Tax Efficient Perks You Must Ask Your Employer For

For employees the benefits go beyond salaries to include lifestyle perks such as company accommodation or club membership. But here we are not talking about lifestyle perk but certain useful benefits you should receive as an employee. Because time has changed, people don’t spend their entire career in just one company retiring with full pension and benefits for life. In fact by the time you reach the age of 50 you would have changed at least 5 employers. So take an advantage of this, your employer will definitely not want to lose you if your skills are marketable.

Here is a list of things you can try asking your employer for, either at the negotiation table before you take a new job, or at an annual review when you have demonstrated that you are an excellent employee.

Raise

Everyone asks for a raise. And they would have tried doing this atleast once in their career period. The higher your income, the more tax you pay, and at times it is a small raise to the next tax bracket that means less take-home pay than before. But on the other hand your employer reduces your salary for specific benefits like pension contributions, gym membership. It is only the basic-rate taxpayers will benefit from having access to extras which otherwise is afford, while higher-rate taxpayers can cut a chunk off their income tax bill.

Pay for Education

Your employer should be willing to fund his employees who are seeking further knowledge in their profession. Education can take the form of on-line courses, part-time university or college credits, or professional courses. You can talk to your HR about the direct benefits of employer-funded education. These include increased loyalty, reduced employee turnover, increased productivity, ability to take on new projects and the opportunity to show leadership skills. So you may end up getting that raise after they pay for your education anyway. The benefit you receive on opting doing so is the cost of the course is deductible to your employer, and it rarely shows up on your pay stub as a taxable benefit.

Car Allowance

If the company is providing their employees with car allowance, it comes in a form of an additional pay. But mostly comes in form of a credit card or reimbursement plan. If so then it allows you to avoid additional taxation as it’s considered a company expense. If you are the one paying then consider a more fuel-efficient vehicle that will reduce the tax you pay.  Or in the case where the employer provides you with a car lease option, you should consider availing of the same as it would be a tax efficient option.

Ask your employer for a better employer-funded coverage of your retirement. A qualified plan can help you keep more of what you earn. Tax-deductible qualified plans provide retirement benefits for the business owner and employees and through life insurance can provide death benefits.

Source:- Silicon India

No tax returns on salaried Income up to Rs 5 Lakh

Employees who earn up to 5 lakh need not file income tax returns from assessment year 2011-12, an official statement said Thursday.

The Central Board of Direct Taxes (CBDT) has notified the scheme. Returns for assessment year 2011-12 are due July 31.

Individuals having total income up to 5 lakh for fiscal 2010-11, after allowable deductions, consisting of salary from a single employer and interest income from deposits in a savings bank account up to 10,000, are not required to file their income tax returns. 

"Such individuals must report their Permanent Account Number (PAN) and the entire income from bank interest to their employer, pay the entire tax by way of deduction of tax at source, and obtain a certificate of tax deduction in Form No.16," the statement said.

People receiving salary from more than one employer, having income from sources other than salary and interest income from a savings bank account, or having refund claims shall not be covered under the scheme.

Finance Minister Pranab Mukherjee had in his budget proposed to exempt salaried employees from filing tax returns.

The reason behind the move is that if a person has no other source of income, filing tax return is just a duplication of existing information.

The move would give relief to millions of salaried employees working in both the government and private sectors. 

The Top 17 Investing Quotes of All Time

When it comes to the world of investing, three words come to mind: overwhelming, intimidating, and scary. For us "regular Joes," the questions seem never-ending. On that note, let's revisit what experts have said over the years on the topic of investing. The quotes date back to Ben Franklin, and some are from modern pundits like Dave Ramsey and Warren Buffett. Though markets may change, good investing advice is timeless. (For more information, see This Is Your Brain On Stocks)

1. "An investment in knowledge pays the best interest." - Benjamin Franklin
When it comes to investing, nothing will pay off more than educating yourself. Do the necessary research, study and analysis before making any investment decisions.

2. "Bottoms in the investment world don't end with four-year lows; they end with 10- or 15-year lows." - Jim Rogers
While 10-15 year lows are not common, they do happen. During these down times, don't be shy about going against the trend and investing; you could make a fortune by making a bold move - or lose your shirt. Remember quote #1 and invest in an industry you've researched thoroughly. Then, be prepared to see your investment sink lower before it turns around and starts to pay off.

3. "I will tell you how to become rich. Close the doors. Be fearful when others are greedy. Be greedy when others are fearful." - Warren Buffett
Be prepared to invest in a down market and to "get out" in a soaring market. (For more, read Think Like Warren Buffett.)

4. "The stock market is filled with individuals who know the price of everything, but the value of nothing." - Phillip Fisher
Another testament to the fact that investing without an education and research will ultimately lead to regrettable investment decisions. Research is much more than just listening to popular opinion.

5. "In investing, what is comfortable is rarely profitable." - Robert Arnott
At times, you will have to step out of your comfort zone to realize significant gains. Know the boundaries of your comfort zone and practice stepping out of it in small doses. As much as you need to know the market, you need to know yourself too. Can you handle staying in when everyone else is jumping ship? Or getting out during the biggest rally of the century? There's no room for pride in this kind of self-analysis. The best investment strategy can turn into the worst if you don't have the stomach to see it through.

6. "How many millionaires do you know who have become wealthy by investing in savings accounts? I rest my case." - Robert G. Allen
Though investing in a savings account is a sure bet, your gains will be minimal given the extremely low interest rates. But don't forgo one completely. A savings account is a reliable place for an emergency fund, whereas a market investment is not. (To learn more, see Savings Accounts Not Always The Best Place For Cash Assets.)

7. "Invest in yourself. Your career is the engine of your wealth." - Paul Clitheroe
We all want wealth, but how do we achieve it? It starts with a successful career which relies on your skills and talents. Invest in yourself through school, books, or a quality job where you can acquire a quality skill set. Identify your talents and find a way to turn them into an income-generating vehicle. In doing so, you can truly leverage your career into an "engine of your wealth."

8. "Every once in a while, the market does something so stupid it takes your breath away." - Jim Cramer
There are no sure bets in the world of investing; there is risk in everything. Be prepared for the ups and downs. (To read more on how Cramer makes his pick, see Cramer's 'Mad Money' Recap: Tools of the Trade.) 

9. "The individual investor should act consistently as an investor and not as a speculator." - Ben Graham
You are an investor, not someone who can predict the future. Base your decisions on real facts and analysis rather than risky, speculative forecasts.

10. "It's not how much money you make, but how much money you keep, how hard it works for you, and how many generations you keep it for." - Robert Kiyosaki
If you're a millionaire by the time you're 30, but blow it all by age 40, you've gained nothing. Grow and protect your investment portfolio by carefully diversifying it, and you may find yourself funding many generations to come.

11. "Know what you own, and know why you own it." - Peter Lynch
Do your homework before making a decision. And once you've made a decision, make sure to re-evaluate your portfolio on a timely basis. A wise holding today may not be a wise holding in the future.

12. "Financial peace isn't the acquisition of stuff. It's learning to live on less than you make, so you can give money back and have money to invest. You can't win until you do this." - Dave Ramsey
By being modest in your spending, you can ensure you will have enough for retirement and can give back to the community as well.

13. "Investing should be more like watching paint dry or watching grass grow. If you want excitement, take $800 and go to Las Vegas." - Paul Samuelson
If you think investing is gambling, you're doing it wrong. The work involved requires planning and patience. However, the gains you see over time are indeed exciting! (For more reasons to be patient, check out Patience Is A Trader's Virtue.)

14. "I would not pre-pay. I would invest instead and let the investments cover it." - Dave Ramsey
A perfect answer to the question: "Should I pay off my _____(fill in the blank) or invest for retirement?" That said, a credit card balance ringing up 30% can turn into a black hole if not paid off quickly. Basically, pay off debt at high interest rates and keep debt at low ones.

15. "The four most dangerous words in investing are: 'this time it's different.'" - Sir John Templeton
Follow market trends and history. Don't speculate that this particular time will be any different. For example, a major key to investing in a particular stock or bond fund is its performance over five years. Nothing shorter.

16. "Wide diversification is only required when investors do not understand what they are doing." - Warren Buffett
In the beginning, diversification is relevant. Once you've gotten your feet wet and have confidence in your investments, you can adjust your portfolio accordingly and make bigger bets. (For more reason to reduce your diversification, read The Dangers Of Over-Diversifying Your Portfolio.)

17. "You get recessions, you have stock market declines. If you don't understand that's going to happen, then you're not ready, you won't do well in the markets." - Peter Lynch
When hit with recessions or declines, you must stay the course. Economies are cyclical, and the markets have shown that they will recover. Make sure you are a part of those recoveries!

The Bottom Line
The world of investing can be cold and hard. But if you do thorough research and keep your head on straight, your chances of long-term success are good. Refer back to these quotes when you're feeling shaky or are confused about investing. How are they relevant to your experience? Do you have any favorite quotes to add? (To learn more from great investors, read Greatest Investors.)

 Sources:- Investopedia

Indian Railway Budget Highlights 2011

Yesterday (25th Feb 2011) Railway minister of India Ms Mamta Banergee Presented Railway Budget in Indian Parliament House for the Year 2011. Railway Declared 2011-12 as a "Year Of Green Energy".Some of the Highlights are:-

COMMON PEOPLE

# No increase in passenger fares and freight rates in FY 2011/12.

# New Express Trains, 3 new Shatabdis and 9 Duronto trains to be introduced.

# AC Double Decker services on Jaipur-Delhi and Ahmedabad-Mumbai routes.

# New Super AC Class to be introduced.

# A new portal for e-ticketing to be launched shortly.

# Booking charges will be cheaper with a charge of only Rs 10 for AC classes and Rs 5 for others.

# Pan-India multi-purpose smart card 'Go India' to be introduced.

# 236 more stations to be upgraded as Adarsh Stations.

# 47 additional suburban services in Mumbai and 50 new suburban services proposed for Kolkata.

# Two new passenger terminals in Kerala and one each in Uttar Pradesh and West Bengal proposed.

# Feasibility study to raise speed of passenger trains to 160-200 kmph to be undertaken.

# A special package of two new trains and two projects for the states managing trouble free run of trains through out the year.

# Anti Collision Devise (ACD) sanctioned to cover 8 zonal railways.

# GPS Based 'Fog Safe' Device to be deployed.

# All unmanned level crossing up to 3000 to be eliminated.

# All India Security Help line on a single number set up.

NEW TRAINS

#New Janambhoomi trains Between Ahmedabad and Udhampur

# Krambhoomi Train for working class specially for Migrents.

# Bharat thirth train to be launched on Rabindranath Tagore's 150th Birth day Anniversary 

# Matribhumi Special Trains for Women

SOCIAL INITIATIVE

# A scheme for socially desirable projects, 'Pradhan Mantri Rail Vikas Yojana' with non-lapsable fund proposed.

# 10,000 shelter units proposed for track side dwellers in Mumbai, Sealdah, Siliguri, Tiruchirapalli on pilot basis.

# Concession to physically handicapped persons to be extended on Rajdhani and Shatabdi trains.

# Concession of 50 per cent to press correspondents with family increased to twice a year.

# Senior Citizens concession to be hiked from 30 per cent to 40 per cent.

# Medical facilities extended to dependent parents of the Railway employees.

# Scholarship for girl child of Group-D railway employees increased to Rs 1200 per month.

# 20 additional hostels for children of railway employees to be set up.

# Recruitment for 1.75 lakh vacancies of Group 'C' and 'D' including to fill up backlog of SC/ST initiated, 16,000 ex-servicemen to be inducted by March 2011.

# Free Journey for cancer patient in Sleeper and 3rd a/c & 75% concession for companion.

FACTS & FIGURE

# Gross traffic receipts estimated at 1.06 trillion rupees ($23.4 billion) in FY 2011/12

# Passenger numbers estimated to grow by 6.4 percent in coming financial year.

# Freight traffic estimated at 993 million tonnes in the coming financial year.

# Fresh investment of 576.3 billion rupees ($12.68 billion) into Indian Railways in the FY 2011/12.

INVESTMENT

# The government to provide 200 billion rupees ($4.4 billion) to Indian Railways in coming FY.

# Total amount of borrowing by Indian Railways Finance Corporation (IRFC) estimated at 204.54 billion rupees ($4.5 billion) in FY 2011/12

# Tax-free bonds totalling 100 billion rupees ($2.2 billion) to be issued by IRFC in the coming financial year.

#Railways development bank Rail Vikas Nigam Limited to borrow 1.4 billion rupees ($30.9 million) in coming financial year.

#Total public-private partnership investments estimated at 15.26 billion rupees ($336.5 million) in FY 2011/12.

INFRASTRUCTURE

# 1,300 kilometres (808 miles) of new rail lines to be added in FY 2011/12.

# 18,000 new wagons to be purchased.

# Two wagon units to be set up in conjunction with private partners.

# 700 megawatt gas-based captive power plant to be set up.

# A Bridge Factory in Jammu and Kashmir and a state-of-art Institute for Tunnel and Bridge Engineering is proposed at Jammu.

# A Diesel Locomotive Centre will be set-up in Manipur.

#A Centre of Excellence in Software at Darjeeling proposed under the aegis of CRIS.

# Rail Industrial Parks at Jellingham and New Bongaigaon proposed.

# Additional mechanised laundry units to be set up at Nagpur, Chandigarh and Bhopal.

Gold prices to increase 19 percent in 2011

Although gold prices fell on Friday, leading towards the biggest weekly loss since July last year, partly due to the recovering U.S. economy and its slipping demand, however, the commodity prices in 2011 are expected to be 19 per cent higher than last year.

According to experts, surveyed by the London Bullion Metals Association (LBMA), the average gold price forecast was $1,457 per ounce.

2 year gold silver ration history chart     Source :- gold price. org

Analysts surveyed by the group predicted that silver prices will average $29.88 per ounce, which would represent a 48 per cent increase on the average price in 2010.

The average platinum price in 2011 was forecast to rise 12.6 per cent from the average 2010 price, to $1,813 per ounce.

"And palladium shows no sign of slowing down with an average 2011 price prediction of $814,65, a 54.