. She advises listeners to use credit cards wisely to avoid excessive interest rates of 36-49% annually and warns against accumulating debt that could take years to pay off. The conversation moves to practical financial advice for listeners. Monika shares essential tips to avoid credit card debt traps, emphasizing timely payments, limiting the number of cards, and breaking fixed deposits if necessary to pay off high-interest debt. She underscores the importance of thoughtful financial planning to steer clear of costly mistakes. Monika then explains the role of benchmarks in evaluating investments. Just as the perception of height varies by country, investment returns need context to be meaningful. Benchmarks provide a standard for comparing performance, showing if an investment outperforms or underperforms the market average. Monika stresses that understanding and using appropriate benchmarks is crucial for making informed investment choices, as it puts returns in the right perspective. Listener queries focus on practical financial challenges. Nagendra from Bengaluru seeks advice on managing risks and tax implications of company ESOPs, exploring diversification strategies. Hiren, a retiree, asks whether to withdraw additional income from mutual funds or PPF to meet leisure expenses. Sukhjeevan from the U.S. seeks guidance on minimizing losses from a mis-sold whole life insurance plan and reallocating funds into better investments. Chapters: (00:33 - 4:05) Higher credit card interest rates and how to manage credit card debt (4:06 - 6:34) Understanding benchmarks and their importance in portfolio performance (6:38 - 9:31) Managing ESOPs: Balancing risks and tax implications (9:33 - 11:44) Retirement planning: Deciding between PPF and mutual funds for withdrawals (11:45 - 13:20) Dealing with dud insurance policies: Max Life and other mis-sold products If you have financial questions that you’d like answers for, please email us at ⁠mailme@monikahalan.com⁠ Monika’s book on basic money management ⁠ ⁠⁠⁠⁠⁠⁠⁠https://www.monikahalan.com/lets-talk-money-english/⁠⁠⁠⁠⁠⁠⁠⁠ Monika’s book on mutual funds ⁠⁠⁠⁠⁠⁠⁠https://www.monikahalan.com/lets-talk-mutual-funds/⁠⁠⁠⁠⁠⁠⁠ Monika’s workbook on recording your financial life ⁠⁠⁠⁠⁠⁠⁠⁠https://www.monikahalan.com/lets-talk-legacy/⁠⁠⁠⁠⁠⁠⁠⁠ Calculators ⁠ ⁠⁠⁠⁠⁠⁠⁠https://investor.sebi.gov.in/calculators/index.html⁠⁠⁠⁠⁠⁠⁠⁠ You can find Monika on her social media @monikahalan. Twitter ⁠ ⁠⁠⁠⁠⁠⁠⁠@MonikaHalan⁠⁠⁠⁠⁠⁠⁠⁠ Instagram ⁠ ⁠⁠⁠⁠⁠⁠⁠@MonikaHalan⁠⁠⁠⁠⁠⁠⁠⁠ Facebook ⁠ ⁠⁠⁠⁠⁠⁠⁠@MonikaHalan⁠⁠⁠⁠⁠⁠⁠⁠ LinkedIn ⁠⁠⁠⁠⁠⁠⁠@MonikaHalan⁠⁠⁠⁠⁠⁠⁠ Production House: ⁠⁠⁠⁠⁠⁠⁠www.inoutcreatives.com⁠⁠⁠⁠⁠⁠⁠ Production Assistant: ⁠⁠⁠⁠⁠⁠⁠ Anshika Gogoi⁠⁠⁠⁠…

Let's Talk Money with Monika Halan

1
Does your health insurance company pay its claims? 17:39

14 weeks ago17:39

17:39

In this episode, Monika explores the troubling issue of health insurance companies denying claims, a problem that has taken center stage globally and in India. A shocking incident in the U.S. on December 4, 2024, saw Brian Thompson, CEO of UnitedHealthcare, America’s largest health insurer, shot dead as he walked to an investor conference. Reports suggest the attack may be linked to mounting public frustration over insurers' tactics to “deny, delay, and depose” claims to boost profits, with UnitedHealthcare rejecting 32% of claims. Shifting focus to India, Monika highlights worrying trends documented by the Insurance Brokers Association of India. Public sector insurers perform far better than private firms, with New India Assurance paying 98.74% of claim amounts, while Star Health lags behind at just 54.61%. Disparities in claim metrics—by number of policies versus amounts—indicate some insurers may settle low-value claims quickly while dragging their feet on higher payouts. Loopholes in fine print and a lack of transparency add to policyholders' struggles. The conversation emphasizes the challenges of a three-party system involving insurers, hospitals, and policyholders. Unregulated hospitals often inflate bills or unfairly charge patients, further complicating matters. Monika stresses the urgent need for IRDAI to improve transparency, mandate better disclosure, and ensure smooth portability for customers switching insurers. Until then, buyers must remain vigilant: analyze claims data, compare insurers, and port policies with poor claims records before renewal. Listener queries focus on practical financial challenges. Abhishek asks about the difference between holding mutual fund units in a demat account versus a statement of account, seeking clarity on costs, flexibility, and their respective pros and cons. Nakaashi from Mumbai raises concerns about his retired parents' financial portfolio, exploring how to balance medical expenses, inflation-proof investments, and their desire to leave an inheritance. Purva from Pune wants to know how to plan portfolio exits during market corrections, focusing on asset allocation and strategies for rebalancing investments effectively. Chapters: (00:33 - 8:00) The truth about health insurance claims and what you can do about it (8:04 - 11:46) Understanding the demat account vs statement of account for mutual fund holdings (11:48 - 14:48) How to manage your retirement portfolio for long-term financial health (14:51 - 16:29) Timing your exit strategy for retirement investments https://www.ibai.org/storage/media/news_letter/general_insurance_claim_insights_2024_04122024-180441.pdf (see pages 83 and 84) https://www.livemint.com/Money/9i0qJW6mkQ9e9W7v8FUswN/History-of-mutual-funds-in-India-as-told-by-the-first-inves.html If you have financial questions that you’d like answers for, please email us at ⁠mailme@monikahalan.com⁠ Monika’s book on basic money management ⁠ ⁠⁠⁠⁠⁠⁠https://www.monikahalan.com/lets-talk-money-english/⁠⁠⁠⁠⁠⁠⁠ Monika’s book on mutual funds ⁠⁠⁠⁠⁠⁠https://www.monikahalan.com/lets-talk-mutual-funds/⁠⁠⁠⁠⁠⁠ Monika’s workbook on recording your financial life ⁠⁠⁠⁠⁠⁠⁠https://www.monikahalan.com/lets-talk-legacy/⁠⁠⁠⁠⁠⁠⁠ Calculators ⁠ ⁠⁠⁠⁠⁠⁠https://investor.sebi.gov.in/calculators/index.html⁠⁠⁠⁠⁠⁠⁠ You can find Monika on her social media @monikahalan. Twitter ⁠ ⁠⁠⁠⁠⁠⁠@MonikaHalan⁠⁠⁠⁠⁠⁠⁠ Instagram ⁠ ⁠⁠⁠⁠⁠⁠@MonikaHalan⁠⁠⁠⁠⁠⁠⁠ Facebook ⁠ ⁠⁠⁠⁠⁠⁠@MonikaHalan⁠⁠⁠⁠⁠⁠⁠ LinkedIn ⁠⁠⁠⁠⁠⁠@MonikaHalan⁠⁠⁠⁠⁠⁠ Production House: ⁠⁠⁠⁠⁠⁠www.inoutcreatives.com⁠⁠⁠⁠⁠⁠ Production Assistant: ⁠⁠⁠⁠⁠⁠ Anshika Gogoi⁠⁠⁠…

Let's Talk Money with Monika Halan

1
How to Redeem your Mutual Funds 17:28

15 weeks ago17:28