It is essential to start planning your retirement right from when you are in your 20s or 30s. As the medical expenses and cost of living are rising consistently, it is crucial to get serious about retirement planning as early in life as possible. After all, you’d want to make sure that you live a happy, comfortable and independent life once you retire from your professional life.

But are there ways to continue receiving regular income even after retirement? Yes, fortunately, there are different investment options that offer guaranteed income in your retirement years. Four such options are as follows-

1. National Pension Scheme

NPS is a government-approved pension scheme which allows you to contribute to a pension account during your active work life regularly. Once you are 60 years old, you can then withdraw some part of the corpus as a lump sum amount.
The remaining can be used for purchasing life annuity which will ensure that you continue receiving regular income after retirement.

2. Life Insurance Retirement Plans

If you are looking for retirement investment, life insurance retirement plans are also an excellent option. There are now unit linked pension plans as well as annuity plans exclusively designed to make sure that your life post-retirement is exactly as you had always imagined.

Most of these plans invest some part of your premiums in debt or equity funds of your choice to help you generate higher returns. Apart from the returns which can be received as a lump sum or regular income, you also receive the security of life insurance with these plans.

3. Mutual Funds

Mutual funds are currently one of the most popular investment options in India. There are now regular income plans solely for people who want to receive a steady income from their investment.

Alternatively, you can also start investing in any fund of your choice and opt for SWP (Systematic Withdrawal Plan) facility. With this option, you can select a duration after which you'd like to withdraw a fixed amount from your investment regularly.

4. Wealth Management Services

You can also look for professional wealth management services if you are looking to build a substantial retirement corpus. Based on your investment profile, professional wealth managers will help you take informative and confident investment decisions that can deliver high returns.

After retirement, you can then decide how you'd like to withdraw your investment. You can withdraw lump sum amount or regularly withdraw some part of it while remaining invested.
Now that you know how to plan for retirement, browse through these options and select the ones that best suit your requirements and investment profile.

Click here to plan your retirement goals.


The information contained herein is generic in nature and is meant for educational purposes only. Nothing here is to be construed as an investment or financial or taxation advice nor to be considered as an invitation or solicitation or advertisement for any financial product. Readers are advised to exercise discretion and should seek independent professional advice prior to making any investment decision in relation to any financial product. Aditya Birla Capital Group is not liable for any decision arising out of the use of this information.

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