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Retirement planning


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									                    Retirement planning
            iNvest in birla sunlife freedom 58 to secure

   Computing that amount that would be required post-
   Building your Retirement Corpus using Systematic
    Investment Plans (SIPs) and other long-term growth orient
   Ensuring adequate post-retirement income through safe

Our Retirement Planning Service involves:
   Retirement planning means making sure you will have
    enough money to live on after retiring from work.

   Should be the best period of your life, when you can
    literally sit back and relax.

   To achieve a hassle-free retired life, you need to make
    prudent investment decisions during your working life

Plan for A Worry Free Retirement
   Planning for retirement is as important as planning your
    career and marriage.

   Compulsory savings in provident fund through both
    employee and employer.

   It may not be enough to support you throughout your

Why is it important?
   Life takes its own course and from the poorest to the
    wealthiest, no one gets spared. "Everyone grows older".
    We get older every day, without realizing. However, we
    assume that old age is never going to touch us.
   The future depends to a great extent on the choices you
    make today. Right decisions with the help of proper
    planning, taken at the right time will assure smile and
    success at the time of retirement.

Importance continued…..
   Nuclear families and its attendant insecurity.
   Increasing uncertainties in personal and professional life.
   The growing trends of seeking early retirement and rising
    health risks are among few important risks.
   Falling interest rates and the sustained increase in the cost
    of living.

Reasons for the working individuals to secure their future
   If you are young, retirement may be the last thing on your
    mind. But if you think you have a long way to go for to
    plan for retirement, think again.

    It is never too early to prepare for retirement, especially if
    you want to maintain the same standard of living that you
    would have got accustomed to by then.

How to Plan for Your Retirement???
 Let's assume that you are a 35 year old, earning Rs.3 lakh per
 Your salary grows at 5% per annum and you plan to retire after
  25 years. Under these circumstances, assuming your post-
  retirement requirement would be 60% of your last annual income
  (Rs.10 lakh approx).

   You would need about Rs.6 lakh per annum after retirement. To
    achieve this, you need a retirement corpus of Rs.75 lakh
    assuming you earn a return of 5% per annum over a period of 20

   To meet this goal, you would have to invest more than Rs.9,000
    per month at 7% per annum for the next 25 years. Inflation and
    tax implications have not been considered for simplicity.

Let us take a hypothetical example
Steps for making Retirement a

   Attaining financial independence after
         retirement will not be just
a dream if the following steps are followed
with steady discipline, perseverance and if
        smart investment strategies.
   The key to a financially independent future is
    "sooner the better".

   Cautious investors not only save, they save early
    and regularly. . The catch is to make the power
    of compounding work one's benefit.

Start saving early
   Retirement should be kept as a top priority because;

   if one does not keep it at the top one might end up
    depending on one's children, which probably no one would

Retirement should be your top priority
   Develop a plan for saving based on your requirements at
    the time of retirement.
   The goals you keep for saving depend on your lifestyle.
   But you will need at least about 66% of your pre-
    retirement income to maintain your standard of living when
    you stop working.

Create a Retirement Plan
   If your employer offers on pension plan, understand
    carefully your benefit level, financial stability of plan and
    the vesting period.
    Use retirement plans even if you already have enough
   With retirement plans your money grows in a tax efficient
    manner and compounding interest over time makes it one
    of the best investment options .

Understand your pension plan
   Evaluate your risk profile and then balance your investment
    strategy to invest in various avenues to get the most out of
    your retirement money keeping your risk profile

Balance your risk tolerance and your
investment strategy
   Depending on your work profile divide your savings into
    equity , bonds, Mutual Funds, and other investment
    avenues. Don't invest too heavily in one sector or one
    company, since the risk associated with putting all your
    eggs in one basket is indeed very high.

Diversify your investments & allocate your
assets carefully
    Save and Invest Regularly

   Saving and investing regularly makes a big difference at
    the time of retirement. Investing at regular intervals builds
    your retirement fund over time and helps you to minimize
    risk and gives a tension free retirement-a time to pursue
    your hobbies, fulfill your dreams and passions.
Become a Saver, Wise Spender and better Investor

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