Retirement planning secures your financial independence by building a dedicated corpus to replace your regular employment income once you stop working.
Define Your Target: Calculate your target corpus using the 25x rule (multiply your estimated annual retirement expenses by 25) and account for inflation.
Establish Your Base: Maximize contributions to tax-advantaged instruments like the Employees' Provident Fund (EPF) and Public Provident Fund (PPF) for guaranteed, risk-free returns.
Grow via Equities: Allocate a portion of your savings to Equity Mutual Funds or the National Pension System (NPS) to beat long-term inflation.
Protect Your Wealth: Secure comprehensive health insurance and create an emergency fund worth 6 to 12 months of expenses to avoid depleting your corpus early.