Early Retirement Planning Advantages | Primassure LLP

The idea of early retirement planning is still not very prevalent in India. If we ask people living in towns and villages, we will still find them depending on their children post-retirement. While retired public sector employees can count on their pension, others are completely dependent on their children.  The idea of early retirement is something that they do not even think about.


Top Benefits of Early Retirement Planning in India

The early you start, the easier it is for you

If you start building your retirement savings when you're young, it will be easier for you. During childhood, workload is low and disposable income is high. Over time, the number of workloads increases; therefore, it is difficult to save for retirement.

Get benefit of tax exemption

Under Section 80C, if you invest in the majority of the pension and investment plans, you will be eligible for tax exemption. Therefore, while planning for your early retirement, you will be able to save deductions on income tax.

 

Top Benefits of Early Retirement Planning in India

The power of compounding

If you invest, you already know what interest rates mean. It means to like and like. If you have been investing for a long time, you will learn how compounding works. And the faster you do it; it will be better for you. You can also invest regularly. By the time your retirement age comes, you will have a huge corpus.

Ready to face emergencies

When you have enough money, you will be able to deal with emergencies quickly. We rarely realize that life can turn and soft parts become thorns. That's why starting to invest in your retirement plan early can help you save enough money for your emergency fund.

 

The benefits of financial planning from a young age are many. You can also check out some of the best retirement plans available online.



Blog: Financial Planning | Website: Primassure LLP

Location: India

Comments

Post a Comment

Popular posts from this blog

LIFE INSURANCE: ENDOWMENT POLICY

Image
Policy Term: Premium Paying Term: Commission We previously spoke about how changes to the IRDA regulations affected bonus entitlements, and minimum death benefits with exclusions. Definition once again Endowment insurance plans are made to provide a significant payout in the event of death, as well as, if necessary, survival, maturity, and profit sharing. Policy term The Policy Term is the period for which the Insurance Company is under risk and signifies the existence of a valid policy contract. Premium paying term The amount of time that the policyholder must pay premiums to maintain the contract's validity is known as the Premium Paying Period. The average premium payment period corresponds to the insurance term in length. Yet, some insurance agreements permit the insured to select a premium payment schedule that is shorter than the policy term. The policy term must be no longer than the policy term. The Insurance Term may not, under any circumstances, exceed the Premium Paying ...
Read more

Why Do We Need to Invest?

Image
  Just having a savings account is not enough. Saving money is important, but it only tells half of the story. A wise saver starts by setting aside enough money for emergencies in a savings account or by investing in a money market account. However, there are multiple potential benefits to investing in the financial markets after collecting three to six months' worth of easily accessible funds.   Financial security People need to have extra funds because they need to have financial security. They are able to protect their finances from any financial difficulties that can arise. A costly life crisis, such as a serious health issue, the destruction of a home by a cyclone, or a fire, could work as an example. Having an investment guarantees that you have the funds required to deal with such unexpected situations.   Reduce taxable income If you're an investor, you might be able to lower your taxable income by putting pre-tax money into a 401(k) or similar ...
Read more

Top 7 Benefits of Investing In Bonds in India

Image
One common investing option in fixed income instruments is bonds. Bonds are favored by investors for a variety of valid reasons. Understanding characteristics of bon ds, benefits and drawbacks, dangers, and their capacity to provide the returns expected by the investor, is essential before making an investment in them. Learn about the key elements to take into account when making a bond investment. Here are 7 things to consider before investing in bonds: 1. Secured/Unsecured Bonds are divided into two main groups: secured and unsecured. A secured bond promises its holders certain assets possessed by the issuer as collateral for the loans raised. This item is also referred to as a loan's collateral. In the event that the bond issuer defaults or is unable to pay the obligation, the assets are passed to the investors.   Unsecured bonds are those without an asset promise. It is promised to pay both the principal and the coupon (interest). 2. Resilience It is the day tha...
Read more