pri Why planning well in advance for your retirement matters? Why planning well in advance for your retirement matters?

Have you ever wondered about financial independence at the time of retirement?

Have you ever contemplated on how your retirement life will look like?

Will it be something where you reside in your dream house, which is like a fairy tale?

The good news is that it will not be a mirage if you plan it well in advance.

For some of us the idea of retirement doesn’t even emerge in the upcoming vision. But let me say this. If you want your retirement life to be blissful then you should plan it well in advance. Here are some reasons for the same:

1. Medical emergencies

When you are getting old, medical problems also follow. Medical expenses will burn a deep hole in your pocket at this phase. So don’t you think it is a careful act when you set aside some money for your retirement?

2. Longer life expectancy

The life expectancy of humans is not as short as before. This can be attributed to technological advancements in medicine. If you want to retire at the age of 62 you will have to support for yourself for at least two more decades (owing to longer life expectancy) without any income. So planning for retirement well in advance becomes essential.

3. Inflation

You have to take time in contemplating on the concern of inflation. This will be helpful while computing your retirement amount along with the returns you will get.

4. Let time be at your pace

Remember that as you spend cautiously you will be in a position to keep more corpuses for your retirement. When you develop the habit of living within your income, your retirement money will see a rapid rise. So spend less and start saving early in life to make use of power of compounding.

5. You can’t work always

You would defend yourself and think that you can work forever. In fact, for some of us this would be the preoccupation too. However, you can’t get exemplary results in your profession as you get old. As you age, you will find some tasks more complicated. Sometimes you may even retire early than expected. So don’t you think you should have some funds for retirement life?

6. Your family can also benefit

Your retirement can also encompass spending for your dear family. Suppose you have planned well in advance for your retirement and have set some money for this purpose, you can be the happy parent who spends a lot for your children. You can even be available for big events and give the pleasure of enjoying vacations to your family.

7. Nuclear families

Nowadays the culture of joint family is seeing a transformation. Some live independently without their family. So there is a need for individuals to maintain a sum that sustains in an independent manner.

8. Risk of uncertainties

Life is somewhat unpredictable and we may encounter unfavourable situations. Some situations may build as financial or emotional setback to us. Maintaining enough money to account for such events will be of great help. This has an impact on your retirement life too. When you have adequate fund then the setback can be managed better. You can also lead a happy retirement life. The key lies in understanding the risk of uncertainties while still maintaining a sunny outlook.


Remember that planning for your retirement is a continuing process. It needs lot of introspection, discipline and your time. It is better to start it well in advance so that you can benefit from the efficiency of compounding.

Have you begun to plan for retirement? What drives you to set aside some money for the future? Take your time and contemplate on this.

The author is Ramalingam K, an MBA (Finance) and Certified Financial Planner. He is the Director and Chief Financial Planner of Holistic Investment Planners ( a firm that offers Financial Planning and Wealth Management.

Author Bio

Qualification: MBA
Company: Holistic Investment Planners Private Limited
Location: Chennai, Tamil Nadu, IN
Member Since: 01 Dec 2017 | Total Posts: 242
Ramalingam is the Founder and Director of Holistic Investment Planners Private Limited (WEBSITE - As the creator and architect of the 3-Dimensional Holistic Investment Approach, he has advised hundreds of clients including affluent business owners, corporate e View Full Profile

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July 2021