Take complete retirement, I mean Sanyas, when all your desires are over and done before retirement, and your money problems all sorted out, then one is good enough to live the life in total peace. Kanchan kumar
Sir, now your no. of subscribers is rising high as 30k. It took time to reach 10k. From 10k to 30k it didn't take time. I think it will reach 50k and 100k. I appreciate your voluntary service. It gives me a lot of benefits.
Excellent advise. I listened to so many presentations to get a hang of how to plan for retirement and your systematic, lucid and balanced presentation is the most valuable one. I am a bit late in planning and behind schedule but I have a clear vision of the path I should take.
Do you know no one knows the real facts about Hinduism until date!!!! Why? Because these DAITYAS ( Muslims) steal your tapas in the beginning only, otherwise in case you wait until end of it,” it is stolen by the DAITYAS for their own betterment “. Kanchankumar anandmayi
One more thing to be considered for rental income is the cost of maintaining (repairs) of your property - the older it gets, the more chances of repairing...also it depends if you want to live a simplistic or lavish lifestyle...you can live with the first one for far less than the second... golden simple rule is spend a bit less than you earn - in other words, keep saving as much as possible - of course, without being a miser...!!!
Periodical maintenance is a must. When a tenant vacates properties should be made weatherproof. Cleaning and revamping once in three yrs after each tenancy is a must. I'm in this rental real estate bysiness.If a tenant vacates before a year he should be liable to pay painting, toilet cleaning, chimney cleaning charges. If they stay for three yrs no need to pay painting charges. Cleaning of toilets electric chimney and general cleaning should be paid. Periodical maintenance of electrical and plumbing must be done using a network .passive income by way of rentals is a must for NRI s.investing in one bedroom two bedroom flats with all modern fittings and modular cabinets will keep the rental machine running. Don't invest in one big independent house or a big villa. It's only a drain on your purse
Small savings, recurring deposit and changing the money into gold is another investment which can be liquefied in case of emergency cash requirement. Jewel loans, at low interest is available in all banks
Very well summarised. Only one thing as you grow old your ability to manage multiple properties will be limited. And it’s hard to delegate this entirely unless you have that kind of resources.
1. List of Assets with full identification numbers and locations: lockers, property documents, demat accounts, receivables pronotes and hand loans, partnership and LLPs in which partner, list of loans, guarantees, mortgages 2. List of Uptodate passwords and email accounts 3. Mandate on how and where to conduct last rites, body part’s donation contact details, donations 4. Living will : instructions to near relatives on extent of medical treatments and artificial prolonging of life , list of medical experts, location where soft copies of medical records kept
One of the best videos that I have seen on this topic. Very nicely explained. My biggest takeway was "take your wife along in investments".. I find it very valuable and have started doing that..
Diversification is key in retirement planning.It’s important to mix a wide variety of investments within a retirement portfolio.The rationale behind this is that a portfolio of different kinds of assets will, on average, yield higher long-term returns and lower the risk of any one holding.There is no good or bad assets.An excellent asset class can become mediocre asset class over a period of time and vice versa.Ex.Real Estate.
Mr. Chandrakant, kudos to you. Nicely explained how much is enough for retirement. I liked the scenario 2, because I don't need to depend on someone else to pay me. I can diversify in FD, Mutual fund and other govt retirement scheme to get 4% annual return post tax. But in scenario 1 there are difficulties to get rent on time. There may be some period when there is no tenant and in that period you will not get any rent though other expenses like maintenance, minimum electricity payment, property tax payment, some renovation must be there. We may get bad tenants too and for that you have to spend a lot if something goes wrong. You may have to go in legal proceedings if the tenant does not pay you or you want to remove him. Why should we take all such pains during retirement. Liquidity may also be an issue if your property is not in a great location. In case of urgency you may not get buyer. So scenario 1 has many loop holes. Scenario 2 is best suited to me.
Middle class Monthly Income avg 1940 - 10Rs 1960 - 100Rs 1980 - 1000Rs 2000 - 10,000Rs 2020 - 100,000Rs 2040 - 10 lacks Assuming I retire in 2040 then I need 50% of projected income which is 5 lacks of passive income (without any liabilities) to have very comfortable golden years.
Now a days gold is also a good assest for retirement particularly in paper format. It's a good hedge against inflation. If you can pls discuss regarding the same. How much percentage of your portfolio should be gold in paper format
Thanks for a great presentation..... only risk I see is about rental properties being a retirement income generating assets is that the possibility of having bad tenants who don’t pay rent on time or don’t pay at all , and at that age who will fight the tenant in courts ... and the cost of refurbishing the property and taxes ... rental income is taxed at slab and property taxes are extra .. SWP of mutual funds are the best solution
There is a lot of "What Ifs" on all investments and in our lives too. That's why he mentioned that you should not have income from single property which can is risky.
The inflation in UK is 8% this year. The bank interest rates are still 0-1%. Certain events change the whole calculation so better to have a very good buffer.
It generally is.. For eg.. I have a 3BHK flat in Bangalore that fetched 9K rent in 2009 and in 2023 the rent is 32K.. this translates into a 9% growth which is above average inflation of 6%.. obviously the property value the gone up 6 times !! which is very profitable
How about investing in blue chip companies in the stock market? With steady dividends and high liquidity, it's my choice. My dad invested during his working days, now he is 90 and bedridden. His dividends are seeing to his needs and the extra are being enjoyed by the children.
A very important thing to be added. 2% additional cost to your current standard of living must be the part of planning for future years for new component in our living style. Unlike earlier basic needs of roti kapda aur makan is not the case now..because in last 15 years addition we see in our basic needs are tv paxkage, wifi, mobile data, new devices with updated version every 3 years, netflix, amazon prime etc etc. God knows what else to come to be part of our necessary needs. What is luxury today will turn normal.and basic in few years.
No. Maintenance issues and runnin behind plumbers and electricians. Avoid. Consult a financial advisor for planning. Rental income is not a great source, especially after retirement..
Three questions sir a. Is the 25 times annual expense rule valid at the age of retirement or any age? b. Is the 25 times annual expense rule valid even in India, considering that our inflation is higher than that in the US or many of the developed countries? c. Can the value of other assets be also included, like house value, gold value, etc., while considering the corpus required ..i.e., 25 times annual expense amount. So if house is 2 crore worth and savings one crore, will the corpus be 1 crore or three crores. I am asking this because it is not easy to dispose off assets such as real estate in the old age. There are taxes to consider and also the lack of mental alertness, which could lead to major mistakes.
Ideal situation according to me is 1 debt free property where you stay. 1 additional rental property and then the liquid assets that follow the 25X rule.. It will help modulate when the markets are down and you dont want to drawdown on your investments, as you will lose a lot..
No social security from our govt it's high time our govt should change certain laws so that people who are paying taxes should get social security benefits from the government
It is a pretty decent advice. After retirement most of our unnecessary wants are given up . So with a proper planning one can lead a decent life and add to the corpus at the same time. However, this concept is based on an " all okay" concept. We should also keep some amount aside for unexpected needs like medical needs.
@@NaNa-lt1po Anything is baseless and stupid until you know how to do it. Turning passion into money isn't something new. If u don't know then thats' your limitation
I am from middle class family my monthly expenses might be 40-50k..I am 27 lets assume I want to improve my living std so I can say with 8% inflation every year for next 30 years my monthly expenses going to be around 550000 thousand to maintain same life style I take 8% because 6% inflation is what govt show in real life its always more what govt show.. I want to improve my life style to we can say from 50k to 2 lakh for safer side I knew I am not gonna spend that much still I gonna thik this much I gonna spend so after inflation lets take 20 lakh monthly exp so 2.4 cr yearly lets take 2.5 cr As per sir 25× is good amount so 25×2.5 means I gonna need 62.5 cr when I retire don't get me wrong but to be safe I gonna need 75cr at the time of retirement 75 after 30 years means around 7.5 cr now.. Don't be stupid by just safe 3,5,7 cr you gonna use it in few years.. Just imagine when you was young I mean 30 years ago in 1993 gold was maybe around 2-3k now its 60k Everything was so cheap 7.5 cr after 30 years is nothing so thik wisely So for 2-2.5 lakh monthly expenses now means 24 lakh to 30 lakh year exp to main great life you need to think it 10× after 30 years... If you think 50k or 1lakh is enough for you 1lakh means 10 lakh of future means 1.2 cr of future per year so 25× must be 30 cr so you atleast need 30 to 35 cr... 3 cr is nothing belive me Yeah if you gonna earn on that amount lets say you gonna earn 8% than you can maintain your retirement corpus 😂 In that case you might gonna need not 75 cr maybe 50 cr is enough..for 2-2.5 cr yearly exp
Nice analysis. Subscribed. Agricultural land is a good investment for retirement. One can get long-term benefits from fruit trees. The price of fruit can beat inflation.
@@dadu251 Mutual funds diversify their investments through a variety of businesses in order to minimize risk and maximize benefit. Similarly, various fruit trees may fulfill the same purpose. Different seasonal fruit trees would be better because they will produce fruit throughout the year, allowing you to earn money throughout the year. It would be difficult to sell all of the fruits in a local market if we invest in only one kind of fruit tree. Start with local fruits and work your way up to international fruits. If the land is far from home, masala trees like bay leaf and the cinnamon tree would be more suitable.
the best way to retire is to join a Govt job with fat salaries to save and fat pensions and fully covered medical benefits for life to self and dependants.. plenty of " additional ways " to make huge money too for spending lavishly. the best advice to youngsters should be to encourage them to join Govt service somehow..
I am retired person and my wife is still working. She is have more 6 years to go for retirement. This video is very interesting. The draw down of 4 % is very good way to look for the corpus required of retirement money. Again the rental income are getting lower and lower specially for residential properties, since the property value is very high and there are enough inventory in the market. Most of us have the house we stay. How can we monitise this property. Do we have any product in India to benefit the retired person who do not have enough corpus based on the draw down factor 4%.
What I have done, I can share. I have searched for decent old age home room such that the rent I get is more than double of what I will pay there. I liked the food there. I will shift there, and stay for five to seven years, using this rent. So five to seven years, I will not touch main corpus for my basic survival, and that will compound. I will review the status then. May extend for another 3 years if need be. Right now I am not moving because of COVID.
Sir Thank you so much for your guidelines. Good Health insurance cover should be 20 to 25 lakhs. Base policy 10 lakhs and top up upto 25 lakhs. This is my opinion. Warm Regds, Chandrasekhar
thank you Sir. Great information. I have a question. If you draw 4% each year and you earn 6% interest on your portfolio, will your money ever finish or not. I am 45 year old and want to retire soon. As I need at least 35 year retirement, I wnt to know if my portfolio will last or not if I earn 6% return on my investment each year and draw 4%.
Need a financial advisor for planning these sir. 6% and 4% may work for 60 age guy. Not for 45. If You live for 55 more years (most likely 😊), you ll be in soup. Should take some equity exposure.
Inflation is not 7-8% sir. It's for sure 10-11%. Before fifteen years we dint spent for internet, mobile or most probably a car, movies were cheap. Popcorns were cheaper. It ll increase as we move along. 4% rule won't work for our country.
I agree. Retirement calculators are far too general and will actually end up giving you false sense of security. Each case differs considering that people differ in their lifestyles preferences social circles etc. You would think it below you to eat in dhaba, I would be fine with it. So costs in your case would be higher, and in my case lower.
There crores at the end of the life is irrelevant. Most likely scenario is no one might be needing that. Either wards would have pestered to take it much earlier or they would have grown economically very strong to say or not even ready to know what parents have left.
I like your videos topics and clear pointed coverage. On this topic of how much funds are good to retire I would have liked you to cover one specific NRI aspect. I would even like to consult you for that. There are many parents sponsored by their children for Green Cards and permanent .status to live abroad. These retired well to do parents live with the children but they would like to spend money for their families as some contribution whether children want it or no. They do carry very good corpus in India and earn a lot but how they can be helpful to children abroad while either living abroad or both here and there 6-6 months.Can you cover this aspect please
I dont agree with rental livelihood, it may work in Mumbai but other places like Chennai its 0, First Rental return is low then the several costs od mntc finding tenants is not a good strategy in retirement when you need peace of mind... Agree????
The 4% rule assumptions you mentioned are wrong. The return of investment portfolio has to at least equal to be rate of inflation, it can't be 0% and still last for 25 years.
Agree and disagree. :) It depends upon personal expenses, cost of living in the place of residence, type of lifestyle, etc. Inflation is more in some items, less in some items. As age increases, we tend to reduce some expenses without realizing. Like I might have spent more on clothes in 20's, now functionality is important. So home wear, and footwear and hosiery are all that i buy. Traveling has come down too. Traveling costs made up decent sum in my regular budget when I was working.
Before retire make sure you have a "RATION card, Gas connection to your home, Medical Insurance and Know you cannot get even a credit card in India if you are over 70 years ! You should have cash in hand always ! Above all you should not have integrity, honesty and compassion which can be exploited by others ! I came to India after 45 years work in Africa and found hard to live in India and I decided to go to USA to settle.
Dr.Chandrakant , Thank you for your detailed explanation about retirement and Investments. I have learnt a lot from your good advice . I live in Canada and I visit Dubai/India every year. Hope to meet you in Dubai to discuss about investment.
Good morning sir. I have subscribed your channel very recently.🙏🏻 You are doing great.👍🏻 I have one query that if one is retired from a government job and getting regular pension, for those will there be a different formula than this of 4% ?? Please share your views.🙏🏻
You did not take inflation into account. With 0 growth, and 4% withdrawal, adjusting for inflation, 25X corpus will get exhausted within 10-15 years depending on inflation
Great video sir . All your videos are Gems 💎💎💎 ..I recently took Hdfc life Sanchay plus for part of retirement.. Will the company be stable long time sir . Safer to continue?
Take complete retirement, I mean Sanyas, when all your desires are over and done before retirement, and your money problems all sorted out, then one is good enough to live the life in total peace. Kanchan kumar
You still need to eat and have medical treatment.
@@tintunbirha ddddz
Vanaprastha
Sanyas ashram 😂😂
If you dont splurge money after retirement, you will be fine. Spend only on necessities.
Good one. What you have not included is reverse mortgage of property if you are a single or have no children/wife behind.
Sir, now your no. of subscribers is rising high as 30k. It took time to reach 10k. From 10k to 30k it didn't take time. I think it will reach 50k and 100k. I appreciate your voluntary service. It gives me a lot of benefits.
So nice of you. Please subscribe and keep sharing the videos
@@NRIMoneyClinic Sir, when I see your video first time I became your subscriber. I cleared some doubs through your WhatsApp no.
Excellent advise. I listened to so many presentations to get a hang of how to plan for retirement and your systematic, lucid and balanced presentation is the most valuable one. I am a bit late in planning and behind schedule but I have a clear vision of the path I should take.
Do you know no one knows the real facts about Hinduism until date!!!!
Why?
Because these DAITYAS ( Muslims) steal your tapas in the beginning only, otherwise in case you wait until end of it,” it is stolen by the DAITYAS for their own betterment “.
Kanchankumar anandmayi
One more thing to be considered for rental income is the cost of maintaining (repairs) of your property - the older it gets, the more chances of repairing...also it depends if you want to live a simplistic or lavish lifestyle...you can live with the first one for far less than the second... golden simple rule is spend a bit less than you earn - in other words, keep saving as much as possible - of course, without being a miser...!!!
Periodical maintenance is a must. When a tenant vacates properties should be made weatherproof. Cleaning and revamping once in three yrs after each tenancy is a must. I'm in this rental real estate bysiness.If a tenant vacates before a year he should be liable to pay painting, toilet cleaning, chimney cleaning charges. If they stay for three yrs no need to pay painting charges. Cleaning of toilets electric chimney and general cleaning should be paid. Periodical maintenance of electrical and plumbing must be done using a network .passive income by way of rentals is a must for NRI s.investing in one bedroom two bedroom flats with all modern fittings and modular cabinets will keep the rental machine running. Don't invest in one big independent house or a big villa. It's only a drain on your purse
Small savings, recurring deposit and changing the money into gold is another investment which can be liquefied in case of emergency cash requirement. Jewel loans, at low interest is available in all banks
Very well summarised. Only one thing as you grow old your ability to manage multiple properties will be limited. And it’s hard to delegate this entirely unless you have that kind of resources.
Simple, easy to understand for people like me from non-finance background. Thank you for your tips. 🙏🙏🙏
1. List of Assets with full identification numbers and locations: lockers, property documents, demat accounts, receivables pronotes and hand loans, partnership and LLPs in which partner, list of loans, guarantees, mortgages
2. List of Uptodate passwords and email accounts
3. Mandate on how and where to conduct last rites, body part’s donation contact details, donations
4. Living will : instructions to near relatives on extent of medical treatments and artificial prolonging of life , list of medical experts, location where soft copies of medical records kept
When you are too old it is hard to chase tenants
One of the best videos that I have seen on this topic. Very nicely explained. My biggest takeway was "take your wife along in investments".. I find it very valuable and have started doing that..
Diversification is key in retirement planning.It’s important to mix a wide variety of investments within a retirement portfolio.The rationale behind this is that a portfolio of different kinds of assets will, on average, yield higher long-term returns and lower the risk of any one holding.There is no good or bad assets.An excellent asset class can become mediocre asset class over a period of time and vice versa.Ex.Real Estate.
Thank you for your feedback . Please subscribe and keep sharing the videos
Pomp⁰0.
Great are the people who make complex things look simple. Good guide to prepare oneself to retire .
The problem with rental income is many times the tenants don't pay any rent at all or pay whenever they feel like
Mr. Chandrakant, kudos to you. Nicely explained how much is enough for retirement. I liked the scenario 2, because I don't need to depend on someone else to pay me. I can diversify in FD, Mutual fund and other govt retirement scheme to get 4% annual return post tax. But in scenario 1 there are difficulties to get rent on time. There may be some period when there is no tenant and in that period you will not get any rent though other expenses like maintenance, minimum electricity payment, property tax payment, some renovation must be there. We may get bad tenants too and for that you have to spend a lot if something goes wrong. You may have to go in legal proceedings if the tenant does not pay you or you want to remove him. Why should we take all such pains during retirement. Liquidity may also be an issue if your property is not in a great location. In case of urgency you may not get buyer. So scenario 1 has many loop holes. Scenario 2 is best suited to me.
Very practical presentation. Even a layman can understand very well.
I agree with you
Thank you so much . Please subscribe and keep sharing the videos
Am a practical person pertaining to budgeting. Spend within my means & cautious not to fall into the over spending with impulse purchases.
Middle class Monthly Income avg
1940 - 10Rs
1960 - 100Rs
1980 - 1000Rs
2000 - 10,000Rs
2020 - 100,000Rs
2040 - 10 lacks
Assuming I retire in 2040 then I need 50% of projected income which is 5 lacks of passive income (without any liabilities) to have very comfortable golden years.
Now a days gold is also a good assest for retirement particularly in paper format. It's a good hedge against inflation. If you can pls discuss regarding the same. How much percentage of your portfolio should be gold in paper format
Thanks for a great presentation..... only risk I see is about rental properties being a retirement income generating assets is that the possibility of having bad tenants who don’t pay rent on time or don’t pay at all , and at that age who will fight the tenant in courts ... and the cost of refurbishing the property and taxes ... rental income is taxed at slab and property taxes are extra .. SWP of mutual funds are the best solution
Wats SWP of mutual funds
Thanks for your feedback. Please subscribe and keep sharing the videos
Model tenants act is here...if your state passes it .. it may help
@@rajprema.6425 = Systematic Withdrawal Plan
There is a lot of "What Ifs" on all investments and in our lives too. That's why he mentioned that you should not have income from single property which can is risky.
Theoretically right. We have to pay taxes to live. One has to consider taxes when calculating. G ST, TDS etc. burden.
Agreed.
Dr Chandrakant, thank you for a very good insight on financial planning. Your 4% rule gives good confidence to me.
The inflation in UK is 8% this year. The bank interest rates are still 0-1%. Certain events change the whole calculation so better to have a very good buffer.
Very very appropriate and rational advice for retirement planning
Money is of less of an issue these days. Bigger issue is food, maintenance of home, planning your days engaging friends
Nice video i have got best information about retirement
Thankyou Sir
Unfortunately world changes and no one’s plan can be good.
It’s the best thing if we look after each other, money or no money
New subbie! When you pulled out that 100 envelope challenge is a beast. I vote summer challenge Great job!!
Thanks sir, you are 99% correct. I say this because these days rental income is not inflation proof, specially in INDIA. Thanks once again.
It generally is.. For eg.. I have a 3BHK flat in Bangalore that fetched 9K rent in 2009 and in 2023 the rent is 32K.. this translates into a 9% growth which is above average inflation of 6%.. obviously the property value the gone up 6 times !! which is very profitable
Great & very Deep FA On our Retirement goal
Sir you are Simply the Best Guide & Guru regarding Financial Advices.
Hare Krishna
Hare Rama
Almighty Bless You.
🙏👌👍
So nice of you. Hare Krishna . Please subscribe and keep sharing the videos
Thank you Dr for sharing.
May God Bless you and your family.
Woth love from Malaysia 👍
How about investing in blue chip companies in the stock market? With steady dividends and high liquidity, it's my choice. My dad invested during his working days, now he is 90 and bedridden. His dividends are seeing to his needs and the extra are being enjoyed by the children.
Wow awesome
A very important thing to be added. 2% additional cost to your current standard of living must be the part of planning for future years for new component in our living style. Unlike earlier basic needs of roti kapda aur makan is not the case now..because in last 15 years addition we see in our basic needs are tv paxkage, wifi, mobile data, new devices with updated version every 3 years, netflix, amazon prime etc etc. God knows what else to come to be part of our necessary needs. What is luxury today will turn normal.and basic in few years.
Point noted , Thank you Please subscribe and keep sharing the videos
True
Point to be noted.
is it advisable to buy a house and lot with retirement money?
No. Maintenance issues and runnin behind plumbers and electricians.
Avoid. Consult a financial advisor for planning. Rental income is not a great source, especially after retirement..
Good one. But of late, interest rates were kept low whereas real inflation is pretty high. Traditional rules seems not really working.
It is a real risk during modern times ...unreal interest rates
Three questions sir
a. Is the 25 times annual expense rule valid at the age of retirement or any age?
b. Is the 25 times annual expense rule valid even in India, considering that our inflation is higher than that in the US or many of the developed countries?
c. Can the value of other assets be also included, like house value, gold value, etc., while considering the corpus required ..i.e., 25 times annual expense amount. So if house is 2 crore worth and savings one crore, will the corpus be 1 crore or three crores. I am asking this because it is not easy to dispose off assets such as real estate in the old age. There are taxes to consider and also the lack of mental alertness, which could lead to major mistakes.
He’s gone purely on liquid assets. Having real estate assets would be an addition and could be used as a buffer
@@abhijitnaik1695 Thank you for clarifying that. :)
Leave the house you live in, and gold you consume, always when you calculate your networth.
@@GetYourselfALife Oh great...makes sense..
Ideal situation according to me is 1 debt free property where you stay. 1 additional rental property and then the liquid assets that follow the 25X rule.. It will help modulate when the markets are down and you dont want to drawdown on your investments, as you will lose a lot..
No social security from our govt it's high time our govt should change certain laws so that people who are paying taxes should get social security benefits from the government
Very well presented. It should be a part of the financial education for everyobody.
Great, useful looking forward to meet you soon.
It is a pretty decent advice. After retirement most of our unnecessary wants are given up . So with a proper planning one can lead a decent life and add to the corpus at the same time.
However, this concept is based on an " all okay" concept. We should also keep some amount aside for unexpected needs like medical needs.
Great to hear your advice. May God bless you Sir
When you have been going after your passion there is no need to worry about pension and retirement.
You have a point . Please subscribe and keep sharing the videos
Absolutely stupid baseless statement.. unless one has learnt to monetize hoa/her passion... ridiculous.
Passion doesn't pay bills..
@@NaNa-lt1po Anything is baseless and stupid until you know how to do it. Turning passion into money isn't something new. If u don't know then thats' your limitation
excellent sir on the retirement advice . Thanks Narayan raghavendra
Nice one sir......your language is so soothing.
Thanks a ton. Please subscribe and keep sharing the videos
I am from middle class family my monthly expenses might be 40-50k..I am 27 lets assume I want to improve my living std so I can say with 8% inflation every year for next 30 years my monthly expenses going to be around 550000 thousand to maintain same life style I take 8% because 6% inflation is what govt show in real life its always more what govt show..
I want to improve my life style to we can say from 50k to 2 lakh for safer side I knew I am not gonna spend that much still I gonna thik this much I gonna spend so after inflation lets take 20 lakh monthly exp so 2.4 cr yearly lets take 2.5 cr
As per sir 25× is good amount so 25×2.5 means I gonna need 62.5 cr when I retire don't get me wrong but to be safe I gonna need 75cr at the time of retirement 75 after 30 years means around 7.5 cr now..
Don't be stupid by just safe 3,5,7 cr you gonna use it in few years..
Just imagine when you was young I mean 30 years ago in 1993 gold was maybe around 2-3k now its 60k
Everything was so cheap 7.5 cr after 30 years is nothing so thik wisely
So for 2-2.5 lakh monthly expenses now means 24 lakh to 30 lakh year exp to main great life you need to think it 10× after 30 years...
If you think 50k or 1lakh is enough for you
1lakh means 10 lakh of future means 1.2 cr of future per year so 25× must be 30 cr so you atleast need 30 to 35 cr...
3 cr is nothing belive me
Yeah if you gonna earn on that amount lets say you gonna earn 8% than you can maintain your retirement corpus 😂
In that case you might gonna need not 75 cr maybe 50 cr is enough..for 2-2.5 cr yearly exp
Very well explained Thanks
my guru
Very well presented .
Thanks a lot 🙏
👍👍👍
So nice of you. Please subscribe and keep sharing the videos
Sir thank you for the podcast. Would you be kind enough to provide your insight on how to invest during inflation
Very nice illustration. Effective Presentation style.
Thank you! Cheers!. Please subscribe and keep sharing the videos
Nice analysis. Subscribed.
Agricultural land is a good investment for retirement. One can get long-term benefits from fruit trees. The price of fruit can beat inflation.
That sounds interesting.
Which fruits you are talking about?
@@dadu251 Mutual funds diversify their investments through a variety of businesses in order to minimize risk and maximize benefit. Similarly, various fruit trees may fulfill the same purpose. Different seasonal fruit trees would be better because they will produce fruit throughout the year, allowing you to earn money throughout the year. It would be difficult to sell all of the fruits in a local market if we invest in only one kind of fruit tree. Start with local fruits and work your way up to international fruits.
If the land is far from home, masala trees like bay leaf and the cinnamon tree would be more suitable.
the best way to retire is to join a Govt job with fat salaries to save and fat pensions and fully covered medical benefits for life to self and dependants.. plenty of " additional ways " to make huge money too for spending lavishly. the best advice to youngsters should be to encourage them to join Govt service somehow..
Exactly. LOL
Good summary. However, investment planning needs to be elaborate...
Point Noted . Thank You . Please subscribe and keep sharing the videos
Agreed. But is it possible to do so in less than 20 minutes podcast? People's attention span is limited.
Excellent and very dignified advise for people 🙏
I am retired person and my wife is still working. She is have more 6 years to go for retirement. This video is very interesting. The draw down of 4 % is very good way to look for the corpus required of retirement money. Again the rental income are getting lower and lower specially for residential properties, since the property value is very high and there are enough inventory in the market. Most of us have the house we stay. How can we monitise this property. Do we have any product in India to benefit the retired person who do not have enough corpus based on the draw down factor 4%.
What I have done, I can share. I have searched for decent old age home room such that the rent I get is more than double of what I will pay there. I liked the food there. I will shift there, and stay for five to seven years, using this rent. So five to seven years, I will not touch main corpus for my basic survival, and that will compound. I will review the status then. May extend for another 3 years if need be. Right now I am not moving because of COVID.
Thank you for vaulable insights. Will contact you to discuss further.
Superb, realistic & approachable explanation.
DR BHAT U R GREAT MAN
Thank you . Please subscribe and keep sharing the videos
Namaskaara Bhattare. Very good video. Will hope to meet you when I am in Bengaluru.
So nice of you. Sure we could meet . Please subscribe and keep sharing the videos
Thank you! I liked the way you explained it.
Sir Thank you so much for your guidelines. Good Health insurance cover should be 20 to 25 lakhs. Base policy 10 lakhs and top up upto 25 lakhs. This is my opinion. Warm Regds, Chandrasekhar
Excellent informative topic. Thanks👍
Very well explained. Thanks..
You are GOOD Dr Bhat
thank you Sir. Great information. I have a question. If you draw 4% each year and you earn 6% interest on your portfolio, will your money ever finish or not. I am 45 year old and want to retire soon. As I need at least 35 year retirement, I wnt to know if my portfolio will last or not if I earn 6% return on my investment each year and draw 4%.
Need a financial advisor for planning these sir.
6% and 4% may work for 60 age guy. Not for 45. If You live for 55 more years (most likely 😊), you ll be in soup.
Should take some equity exposure.
Inflation is not 7-8% sir. It's for sure 10-11%.
Before fifteen years we dint spent for internet, mobile or most probably a car, movies were cheap. Popcorns were cheaper.
It ll increase as we move along. 4% rule won't work for our country.
A very nice presentation and guidance.
Glad you liked it. Please subscribe and keep sharing the videos
Nowadays in covid era rental yield is very low. Please advise 🙏
It is temporary phase, it will pass. :)
How well u explain.....
Hi, could you pl. shar some retirement calculator applicable for India ?
Follow common sense method discussed here . Calculators are useless . Please subscribe and keep sharing the videos
I agree. Retirement calculators are far too general and will actually end up giving you false sense of security. Each case differs considering that people differ in their lifestyles preferences social circles etc. You would think it below you to eat in dhaba, I would be fine with it. So costs in your case would be higher, and in my case lower.
There crores at the end of the life is irrelevant. Most likely scenario is no one might be needing that. Either wards would have pestered to take it much earlier or they would have grown economically very strong to say or not even ready to know what parents have left.
I like your videos topics and clear pointed coverage. On this topic of how much funds are good to retire I would have liked you to cover one specific NRI aspect. I would even like to consult you for that. There are many parents sponsored by their children for Green Cards and permanent .status to live abroad. These retired well to do parents live with the children but they would like to spend money for their families as some contribution whether children want it or no. They do carry very good corpus in India and earn a lot but how they can be helpful to children abroad while either living abroad or both here and there 6-6 months.Can you cover this aspect please
I dont agree with rental livelihood, it may work in Mumbai but other places like Chennai its 0, First Rental return is low then the several costs od mntc finding tenants is not a good strategy in retirement when you need peace of mind... Agree????
The 4% rule assumptions you mentioned are wrong. The return of investment portfolio has to at least equal to be rate of inflation, it can't be 0% and still last for 25 years.
what's the right assumption ?
Agree and disagree. :) It depends upon personal expenses, cost of living in the place of residence, type of lifestyle, etc. Inflation is more in some items, less in some items. As age increases, we tend to reduce some expenses without realizing. Like I might have spent more on clothes in 20's, now functionality is important. So home wear, and footwear and hosiery are all that i buy. Traveling has come down too. Traveling costs made up decent sum in my regular budget when I was working.
Before retire make sure you have a "RATION card, Gas connection to your home, Medical Insurance and Know you cannot get even a credit card in India if you are over 70 years ! You should have cash in hand always ! Above all you should not have integrity, honesty and compassion which can be exploited by others !
I came to India after 45 years work in Africa and found hard to live in India and I decided to go to USA to settle.
Good eye opener 👍
Excellent advice. Would be more interesting if you give illustrations 🙏
Noted!. Thank You Please subscribe and keep sharing the videos
@@NRIMoneyClinic Yes, illustrations will really help. This is a very interesting topic.
Inflation is picking up. Official inflation figures is around 6%..but the real inflation on the street is today 12-15% minimum for everyday items.
Inflation is a reality of life . You can add any numbers as you like ..only truth matters
Very nice explanation in favour the topic.Thank you.
If my present monthly expenditure = my present monthly government pension how much money should I have?
shukran , thank you, Dhanyavad, Abhar, Shukriya..
Sir, thank you for this video on retirement and it helped me to think and calculate where I am now. Your way of presentation is so good.
You are most welcome. Please subscribe and keep sharing the videos
Very good informatiom
Dr.Chandrakant ,
Thank you for your detailed explanation about retirement and Investments. I have learnt a lot from your good advice . I live in Canada and I visit Dubai/India every year. Hope to meet you in Dubai to discuss about investment.
You are always welcome
Superb one. Great eye opener
Good presentation. Easily understandable.
Good morning sir.
I have subscribed your channel very recently.🙏🏻
You are doing great.👍🏻
I have one query that if one is retired from a government job and getting regular pension, for those will there be a different formula than this of 4% ??
Please share your views.🙏🏻
Very informative!
Nicely presented the plan
Thank You Please subscribe and keep sharing the videos
Great video sir!!!!!! Thank you 🙏🏻
Corpus of 30 times your annual planned expenses is good enough.
One must live frugally.
Bhatta Ji,
This video is very useful. Among your best videos.
Very very useful guidance 👌
Thanks for the useful info.
Very very nice Sir Excellent
Good advice by Mr Bhatt Saab
Sir please make a video on personal accident insurance plan, in spite of being so cheap why is it so less advertised?
Thank you sir for great knowledge
Super Advise. Thank you, Sir.
You did not take inflation into account. With 0 growth, and 4% withdrawal, adjusting for inflation, 25X corpus will get exhausted within 10-15 years depending on inflation
What do u mean by rental real estate. In one video you mentioned that income from house rent is only 2%
Great video sir . All your videos are Gems 💎💎💎 ..I recently took Hdfc life Sanchay plus for part of retirement.. Will the company be stable long time sir . Safer to continue?
Absolutely safe . Please stay invested. Please subscribe and keep sharing the videos
Thank you sir for your reply and fabulous videos which create financial literacy, most needed one👌👌 . Sharing the videos sir ⭐️⭐️