Hi I am 34 years old and earning 3 lacs per month. Currently I have a corpus of about 75 lacs in MF. And I have been doing SIP from last 7 years. Now my month SIP is about 1.8 lacs per month. I want to retire by 45. How much corpus would I have if I continue to save the same amount for next 10 - 11 yrs. Also, please help me to understand that how much corpus do I need to make. For monthly income of 2 lacs from my corpus or saving

Ans: Assessing Retirement Corpus Growth
Current Investment Scenario
Your disciplined approach to SIP investments has contributed to building a substantial corpus over the past seven years.

Projecting Future Corpus Growth
Continuing your monthly SIP of 1.8 lakhs for the next 10-11 years can potentially result in significant wealth accumulation due to the power of compounding.

Estimating Future Corpus
By projecting the expected returns based on historical performance and assuming a conservative growth rate, we can estimate the potential corpus you may accumulate by the time you retire at 45.

Understanding Retirement Income Needs
To determine the corpus needed for generating a monthly income of 2 lakhs post-retirement, we must consider factors such as inflation, lifestyle preferences, and other financial obligations.

Calculating Required Corpus
Using conservative estimates for inflation and investment returns, we can calculate the corpus required to generate a monthly income of 2 lakhs, ensuring financial security and maintaining your desired lifestyle.

Conducting Retirement Gap Analysis
Comparing the projected corpus from your SIP investments with the required corpus for generating the desired monthly income will help identify any potential shortfall and enable strategic planning to bridge the gap.

Recommendations for Retirement Planning
Optimize Investment Strategy: Consider diversifying your investment portfolio to mitigate risk and maximize returns, ensuring sustainable wealth accumulation over the long term.

Increase SIP Contributions: Evaluate the possibility of gradually increasing your SIP contributions to accelerate corpus growth and achieve your retirement goals more efficiently.

Review Retirement Goals: Regularly review your retirement goals and adjust your investment strategy as needed to align with evolving financial objectives and life circumstances.

Explore Supplementary Income Sources: Explore additional avenues for passive income generation, such as rental properties, dividend-paying stocks, or alternative investment options, to supplement your retirement corpus and enhance financial security.

Conclusion
By maintaining a disciplined approach to savings and investments and periodically reassessing your retirement goals and investment strategy, you can maximize the potential of achieving financial independence and securing a comfortable retirement lifestyle. It's essential to seek professional guidance and stay committed to your long-term financial objectives to ensure a smooth transition into retirement.

Best Regards,

K. Ramalingam, MBA, CFP,

Chief Financial Planner,

www.holisticinvestment.in