KitnaBanega

Money glossary

43 money words used across KitnaBanega, each in one or two plain sentences.

Absolute return
Total gain as a percentage of the amount invested, without considering how long it took.
Amortisation schedule
A table showing how each EMI splits into principal and interest, and the loan left after each payment. Try the EMI calculator.
Basic + DA
Basic salary plus dearness allowance; the base for PF, gratuity and HRA rules.
CAGR (compound annual growth rate)
The steady yearly rate at which an investment would grow from its start value to its end value. Try the CAGR calculator.
Capital gains
Profit from selling an investment such as shares, mutual fund units or property.
Cess
A 4% health and education charge added on top of income tax and surcharge.
Compounding
Earning returns on your past returns, so money grows faster over time.
Corpus
The total amount of money built up for a goal, such as a retirement corpus. Try the goal SIP calculator.
Credit score
A three-digit number (usually 300 to 900) that shows how reliably you repay loans.
EMI (equated monthly instalment)
The fixed monthly payment that repays a loan with interest. Try the EMI calculator.
EPF (Employees' Provident Fund)
A retirement savings account funded by you and your employer every month. Try the EPF and VPF calculator.
EPS (Employees' Pension Scheme)
The pension part of your employer's contribution: 8.33% of wages up to ₹15,000. Try the EPF and VPF calculator.
Expense ratio
The yearly fee a mutual fund charges, as a percentage of your investment.
FD (fixed deposit)
A deposit of one amount for a fixed time at a fixed rate. Try the FD calculator.
Floating rate
A loan interest rate that changes with the market or a benchmark like the repo rate.
Gratuity
A lump sum an employer pays for long service, usually after 5 years. Try the gratuity calculator.
HRA (house rent allowance)
The part of salary meant for rent; partly tax-free under the old regime. Try the HRA calculator.
Inflation
The rise in prices over time, which reduces what each rupee can buy. Try the inflation calculator.
Lumpsum
Investing a large amount in one go instead of in instalments. Try the lumpsum calculator.
Maturity amount
What you get back when a deposit or scheme ends: your money plus interest.
PPF (Public Provident Fund)
A 15-year government savings scheme with tax-free interest (7.1% for October–December 2026). Try the PPF calculator.
Prepayment
Paying back part of a loan before it is due, which reduces interest.
Principal
The original loan amount, or the original amount invested, not counting interest. Try the EMI calculator.
Processing fee
A one-time charge a lender takes for approving a loan, usually a percentage plus GST. Try the personal loan EMI calculator.
RD (recurring deposit)
A deposit of a fixed amount every month for a fixed time at a fixed rate. Try the RD calculator.
Real return
Your return after subtracting inflation.
Rebate under section 87A
A tax rebate that cancels tax for lower incomes: up to ₹60,000 in the new regime (taxable income up to ₹12 lakh). Try the income tax calculator.
Repo rate
The rate at which the Reserve Bank of India lends to banks; loan rates tend to follow it.
SCSS (Senior Citizens' Savings Scheme)
A 5-year post office scheme for people aged 60 or more, paying 8.2% with quarterly interest.
Section 80C
An old-regime deduction of up to ₹1.5 lakh a year for PPF, EPF, ELSS, life insurance and more.
SIP (systematic investment plan)
Investing a fixed amount in a mutual fund at regular intervals, usually monthly. Try the SIP calculator.
Standard deduction
A flat deduction from salary or pension income: ₹75,000 in the new regime, ₹50,000 in the old. Try the income tax calculator.
Step-up SIP
A SIP that increases by a set amount or percentage every year. Also called a top-up SIP. Try the step-up SIP calculator.
STP (systematic transfer plan)
Moving money in fixed amounts from one mutual fund to another, often from a liquid fund to an equity fund.
Sukanya Samriddhi Yojana
A savings scheme for a girl child under 10, paying 8.2% tax-free.
Surcharge
Extra tax on high incomes, charged as a percentage of tax above ₹50 lakh of income.
SWP (systematic withdrawal plan)
Taking out a fixed amount from a mutual fund at regular intervals while the rest stays invested. Try the SWP calculator.
Tax slab
An income range taxed at one rate. Try the income tax calculator.
TDS (tax deducted at source)
Tax cut by the payer, such as a bank on FD interest, before paying you.
Tenure
The length of a loan or deposit, usually in months or years.
VPF (Voluntary Provident Fund)
Extra money you choose to put into your EPF account above the required 12%. Try the EPF and VPF calculator.
XIRR
The yearly return on investments made on different dates and in different amounts. Try the XIRR calculator.