Senior citizens. A lovely word coined by the government to describe elderly people of the country. Whether they get the respect needed to be given to a “Senior” is a matter of perpetual debate.
According to a survey in United Kingdom, more than 50% of people do not save enough for their retirement. The number is worse for Americans and Canadians. 150 million Americans out of 200 million, who are in working age, are not saving enough to fund their needs after retirement. Similarly, 80% of Canadians will not… Read More »
Old age can be very challenging, or rather miserable, when there is no financial support from any source. Taking this into account, some of the finance companies have introduced the Reverse Mortgage scheme in India. This scheme originated in the United States and has gained popularity in the West since its inception. Reverse mortgage, as… Read More »
New Pension Scheme (NPS) is a pension scheme launched by Government of India (in effect from 1st April, 2009) and is a defined contribution based pension scheme. NPS differs from the existing pension scheme in the sense that existing pension fund of Government of India offers assured benefits while NPS has defined contribution structure where… Read More »
Our society is changing. Nuclear families are the norm. Inflation is high and hence money needed to fund the retirement is increasing. Additionally due to longevity of life, the requirement for retirement fund will further increase. This is where the right retirement planning helps individuals spend their time in old age with dignity.
As a senior citizen, while safety of capital is of paramount importance, don’t forget to take into account the tax factor. Taxes can actually erode the value of your returns. Also another black hole to watch out for is inflation. Many seniors opt for the security of assured returns and end up finding that the… Read More »
What is a NPS? NPS is similar to Mutual funds. You keep aside some money for your retirement and this money is put into the capital market. Hence, the sum which you will get post retirement will be dependent on the performance of capital market. These are managed by fund managers.