Retirement Panning - Why Is It Important

Description:

Mutual fund investments are probably the perfect products when it comes to planning for one's retirement. But generally for most of us retirement is a phase which we normally don’t want to think about because generally we believe it is far away & we have long time to retire but in reality it's closer than you think. We also have a lot to enjoy and achieve before retirement so why think of retirement now?

In today’s fast-paced economic world, you may come across a range of investment vehicles like sip mutual fund offered by both private and public organizations to help you in retirement planning.

At the beginning of every month, we are constantly reminded of overhead expenses like telephone bills, insurance premiums and other related expenditures. So what have you done to meet these expenses after your retirement? Have you pondered over it? Don't keep putting off your plans! High time to think about best mutual funds to Invest.

So let’s delve onto some essential factors as to why you should think and effectively sketch out an effective sip investment plan for your

Retirement:

Costs still exist: After retirement, you stop working, income or salary also stops but your life does not stop you still have living costs. Day to day living cost, leisure and entertainment cost, medical emergencies etc. do not just go away with retirement, in fact, some costs are likely to be higher especially medical costs. Some of the cost categories we cannot think now may crop up later on. At old age, unless you’re physically active, you are likely to be semi-dependent on relatives or at the mercy of paid domestic help. Where will these costs be met from if you have not thought about it? Time to cash in a good tax saving mutual funds plan for your retirement! Yes picking up a good sip investment plan can efficiently help you save an optimum amount needed to enjoy your retirement days!

Dependency:

In current Indian lifestyle, we are becoming increasingly independent. When you reach retirement age your children would be either starting their career or just starting to get settled down in different city or country. It is also not necessary that your choice of town/city and their job locations match. At that stage of their career, their mobility may be high and therefore your dependency on them may restrict their mobility. As Indian parents we are always ready to sacrifice our interest for our children, then why depend on them financially after retirement. We must not be dependent on them for our day to day expenses. You may also want to pursue other interests and passions which you could never give enough time to during your working life. Would you want your children to fund those, I doubt.

During your retirement life, you would certainly like to buy gifts and toys for your grandchildren’s and all this needs financial independence. In short, financial dependency on children can really make your retired life unpleasant and unenjoyable. The words independence and mutual fund investment are interconnected. It’s through the embracement of the latter do you get to enjoy your last part of your life to the fullest. Every time you depend on others or your children for money, you're actually suppressing your own capabilities. So start saving for yourself with sip mutual fund!

Steady flow of income:

After retirement, you need a steady flow of income, need financial independence and enough corpus to survive your entire retired life. The steady flow need not be a large amount but must be sufficient enough to take care of regular monthly costs. You should also have planned for certain cost heads like medical cost, travel cost etc. Remember the retired life is seven days of weekend without income so steady flow of income is of prime importance. In short, a steady flow of income is required to take care of your post-retirement expenses. You do not want to worry about where the next month’s expenses will be met from. You have been working all your life, retirement is time to chill out and live of your savings. If you have been saving all your life, it’s a good start but if you had not done adequate or systematic planning for your retirement your post-retirement life could be stressful. The first and best solution to pave a way for a steady cash flow is often done through the consideration of the best mutual funds to invest. To avoid all kinds of pitfalls that might arrive at the time of redeeming the mutual funds make sure you research the top 5 mutual funds currently trending in the market.

Lifestyle:

During earning period, so long as you have a job salary is a certainty but after retirement, there is no salary and therefore you expect the pension to take care of living costs. You spend lot of energy and time to increase your salary and enhance career but if you do not give similar importance & plan for future pension amount then retired life can be stressful. During work life, you get used to the certain lifestyle and would certainly like to continue the same standard of living. If your pension is not planned properly it may not be adequate to keep the same lifestyle after retirement. So it is important you do the retirement planning and with proper research and advice. A good retired life can be secured only by retirement planning during the working life. So it’s necessary for you to stick on to best performing mutual funds in 2018 to sustain your lifestyle for several years. Moreover the level of return, growth and investment risk is far less in SIP mutual funds investment in comparison to other sectors like Real Estate Investment, Brokerage accounts and Small Business Investment.

Therefore it’s crucial to plan your retirement in advance by investing in best mutual funds for sip suitable for your needs after retirement hits.

#RetirementPlanning #FinancialSecurity #WealthBuilding #FinancialPlanning #RetirementGoals #FinancialFreedom #SmartInvesting #RetirementStrategy #FuturePlanning #RetirementSavings