The Need of Financial Planning for Graceful Retirement Tremendous medical advancements have led to increased life expectancy and improved health outcomes. So, retired life indeed becomes a second opportunity for elders to lead life to the fullest while enjoying independence and dignity. Well, that sounds appealing and interesting, right? Yes, these dreams can be turned into reality if there is adequate planning to ensure the financial security of seniors. Though many governments may offer certain benefits of senior social security, it may not be sufficient to cover all daily living and healthcare needs. Therefore, savings for retirement must start well in advance during their career stint to handle various contingencies.
Seniors encounter many challenges after retirement in the transition to aging and are likely to face several post-retirement issues. Increasing inflation, declining health, expensive medicines, limited savings and resources are just a few. Fortunately, most of these hurdles can be overcome by making the right monetary investments and choosing reliable senior care options like assisted living facilities. Athulya Assisted Living, a premier state-of-art elderly living home in Chennai, is one such promising choice. It offers affordable spaces with flexible rental options for the retired communities of India. The enriching lifestyle at Athulya Assisted Living ensures seamless aging with its incredible and carefully planned senior-friendly amenities. These well-crafted homes provide a safe haven for elders where they can even pursue their post-retirement hobbies with full freedom. Staying here ensures that their lifetime savings are put to the perfect use for leading a meaningful retirement life independently. Why financial planning is needed for graceful retirement? • Equips elders to deal with unprecedented situations in life including unexpected medical emergencies. Such planning becomes particularly relevant to private sector employees and businessmen who may not be eligible for retirement benefits and social security schemes that are aided by the government. • Allows proper fund sourcing to sustain the increased longevity of life without depending on others for basic living needs and medical expenses. This also promotes optimism for leading a healthy lifestyle which becomes a huge incentive in itself for proper financial planning.
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Facilitates proactive strategy making and planning to take care of certain unforeseen circumstances like a sudden loss of income, onset of critical illness calling for expensive treatment and need for taking care of a dependent family member. It also helps to mitigate the risks of forced or early voluntary retirement. Helps to combat the futuristic rising costs of inflation by choosing the right investment modes to get extra financial gains. Inflation may be beaten by saving higher amounts or investing the retirement corpus funds in inflation-adjusted schemes for better returns. Provides the required provision for unforeseen and increased medical expenses that may occur due to aging. For doing this, you must consider the genetic risk factors, number of dependents, general overall health parameters of the family members and quality of medical assistance you would like to avail. This will help the choosing the right health insurance plan that fits your requirement. Makes you build reserve funds for catering to non-claimable health expenses and routine medications. Secures the financial needs of your family members who are likely to outlive you. Encourages you to be fully aware of the likely financial and tax benefits you will get after retirement including lump sum from provident fund and gratuity so that you may reinvest these to generate a regular source of income periodically. It is also advisable to educate yourself about various schemes related to retirement savings plans. Aids to develop a well-conceived spending and withdrawal plan and also explore part-time income options.
Retirement Financial Planning FAQs • What is the necessity of Financial Planning? Financial Planning helps you to monitor and control your earnings, expenses and savings in a wise manner so that you can manage money effectively while achieving the milestones of life. •
What is the main goal of retirement planning? Retirement plans provide financial stability in old age to counter the rising living costs particularly for healthcare
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When should you start saving for retirement? It is advisable to start saving quite early in your career span so that you can build a reasonably good retirement fund thanks to the compound interest factor.
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What is the best way to ensure proper retirement planning? You may seek professional help from qualified financial advisors for making the right investments that assure maximum returns and minimize losses.
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Can you suggest some safe retirement-saving options? Provident Funds, Life Insurance Policies, Mutual Funds
Thus, proper financial planning goes a long way in graceful retirement-after all elders deserve a healthy dignified life in those golden years!