Plan your retirement to secure your golden years - PowerPoint PPT Presentation

About This Presentation

Plan your retirement to secure your golden years


Bajaj Allianz Retirement plan in India is one of the best retirement plans to meet retirement planning goals. Retirement plans ensures secure and happy retired life. – PowerPoint PPT presentation

Number of Views:47
Slides: 8
Provided by: Gaurav06


Transcript and Presenter's Notes

Title: Plan your retirement to secure your golden years

Retirement Fund
Plan your retirement to secure your golden years
  • India has one of the highest populations of
    youngsters, and with each passing year, more and
    younger Indians are joining the workforce. At the
    same time, India is expected to have a population
    of over 200 million who will be above 60 years in
  • This section of the population will need to be
    able to financially support itself as the cost of
    living and lifestyles change. As individuals are
    expected to live for 15-20 years post retirement,
    it becomes essential for an individual to
    financially secure his golden years.
  • Added to this is the rising medical cost, which
    is running way ahead of the normal inflation, and
    the breakdown of the joint family support system.
    Most working individuals in their early thirties
    may not even think of a life after retirement.
  • By the time they get into their forties, the
    thought of retirement settles in and then begins
    the planning - one of the key challenges here is
    to make up for the time that is lost due to lack
    of planning early.
  • For example, if an individual spends Rs 25,000 a
    month today, at an inflation of 7 per cent, the
    expenses after 25 years would increase to Rs
    1,36,000. Add to this medical expenses, which
    increase with age and other expenses - the
    monthly expenses could actually exceed Rs

  • A systematic approach makes it easier to estimate
    the amount required after retirement and
    accordingly select an appropriate financial
    savings instrument.
  • Calculate Based on the current expenses,
    calculate the amount which will be required to
    financially support oneself and the family, after
    retirement. Companies offering pension products
    have retirement fund calculators on their
    websites which can help one to calculate the
    quantum of money required post retirement for
    financial independence.
  • Save Regularly start saving a predetermined
    amount of money that will help you build the
    desired corpus for life after retirement. It is
    advisable to put aside a portion of your income
    as savings before expenses, rather than saving
    what is left after expenses.
  • PUBLIC PROVIDENT FUND Public Provident Fund is a
    100 per cent debt-oriented investment, guaranteed
    by the government of India. A minimum
    contribution of Rs 500 a year is mandatory. This
    product has a lock-in of 15 years. Partial
    withdrawals are permitted from the sixth year
    subject to certain conditions.

  • While EPF and PPF have been providing returns
    ranging between 8.5 and 9 per cent (the current
    returns for 2014/15 are 8.75 per cent and 8.70
    per cent for EPF and PPF, respectively), the
    other pension products have provided higher
    returns primarily due of the exposure to
  • The below table depicts the performance of equity
    markets, the probability of positive returns and
    the expected returns from a regular annual
    investment of Rs 20,000 in equities.
  • EPF and PPF are tax free on maturity. For NPS the
    entire proceeds are taxable. Maturity amount of
    unit-linked plans are tax exempt provided the sum
    assured is 10 times the annual premium.
  • An individual needs to ensure that their
    retirement planning portfolio comprises of a mix
    of products mentioned above. The key is to start
    early, make regular contributions and remain
    invested till retirement age.
  • Source http//

Follow us on
Click to know more on Retirement
Fund https//
Thank You..!!
Write a Comment
User Comments (0)