Should Retirement Planning Be Done All By Yourself?
Apr 09, 2019

Author: Aditi Murkute

(Image source: Photo created by yanalya – freepik)

Future is unpredictable, but retirement is evident!

And you can choose how you want to lead it.

Do you want to spend your retirement worrying and regretting, or leading a peaceful life without worrying about money?

When you retire, your income stops, and expenses continue till you die. Moreover, your personal life will change; you could pursue your passions, start a new hobby, spend more time with family, and so on...

But ultimately, you need the money so that expenses can be taken care of. You can retain your independence and won't have to look at your children for support during your golden years.

I believe if you want a peaceful life post-retirement, ask yourself these pertinent questions:

At what age do I want to retire?

How many years will I live post-retirement?

Do I have enough funds that can last till I am alive?

How much will I require to lead a rich retired life?

What can I do if want to retire rich?

If you plan well in advance and act accordingly, you will enjoy financial independence, financial security, and maintain a healthy and comfortable standard of living during this phase.

Many people in India avoid planning for their retirement for they believe that children will support them and/ or rely on a meagre pension (if an ex-employee of the government sector). Usually, they end up regretting later because their children live afar due to their work, and the pension isn't enough.

So, what should you do now to achieve your retirement corpus?

  • Set financial goals (short-term and long-term including retirement)

  • Consider your life expectancy

  • Determine the amount of money you will require to fulfil each goal

  • Ascertain the time horizon you have before the goals befall

  • Choose the perfect combination of investment avenues based on your risk profile, income, and the number of years you will work before you retire.

  • Start investing immediately and diligently

  • Periodically review your portfolio

If you are married, planning for certain common financial goals along with your spouse can be good for the financial health of the family...

In India, our society has conditioned us in a way that discussing finances with spouse is almost taboo. However, discussing and involving your spouse while planning helps.

There are certain aspects, that you might overlook, but your spouse's farsightedness on rising expenses, building a rainy day fund, and mindful budgeting will allow you to create a better retirement plan.

Besides, if you are double-income family, both of you can contribute together towards building a bigger retirement corpus.

Start involving your spouse by initiating small discussions about your ideal retirement plans, how do you visualise yourself and spouse as an elderly couple managing your money and leading the lifestyle in future, and when do you intend to retire.

[Read: How I Got My Wife To Invest In Mutual Funds...]

When you involve your spouse in a financial planning exercise, you will:

  • Be able to acknowledge each other's views about money.

  • Have financial support to fall back on during tough times.

  • Share financial assets and responsibilities.

  • Handle debt burden prudently.

  • Avoid a situation where only one of you understands personal finance and investing.

  • Start working as a team toward achieving set financial goals to building a successful future together and is the secret to a happy relationship.

Sometimes, it gets difficult if both of you have extremely contrasting personalities, to attain financial stability and plan. In those times, consulting an ethical, unbiased, well certified, and experienced adviser from a research-backed company will help both of you create a financial plan. They will align the plan to your and your spouse's risk profile, investment time horizon, and the number of years before retirement.

So, if both of you can't figure out what could be in the interest of your financial well-being and for a strong retirement plan for both of you, it is advisable to seek the assistance of a financial planner or a financial guardian in your vicinity as soon as possible.

You can always reach out to PersonalFN on 022-61361200 or write to us at  info@personalfn.com  for personalised guidance. At PersonalFN, we value your retirement dreams and strive to work effortlessly to ensure you get the retirement that you deserve. We will be happy to help you!

Editor's note:  If you want a comfortable life post-retirement, don't miss out on PersonalFN's Retire Rich service. This is a new and exclusive service with the sole intent of securing your retirement.

It is a DIY (Do It Yourself) retirement solution, where you can start planning for your retirement and potentially build a substantial corpus that could sustain you in the golden years of your life.

 

It is not merely a list of funds or a particular investment idea. It is a comprehensive solution to guide you on the necessary essentials of retirement planning. Subscribe now!



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