Estimate required total corpus and monthly savings needed to sustain post-retirement living expenses.
| Age | Monthly Expense | Annual Expense |
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Retirement planning requires estimating future living expenses adjusted for inflation, accounting for healthcare costs, and calculating the target nest egg needed to support post-retirement life.
Inflation erodes purchasing power over time. A monthly expense of ₹40,000 today can exceed ₹2 Lakhs per month in 30 years at 6% annual inflation.
The 4% rule suggests that withdrawing 4% of your total retirement nest egg in the first year (adjusted for inflation thereafter) ensures the corpus lasts at least 25-30 years.
A retirement corpus should ideally be calculated to last until age 85 or 90 to cover life expectancy risks and medical contingencies.
Yes, post-retirement funds should be placed in debt assets, Senior Citizens Savings Schemes (SCSS), or SWPs to beat ongoing inflation while preserving capital.
Starting early drastically reduces required monthly SIPs due to compounding over 25–30 years.