At the most basic level, you can invest it in debt, equity, gold or real estate.
Physical gold and real estate are not good options for someone who wants to invest a fixed sum of money regularly, so let's just consider debt and equity.
The options here are the public provident fund, fixed deposits with banks, debt funds and equity funds.
The simplest of all these options is, of course, the public provident fund.
If you put Rs 4750 a month (Rs 57000 a year) in a PPF over 15 years, what you should get at the end of 15 years is Rs 17.61 lakh (at the current rate of 8.60 per cent), completely tax-free.
In other words, if you follow the advice of the agent, you will lose Rs 4-5 lakh!
For fixed deposits of up to 10 years, State Bank of India (SBI) now offers an interest rate of 8.75 per cent, which means the maturity amount will Rs 13.18 lakh 10 years hence.
By way of comparison, the plan the agent is trying to sell you will get you Rs 10 lakh only after 15 years, not 10!
In the case of the fixed deposit with the SBI, though, the invested amount will be tax free, while the interest income will be added to your income and taxed according to your income slab.
But even after taking this tax into account, you will be better off with the fixed deposit, no matter what your income slab.
If you invest in long-term debt funds earning eight per cent a year, you will take away Rs 16.03 lakh after 15 years, while in the case of equity funds earning between 12-15 per cent, you'll take home somewhere between Rs 22.39 lakh and Rs 28.93 lakh in the same time.
As you can see, in all these cases, the returns are much higher than for the plan recommended by your agent.
Image: A store employee at Ganjam jewellers displays specially designed gold coins with an embossed image of Hindu Goddess Lakshmi with a retail value of Rs 6000 on the eve of the Hindu Akshaya Tritiya festival in Bangalore in this file photo.