To glide into the post-retirement phase with a corpus of Rs. 1 crore and a monthly income goal of Rs. 10,000 feels like gently rowing a boat down a calm river. Here’s how to navigate the waters:
- Fixed Deposits and Senior Citizen Savings Scheme: Invest a portion in fixed deposits and Senior Citizen Savings Scheme. Current interest rates (around 7%) can help you generate about Rs. 7,000 per month.
- Systematic Withdrawal Plan: Investing in balanced mutual funds and setting up a Systematic Withdrawal Plan (SWP) can provide additional income and beat inflation over time.
- Annuity Plans: Buying annuity plans from reputable insurance companies can assure lifetime income. It is prudent to analyze the different plans available and choose one that fits your needs.
- Short-Term Debt Funds: These are relatively safe and can offer better returns than savings accounts or FDs over a longer duration.
Always remember, the key to a peaceful retirement is balancing your risk and reward. If you want your money to last, you need to take care of it. Seek professional advice, like from Jama Wealth, if you’re unsure about how to manage your retirement fund.
Remember what the Oracle of Omaha, Warren Buffet said, “Do not save what is left after spending; instead spend what is left after saving.” Using this principle, keep a keen eye on your expenses and let your wealth work for you, even when you’ve hung up your boots.
