We tend to think about investing with a horizon of no more than three to five years. But retirement planning is about the long haul. Unfortunately, most people wake up to the reality of retirement when it is almost too late.
A small start begun early in your working life pays rich rewards later on. Here’s an example. If you invest Rs.1 lakh every year for 30 years at a fixed rate of 8%, you will accumulate Rs.1.13 crore. However, if you start 10 years later, you need to save more than double the amount, aroundRs.2.47 lakh a year, to be able to accumulate the same corpus.
