Retirement
Pension Plans and the Better Alternative
I do not like pension plans. Simply because of the fact that the returns are low and they are taxed as per your normal income.
Retirement Planning
Retirement planning is one of the most neglected of one's financial planning. Retirement always seems to be in the very distant future - even if one is nearing the 60s! In fact, it should be the most important. Generally one starts earning around 20, stops earning at...
LIC’s newest Pension Plan
Recently, a friend of mine sent over two messages that he had received from an LIC agent regarding a wonderful new Pension Plan that LIC has launched.Personally, I am against Pension Plans per se. They are terrible investments. I analysed this one. I am assuming that...
Why save for retirement?
In the class on personal finance that I take, the typical student is in his early twenties and has just joined or is joining the work force. Whenever I talk about saving for retirement, most guys lose interest and literally switch off. They just do not understand why...
Inflation and Savings
Inflation is a word that one constantly hears in the newspapers and on the news – someone says it is 6% and someone else says it is 8% and the RBI generally says that they want to bring it down to 4%. Now what is this inflation and how does it affect us. Say, last...
Early Retirement
The other day in the class on investment that I take, a student asked an interesting question – “Sir, is there an early retirement plan?” What he wanted was some sort of LIC policy where he would pay a premium of a few thousands every month and then he could...
Retirement Planning
Most financial advisors have a thumb rule on how you should allocate your funds between debt (fds, bonds, etc) and equity (shares). They say, you should subtract your age from 100 and you should have that percentage of your wealth in equity. Which means if you have 2...
