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Retirement Calculator

I am years old. I am planning to retire at the age of and want to build a retirement corpus of My current savings areI expect to earn an interest rate of and I expect inflation to be

 

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Retirement planning calculator: Overview

 

Retirement planning is at the heart of most saving and investment decisions. However, creating a plan for an event that is several years away can be challenging. This is because you need to account for inflation and the possible return on your investments, among other factors, to determine how much money you should set aside every month. A retirement calculator makes this process easy and quick, helping you create a clear financial plan and work towards potentially building a comfortable post-retirement life.

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What is a retirement calculator?

 

A retirement planning calculator is an easy-to-use tool that helps you determine how much you need to invest every month to potentially create the retirement corpus that suits your needs.

It takes into account on your age, investment horizon, current savings, expected rate of returns expected inflation rate. Within seconds, it tells you how much you need to invest every month.

This can make retirement planning easy, as it saves you the trouble of manually calculating the effect of inflation on your investments and the returns you can potentially achieve.

How Bajaj Finserv AMC Retirement Calculator works

The Bajaj Finserv AMC Retirement Calculator tells you what your inflation-adjusted corpus size will be once you reach retirement age. It also takes into account the potential future value of your current savings to give you an estimate of how much more you need to invest every month.

On the retirement plan calculator, you need to enter your current age, desired retirement age and desired corpus size. Then, you need to enter how much you have currently saved, the return rate you expect on your investments, and the projected rate of inflation. The tool accounts for inflation to tell you what your actual corpus will need to be when you retire. Then, it tells you how much you need to invest through Systematic Investment Plans (SIPs) in mutual funds to potentially reach that amount.

With this information, you can work towards building the life you desire after retirement and create a well-rounded plan based on realistic estimates and clear projections. This can potentially result in a better investment experience than setting aside money without a precise goal in mind.

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How to use the Bajaj Finserv AMC Retirement Calculator

 
1. On the tool above, enter the following details:
  • Your name
  • Age at which you want to retire
  • Desired retirement corpus
  • Current savings, if any
  • Rate of return you expect from your investments
  • Expected inflation rate
how to use
2. Click on calculate. You will then see:
  • Retirement corpus size after adjusting for inflation
  • Future value of current savings
  • Balance amount to potentially reach goal
  • Monthly SIP investment required
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How this calculator helps in retirement planning

 

Having an adequate retirement corpus is important for living comfortably when you don’t have a regular income stream. Thus, a retirement plan needs to be well thought out. Moreover, it needs to factor in the potential compounding effect on investments over several years.

Compounding happens because the returns on your investments, when reinvested, go on to earn further returns. Over time, this can have a multiplier effect and potentially result in exponential growth. A retirement plan also needs to account for inflation, which can eat into the actual value of your corpus.

However, calculating compounding and inflation, especially over a long horizon, is challenging and time-consuming.

A retirement calculator does the work for you.

Benefits of retirement planning calculator

1. Clear estimates:

By giving you the inflation-adjusted size of your retirement funds, the calculator can help you understand if the corpus you currently have in mind will be enough in the future.

2. Realistic goal-setting:

A retirement calculator can highlight possible shortfalls and opportunities in your retirement plan. It can also help you determine if you need to step-up your investments to reach your goals.

3. Simplified calculation process:

The calculator will account for year-on-year inflation and the potential compounding effect on returns to tell you in seconds how much you need to invest. This saves you the trouble of doing multiple independent calculations.

4. Easy monitoring:

As your life circumstances and financial situation evolve, a retirement calculator allows you to reassess your retirement plan regularly. You can track your progress towards your goals and make necessary adjustments to your savings or investment strategy

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Explore Our Mutual Fund Schemes

 
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Regular
Direct

Bajaj Finserv Flexi Cap Fund

Equity Fund Regular Growth
 
NAV
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as of
 
Min. Investment Amount ₹500
 
Inception Date
14/08/2023
 
Risk Type Very High
 

Bajaj Finserv Large Cap Fund

Equity Fund Regular Growth
 
NAV
---
as of
 
Min. Investment Amount ₹500
 
Inception Date
20/08/2024
 
Risk Type Very High
 

Bajaj Finserv Large and Mid Cap Fund

Equity Fund Regular Growth
 
NAV
---
as of
 
Min. Investment Amount ₹500
 
Inception Date
27/02/2024
 
Risk Type Very High
 

Bajaj Finserv Multi Asset Allocation Fund

Hybrid Fund Regular Growth
 
NAV
---
as of
 
Min. Investment Amount ₹500
 
Inception Date
03/06/2024
 
Risk Type Very High
 

Bajaj Finserv Balanced Advantage Fund

Hybrid Fund Regular Growth
 
NAV
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as of
 
Min. Investment Amount ₹500
 
Inception Date
15/12/2023
 
Risk Type Very High
 

Bajaj Finserv Arbitrage Fund

Hybrid Fund Regular Growth
 
NAV
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as of
 
Min. Investment Amount ₹500
 
Inception Date
15/09/2023
 
Risk Type Low
 

Bajaj Finserv Money Market

Debt Fund Regular Growth
 
NAV
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as of
 
Min. Investment Amount ₹1000
 
Inception Date
24/07/2023
 
Risk Type Low To Moderate
 

Bajaj Finserv Overnight Fund

Debt Fund Regular Growth
 
NAV
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as of
 
Min. Investment Amount ₹1000
 
Inception Date
05/07/2023
 
Risk Type Low
 

Bajaj Finserv Liquid Fund

Debt Fund Regular Growth
 
NAV
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as of
 
Min. Investment Amount ₹1000
 
Inception Date
05/07/2023
 
Risk Type Low To Moderate
 
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Frequently Asked Questions (FAQs)

 
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Retirement planning calculators help you create a comprehensive and realistic retirement plan. They help you assess your needs, project your future income, plan for inflation, and make informed investment decisions. This can help you work towards your retirement goal with greater ease, direction and clarity.

There is no one-size-fits-all approach to retirement planning. The answer is subjective and will depend on the age at which you plan to retire and your projected monthly expenses after retirement. It would also be advisable to factor in healthcare costs and personal goals (such as travelling or pursuing a hobby). An emergency corpus for unforeseen expenses, debt repayments if any, rent or mortgage payments and other bills or expenses may also need to be accounted for.

There are several avenues to choose from and the one suitable for you will depend on your goal amount, investment horizon and risk appetite, among other factors. If your retirement is several years away and you have a high risk appetite, you may consider investing in equity mutual funds. As you move closer to your retirement, you may transition to relatively stable avenues such as debt mutual funds. Conservative investors may prefer avenues that offer stable and fixed returns such as fixed deposits or a Public Provident Fund. There are also insurance and annuity plans. A well-rounded retirement plan may comprise more than one investment avenue to balance risk and optimize return potential.

Planning for retirement is essential to potentially achieve financial security and peace of mind in later years. It can help you maintain your desired lifestyle, cover healthcare costs, and manage unexpected expenses without financial strain. Early planning allows you to take advantage of compounding, enhancing your return potential. Additionally, a well-thought-out retirement plan provides a clear roadmap for savings and investments, helping you make informed decisions. A SIP calculator can assist you in determining how much to invest regularly to reach your retirement goals effectively.

Retirement calculators provide useful estimates, but calculations are based on projections. The actual inflation or return rate may vary from these projections. It could be higher or lower. Moreover, personal circumstances may evolve. The tool therefore offers a good starting point, but investors must be aware that market-based investments do not provide fixed or guaranteed returns. Additionally, regular reviews and adjustments are important. Lastly, it is always advisable to consult a financial advisor for major investment decisions.

Retirement planning can help you create a corpus that can potentially help you meet varied needs, including daily living expenses and healthcare costs. Additionally, you can also allocate specific funds for healthcare costs and opt for health insurance.

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Disclaimer: The calculator alone is not sufficient and shouldn’t be used for the development or implementation of an investment strategy. This tool is created to explain basic financial /investment related concepts to investors. The tool is created for helping the investor take an informed decision and is not an investment process in itself. Mutual Fund does not provide guaranteed returns. Investors are advised to seek professional advice from financial, tax and legal advisor before investing.