POSTED BY April 12, 2012 2:28 pm COMMENTS (11)ON
Is it really worth parking money for very short term in FD?
For example I have the following payments coming up (all examples)
1) Credit card payment of 30K on 28th — park money for 10 days in FD — return approx Rs. 30
2) Fees of 10K to be paid next month by 20th — park money for 30 days in FD — approx return Rs. 30
3) Bill XYZ for 25k to be paid next month by 10th — park money in FD for 15 days — return around rs. 40
So, all these are just examples and I see that I earn around Rs. 100 (tax needs to be deducted though) by simply putting money into FDs for expenses that are lined up and have cash ready in my pocket
But the point is, is it really worth doing all this for such meager returns as paper filing for income tax may be worth more than the money I earn.
Or is it this is actually a good method and habit to develop? Maybe I can make a few thousands a year by this for the extra effort.
Please don’t think I’m being miserly, but I’m trying to use the principle “Make money work for you…”