Inflation
Inflation is there and it force everyone to increase one's own income. At present it is said around 7%0Inflation is there. It means things are costly at rate of 7% per year. If a thing can be purchased at Rs 100 then same thing will come at Rs 107 next year.
So if you are keeping your money in bank where you are getting 7 % 0interest then actually you are just maintaining your purchasing power but when you pay the
tax on the interest then you are losing your purchasing power.
Therefore investment must be
in such options where you get more return then rate of inflation.
Options are available to beat the inflation are , one should invest in
Mutual Funds
Share Market
Property
Gold
Bonds
FDs..... etc.
If one does not invest for maximum return then his money will not grow and one's financial conditions will not improve. So invest wisely to
beat the inflation. These are
my views, you can consult your financial advisor regarding inflation also.
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