In addition to starting your savings early, staying healthy and having adequate health insurance are the best things you can do to plan your retirement.

While an expert’s retirement planning checklist looks never-ending, here are five red flags that you should look out for:
  • Do not put off saving for your retirement for later because it’s so far away. A small amount invested every month gets time to multiply. For instance, Rs 12,000 (or Rs 1,000 a month) invested when you are 35 will grow to more than Rs 82,000 (if you earn 8% returns every year). By the time you are 60, that is almost seven times your initial investment.
  • Do not remain under-insured as far as health insurance cover is concerned. Health Care costs not only inflate faster than most other categories, you are likely to need more medical attention as you age. See how much Health insurance is appropriate for you.
  • Do not put away being fit until an illness hits you. To my mind, there is no better investment than the one you make in yours and your family’s health. Eating right, regular exercise and appropriate medical check-ups go a long way, in ensuring your physical and fiscal health in your senior years.
  • Do not wait till the last minute to take a relook at your home loan too. If you do refinance early on, then you might find you have saved more, as a result of paying off the loan sooner.
  • Do not be caught unawares about inflation. It does have a habit of catching up with you! But don’t be scared by it either. As your lifestyle matures, inflation alone will not define how your expenses grow. You may no longer be paying an EMI or rent when you are 60. Your children, too, would be self-sufficient by then. You won’t be spending as much on transportation and entertainment. But you might spend on cultivating hobbies, going on more exotic vacations and on your grandchildren. So having cash on-tap for these situations will be handy.
  • Plan well ahead of time and you are almost guaranteed to have a carefree retired life.
 
Source: BigDecisions.com, The Economic Times
Top | Back
 
 
Please do not reply back to this mail. This is sent from an unattended mail box.
Please mark all your queries / responses to webmaster@dreamzunlimited.org
Information provided on this newsletter has been independently obtained from sources believed to be reliable. However, such information may include inaccuracies, errors or omissions. dreamzunlimited.org and its affiliates, information providers or content providers, shall have no liability to you or third parties for the accuracy, completeness, timeliness or correct sequencing of information available on this newsletter, or for any decision made or action taken by you in reliance upon such information, or for the delay or interruption of such information. dreamzunlimited.org, its affiliates, information providers and content providers shall have no liability for investment decisions or other actions taken or made by you based on the information provided on this newsletter.