Will your current savings be enough to maintain your lifestyle 20 years from now? Most people underestimate the impact of inflation on their retirement. This tool helps you calculate the exact corpus you need to retire comfortably and the monthly investment required to get there.
Retirement Goal Planner
*Adjusted for inflation and post-retirement returns.
Why Your Retirement Goal Needs an Update
The Inflation Factor: General inflation might be 5–6%, but healthcare inflation in India is now hitting 12–14% annually. Your calculator accounts for this “Silent Killer.”
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Longevity Risk: With medical advancements, life expectancy in India is moving toward 80–85 years. Your corpus needs to last longer than your parents’ did.
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Lifestyle Creep: Your retirement expenses aren’t just dal-chawal; they include travel, technology, and rising utility costs.
How to Estimate Your Retirement Corpus
Step-by-Step Instructions:
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Current Age vs. Retirement Age: This defines your “Accumulation Phase.”
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Monthly Expenses (Today’s Value): Be honest. Include EMIs, insurance, and lifestyle costs.
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Inflation Rate: We recommend using 6% as a base, but consider 8% if you live in a Tier-1 city like Mumbai or Bangalore.
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Post-Retirement Return: Once retired, your risk appetite drops. We usually assume a more conservative 7–9% return (e.g., from Debt Funds or Senior Citizen Savings Schemes).
Don’t Let These Myths Derail Your Golden Years:
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“My children will be my retirement plan.” (Financial independence is a gift to your children).
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“I will spend much less after retirement.” (Medical costs often replace work-related costs).
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“I have a house, so I am safe.” (You cannot eat bricks; you need ‘Liquid Wealth’).
FAQ
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Q: What is the ideal retirement corpus for a monthly expense of ₹1 Lakh?
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A: Considering 6% inflation and a 25-year retirement phase, you would likely need a corpus of ₹4.5 Crores to ₹5.5 Crores at age 60.
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Q: Should I stop my SIPs after I retire?
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A: No. In fact, many retirees switch to an SWP (Systematic Withdrawal Plan) to create a ‘Private Pension’ while the remaining corpus continues to grow.
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