Retirement Calculator

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They say your life actually begins post retirement, however, for most people, retirement is a long term goal that they start planning for, much later in their lives. Planning your life post retirement can be a daunting task when you are still young and working, but the thumb rule here is that the earlier you start, the less burden you would need to take to lead a comfortable life post retirement. Nowadays, you can use many retirement planning calculators, which can help you plan your finances regardless of your age and income, for the life you envision for your golden years.

 

What is Retirement Planning?

Retirement planning is the process of setting income goals for one’s retirement and carrying out the actions necessary for generating that income. People choose diverse investment methods to collect the funds necessary to build a retirement corpus that would aid them in emergencies and in order to lead a comfortable old age. With the right investments and asset decisions, you don’t need a retirement planner to manage your life savings.

 

What is a Retirement Calculator?

Retirement Calculator if used smartly, can help you in more ways than one. It can help you understand the corpus that you need to be able to lead a comfortable retired life, in addition to giving you a better idea of the kind of investments that you should opt for. The retirement calculator will illustrate how you can plan your finances efficiently to have a considerable retirement fund that you can use for in the later years of your life.

 

How does Retirement Planning Calculator work?

Calculating your retirement fund is not as complicated as it might seem, especially due to the online retirement calculators that are readily available for people to calculate and plan their finances. The retirement planning calculator takes into account the personal details entered by you such as your current age, your desired retirement age, your current income as well as details related to your current investment portfolio. Based on the input of these details, the retirement calculator then calculates the amount of money you need to save for a comfortable retirement and some calculators also suggest various personalized ways in which individuals can build their retirement corpus.

Retirement planning calculators generally calculate the Future Value based on the time to retirement entered by you and your current income, to indicate the amount that you will need to build a sizeable retirement corpus.

 

How to use Bharti AXA Life Retirement Calculator Online?

Bharti AXA Life has been a reputed name in guiding people with their financial planning and equipping them with tools to manage their life savings in a better way. With the same thought process, Bharti AXA Life also provides an online retirement calculator that you can use to figure out the amount of money that you need to set aside from now on. The process of using the Bharti AXA Life Retirement calculator is a simple one, and can be done in a few easy steps as follows:

Step 1: Enter Personal Details

Once you have accessed the online retirement calculator on the Bharti AXA Life website, you can start with entering your personal details such as your current age, and the age at which you plan to take retirement.

Step 2: Provide Income Details

The second step would be to provide your current income details, and the current rate of growth at which your income is growing.

Step 3: Provide Details of Investment

The next step would for you to enter the specific details of the investments that you have done so far, and would like to undertake in the future. Furthermore, you would also need to mention the current savings that you have set apart for your retirement. These savings will not include any amount that you have set aside for other important life goals such as buying a house, or child’s education.

Step 4: List down your Expenses

The final step in the process is to enter the expenses that you are currently incurring regularly. You can start with entering your approximate monthly expenses, and then describing the specific spending that you have towards your transport, food, bills, medical well-being, and lifestyle. 

Once you enter these details, Bharti AXA Life online retirement calculator will prepare a summary report of your financial health, and will also calculate the money that you should start setting aside in order to lead a comfortable post-retirement life. Furthermore, as one of the best retirement planners in the industry, Bharti AXA Life also provides suggestions for potential investment avenues, in addition to the retirement plans that might be suitable for your financial goals.

 

Benefits of Using a Retirement Calculator

A retirement benefit calculator or as it is more popularly known, a retirement calculator can offer several benefits for individuals who use it early in their career, and plan their finances accordingly. Some of the main benefits of using a retirement calculator are as follows:

Ease of Use and Availability

One of the main benefits of using a retirement calculator is that you do not need to involve a third-party to plan your financial future anymore. If you have access to internet, it is as easy as typing in your details and getting a comprehensive idea of the steps you need to take – free of cost, and anytime you want.

Aids Financial Planning

Considering how easy it is to use an online retirement calculator, it can make your financial planning process that much convenient. All you need to do is calculate your retirement corpus through the retirement planning calculator, and get on with generating the money you need for building a safe and comfortable post-retirement life.

Analyse Investment Options

Even if you have the best retirement planner at your disposal, they are going to offer you investment options and ask you to decide the investments that you would like to go ahead with. Using an online retirement calculator gives you the flexibility to research on the available investment options, while narrowing down the specific investments that you would be interested in making.

How Much to Save for Retirement?

Based on the plethora of benefits that are offered by a retirement corpus calculator, using it is definitely a smart way to handle your own financial well-being and stability. Any professional retirement planner will tell you that your retirement corpus completely depends on the financial decisions and actions taken by you while you are still earning, which is why it is important to know how much you should save. Generally, it is advised that if you are working, you should save at least 10-15% of your pre-tax income within retirement plans. However, in order to correctly calculate how much you would need, you can keep a check of your current expenses, and then adjust inflation to arrive at how much you would need to lead a comfortable life post retirement.

Disclaimer:

The article is meant to be general and informative in nature and should not be construed as solicitation material. Please read the related product brochures for exclusions, terms and conditions, warranties, etc. carefully before concluding a sale

Consult with your financial advisor before making any decisions on insurance purchase.

*Tax benefits are as per the Income Tax Act, 1961, and are subject to any amendments made thereto from time to time’

Retirement Calculator FAQs

How much do I need at Retirement?

The amount you would need for your retirement will depend on your lifestyle and the expenses that you are likely to have. You can calculate this amount by considering your current income, expenses and investments, along with the addition of ROI on the investments and adjustment of inflation rate. You can also use a retirement corpus calculator to calculate this amount.

If you want to retire at the age of 55, then firstly, we would need to consider your current age and financial health in order to understand the corpus you would need. For instance, if your current age is 30 and your monthly expenses amount to 30,000 INR, then the amount that you would need for retirement would be around 283 lacs, which would require you to save at least 6500 INR every month till you work.

Nothing is better than mobilizing your funds enough that they start making money during your retirement. There are several investment forms that you can opt for, which can allow you to park some of your retirement fund, and even earn you additional interest on it. A decent retirement income can be defined as the amount of money you need to be able to live a comfortable retired life with the ability to handle medical emergencies and unforeseeable situations.