Child Education Expenses

You tell your child to score well. But are you prepared financially for his/her education

Inflation factor has to be considered.

Happy Retirement Life

While planning for retirement, inflation of atleast 6% to 7% must be considered so that you will have a good retirement corpus in hand.

Retirement Life could be a very long stage.

It depends on the age you retire and the life span you will be having.

It can be called as a Multi-Phase Journey.

There are many factors depending like your health, the health of your spouse, sate of your finances and so on.

As time goes on, spending could be more on health issues.

Retirement is actually a different way of life than the usual 9 to 5 routine office work.

Retirement can be more or less a transition that requires planning and adjustment.


Today you may be able to manage with Rs,.15,000 to Rs.20,000 on a nominal scale for your monthly expenses but after 10-15 years, the value of money on account of inflation will come down.

So it is very important to consider the aspect of inflation factor while deriving your retirement corpus.

Retirement planning requires a proper analysis of future needs and how much income you require.

Understanding the concept of inflation

Inflation is a term that is generally used when the price of goods/services goes up. 

On account of this, the buying power reduces. 

At one time you could go and watch a movie for only Rs.2. But that same movie ticket today is costing around Rs. 100 to Rs.200. 

Rice at one time was costing around Rs 5 to Rs. 10 and today the price for Rice for 1 kilo is around Rs 20 to Rs.30 per kilo.

This shows the value of money is coming down on account of inflation.

Inflation and Retirement

With increasing cost, care needs to be taken of inflation. 

Inflation will tend to drain away all your savings. 

Rising prices and rising cost of living will reduce our standard living conditions. 

So savings is very important and it should take care of inflation during our retirement period. When you retire, there is no regular income or any salary income. 

All passive sources of income like retirement funds should give us higher rates of return.

Start Savings at a very Young Age, Decide your lifestyle costs and try creating a passive source of income.