Timely or early retirement has been a cause of concern for many and people believe in planning for retirement from an early stage. Zerodha founder Nitin Kamath shares some important tips for Gen Zs and Millennials to help them plan for their retirement. In a series of tweets, Kamat said that Gen Z and even Millennials don’t think enough about the falling retirement age as life expectancy increases due to technological advancements and medical advances. He said that in the next 20 years, the retirement age could be reduced to 50 years and the life expectancy would be around 80 years. Hence, people have to give money for 30 years of their life after retirement.
“If climate change doesn’t kill all of us, the retirement crisis will probably be the biggest problem for most countries 25 years from now. Earlier generations were lucky with a long-term real estate and equity bull market, which saw retirement funds build up. I helped. Not likely. In future,” Kamath said.
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He shared tips and asked people to avoid taking loans for things they can’t do without. “1. Stop being triggered by everyone who tries to lend and stop borrowing to buy things you don’t need or have depreciating in value. 2. Start saving early. Index funds/ETFs Diversify K FDs/G-Secs and SIPs. Stocks are probably still the best bet to beat inflation in the long run. 3. Get a comprehensive health insurance policy for yourself and everyone in the family. One health The event is enough to push most people into financial ruin or push them back several years financially. Jobs don’t last forever, so a policy outside of what is provided at work. 4. If your dependents If something happens to you, they should be covered. Buy a term policy with adequate cover. In the worst case, this money FD in the bank should meet their financial needs,” Kamat said.
Gen Z and even Millennials don’t think enough about it that retirement age is falling rapidly due to technological advances and life expectancy is increasing due to medical advances.
In 20 years, retirement could be at 50 and life expectancy at 80. How do you fund 30 years? 1/5 – Nitin Kamath (@Nithin0dha) 29 October 2022
Responding to his source on retirement planning, Cred founder Kunal Shah said that most of the Indians consider their children as their retirement plan. “Credit’ For most Indians, their children are their retirement plan,” Shah said.
For most Indians, their children are their retirement plan. — Kunal Shah (@kunalb11) 29 October 2022
The current retirement age in India is between 58 and 65 years.