7 Things To Consider While Planning A Retirement Budget

Amit Sethi

Why Make A Budget?

The right budget plan can help you live a happy retirement life, even with a limited or medium-sized corpus fund.

Budgeting and planning

Retirement Age

Ascertain your expected retirement age to know the number of years left to save.

Fixing Retirement date as a deadline for required saving.

Determine Expenses

Determine your living costs post-retirement, as you will require a regular, lump sum fund to cover daily and lifestyle expenses.  

Estimating Expenses

Emergency Fund

Add expected expenses and emergency fund needs to calculate the required fund and then apply the average inflation rate. 

Rainy-Day Fund

Review Plan

Review the plan regularly to stay on track with your goals, as your income, expenses, and lifestyle may change as you approach retirement. 

Review according to the changes in lifestyle

Readjust Budget

After retirement, adjust your budget to suit your needs and plan for short/long-term goals based on your health and life expectancy. 

Refocus as per requirements after retirement

Anticipate Beyond Budget

Building a larger retirement corpus than the expected budget can provide an extra financial cushion against risks.

Compiled By Himani Verma

Financial safety net
Age of Retirement