Even though the graph shows only four dates, the SIP outperforms the lumpsum approach on all dates. Please note, dates beyond 28th have not been considered as SIP is not available on those dates.

So setting up a SIP helps you avoid the last-minute rush while also making more money from you. It also:

• Saves you from missing the 31st March deadline
• Reduces the chances of you not having enough money when you want to invest
• Prevents you from putting your money in an ill-suited financial product

But if your employer has issued a deadline now to show your tax prove and you don’t want the hassle of claiming it all when filing, here’s what you can do: invest a lump sum needed for your tax proof and start a SIP. This way, you will ensure that you start the process for future tax savings right away and also take advantage of the present market turbulence, especially pre-elections.