10 Important Financial Tasks to Complete Early in FY 2026-27

Get Your Finances on Track from Day One: The beginning of a new financial year is more than just a calendar reset - it’s a chance to organise your money, plan ahead, and make smarter financial decisions. Setting things up early can help you avoid stress later and ensure a smooth financial journey throughout the year.

Adhil Shetty, CEO of BankBazaar, explains why this period is crucial:
“When core financial decisions are addressed upfront, whether it is choosing the right tax regime, ensuring adequate term and health insurance , or setting up long-term investments, the rest of the year tends to unfold with fewer reactive adjustments. This early clarity improves cash flow visibility and reduces the need for last-minute corrections,” says Shetty.

Here’s a detailed look at 10 important financial tasks you should complete early in FY 2026–27.

1. Declare Your Income Tax Regime

Start by informing your employer whether you want to opt for the old or new tax regime. This decision directly impacts your monthly TDS deductions.

• If you don’t declare your choice, employers may default to the new regime
• Early declaration ensures accurate tax calculation and avoids surprises later

2. Submit Your Investment Declaration

Planning to claim deductions? Submit your investment declaration as soon as possible.

Under the old tax regime, you may include:

• Public Provident Fund (PPF)
• Equity Linked Savings Scheme (ELSS)
• Insurance premiums
• Home loan principal and interest

Submitting early helps reduce your monthly TDS and keeps tax planning hassle-free.

3. Secure Your Family with Term Insurance

A term insurance plan ensures your family remains financially protected in your absence.

• Lower premiums if purchased early in life
• Higher coverage at affordable rates
• Essential for long-term financial security

4. Get Health Insurance Coverage

Medical expenses are rising steadily, making health insurance a necessity.

• Covers unexpected hospitalisation costs
• Prevents financial strain during emergencies
• Best purchased at the start of the financial year

5. Submit Form 15G or 15H

If your income falls below the taxable limit, submitting these forms can help you avoid TDS on interest income.

• Form 15G: For eligible individuals below 60
• Form 15H: For senior citizens

Remember, these forms must be submitted every financial year.

6. Begin Your Retirement Planning

It’s never too early to start planning for retirement.

• Invest regularly in long-term instruments
• Build a strong financial cushion over time
• Early investments benefit from compounding

7. Rebalance Portfolio with STP

If retirement is approaching, it’s wise to reduce risk in your portfolio.

• Shift funds from equity to safer options like debt or hybrid funds
• Use a Systematic Transfer Plan (STP) for gradual transition
• Helps protect accumulated wealth

8. Update Your KYC Details

Ensure your bank and investment records are accurate and up to date.

• Verify address and identity proof
• Complete your e-KYC if required
• Prevents disruptions in transactions

9. Review and Update Nominee Information

Life changes like marriage or the birth of a child may require updates to your nominee details.

• Check all bank accounts, insurance policies, and investments
• Ensure nominee details are correct and current
• Avoid complications during claims

10. Explore Senior Citizen Investment Options

If you are turning 60, consider schemes designed specifically for senior citizens.

• Higher interest rates on fixed deposits
• Invest in the Senior Citizen Savings Scheme (SCSS) offering 8.2% interest
• Benefit from higher TDS exemption limits on interest income

Starting the financial year with a clear plan can make a significant difference in how smoothly your finances run. By completing these essential tasks early in FY 2026-27, you can reduce last-minute stress, improve cash flow management, and stay prepared for both expected and unexpected expenses.