Mytold me yesterday that December is the most “expensive” month of the whole year. This means he has to pay a lot of bills during this final month. The biggest expenses is !
I told him that he is a smart guy. He agrees too because this is what we call the “year-end-strategy”, in terms of tax planning.
In order to pay less, one of the most effective method is to “increase your expenses” by utilizing the tax relief in certain areas. In order to have the greatest benefit for yourself, you can save and invest the money, and only spend on that area in December. This will allow you to utilize the full tax relief early next year, just a few months away!
1. Life insurance premium
Most tax payers know that there is a relief of RM6,000 for life insurance premium plus EPF contribution, and another RM3,000 for education and medical policy. If you buy these in December, you can pay it in yearly mode. All the premium paid will be early next year.
2. Upgrade Your
3. Do a full medical check up
4. Buy books
5. Upgrade your sport equipment
6. Save in SSPN account
Today is only 22nd of December, you still have a few days time to practise this year-end-strategy.
In fact, I just had a few customers who called me up to buy some new insurance policies.