How to Manage Your Finances in India as an NRI
Living abroad is exciting — but managing money back home in India can sometimes feel overwhelming.
The good news? With a few smart choices, it can become simple and stress-free.
Start With the Right Bank Account
- NRE Account: Ideal for foreign income. It is tax-free in India and allows
easy repatriation of funds abroad. - NRO Account: Used for income earned in India such as rent, dividends, or
pension. Repatriation is allowed up to USD 1 million per year after tax.
For those concerned about currency fluctuations, FCNR fixed deposits help
protect savings by holding them in foreign currencies within India.
Understand Taxes — Without Fear
Income such as rent or capital gains earned in India is taxable, and TDS may apply.
Double Taxation Avoidance Agreements (DTAA) help prevent paying tax twice.
Certain transactions may require documentation such as Form 15CA / 15CB when
sending money abroad — manageable with the right guidance.
Invest Smartly in India
Fixed deposits offer stability, while mutual funds and equities support long-term growth.
Real estate investments require careful consideration of taxes and market conditions.
Additionally, GIFT City now allows NRIs to access global investment products
from within India, offering regulatory and tax advantages worth exploring.
To make this seamless, One World Advisory Services (OWAS) by Hum Fauji
Initiatives provides structured guidance for investing globally through U.S. stock markets —
ensuring compliance, tax efficiency, and minimal paperwork, while investors stay fully in control.
Finally, secure your financial life by maintaining an emergency fund, assigning a Power of
Attorney if required, and staying updated with regulatory changes.
With careful planning and the right tools, managing your finances in India as an NRI becomes
straightforward and effective.
(Contributed by Riya Bhandari, Relationship Manager, Team Arjun, Hum Fauji Initiatives)
👉 Managing money from miles away doesn’t have to be hard. Get expert NRI guidance and make
every rupee work smarter.
How to Transition from Wealth Creation to Wealth Preservation
As retirement approaches — or major financial milestones are achieved — the role of money
changes. The focus shifts from growing wealth to protecting what has already been built.
Key Steps in the Transition
The first step is revisiting financial goals. Growth gradually takes a back seat, while
capital protection, liquidity, and steady income become priorities.
Reducing risk over time is essential. This often means lowering exposure to volatile assets
like equities and increasing allocation to debt instruments, fixed-income options, and
capital-protected solutions.
Maintaining a diversified asset mix helps manage risk and reduces the impact of market
volatility.
Ensure Regular Cash Flow
Equally important is predictable income. Pensions, annuities, interest income, or
Systematic Withdrawal Plans (SWPs) help meet monthly needs without financial stress.
While preserving capital, some growth exposure should remain to counter inflation.
Combined with tax efficiency and periodic reviews, your plan stays relevant as life evolves.
Wealth creation builds the future. Wealth preservation secures it.
A planned transition ensures your hard-earned assets continue working for you — providing
stability, income, and confidence through retirement.
(Contributed by Anjali Tomar, Relationship Manager, Team Arjun, Hum Fauji Initiatives)
👉 Plan the next phase of your finances with clarity and confidence. Connect with our advisors
to protect what you’ve built.
Passing Property to Loved Ones in India: Gift Deed vs Will
Passing on property is more than a legal formality — it is one of the most important decisions
you make for your family.
In India, property is typically transferred through a Gift Deed or a
Will. Understanding the difference can prevent disputes and delays.
Gift Deed: Transfer Today
Ownership transfers immediately. The property no longer belongs to you and the decision
cannot be reversed.
Pros: Clear ownership, fewer disputes, tax benefits when gifted to close
family.
Cons: Stamp duty applies and control is permanently given up.
Will: Control for Life
A Will allows you to retain ownership during your lifetime and change decisions as life
circumstances evolve.
It is cost-effective and flexible, but if poorly drafted, it can lead to legal delays or
disputes after death.
So what’s the smarter choice?
Certainty now — choose a Gift Deed.
Flexibility for life — choose a Will.
Often, the best solution is a combination of both instruments for different assets.
(Contributed by Aditya Bhola, Financial Planner, Team Sukhoi, Hum Fauji Initiatives)
👉 Start your estate planning this New Year. Use our ready-to-use Will format to secure your
family’s future.
What Our Clients Asked Us in the Last 7 Days
Question
Can a joint home loan borrower claim exemption under Section 54F by using proceeds from the
sale of long-term mutual funds to repay the home loan?
Our Reply
Yes, a joint home loan borrower may claim Section 54F exemption by using proceeds from
long-term mutual fund sales to repay a home loan for a new residential property, provided all
prescribed conditions are met.
Home loan repayments are generally considered part of the cost of purchase or construction.
For joint loans, repayment allocation between co-borrowers must be clearly defined.
The Income Tax Department may review ownership details, loan structure, and source of funds.
Professional tax advice is strongly recommended.
Financial Planning Perspective
- Is it wise to liquidate high-return investments to repay a low-interest loan?
- Does the decision strengthen long-term financial strategy or focus only on tax savings?
Smart tax planning works best when aligned with a holistic financial strategy — not when tax
benefits alone drive decisions.
(Contributed by Team Arjun, Hum Fauji Initiatives)
👉 Align your tax planning with a smart financial strategy. Consult an expert before making
investment or loan decisions.
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