{"id":8389,"date":"2015-11-05T11:21:04","date_gmt":"2015-11-05T05:51:04","guid":{"rendered":"https:\/\/blog.fundsindia.com\/blog\/?p=8389"},"modified":"2019-06-06T19:07:50","modified_gmt":"2019-06-06T13:37:50","slug":"why-youre-not-saving-enough-for-your-retirement","status":"publish","type":"post","link":"https:\/\/fundsindia.com\/blog\/personal-finance\/why-youre-not-saving-enough-for-your-retirement\/8389","title":{"rendered":"Why you’re not saving enough for your retirement"},"content":{"rendered":"

I remember a time when I used to go out and buy a pack of bread for Rs. 2. Now the same bread costs Rs. 10-12. There was a time when I would go to the milk shop and bring 2 litres of milk for Rs. 10. Now I bring 500 ml for Rs. 21. Few years ago, we bought our first washing machine for Rs. 5,500. The same washing machine now costs around Rs. 10,000.<\/p>\n

\"retirement_ahead\"<\/a>Reading this, you might think I am an old person reminiscing over my childhood days. You might be surprised to know that I am only talking about 15-16 years in the past.<\/p>\n

We have all witnessed the rise in prices, gradual in the late 90s and early 2000s, astronomical over the last 10 years. Yet, we fail to foresee the same happening in the future. If the prices of milk and bread can rise by a factor of 5-6 times within 15 years, imagine where they might be when you retire 25-30 years from now.<\/p>\n

Yet, when we plan for our future, we fail to take this into account. We completely fail to foresee the effect inflation will have on our finances. Sadly, this mistake throws most people\u2019s retirement plans haywire.<\/p>\n

People in their late 20s and early 30s, think it is too early to start planning for retirement. They think that if they are spending Rs. 30,000 per month today, they might need Rs. 60,000-70,000 per month after retirement. The reality, unfortunately, is vastly different.<\/p>\n

For a person of 30, even at a very moderate inflation of 4 per cent per year, post-retirement monthly expenses on maintaining the same lifestyle will amount to Rs. 97,300 per month. This, assuming that his lifestyle doesn\u2019t change at that time. And for a country like India, which is set to grow at a fast pace, assuming inflation to be around 4 per cent will be a mistake. A modest increase of 1 per cent in the inflation rate considered above, i.e., a rate of inflation of 5 per cent per year, will lead to his expenses rising to Rs. 1,29,660.<\/p>\n

So, always remember to account for inflation while planning for your retirement. Retirement, as a goal, requires planning for the long term. Just as the effect of compounding leads to greater returns over time, the same way the effect of compounding will lead to prices increasing manifold till your retirement. Not taking this into consideration will leave you high and dry within a few years of your retirement.<\/p>\n

Take the help of our retirement calculator<\/a> to plan for your retirement. Start your retirement planning today.<\/p>\n","protected":false},"excerpt":{"rendered":"

I remember a time when I used to go out and buy a pack of bread for Rs. 2. Now the same bread costs Rs. 10-12. There was a time when I would go to the milk shop and bring 2 litres of milk for Rs. 10. Now I bring 500 ml for Rs. 21. […]<\/p>\n","protected":false},"author":19,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[3,6,66],"tags":[350,289,349,184],"yoast_head":"\nWhy you're not saving enough for your retirement<\/title>\n<meta name=\"description\" content=\"When we plan for our future, we fail to take inflation into account. Sadly, this mistake throws most people\u2019s retirement plans haywire.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.fundsindia.com\/blog\/personal-finance\/why-youre-not-saving-enough-for-your-retirement\/8389\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Why you're not saving enough for your retirement\" \/>\n<meta property=\"og:description\" content=\"When we plan for our future, we fail to take inflation into account. Sadly, this mistake throws most people\u2019s retirement plans haywire.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/www.fundsindia.com\/blog\/personal-finance\/why-youre-not-saving-enough-for-your-retirement\/8389\" \/>\n<meta property=\"og:site_name\" content=\"Insights\" \/>\n<meta property=\"article:publisher\" content=\"https:\/\/www.facebook.com\/fundsindia\" \/>\n<meta property=\"article:published_time\" content=\"2015-11-05T05:51:04+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2019-06-06T13:37:50+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/www.fundsindia.com\/blog\/wp-content\/uploads\/2015\/11\/retirement_ahead-300x240.jpg\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Gourav Kumar\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"2 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"Organization\",\"@id\":\"https:\/\/www.fundsindia.com\/blog\/#organization\",\"name\":\"Wealth India Financial Services\",\"url\":\"https:\/\/www.fundsindia.com\/blog\/\",\"sameAs\":[\"https:\/\/www.facebook.com\/fundsindia\"],\"logo\":{\"@type\":\"ImageObject\",\"@id\":\"https:\/\/www.fundsindia.com\/blog\/#logo\",\"inLanguage\":\"en-US\",\"url\":\"https:\/\/www.fundsindia.com\/blog\/wp-content\/uploads\/2018\/07\/download.jpeg\",\"contentUrl\":\"https:\/\/www.fundsindia.com\/blog\/wp-content\/uploads\/2018\/07\/download.jpeg\",\"width\":189,\"height\":200,\"caption\":\"Wealth India Financial Services\"},\"image\":{\"@id\":\"https:\/\/www.fundsindia.com\/blog\/#logo\"}},{\"@type\":\"WebSite\",\"@id\":\"https:\/\/www.fundsindia.com\/blog\/#website\",\"url\":\"https:\/\/www.fundsindia.com\/blog\/\",\"name\":\"Insights\",\"description\":\"Official blog of FundsIndia.com\",\"publisher\":{\"@id\":\"https:\/\/www.fundsindia.com\/blog\/#organization\"},\"potentialAction\":[{\"@type\":\"SearchAction\",\"target\":{\"@type\":\"EntryPoint\",\"urlTemplate\":\"https:\/\/www.fundsindia.com\/blog\/?s={search_term_string}\"},\"query-input\":\"required name=search_term_string\"}],\"inLanguage\":\"en-US\"},{\"@type\":\"ImageObject\",\"@id\":\"https:\/\/www.fundsindia.com\/blog\/personal-finance\/why-youre-not-saving-enough-for-your-retirement\/8389#primaryimage\",\"inLanguage\":\"en-US\",\"url\":\"https:\/\/www.fundsindia.com\/blog\/wp-content\/uploads\/2015\/11\/retirement_ahead-300x240.jpg\",\"contentUrl\":\"https:\/\/www.fundsindia.com\/blog\/wp-content\/uploads\/2015\/11\/retirement_ahead-300x240.jpg\"},{\"@type\":\"WebPage\",\"@id\":\"https:\/\/www.fundsindia.com\/blog\/personal-finance\/why-youre-not-saving-enough-for-your-retirement\/8389#webpage\",\"url\":\"https:\/\/www.fundsindia.com\/blog\/personal-finance\/why-youre-not-saving-enough-for-your-retirement\/8389\",\"name\":\"Why you're not saving enough for your retirement\",\"isPartOf\":{\"@id\":\"https:\/\/www.fundsindia.com\/blog\/#website\"},\"primaryImageOfPage\":{\"@id\":\"https:\/\/www.fundsindia.com\/blog\/personal-finance\/why-youre-not-saving-enough-for-your-retirement\/8389#primaryimage\"},\"datePublished\":\"2015-11-05T05:51:04+00:00\",\"dateModified\":\"2019-06-06T13:37:50+00:00\",\"description\":\"When we plan for our future, we fail to take inflation into account. Sadly, this mistake throws most people\\u2019s retirement plans haywire.\",\"breadcrumb\":{\"@id\":\"https:\/\/www.fundsindia.com\/blog\/personal-finance\/why-youre-not-saving-enough-for-your-retirement\/8389#breadcrumb\"},\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"ReadAction\",\"target\":[\"https:\/\/www.fundsindia.com\/blog\/personal-finance\/why-youre-not-saving-enough-for-your-retirement\/8389\"]}]},{\"@type\":\"BreadcrumbList\",\"@id\":\"https:\/\/www.fundsindia.com\/blog\/personal-finance\/why-youre-not-saving-enough-for-your-retirement\/8389#breadcrumb\",\"itemListElement\":[{\"@type\":\"ListItem\",\"position\":1,\"name\":\"Home\",\"item\":\"https:\/\/www.fundsindia.com\/blog\"},{\"@type\":\"ListItem\",\"position\":2,\"name\":\"Why you’re not saving enough for your retirement\"}]},{\"@type\":\"Article\",\"@id\":\"https:\/\/www.fundsindia.com\/blog\/personal-finance\/why-youre-not-saving-enough-for-your-retirement\/8389#article\",\"isPartOf\":{\"@id\":\"https:\/\/www.fundsindia.com\/blog\/personal-finance\/why-youre-not-saving-enough-for-your-retirement\/8389#webpage\"},\"author\":{\"@id\":\"https:\/\/www.fundsindia.com\/blog\/#\/schema\/person\/45219d6bb7c04db92802648093f12042\"},\"headline\":\"Why you’re not saving enough for your retirement\",\"datePublished\":\"2015-11-05T05:51:04+00:00\",\"dateModified\":\"2019-06-06T13:37:50+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\/\/www.fundsindia.com\/blog\/personal-finance\/why-youre-not-saving-enough-for-your-retirement\/8389#webpage\"},\"wordCount\":433,\"commentCount\":0,\"publisher\":{\"@id\":\"https:\/\/www.fundsindia.com\/blog\/#organization\"},\"image\":{\"@id\":\"https:\/\/www.fundsindia.com\/blog\/personal-finance\/why-youre-not-saving-enough-for-your-retirement\/8389#primaryimage\"},\"thumbnailUrl\":\"https:\/\/www.fundsindia.com\/blog\/wp-content\/uploads\/2015\/11\/retirement_ahead-300x240.jpg\",\"keywords\":[\"inflation\",\"investing\",\"planning\",\"retirement\"],\"articleSection\":[\"Advisory\",\"Mutual funds\",\"Personal Finance\"],\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"CommentAction\",\"name\":\"Comment\",\"target\":[\"https:\/\/www.fundsindia.com\/blog\/personal-finance\/why-youre-not-saving-enough-for-your-retirement\/8389#respond\"]}]},{\"@type\":\"Person\",\"@id\":\"https:\/\/www.fundsindia.com\/blog\/#\/schema\/person\/45219d6bb7c04db92802648093f12042\",\"name\":\"Gourav Kumar\",\"image\":{\"@type\":\"ImageObject\",\"@id\":\"https:\/\/www.fundsindia.com\/blog\/#personlogo\",\"inLanguage\":\"en-US\",\"url\":\"https:\/\/secure.gravatar.com\/avatar\/7955831d58f1936191eefab5132ea1e4?s=96&d=mm&r=g\",\"contentUrl\":\"https:\/\/secure.gravatar.com\/avatar\/7955831d58f1936191eefab5132ea1e4?s=96&d=mm&r=g\",\"caption\":\"Gourav Kumar\"},\"description\":\"Gourav Kumar was a Principal Research Analyst, Mutual Fund Research\\u00a0at FundsIndia\",\"url\":\"https:\/\/fundsindia.com\/blog\/author\/gourav\"}]}<\/script>\n<!-- \/ Yoast SEO plugin. -->","yoast_head_json":{"title":"Why you're not saving enough for your retirement","description":"When we plan for our future, we fail to take inflation into account. Sadly, this mistake throws most people\u2019s retirement plans haywire.","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/www.fundsindia.com\/blog\/personal-finance\/why-youre-not-saving-enough-for-your-retirement\/8389","og_locale":"en_US","og_type":"article","og_title":"Why you're not saving enough for your retirement","og_description":"When we plan for our future, we fail to take inflation into account. Sadly, this mistake throws most people\u2019s retirement plans haywire.","og_url":"https:\/\/www.fundsindia.com\/blog\/personal-finance\/why-youre-not-saving-enough-for-your-retirement\/8389","og_site_name":"Insights","article_publisher":"https:\/\/www.facebook.com\/fundsindia","article_published_time":"2015-11-05T05:51:04+00:00","article_modified_time":"2019-06-06T13:37:50+00:00","og_image":[{"url":"https:\/\/www.fundsindia.com\/blog\/wp-content\/uploads\/2015\/11\/retirement_ahead-300x240.jpg"}],"twitter_misc":{"Written by":"Gourav Kumar","Est. reading time":"2 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"Organization","@id":"https:\/\/www.fundsindia.com\/blog\/#organization","name":"Wealth India Financial Services","url":"https:\/\/www.fundsindia.com\/blog\/","sameAs":["https:\/\/www.facebook.com\/fundsindia"],"logo":{"@type":"ImageObject","@id":"https:\/\/www.fundsindia.com\/blog\/#logo","inLanguage":"en-US","url":"https:\/\/www.fundsindia.com\/blog\/wp-content\/uploads\/2018\/07\/download.jpeg","contentUrl":"https:\/\/www.fundsindia.com\/blog\/wp-content\/uploads\/2018\/07\/download.jpeg","width":189,"height":200,"caption":"Wealth India Financial Services"},"image":{"@id":"https:\/\/www.fundsindia.com\/blog\/#logo"}},{"@type":"WebSite","@id":"https:\/\/www.fundsindia.com\/blog\/#website","url":"https:\/\/www.fundsindia.com\/blog\/","name":"Insights","description":"Official blog of FundsIndia.com","publisher":{"@id":"https:\/\/www.fundsindia.com\/blog\/#organization"},"potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/www.fundsindia.com\/blog\/?s={search_term_string}"},"query-input":"required name=search_term_string"}],"inLanguage":"en-US"},{"@type":"ImageObject","@id":"https:\/\/www.fundsindia.com\/blog\/personal-finance\/why-youre-not-saving-enough-for-your-retirement\/8389#primaryimage","inLanguage":"en-US","url":"https:\/\/www.fundsindia.com\/blog\/wp-content\/uploads\/2015\/11\/retirement_ahead-300x240.jpg","contentUrl":"https:\/\/www.fundsindia.com\/blog\/wp-content\/uploads\/2015\/11\/retirement_ahead-300x240.jpg"},{"@type":"WebPage","@id":"https:\/\/www.fundsindia.com\/blog\/personal-finance\/why-youre-not-saving-enough-for-your-retirement\/8389#webpage","url":"https:\/\/www.fundsindia.com\/blog\/personal-finance\/why-youre-not-saving-enough-for-your-retirement\/8389","name":"Why you're not saving enough for your retirement","isPartOf":{"@id":"https:\/\/www.fundsindia.com\/blog\/#website"},"primaryImageOfPage":{"@id":"https:\/\/www.fundsindia.com\/blog\/personal-finance\/why-youre-not-saving-enough-for-your-retirement\/8389#primaryimage"},"datePublished":"2015-11-05T05:51:04+00:00","dateModified":"2019-06-06T13:37:50+00:00","description":"When we plan for our future, we fail to take inflation into account. Sadly, this mistake throws most people\u2019s retirement plans haywire.","breadcrumb":{"@id":"https:\/\/www.fundsindia.com\/blog\/personal-finance\/why-youre-not-saving-enough-for-your-retirement\/8389#breadcrumb"},"inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https:\/\/www.fundsindia.com\/blog\/personal-finance\/why-youre-not-saving-enough-for-your-retirement\/8389"]}]},{"@type":"BreadcrumbList","@id":"https:\/\/www.fundsindia.com\/blog\/personal-finance\/why-youre-not-saving-enough-for-your-retirement\/8389#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https:\/\/www.fundsindia.com\/blog"},{"@type":"ListItem","position":2,"name":"Why you’re not saving enough for your retirement"}]},{"@type":"Article","@id":"https:\/\/www.fundsindia.com\/blog\/personal-finance\/why-youre-not-saving-enough-for-your-retirement\/8389#article","isPartOf":{"@id":"https:\/\/www.fundsindia.com\/blog\/personal-finance\/why-youre-not-saving-enough-for-your-retirement\/8389#webpage"},"author":{"@id":"https:\/\/www.fundsindia.com\/blog\/#\/schema\/person\/45219d6bb7c04db92802648093f12042"},"headline":"Why you’re not saving enough for your retirement","datePublished":"2015-11-05T05:51:04+00:00","dateModified":"2019-06-06T13:37:50+00:00","mainEntityOfPage":{"@id":"https:\/\/www.fundsindia.com\/blog\/personal-finance\/why-youre-not-saving-enough-for-your-retirement\/8389#webpage"},"wordCount":433,"commentCount":0,"publisher":{"@id":"https:\/\/www.fundsindia.com\/blog\/#organization"},"image":{"@id":"https:\/\/www.fundsindia.com\/blog\/personal-finance\/why-youre-not-saving-enough-for-your-retirement\/8389#primaryimage"},"thumbnailUrl":"https:\/\/www.fundsindia.com\/blog\/wp-content\/uploads\/2015\/11\/retirement_ahead-300x240.jpg","keywords":["inflation","investing","planning","retirement"],"articleSection":["Advisory","Mutual funds","Personal Finance"],"inLanguage":"en-US","potentialAction":[{"@type":"CommentAction","name":"Comment","target":["https:\/\/www.fundsindia.com\/blog\/personal-finance\/why-youre-not-saving-enough-for-your-retirement\/8389#respond"]}]},{"@type":"Person","@id":"https:\/\/www.fundsindia.com\/blog\/#\/schema\/person\/45219d6bb7c04db92802648093f12042","name":"Gourav Kumar","image":{"@type":"ImageObject","@id":"https:\/\/www.fundsindia.com\/blog\/#personlogo","inLanguage":"en-US","url":"https:\/\/secure.gravatar.com\/avatar\/7955831d58f1936191eefab5132ea1e4?s=96&d=mm&r=g","contentUrl":"https:\/\/secure.gravatar.com\/avatar\/7955831d58f1936191eefab5132ea1e4?s=96&d=mm&r=g","caption":"Gourav Kumar"},"description":"Gourav Kumar was a Principal Research Analyst, Mutual Fund Research\u00a0at FundsIndia","url":"https:\/\/fundsindia.com\/blog\/author\/gourav"}]}},"jetpack_featured_media_url":"","_links":{"self":[{"href":"https:\/\/fundsindia.com\/blog\/wp-json\/wp\/v2\/posts\/8389"}],"collection":[{"href":"https:\/\/fundsindia.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/fundsindia.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/fundsindia.com\/blog\/wp-json\/wp\/v2\/users\/19"}],"replies":[{"embeddable":true,"href":"https:\/\/fundsindia.com\/blog\/wp-json\/wp\/v2\/comments?post=8389"}],"version-history":[{"count":5,"href":"https:\/\/fundsindia.com\/blog\/wp-json\/wp\/v2\/posts\/8389\/revisions"}],"predecessor-version":[{"id":15408,"href":"https:\/\/fundsindia.com\/blog\/wp-json\/wp\/v2\/posts\/8389\/revisions\/15408"}],"wp:attachment":[{"href":"https:\/\/fundsindia.com\/blog\/wp-json\/wp\/v2\/media?parent=8389"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/fundsindia.com\/blog\/wp-json\/wp\/v2\/categories?post=8389"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/fundsindia.com\/blog\/wp-json\/wp\/v2\/tags?post=8389"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}