In India, the average retirement age is 60 years. However, nowadays, many people are rethinking their retirement and retiring early by making efficient investments to support their income later. Read on to know more.
Most people look forward to their retirement. It is the time when they get to do something for themselves that they have been dreaming about for a long time. It could be as simple as spending time with loved ones. Some people are more ambitious and aspire to pursue their hobby, take a world tour, buy a new home in their favourite holiday destination, etc.
Over the years, the face of retirement has changed drastically. Today, people no longer depend on their savings or th Over the years, the face of retirement has changed drastically. Today, people no longer depend on their savings or the loyalty bonus they receive from the employer to support their expenses during the golden years. People are now much smarter, and they plan their finances for retirement well in advance by investing in a pension plan.
Also, there has been a growing debate among people about what is the right retirement age. Nowadays, many people don’t wait till they reach 60 years before retirement but are keen on early retirement. Some people take retirement as early as in their 40s mainly because they believe they have sufficient financial resources to meet their requirements.
But is early retirement suitable for all? Is it advisable/beneficial? Let us find out.
You can rethink the retirement age and retire early rather than waiting till the obligatory 60 years if you can afford to do so. You must ask yourself if you have the financial resources to take care of your needs for the next 10-20 years, even if you don’t have a regular income source.
One of the biggest benefits of retiring early is that you would have enough time to pursue your life goals. For example, you may want to start your own business. When you retire early, you may still have enough years to give it a shot while you are healthy and sound.
Early retirement does not necessarily mean you cannot earn any income henceforth. In fact, people retire early from their employment to follow their passion and earn a decent income from it, sometimes even more. For example, if you are an artist, you can use your time to create brilliant art pieces and showcase and sell the same. There are always takers for good art, and you can get the right price for it.
Many people who work till old age often have several regrets about devoting their time and energy to work and not spending time with loved ones. Early retirement will help you avoid such regrets, and you can do what you love doing.
So, the big question is should you retire early or not?
There is no definitive answer to this question. You should decide your retirement based on your personal financial condition. If you have planned your finances and invested in pension plans from an early age, you can afford early retirement.
Make sure that you research the different retirement schemes well and choose the right investment to suit your specific needs. The key to accumulating a significant corpus is to start investing early.