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Ramalingam Kalirajan |11374 Answers |Ask -Follow

Mutual Funds, Financial Planning Expert - Answered on Jul 02, 2026

Ramalingam Kalirajan has over 26 years of experience in MF distribution and wealth management. He holds an MBA in Finance from the University of Madras and is a CFP (Certified Financial Planner) credentialed professional. He is the Director of Holistic Investment, a Chennai-based AMFI-registered Mutual Fund Distribution (ARN-4188) and APMI-registered PMS Distribution firm (APRN07386), helping clients build long-term wealth through mutual funds and other investment solutions.... more

Question by Samuel on Jun 20, 2026Hindi

I am a 45-year-old professional, and my wife is 42 years old. What is the minimum retirement corpus we would need, assuming we currently do not have any savings? We recently had to spent our savings to deal with an uforceen emergency. Now restarting to build our lives again

Ans: It is admirable that you are looking ahead and restarting after a difficult phase. Many families face unexpected events that can wipe out years of savings. The good part is that at 45, you still have time to rebuild a meaningful retirement corpus if you act with focus and discipline.

» The Most Important Question

The retirement corpus required depends less on your age and more on:

– Your current monthly household expenses.
– The age at which you wish to retire.
– Whether you have dependent children.
– Any pension or future income source.
– Your expected lifestyle after retirement.
– Healthcare needs during retirement.

Without knowing your monthly expenses, no one can accurately tell you the exact corpus required.

» A Practical Way To Think About Retirement

Instead of asking "How much corpus is enough?", ask:

– How much income will my family need every month after retirement?
– Can that income continue for 25-30 years?
– Can it keep pace with inflation?
– Can it cover healthcare expenses comfortably?

These questions are more important than chasing a random retirement number.

» If Starting From Zero At Age 45

The good news:

– You still have around 15-20 years before a typical retirement age.
– Your biggest asset is your earning ability.
– Future savings matter more than past savings.

The focus should be on:

– Aggressive savings.
– Regular investments.
– Protecting against future emergencies.
– Avoiding lifestyle inflation.

Many people build substantial retirement wealth in their last 15 years of work because their income is usually at its peak during this phase.

» Build The Foundation First

Before thinking only about retirement:

– Create an emergency fund covering at least 12 months of expenses.
– Ensure adequate health insurance for both spouses.
– Have sufficient term insurance if dependents rely on your income.
– Eliminate high-interest debt if any.

A strong foundation prevents future emergencies from damaging your retirement plan again.

» Savings Rate Matters More Than Returns

At this stage, the percentage of income you save is critical.

– Try to save and invest a meaningful portion of monthly income.
– Increase investments whenever income increases.
– Invest bonuses, incentives and windfalls instead of spending them.

A higher savings rate often creates a bigger impact than chasing higher returns.

» Retirement May Not Mean Stopping Work

One advantage for professionals today is that retirement is becoming more flexible.

– You may continue consulting.
– Take up part-time assignments.
– Pursue professional work at a reduced pace.

Even a modest post-retirement income can significantly reduce the corpus required.

» Healthcare Planning Needs Special Attention

For most retirees, healthcare becomes one of the largest expenses.

– Review health insurance regularly.
– Maintain a separate medical reserve.
– Avoid using retirement investments for medical emergencies.

This single step can protect decades of wealth creation.

» Finally

Please do not feel discouraged because savings were used during an emergency.

The purpose of savings is to help during difficult times. Your savings did exactly that.

What matters now is not what was lost, but what can be rebuilt.

At age 45 and 42, you still have enough time to create a strong retirement corpus if you:

– Save consistently.
– Invest regularly.
– Protect against future emergencies.
– Control unnecessary expenses.
– Increase investments as income grows.

If you can share:

– Your current age of retirement target.
– Monthly household expenses.
– Monthly take-home income.
– Existing investments, if any.
– Whether you own a house.

Then a Certified Financial Planner can help estimate a more realistic minimum retirement corpus for your specific situation.

Best Regards,

K. Ramalingam, MBA, CFP,

Chief Financial Planner,

www.holisticinvestment.in

https://www.linkedin.com/in/ramalingamcfp/

DISCLAIMER: The content of this post by the expert is the personal view of the rediffGURU. Users are advised to pursue the information provided by the rediffGURU only as a source of information to be as a point of reference and to rely on their own judgement when making a decision.