Redeploy surplus in early years of retirement
17.05.12
I am working in a public sector bank. I will retire in April 2015. At retirement, I will get Rs 25, 000 as monthly pension and a retirement benefit of Rs 45 lakh. My net salary is Rs 45,000 and monthly expenses are Rs 35,000, including savings of Rs 15,000. My current savings are a monthly recurring deposit (variable amount of Rs 10,000) started last year yielding 9 per cent and maturing in April 2015. The maturity amount will be around Rs 8 lakh. I have been investing a sum of Rs 5,000 monthly in two MF equity schemes since May 2011. I own a flat at Kochi, where I will settle after retirement. I have two daughters.
We are planning to get our elder daughter married next year, for which I have saved enough. My insurance policy of Rs 5 lakh will mature next year and it can be utilised for my retirement. My liability at the time of retirement will be a car loan EMI of Rs 2,000 a month and the loan will be repaid by 2019. I have mediclaim for Rs 3 lakh and the premium outgo is Rs 10, 000. I have gold worth Rs 8 lakh. Are my investments sufficient to lead a peaceful retired life? After retirement, I may require Rs 20,000 a month. I am hale and hearty but my wife is suffering from thyroid problem. We expect to live till 80 years based on our family history.
Source: Business Line