In this article, I will try to correlate importance of tax planning in our human life, at different stages which definitely helps in saving taxes without abiding the laws. As a person attained the age of maturity, he should start his tax planning. So that in different stages of life, one can takes the benefit of tax saving at the right time without any major difficulty.

For any good implementation or achievements, planning is required.  The longer the duration of your tax planning, the better results it will yield to you in years to come. Thus, the right time to begin tax planning is when a person becomes a major.

Following is some tips which may be helpful in your life stages planning.

Tax Planning after attaining the majority:

  • Whenever any amount is received it should be documented. or keep the document in the file.
  • Small cash presents received on various ceremonial occasions should be put into the bank

Tax Planning Once You Start Earning:

  • Go with some SIP, Mutual fund plans & invest some fixed amount monthly.
  • Maintain your withdrawals, banks deposits, transactions records.
  • Open a PPF account and put money in the account as much as you can. This investment is tax free and also remains blocked for a minimum period of 15 years.
  • Go for some insurance policy with long term period of maturity.

Tax Planning at the time of Marriage:

  • Best planning would be to make a gift to your prospective spouse just a few months before your marriage. Because if you gifts to your spouse after marriage as the income arising from the same will be clubbed with your income, according to clubbing provisions of the income tax act.
  • If your spouse is not a working woman, do not withdraw for household expenses from her account. Utilize that fund for tax saving investments.
  • Start some pension plan investment which will be beneficial when you retire.
  • If you don’t have your own house then starts savings for a house. Take a loan from a
    bank, is also a best choice because under income tax benefit of both principal and interest will get in different heads which ultimately saves your taxes for some extend.
  • If you have a joint family then creates a HUF account and maintain separate file for the same.

Tax Planning after a child of Your Marriage:

  • Start investments in the name of your children, if you baby girl then you can put your investment in the scheme of “Sukanya Samriddhi Yojna”, you will get deduction u/s 80C for such investment along with her secure education & marriage.
  • In case of fund constraints take some small but long term insurance policies in the children name for their education and marriage.

 Tax Planning after the Marriage of Your Children:

  • Any amount or gift received from in laws to daughter in law/son in law is exempt under tax law; you can take a benefit of it and can plan accordingly.
  • Income in the group is distributed amongst yourself your spouse and your son, daughter in law.
  • Prepare your will and adopt tax planning relating to your will to secure tax saving to the family members.

 Tax Planning for Senior Citizens:

  • Start investment in Medical insurance policy on your name as well as for parents. You will also get deduction under section 80D and you will also secure your health with this planning.
  • You can also put your investment in post office because from F.Y. 2018-19, interest on saving as well as from post office is exempted till Rs. 50,000/- u/s 80TTA.
  • Open joint bank accounts and put all your maturity value in the same.


Planning is never ending process, for effective planning you will require to review your plans after a certain period of time & do changes according to situation and circumstances.