How to earn a regular income post retirement by saving from now

You have 4-5 years time to build a corpus from which you can draw Rs 10,000 per month post your retirement.

For this, we will suggest you to invest in balanced funds through monthly SIPs till such time you are in your job. Once a corpus has been created, you can draw a fixed amount every month through SWP. We suggest to draw not more than 8-9% annually through SWP during the initial years.

Now, let us see how much corpus you need at retirement to draw Rs 10,000 every month. It is Rs 13.50 Lakhs - you can draw Rs 10,000 from this corpus which comes to around 9% annually. You can expect some capital appreciation too over a long period of time.

Now the question is how to create this corpus in next 5 years? As suggested above, balanced funds would be ideal for you and if you save Rs 15,500 per month for next 15 years this amount can be accumulated easily ( assumptions based on 12.5% annual return).

To know more about SWP and balanced funds, do read the following -

https://www.advisorkhoj.com/articles/Mutual-Funds...

https://www.advisorkhoj.com/articles/Mutual-Funds...

https://www.advisorkhoj.com/post-your-queries...

Try this SWP research calculator https://www.advisorkhoj.com/mutual-funds...

Thanks for writing to Advisorkhoj. We hope you find the above useful.