You have strived hard throughout your working years and now it’s that time of your life where you sit and relax. Yes, it’s time for you to retire and concentrate more on the things you love – pursue a hobby, spend more time with family and friends, travel and lead a peaceful life. The mere thought of retirement brings peace of mind to you but for some, the thought can be full of apprehensions and worry. Do you have enough saving for all the years to come? Is the planning sufficient? Would you be able to lead the same lifestyle even after retirement? These are some of the most common questions that might arise in your mind. But don’t worry. There are certain steps you can take to secure a financially stable retirement.
Calculate how much money you would need for a secure retirement:
How much money will you need for retirement? This will depend from one individual to other. Calculate your fixed expenses such as rent, groceries, utilities, pharmacies, insurance and taxes. Then you have discretionary expenses such as gifts, shopping, entertainment and travel.
Realistically you should factor higher medical expenses since as you grow old, you are more prone to chronic diseases and serious medical ailments. You need to take into account a good medical insurance policy with add ons that will take care of your medical bills.
Saving your money:
Ideally you should be saving 10-15% of your gross income for retirement. If you have started late, you need not worry. You can reach the level of saving within few years and you would have enough saving for your retirement.
Cutting your expenses:
You need to do some honest evaluation of your expenses. If you like visiting that favourite coffee shop of yours, instead of going there regularly, go once a week. Restrict eating outside to once a month. Go for personalized gifts instead of buying the costly ones. If you love shopping, reduce the number of times you visit the mall.
All you need to do is spend judiciously. Don’t cut down on your entertainment factor, only control your expenses so that you can enjoy a life as well as maintain a balance between your requirements and expenses.
Invest your money wisely:
In this case you will need some professional advice from a financial planner. Do your research on investing your savings. You need to understand how you can invest your money in the right direction so that it works to your advantage. The choices are many. You may consider stocks or bonds, mutual funds as well as invest in gold, silver and real estate.
Pay off all your loans:
Before you plan to retire, make sure all your home or car loans are paid off. This will help you to have a tension free life and you will be able to focus on the other things such as travelling to your favourite destination or having some fun time with family and friends.
Invest in retirement plan policy:
The most important point to keep in mind while you plan to retire is investing in a retirement plan policy. When you retire, you wish to live life on your own terms. Choose a policy that will help you do just that!
Invest in Health Insurance Policy:
Being healthy should be the most important concern in your later years. Bajaj Allianz offers a very holistic Health Insurance Policy
for you and your family. We have a variety of health insurance policies to cater to your varied needs. The policies include:
- Health Insurance Plan for individuals
- Health Insurance for family
- Global Personal Guard
- Critical Illness Plan
- Extra Care Plus
Invest in Home Insurance Plan:
If you have bought a new house for your retirement, you should be planning for a Home Insurance Policy. You can think of Bajaj Allianz’s comprehensive Home Insurance Policy
. You can insure your home and its contents with the policy. In case of any natural calamity, theft, accidental incident or any risk or uncertainties, you can rely on this policy.
Make your retirement the most fulfilling period of your life. Invest in Bajaj Allianz’s relevant policies today!