Retirement at an earlier age means you need to plan in a fool-proof way such that your post-retirement days are well taken care of. So, for the same you need to be wise in your retirement planning and hence choice of financial products.
Some things that shall make your retirement planning successful are discussed here forth:
As a first step you need to invest and save early as well as regularly and know how much you need to accumulate for retirement is the first step crucial to your retirement planning.
1. Retirement plan should be built considering retirement age to be 50- As today's work life is far more demanding than yester years people these days feel that they are burnt out working long hours. To add to it, in case of job loss, individuals find it difficult to secure a job that matches their current position.
2. Dedicated funds for retirement such as EPF, NPS, PPF should be kept intact: Long-term savings plans including EPF, NPS, PPF should be held and not liquidated as only then their ultimate goal shall be served. So, despite these accounts offering liquidity to some extent, ensure that they are kept sacrosanct.
3. Square-off all loan related liabilities by the age of 40- All debt should be serviced by the age such that for the remaining 10 years to your retirement you can put the amount paid towards loan EMI in equity mutual fund and grow it through compounding.
4. Bet on investments with good risk-adjusted returns such as equity mutual funds- To meet your retirement goals and at a time when most of your liabilities shall fall upon during course, your retirement corpus shall be sufficient only when risk-adjusted financial instruments such as equity mutual funds are betted upon.
5. For regular and dedicated retirement planning take the automated debit route- To stay on track such that you don't falter at anytime go by the otherwise available automated debit route by which amount for the particular investment gets deducted as and when the transaction is scheduled automatically.