Rahul, 35, dreams of retiring at 55 with ₹80,000/month to pursue his passion. Is this dream achievable? Let's break down the numbers and strategy!
Many aspire to early retirement and financial freedom. Rahul wants ₹80,000/month to build an organic farm. It's a sweet spot where money works for you. But, there's a crucial first step...
₹80,000 today won't be enough in 20 years. With 6% inflation, you'll need a whopping ₹3.42 lakh/month by age 55 to match today's purchasing power. This is the BIGGEST oversight!
To generate ₹3.42 lakh/month (using a 4% annual withdrawal rate), you'll need a retirement corpus of ₹10.26 Crore! A flat SIP of ₹75-80K/month for 20 years (at 12% return) can get you there.
Don't stick to a flat SIP! Start with a more manageable ₹30K/month, and step it up by 10% annually. This strategy can build ₹11-12 Crore in 20 years. Your income grows, so should your SIP!
For long-term goals, equity mutual funds are your best bet. Diversify with Flexi-cap or Large-cap funds. Avoid common pitfalls: starting late, being too conservative, or ignoring healthcare costs.
Ready to make your retirement dream a reality? Start planning today, leverage Step-Up SIPs, and beat inflation. Use our SIP calculators to plan your path to financial independence. Visit sipplancalculator.in