Nearly 50 and Still No Retirement Planning Done?
Published On Jun 30, 2021, Updated On Jul 01, 2021
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You can see the retirement bells knock at your door as early as the 50s threshold and then you are retired in a relatively short time frame! You forget that you are on the verge of retiring and you must start planning, while you perform your duties as a spouse, parent etc. You are at the prime spot to begin preparing and planning for your retirement before it is too late if you are going to enter a group of 50 and have not yet begun preparing.
Don’t worry if you’re almost 50 and haven’t started planning for your retirement yet because you still have ten to twelve years in hand as the average age of retiring in India is around 60 to 62 years, many people also like to extend their tenure to 65 in order to increase their savings and the corpus. So, it’s high time that you start planning too.
How To Start Retirement Planning From Scratch At 50
Start By Clearing Off All Your Debts
A liability on the head is the worst tension that one can deal with. It can be a home loan, transport loan, credit card loan, education loan or any other kind of debt which you might have not paid fully yet. As soon as you reach the threshold of fifty, try to clear off all your debts so that in the coming years, you can invest your savings instead of paying them off as debt clearances.
Start Saving As Soon As You Can
Once you have cleared all your debts, you should start saving as soon as you can. Don’t get disheartened if your savings are not much in the initial days, it will increase with time. You can start with saving a part of your monthly income or regular remunerations that you receive regularly. When you have a good amount, you will ultimately start receiving a good return on it and can invest it as well.
Measure Your Future Goals
Develop a legitimate plan for how you wish to spend your retirement. Do you intend to retire in your current city or are you considering a different location? Perhaps you should relocate to a peaceful retirement community? You may estimate your spending and prepare properly if you've set a strategy. Do you want to to fund your child’s education or marriage? All of them would require planning before you actually work on them. Hence measure your goals carefully.
Stay In Touch With A Financial Expert
Do not be scared to assign a task if you are unable to do it on your own. When it comes to retirement savings, you should absolutely contact a financial expert or market specialist who has an in-depth grasp of the region, funds, and finances and can aid you in your objectives, guiding you with which policy is the best one.
Invest Your Savings
Don’t just save but maximize your savings but invest them into policies which will help you increase your corpus amount. With the help of your financial expert and your own market research, invest into life insurance, money back plans, endowments and so on, whatever suits your future requirements and covers your needs. If required, add riders to your policy to increase the coverage.
Fifty’s is the threshold and the warning bell for you to start preparing for your retirement, don’t fret, it isn’t late yet but if you delay, it might be late and cause a risk to your post retirement financial planning. Start planning at an early age and enjoy the benefits in the long term.
Disclaimer: This article is issued in the general public interest and meant for general information purposes only. Readers are advised not to rely on the contents of the article as conclusive in nature and should research further or consult an expert in this regard.