Retirement Planning Queries

How my father can earn better than FD returns

My father accumulated wealth of around 60 lakh all these years in the form of bank FDs with his salary. Now he wanted to invest in mutual fund due decline of interest on FDs. So he wants to invest the interest earned every year on those FDs to the mutual fund keeping principal amount as it is in FDs. So wanted to know is it a good idea? From FDs currently getting approximately 4 lakhs / year as interest. Kindly give suggestions to how to proceed. He is average risk taker?

Apr 24, 2017 by Ravi B, Kolhapur | Retirement Planning

Fixed deposit is the safest option for retirees but the way interest rates are coming down, fixed deposits will not generate more than 1-2% inflation adjusted returns. Even though mutual funds generate better... Read More

How to get regular returns from retirement corpus

Am an avid reader of your post and get mails on regular basis I try to re-read most of your mails which I have saved. I am a Mutual Fund Distributor & do Life Insurance for IPRU from Vellore. A client and close friend of mine has 40 Lakhs retirement corpus fund which he wants my advice to invest in funds so he can have a regular monthly income while his corpus also grows. 1) Time is for 1/3/5 years withdrawal of corpus if needed, 2) Staggered amount for all 3 time frame, 3) 30% IT bracket, 4) Pension received is 55K & house rent 25K/9% on 25 lac deposit are his income now, 5) Post Tax he needs at least 1.5 lac for a comfort living with travel, 6) He is yet to decide if he will be working further if so his earnings from that is not taken into account, 7) At 60 he is in good health still uses the gym to keep fit, 8) No liability except home loan, 9) wife is working as consultant approx pay pack 50k/ month?

Dec 12, 2016 by Nandakumar, | Retirement Planning

We have gone through your detailed query and find that the main point is how your client can utilise Rs. 40 Lakhs to get a regular income. He is already having pension and house rent income, but there is a... Read More

Can you provide some investment options for my dad who is retired

I am looking for some investment options for my dad. He got retired and want to invest the money he got from his PF. The objective is to get guaranteed return and some capital appreciation. Would like to have your suggestion?

Dec 7, 2016 by Rejish R, | Retirement Planning

Please note that if you are looking for guaranteed returns then you have very few options like, Bank fixed deposits, Post Office MIS and Senior Citizen Schemes. However, since you are looking for guaranteed... Read More

Where to invest retirement corpus to get monthly income

My friends father retired this month, they want to invest 3,00,000 rupees to get monthly income. Kindly suggest how to plan it. I want to know small cap funds for at least 5 years, as SIP of 5000, provided the fund should be from ethical (shariah complaint)?

Oct 25, 2016 by Imran Ansari, Dhule | Retirement Planning

We are assuming that your first and second questions are not connected. Since your father’s friend is retired, he should ensure that the risk profile of his investment is fairly conservative, or in other words... Read More

Need advise on how to invest 45 lakhs of my retirement corpus

I am getting nearly 45 lakhs on my retirement now I am investing 25 thousands in 10/12 MF. Approx corpus is 5 lakhs I need your advice how should I invest these funds so that I will get 35000 PM?

Sep 26, 2016 by Sudhir Desai, Miraj | Retirement Planning

Based on the information provided by you in your query, your total retirement corpus is Rs 50 lakhs. You need Rs 35,000 per month or Rs 420,000 per annum, post retirement. Therefore, your expected... Read More

How can I get regular return from my retirement corpus without any risk

I am on the threshold of retirement and I would be getting my PF savings. Where should I invest to get regular income while ensuring highest levels of safety for my capital. I am willing for a lower return for capital protection?

Sep 22, 2016 by N Chandar, Bangalore | Retirement Planning

Since your primary concern is highest level of safety and also that you are okay with lower returns then, we think you should invest in traditional savings schemes like postal MIP, Senior citizen scheme and bank... Read More

I want to know how can I get Rs. 2 Crores on my retirement

I am a central Govt. employee, aged 36 years. My annual salary is Rs. 6 lakhs. I am married. I have one kid of 8 months old. I want to know how can I get Rs. 2 crore on my retirement. Presently I had done the following investments: 1. LIC = Rs. 30K yearly, 2. HDFC Term Plan = Rs. 13K yearly, 3. PPF = Rs. 24K yearly, 4. Sukanya = Rs. 24K yearly, 5. NSC = Rs. 15K yearly?

Aug 30, 2016 by SSS, Banaglore | Retirement Planning

You have not shared complete picture of your investments and also your employment details including EPF and retirement age etc. Therefore, we will not be able to answer the query in details. However... Read More

Please check if my investment selection is good considering that I am a moderate risk taker and retired

I retired from Govt. service, age 61 years, and received about 60L superannuation benefits. Have no Liability. I want to invest this amount to secure the funds and to beat the inflation with tax efficiency. I have moderate risk capacity. I thought I must invest Rs. 15L in SCSS, 15L in debt schemes of MFs, 10L in MIPs of MFs and 10L in two Balance funds & lL in liquid fund like Reliance money manager fund and balance in savings account. If my planning is right then kindly suggest schemes and funds in which I should return?

Aug 30, 2016 by Vinay Vashisht, Chandigarh | Retirement Planning

From the perspective of spreading your investments in different asset classes and also considering your age and risk taking appetite, the allocation you have done to different schemes and assets is absolutely... Read More

Would you clarify how the savings would grow to 2.90 Crores in your retirement planning article

I read your article, it was thought provoking & my clarification required is as follows: I would like you to tell me as to how is the weighted average calculated, how the savings would grow to Rs. 2.9 Crores & how long last it will last as shown in first column. If you could show it in an excel as to how the savings would grow to 2.9 Crores and how long the same would last based on your example, then It will be make us understand your presentation more effectively?

Aug 23, 2016 by Vivek Sethi, Bangalore | Retirement Planning

As per the assumptions stated in the article, the post tax weighted average returns of 20% equity and 80% debt asset allocation, works out to be... Read More

Will you please suggest where I should invest my retirement money to get handsome returns

I plan to retire shortly within 3 months and expect that I would be getting around 40 lacs as retirement proceeds. Will you please be kind enough to suggest where these funds should be invested to get handsome returns and safety of the funds. Please mention the name of the funds/scheme along with amount to be invested. Presently I am just 52 years old and can't invest in senior citizen saving scheme of post office due to age constraint. Kindly suggest?

Aug 23, 2016 by Sat Paul, Sirsa | Retirement Planning

Before you decide where you need to invest your retirement corpus to get handsome returns with safety, you should figure out two things – 1) What is your risk profile? To know this you can use this tool... Read More