1. You can get rid of your retirement blues if you have accumulated a wealth of at least 150 times your monthly retirement expenses, i.e. 75 lakhs (excluding your residential flat) for 50,000 monthly expenses.
2. You can now reallocate your 75 lakhs wealth to create a simple, yet effective, investment portfolio, as below:-
a) Hybrid Aggressive Fund (HAF) - 45 lakhs
b) Short Duration Fund (SDF) - 15 lakhs
c) Senior Citizen Savings Scheme (SCSS) - 15 lakhs
3. While eligibility for SCSS is 60 years, you can even open it from your retirement benefits upon retiring at 55, else you can initially invest in SDF/HAF till becoming eligible for SCSS.
4. You can then withdraw your 50,000 monthly expenses as below:-
a) HAF - 32,000 (by SWP)
b) SDF - 8,000 (by SWP)
c) SCSS - 10,000 (32.6k paid quarterly)
5. Even with a conservative CAGR of 9% and 6.5% for HAF and SDF respectively, besides current 8.7% p.a. intt. for SCSS, you would still retain a healthy wealth corpus of 88 lakhs (or 95 lakhs) at the end of 45 years (or 55 years) of your retired life for bequeathing to your successors!
6. Since HAFs have an auto-rebalancing mandate, besides 80% max equity participation, they especially suit retirees with a moderate risk appetite.
7. If you have a higher risk apetite, you can even allocate up to 50% in a Multi Cap Fund (MCF), with periodic rebalancing yourself, for increasing your final corpus for bequeathal.
8. A tip:- If you are also able to save from your monthly withdrawals/ expenses, you can even start a monthly SIP in a separate HAF/MCF to grow the net savings from your retirement income too - a mere 500 SIP @9%CAGR would become 33 lakhs (or 79 lakhs) during 45 years (or 55 years) of your retired life - through power of long-term compounding !
9. Ideally, wealth corpus accumulation of 240-300 times of monthly retirement expenses is advisable during 30 earning years, i.e. 1.2-1.5 crores, for 50,000 monthly expenses, through long-term systematic investment.
10. If this accumulation goal becomes difficult, monthly retirement expenses could be toned down suitably, or an additional revenue stream can be contemplated during retirement too.
2. You can now reallocate your 75 lakhs wealth to create a simple, yet effective, investment portfolio, as below:-
a) Hybrid Aggressive Fund (HAF) - 45 lakhs
b) Short Duration Fund (SDF) - 15 lakhs
c) Senior Citizen Savings Scheme (SCSS) - 15 lakhs
3. While eligibility for SCSS is 60 years, you can even open it from your retirement benefits upon retiring at 55, else you can initially invest in SDF/HAF till becoming eligible for SCSS.
4. You can then withdraw your 50,000 monthly expenses as below:-
a) HAF - 32,000 (by SWP)
b) SDF - 8,000 (by SWP)
c) SCSS - 10,000 (32.6k paid quarterly)
5. Even with a conservative CAGR of 9% and 6.5% for HAF and SDF respectively, besides current 8.7% p.a. intt. for SCSS, you would still retain a healthy wealth corpus of 88 lakhs (or 95 lakhs) at the end of 45 years (or 55 years) of your retired life for bequeathing to your successors!
6. Since HAFs have an auto-rebalancing mandate, besides 80% max equity participation, they especially suit retirees with a moderate risk appetite.
7. If you have a higher risk apetite, you can even allocate up to 50% in a Multi Cap Fund (MCF), with periodic rebalancing yourself, for increasing your final corpus for bequeathal.
8. A tip:- If you are also able to save from your monthly withdrawals/ expenses, you can even start a monthly SIP in a separate HAF/MCF to grow the net savings from your retirement income too - a mere 500 SIP @9%CAGR would become 33 lakhs (or 79 lakhs) during 45 years (or 55 years) of your retired life - through power of long-term compounding !
9. Ideally, wealth corpus accumulation of 240-300 times of monthly retirement expenses is advisable during 30 earning years, i.e. 1.2-1.5 crores, for 50,000 monthly expenses, through long-term systematic investment.
10. If this accumulation goal becomes difficult, monthly retirement expenses could be toned down suitably, or an additional revenue stream can be contemplated during retirement too.