Most of the time, people retire by the age of 60, but there’s no hard and fast rule. You can do what works best for you! But make sure you plan well in advance. In case you want to retire at 60, start by planning for your retirement at 30, so that you have enough time to build a corpus. 

Your retirement may be several decades away, but what’s the harm in envisioning a relaxed and comfortable life? Plus, our constant chase to fulfil our career goals and hustle all along may leave us high and dry, well before the conventional retirement age. Of course, you wouldn’t want to slog hard at a time when travelling to various countries and ticking off your bucket list is a priority. 

That’s why it’s essential to start early, and that’s a golden rule of retirement planning. It may be hard to fathom, but you will not receive a salary every month. No wonder, having a corpus at hand is essential. 

Planning your retirement doesn’t just assure you of a comfortable life ahead, but will also help you handle all kinds of exigencies or shortfalls. If you start today, you will never be worried about outrunning your savings. 

What is a good retirement plan?

Most people may wonder what makes a good retirement plan, and let’s just say, it is a very valid question. Any plan that helps to meet your daily expenses, and provides you with a steady stream of income will help. You also need to factor in age-related health issues, which may leave a big hole in your pocket. And while you may have insurance for your medical needs, sometimes you may need a bigger safety net. When you invest in a good retirement plan, everything from inflation, life expectancy, rate of return, and more, is accounted for. 

What are the best ways to ensure successful retirement planning?

1. Plan your retirement age: Most of the time, people retire by the age of 60, but there’s no hard and fast rule. You can do what works best for you! But make sure you plan well in advance. In case you want to retire at 60, start by planning for your retirement at 30, so that you have enough time to build a corpus. 
2. Consider life expectancy: While this may seem far-fetched, it does factor in your life expectancy, based on your medical condition as well as family history. 
3. Begin as soon as possible: You may think of retirement as a phase in your later life, but beginning early will give you enough time to plan things the way you want. Plus, you can also enjoy the power of compounding, which will help you lead a comfortable life post-retirement. 
4. Decide your retirement fund: This is dependent on your future goals. So, plan a corpus that takes into account not just all your expenses, but also factors in the goals you want to achieve post-retirement. Once you have a breakdown or an estimate of your future expenses, your financial planner can help you with asset allocation, in accordance with your risk appetite. 
5. Determine the future value of your savings today: If you have decided to build a retirement corpus for the future, try and take a look at your annual savings. You could earmark some of your savings towards retirement, but make sure you can figure out its future value. You can also figure this out by taking into account the expected rate of return on your investment. 
6. Do not go overboard with your current expenses: You do not have to curb your desires, but you also don’t need to blow up all your money today. Try and strike a balance, so that it helps you in the future. 

7. Create a balanced portfolio: Ask your financial planner to help, so that he/she can create a diversified investment portfolio across different asset classes for you. 

Which is the best retirement plan?

While there are various options available today, HDFC Life’s Systematic Retirement Plan allows you to save systematically for your retirement years. It also provides you with the flexibility to choose your premium payment term, deferment period, as well as the annuity payout date.

Here are some of the key features of the plan:

• Policyholders have the option to defer annuity payouts by choosing the deferment period
• Guaranteed income for their entire life by paying the premium for a limited payment term
• They have the option to receive annuity monthly, quarterly, half-yearly, or yearly
• Also, they can opt for return of total premiums paid on death
• Guaranteed annuity rate fixed at policy inception, which is to be the same for the duration of the policy.

So, wait no more and secure your post-retirement life today!