Mistakes in Retirement Planning

While planning for retirement, there are certain mistakes which we generally tend to make;

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.

Retirement Planning

I wish I had planned for my retirement is the most unfortunate statement a person can make in his life.
Is your Retirement Plan Inflation Proof?------How much money is needed?


While earning, you must save say atleast 35% of your monthly salary. If not 35%, alteast try to save 10% of your monthly salary.


Inflation of atleast 6% to 7% must be taken into account while deciding how much retirement corpus you would require.
Retirement is not a vacation. Neither is it a destination or a stopping point. It is just a completely different way of life than the 9 to 5 routine.

A transition is a more apt way to describe it, one that requires planning and adjustment.


What you have to figure out is the lifestyle you plan to lead. Someone might just want a car, you might want a Mercedes Benz. You might still want to purchase branded clothes and eat in posh restaurants. In that case, ensure your savings plan accommodates for such a lifestyle.


Take some time to map out what your expenses may be in retirement, and to make sure you're accumulating enough to support them.


Retirement planning requires a clear-eyed analysis of future needs and income.


During retirement, it is important to have money to support yourself & your spouse for basic and lifestyle maintenance. With increasing age, the medical & nursing costs will be high. Hence a significant budget should be allocated for these factors.


You need to financially prepare from today itself. Today you are having an income but after retirement regular income stops and you will have to depend only on your savings.


Start planning today itself. Don’t delay.

Retirement Planning

Many individuals face difficulty in assessing the right retirement corpus that they will need in their sunset years.

Retirement planning has become an important part of our financial goals like any other goal. However, many individuals face difficulty in assessing the right retirement corpus that they will need in their sunset years.

There are lot many factors to consider like debts will be paid off, some routine expenses would end but medical, healthcare costs would increase. Also, the life span of an individual also affects retirement planning.

3 main factors are current expenses, inflation factor and adjusting for life expectancy.

Accordingly, you need to plan for your retirement.

Retirement Planning

Retirement is for everyone. We need to plan it out at an early stage.

Mostly in private organizations, we don't get pension. So you need to have a good savings and invest somewhere wherein you will get a regular flow of income like pension.

Moreover, as age progresses, our health slowly starts giving lots of problem. So dthere is medical cost which needs to be taken care of as age progresses.

Taking all these factors, I personally feel we need to be financially secured in the old age and moreover there is life-longevity.

I personally feel this is a good retirement planning provided you start planning today itself.

For a person of around 32 years, you need to pay a premium of Rs.61,139 every year for 25 years and risk cover starts from Rs.20 Lacs increasing to Rs.48 Lacs,.

From the age of 57 years, you will be getting an amount of Rs.3 Lacs every year thereby increasing by 5% every year till the age of 75 years. You will have insurance cover + you can take loan against your policy after the age of 60 years.

Cost of Delay In Retirement Planning

Proper planning is a key step to success in any task.

Planning for retirement is no exception.

Always remember, if you plan to start on a later date, the date may never arrive, as the reasons for putting off saving for retirement may increase in future with increasing liabilities after marriage such as increase in family members, housing loans and household expenses.

So earlier the better.