One of the top priorities for individuals today is to build a corpus for their retirement. Everyone knows that mere savings may not be enough to meet the demands of expenses during their golden years. With inflation and enough capital to meet emergency costs, a retirement fund is of the essence. Investment has become a necessary condition for retirement and you need to grow your wealth for you to reach your expected financial goal. However, where do you start and how do you plan your finances for retirement? You can conveniently use a retirement calculator to help you.
You may believe that your mere savings and an employment pension plan will suffice for your retirement. With growing expenses and taking inflation into account, this may not be enough to build a required corpus for your retirement. Moreover, you have to plan for emergencies and unexpected expenses during retirement. You should note that retirement is a period in which you will not have a regular income source to fall back on. This is why early planning and investing helps. You could invest in many ways, say open a demat account and invest in equity while you are still young and can take calculated risks.
Unless you know how much you need to grow for your retirement, your saving plan cannot start. A retirement calculator is an online tool that takes into consideration your present age and your retirement age. It also accounts for other factors like your current income and amounts you have to save up for retirement. With estimates of inflation rates and your returns on investment, you can easily calculate how much you will be able to save for retirement vis-a-vis the actual amount you require for your retirement.
You can find a retirement calculator on the websites of many asset management companies and reputed brokerages like Motilal Oswal. If you think your planning for retirement is over and done with just one or two investments like an upcoming IPO, and your salary, you may be wrong. Depending on your age and how much your retirement needs are, it is likely that you will have to make certain investments to fulfil your retirement financial goals. If you traverse the Motilal Oswal website, you can find a retirement calculator that helps you to determine what your corpus at retirement should be. These fields need to be entered, and at the click of a button, you can find out what you need to save, your required retirement amount, and what you are capable of saving with your present savings.
You can sit back and relax while you plan your retirement, and think of ways to invest early in your career. You can open a demat account and invest in equity at Motilal Oswal, or think of a mutual fund investment. There are a plethora of channels for investment and you may want to select an upcoming IPO too.