If you’ve ever wondered how the mega-rich celebrities of this world go about spending their quintillions, then look no further than David Beckham. As a global icon, he’s got it all going for him. Married to a Spice Girl, more money than he can count, his own fragrance line, tons of endorsements, good looks, and he even played for Manchester United. Wait a minute. Scratch that last bit. No one’s perfect.
It’s easy to imagine what celebrities like him and his significant other spend their cash on. Lavish holidays in exotic locations, yachts, fancy cars, mansions…well, you get the drift. Sounds like a hell of a life to lead. But it isn’t all fun and games with guys like him. He got to where he is through a combination of sheer hard work and solid business decisions.
If you happen to be one of those people who has amassed a fortune with the same drive and determination as Mr. Beckham, and has more money than you know what to do with, we’ve come up with five suggestions on how to make the most of all that cash you have lying about in the basement under those dead mafia members. And we don’t mean buying new freezers.
- Make sound Investments
Regardless of whether you’re a billionaire tycoon or slaving away at a desk in the corner of some godforsaken part of the country, investing is one of the most important things you can do to ensure your money keeps growing. In this day and age, even billionaires can go broke in the blink of an eye. This is exactly why it is important to invest in order to secure your financial future, no matter how many condos you have in the Bahamas.
Since, in this scenario, you happen to be sitting on a pile of extra cash, you have the luxury of parking your money with an entire range of investments. You could buy shares in other companies that are on the rise, invest in Mutual Funds and Savings Schemes, and even take a bit of a risk and do some stock-market trading. However, make sure you take calculated risks or you could be in the hole faster than you can say “Lehman Brothers”.
Additional Reading: Investments and tax tips for those in the highest tax bracket
- Donate to trusts and charities
While you should ideally donate any extra cash you may have to certain trusts or charities out of the goodness of your heart, you could also benefit by qualifying for significant tax deductions through these donations. Did you know that any donation made to the National Defence Fund for example is eligible for 100% tax deduction under Section 80G of the Income Tax Act? Similarly, contributions made to other eligible trusts and charities can also help you save on a fair amount of tax. So don’t be a Scrooge. Sharing is caring after all.
- Buy property
If your vaults are overflowing, then one of the best things you could do with all those lovely paper notes is to buy some real estate. Houses, apartments, land, whatever takes your fancy. With property prices rising every year like Arnab Goswami’s blood pressure, you can be sure that your investment will fetch you far more in the coming years than what you initially shelled out.
Additional Reading: A brief guide to investing in Real Estate
- Dump your money in a Fixed Deposit
You’re one of those chaps who likes to play it safe right? We hear you. Then look no further than opening up a Fixed Deposit. Placing your money in an FD can earn you guaranteed returns with practically no risk involved. Depending on which bank you open a Fixed Deposit with, you could earn yearly interest ranging anywhere between 7% to 9%, which will be directly credited to your Savings Account every month. This could prove to be the ultimate safety net in case things take a turn for the worse.
Additional Reading: Fixed Deposit interest rates
- Take advantage of top-end Credit Card offers
All work and no play makes Jack a frozen corpse at the bottom of the North Atlantic. That’s right, no fun at all. Here’s where you can take pleasure in some of the finer things in life. Get yourself a premium Credit Card and make full use of all the fantastic rewards that come with it. For example, the JetPrivilege HDFC Bank Diners Club card gives you access to premium golf courses around the world, as well as access to over 600 airport lounges globally. So take a load off. You’ve probably earned it.
Additional Reading: 6 Bollywood stars and their credit card soulmates
So the next time you’re at home sliding down the mountains of cash you’ve stashed in your dining room, wondering what to do with it all, take a shot at some of these tips above. Who knows? You could show up Mr. Beckham and land the rest of the Spice Girls.