101 of Retirement Planning

Retirement  is for the old , it's boring if not depressing to talk after retirement . However it need not be the like this.


Retirement can also be seen as freedom from

the 9 to 6 job . … from the grumpy , self promoting bosses …. From the endless emails …. From the time slavery .

It may mean more time to do things you always wanted to do . Your painting , singing , travelling … and for some programming , App development , new startup , cooking , and what not !


So here we are to discuss retirement from the day to day routine , not from enjoying life !

1. When do you plan to retire . How early or how late do you plan to retire . As intuitively we understand this will depend on your existing savings  , post retirement expenses ET all .
2. What will be your yearly expenses after retirement : Once you retire , and your kids grow and move out , our expenses are expected to come down . You need to make an estimate of the expenses based on the same .
3. How far into the future you need to plan : We have to keep in mind that life expectancy are increasing . We have to keep in mind the same in our planning .
4. What are your present assets and liabilities : A simple list of all your existing assets , and liabilities .
5. What are your return expectations : How do you plan to invest your retirement savings . What's your risk appetite . How dependent are you on this savings . Can you take a large loss in capital ? How comfortable are you with high volatility ? Is your Risk appetite in line with your risk taking abilities ?
6. What are the expected inflation rates : Inflation is the killer . It can make all plans go haywire . What are the expected long term inflation rates ? What's the inflation expected for medical expenses ? In the past few years medical inflation is more than double of the general inflation . With growing age our medical expenses are expected to increase.​
7. Do you have any pension plan : Do your company provide  Definite benefit or Defined contribution pension plan . If not are you subscribing to government sponsored pension plans . Have you chosen the investments options carefully.