Why save for Retirement:

Retirement is a period of life which should be free of any kind of hassles and tension. Getting the target saving for retirement is an important process which requires planning. One needs to clearly understand their retirement goals and look at the means to achieve it.
We provide a retirement savings calculator which will make the calculations far easier for you. The calculator already contains a researched inflation rate value to further make things easier for you. You can easily put in values and it will determine the estimated expenses and savings.

How to use this Calculator

With this calculator, you can calculate a tentative amount that you will be able to accumulate until your retirement. You can use the results as reference to increase or decrease you yearly savings to help you reach your target savings easily!
To use the calculator, you can follow these simple steps:

• Input your current age.
• Input the age at which you're planning to retire.
• Put in your current annual salary (after deducting taxes and other compulsory deductions like PF).
• Input the amount that you would like to save yearly.
• Enter the percentage your current expenditure that you would want to spend after you retire.
• Enter the return you expect on your savings (like the interest you earn when you put your money in an FD) and the frequency of compunding.
• You can also choose to alter the inflation rate and put in the value that you feel is more accurate.
• You can choose to enter the amount that yyou will recieve in the form of pension or PF/PPF.
• Click "Calculate" and you'll get the results in an easy-to-understand form along with a graph which you can use to compare your expected savings and your savings targets.

Financing your Retirement:

First step to retirement planning is to look into the amount that is currently being saved and how much of it is being invested. If there are considerable number of years between your present age and retirement age one can always put their savings in stock market which is considered as a riskier investment. Even though stock market is considered to be risky the returns of stock market as of now have always been higher as compared to other investments such as bonds. As one gets old one should shift investments from stocks. After a certain age one should invest more in bonds or other investments that are considered to be less volatile.
One should also try to save more and try to avoid unnecessary expenses which might be depleting their savings amount.
It is also important to take inflation into consideration. Even a small increase in inflation rate can exponentially decrease the purchasing power of money. One should always keep this in mind and make calculation considering this.

Post Retirement spending

Determining realistic spending post retirement is also a crucial step. If the assumptions are wrong it can lead to problems during the retirement period. If mortgage and loans are not paid off one should always consider a large percentage their savings as expense during retirement. Many a times there are various unforeseen medical expenses. These things need to be kept in mind which assuming retirement spending.