1. Planning far ahead should actually mean planning for your entire retired life too.
2. All other short and medium term goals are bound to fall in place if you focus on this long-term objective simultaneously.
3. A normal young investor has 35-40 years life of higher earning strength, followed by 25-30 years of retired life with lower or nil earning strength.
4. Therefore, he should achieve all his goals as well as accumulate his retirement corpus by 60-65 years age which should enable him to maintain the same lifestyle for the next 30 years too.
5. Keeping his investment path simple at the outset will enable him to be focused, disciplined, and wary of financial potholes during his entire life span.
6. A perpetual monthly SIP in an ELSS fund and an equity Balanced fund, both selected from different fund houses and as per their 10+ years performance, pure Term insurance and Health insurance, and one year's living expenses in a bank's flexi-deposit scheme for contingencies, is a simple, ideal investment plan which takes adequate care of expenses, emergencies, contingencies, insurance, taxation, inflation and long-term growth.
7. Go for a home loan, education loan and a vehicle loan for acquiring these long-term assets strictly as per need, while shunning other types of loans.
8. Be thrifty and tax-savvy whenever you are withdrawing from your corpus, and replenish them in a timely manner, either in lumpsum or by increasing the SIPs.
9. Aim to accumulate 25 times your estimated annual retirement expenses, besides becoming debt-free, during your earning life.
10. During your retired life, try to meet your annual living expenses within 4-5% withdrawal of your retirement corpus, for its continued sustenance, and growth as a legacy.
2. All other short and medium term goals are bound to fall in place if you focus on this long-term objective simultaneously.
3. A normal young investor has 35-40 years life of higher earning strength, followed by 25-30 years of retired life with lower or nil earning strength.
4. Therefore, he should achieve all his goals as well as accumulate his retirement corpus by 60-65 years age which should enable him to maintain the same lifestyle for the next 30 years too.
5. Keeping his investment path simple at the outset will enable him to be focused, disciplined, and wary of financial potholes during his entire life span.
6. A perpetual monthly SIP in an ELSS fund and an equity Balanced fund, both selected from different fund houses and as per their 10+ years performance, pure Term insurance and Health insurance, and one year's living expenses in a bank's flexi-deposit scheme for contingencies, is a simple, ideal investment plan which takes adequate care of expenses, emergencies, contingencies, insurance, taxation, inflation and long-term growth.
7. Go for a home loan, education loan and a vehicle loan for acquiring these long-term assets strictly as per need, while shunning other types of loans.
8. Be thrifty and tax-savvy whenever you are withdrawing from your corpus, and replenish them in a timely manner, either in lumpsum or by increasing the SIPs.
9. Aim to accumulate 25 times your estimated annual retirement expenses, besides becoming debt-free, during your earning life.
10. During your retired life, try to meet your annual living expenses within 4-5% withdrawal of your retirement corpus, for its continued sustenance, and growth as a legacy.