रिटायरमेंट की तैयारी

Planning to retire?

Here are few things you must do..

If you plan to retire in the next few years, you should consider certain things now if you want to have a smooth transition to retirement. You can start by paying your debts, such as credit card duties, repayment of loans, etc. The lesser bills you must pay in the old age, the better it will be for you!

Clearing your debts is only one of the many things you should do some years before you retire. It’s not only the size of the nest egg you should concentrate on. Here are some essential tasks you will have to check out in a few years before you retire:

A budget after retirement is very important if you do not want to spend too much in the early retirement years. Pension also reduces your income by a large margin so that you must adjust your lifestyle accordingly. So, how do you prepare your budget after your retirement?

In the first place, you will have to decide how you will spend your days in retirement. Then determine your pension income, the amount of money you will withdraw and your pension. You should work out a realistic (at least almost realistic!) month on this basis. Do a factor in periodic expenses such as holidays, gifts, charity donations and emergencies. If you find it difficult to plan your budget, you can ask a financial planner for help.

Is the insurance enough?

Before you retire, it is important to have a thorough insurance review. Make sure that all your insurance policies are adequately covered to match your future lifestyle after retirement. The lack of adequate coverage can lead to unexpectedly high costs which can lead to debt for you.
Also, remember that you will no longer be employed to take advantage of medical coverage and medical reimbursements (for your small medical expenses) so that you must anticipate the cost of health care and plan. Do not ignore the cost of health care or else you will have to dig into your savings to pay for the costly treatment / care charges.
If you haven’t insured your home yet, you must think about it. Your home is your biggest investment and the only way to protect it is through a decent home insurance cover.

Ready for Emergencies?
One of the best ways to overcome emergencies is through an emergency fund to boost your cash reserve. If you don’t have an emergency fund yet, you should start one immediately. You must put your living costs in this fund aside for at least six months.


Are your investments on their right track?
As you near retirement, it is necessary to revisit your investment strategy and make changes. Until now, you would have been open to risks and would have allocated your assets focussing more on the risky investments with high returns. Now it’s time to shift your strategy and focus more on the less risky avenues with medium returns.

Once your retirement nears, it’s time to look at your investment strategy again. If until now you were leaning towards that were riskier, then it’s time to now focus on safer avenues now.
Estate planning 
Created your will yet? If not, it’s your time now! If you have one already, then it’s the perfect time to review it. If you want to protect your assets and your loved ones, it is extremely important to create a will if you are no longer there. You will also be able to resolve any future family disputes with a proper will and be assured that your assets go to the designated heirs.

If you’ve been postponing traveling because of family. It’s time to pack your bags!
We agree that you will have plenty of free time to do whatever you want after your retirement, but traveling is easier and cheaper when you are young. In addition, when you are younger than older, it is easier to bend in the seat of the plane, eat meals off schedule and run between terminals.

Written by 

Welcome to Invest India Online. Financial freedom means something different to every single one of our clients. For some, it means having enough money in retirement to build a second home and send the grandchildren to college.