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Can I quit my high-paying job at 52 with 5 crores and live comfortably with my parents?

Milind

Milind Vadjikar  |583 Answers  |Ask -

Insurance, Stocks, MF, PF Expert - Answered on Oct 15, 2024

Milind Vadjikar is an independent MF distributor registered with Association of Mutual Funds in India (AMFI) and a retirement financial planning advisor registered with Pension Fund Regulatory and Development Authority (PFRDA).
He has a mechanical engineering degree from Government Engineering College, Sambhajinagar, and an MBA in international business from the Symbiosis Institute of Business Management, Pune.
With over 16 years of experience in stock investments, and over six year experience in investment guidance and support, he believes that balanced asset allocation and goal-focused disciplined investing is the key to achieving investor goals.... more
Asked by Anonymous - Oct 15, 2024Hindi
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Hi Milind I am 52 years old single woman, from small town and who has worked hard ro reach to level in corporate with good salary. I have a corpus of about 5 crores and small flat in tier 2 town. I dont enjoy yhis new job wirh reputed brand and at a senior level as i dont find ut engaging or doing justice to role. My parents are old and i worry for rhem ans want to spent rkmw with them. With this corpus can i take a call to leave job and get decent income of atleast 2-2.5 lac a month. I have been quite action oriented, but now my mind and body feel exhasuted and also fear rhat without a job i will become lazy. Also living with parents will be a joy, at the same time resteictive to eating or socializing. I am quite concious ,if i leave this well paying ,senior role job with a big renonwed corporate which many of my friends aspired for and whole lot of people congratulated me ,they will think i was not able to justify my role,hence left . I dont want that impression at last stage of career as whole life i have been seen as hard working ,passionate professional. Such rhoughts are taking toll on my mental health. Please advise what should be done

Ans: Hello;

With the corpus that you have (5 Cr) you may buy an immediate annuity from a life insurance company and can expect to receive monthly payout of 2.5 L (pre tax)from the very next month. 6% annuity rate considered, if you shop around and negotiate you may get a better rate.

You can opt for increasing annuity to account for inflation and return of purchase price to your nominee, after you.

Ensure good health insurance policy to cover yourself and your parents.

Think about some vocation which you would like to pursue passionately after retirement.

You are seeking retirement from regular 9 to 5 job not from pursuit of your passion/goals.

It could be in the role of an consultant, counselor or educator.

You should take the decision which you feel is appropriate for you irrespective of what people comment because they will comment in any case.

Learn to ignore such people.

Happy Retirement!!
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.
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Soft Skills Trainer - Answered on May 02, 2024

Asked by Anonymous - Apr 20, 2024Hindi
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Sir, I am 27 years old, Single. Its been 2 years + I am doing private 3 years project contractual job this contractual job.its going to complete in Dec 31st 2024. I gave Ctet teacher exam but i failed 3 time. But i m not focusing in State tet so, i want focus but in market lots of content and i dont have gude what shall i do. I am not happy with my current job. This job changes me alot in my caracter now, i cant sleep properly because if this job will finished what shall i do, till yet i have not creck any exam. And if i go in market i started to forgot ex:- After giving money i forgot to take back, after giving money i forgot to take things sometime. My age also gainig if want to marry so, i have earned money or save money i have to bear all expenses because my parents financially poor if I want save, same time i need to look my younger brother study expenses i need to bear and family running mantainance and also have EMI loans need to pay and also i am helping my parents to build their house with my own money my parents does not have money for my marriage. Now i have overthinking, depression, fear, feeling lossing confident, my dream job also get critical in this situation what shall i do. In office also staff try to polling down because i am getting higher salary what shall i do. For this reason just resently my health conditions because worse my pressure 139 felt vomit feel dizzy. What shall I do now Sir.
Ans: I have gone through your query and understand that you are at the Cross roads of Life.

It's at these times... When the going gets tough... The tough gets gong.
That's your strength.. A tough resilient young lady!
Kindly note you are doing an excellent job hence rewarded with better pay in your organization.. Obviously there's going to be jealousy..Be calm & Handle it with maturity.

Now I understand you are very committed selfless person. Who's contributing a lot to your family,... Wow in fact helping build your own new house. !

In regards to your contractual job, talk to your employer, let them know, that you would have to look for another job post December 2024 if there's no clear further commitment.

In regard to your marriage at 27 you aren't too old to find a like minded partner don't rush and regret, start the process through matrimonial apps.

I see you talk about your health, especially blood pressure, well that's because you are unduly stressed.
Add tender coconut water to your diet, talk to a proper Ayurvedic doctor..!

I am sure you will get over this mid life syndrome and invite us all for your happy day!

..Read more

Ramalingam

Ramalingam Kalirajan  |6978 Answers  |Ask -

Mutual Funds, Financial Planning Expert - Answered on Oct 22, 2024

Asked by Anonymous - Oct 22, 2024Hindi
Money
I am 42 ,me n my family has 8 cr in mf,5 cr property,1 cr in fd ,50 lacs gold , n i have health insurance ,my monthly expense of family is 3 lacs ,please suggest I am planning to quit my job..
Ans: Your financial situation is impressive. You’ve built a strong foundation across multiple asset classes. Here's a detailed review of your portfolio:

Rs 8 crores in mutual funds.
Rs 5 crores in property.
Rs 1 crore in fixed deposits.
Rs 50 lakhs in gold.
Health insurance is in place.
Family's monthly expenses are Rs 3 lakhs.
You are now considering quitting your job. Let's break down the critical factors and give you a clear picture of your financial future.

Monthly Expenses vs. Existing Assets
Your monthly family expenses are Rs 3 lakhs. This translates to Rs 36 lakhs annually. It's crucial to ensure that your investments generate enough returns to cover these expenses without depleting your capital.

The key focus should be on maintaining a steady cash flow to sustain your lifestyle.

While Rs 8 crores in mutual funds and Rs 1 crore in fixed deposits are solid, we need to evaluate their liquidity and returns.

You also need to consider inflation, which will increase your expenses every year.

Evaluating Your Mutual Fund Portfolio
You have Rs 8 crores invested in mutual funds. Let’s look at how this can be optimized for your long-term needs.

Active vs Passive Management: Actively managed mutual funds could offer better returns. Index funds, while low cost, tend to follow market trends. They might not always outperform actively managed funds. Given your goal of quitting your job, maximizing returns is crucial.

Direct vs Regular Funds: If you're investing directly, it could be more taxing for you to monitor the funds. Regular funds managed by a Certified Financial Planner (CFP) offer professional oversight. This ensures your portfolio stays aligned with market conditions and goals.

Debt Allocation: Ensure that a portion of your mutual funds is allocated to debt funds. This will reduce the volatility and provide a steady income. Equity-heavy portfolios can give good returns, but you also need stability, especially when planning to quit your job.

Real Estate: Liquidity and Considerations
Your property worth Rs 5 crores is valuable, but real estate is not very liquid. In case of an emergency, it might not provide quick cash.

Property investments are often illiquid and may not generate regular income unless rented. If there’s no rental income, you should not depend on it for cash flow needs.

While it contributes to your net worth, its direct impact on your monthly cash flow is limited.

Fixed Deposits: Security but Limited Growth
Rs 1 crore in fixed deposits offers stability. However, the returns from FDs are relatively low, especially when you consider inflation.

Interest Income: The interest from your FDs can contribute towards covering your monthly expenses. However, inflation could erode the purchasing power of this income over time.

Inflation Consideration: The average inflation rate in India is about 6-7%. FD returns often do not match up to this, meaning your real returns (after adjusting for inflation) could be negative.

Taxation: Interest earned from FDs is taxable as per your income slab, reducing your net returns. Keep this in mind while evaluating its contribution to your financial goals.

Gold as a Hedge
You have Rs 50 lakhs in gold, which is a great hedge against inflation and market volatility.

Role of Gold: Gold doesn’t generate regular income, but it acts as a store of value. It’s more of a wealth-preservation tool.

Liquidity: Gold can be easily liquidated during times of need, but it’s better to use it as a backup rather than a primary income source.

Health Insurance: Peace of Mind
You already have health insurance, which is excellent. Ensure it covers all major medical expenses and has sufficient coverage for the entire family.

Review Your Coverage: Reassess the sum insured regularly to ensure it matches the rising healthcare costs. Ensure you have family floater health insurance to cover every member.
Post-Retirement Strategy: Generating Regular Income
Quitting your job means you'll need a consistent income stream from your investments. Let’s see how you can plan for this:

Systematic Withdrawal Plan (SWP): A SWP from your mutual fund portfolio can generate a regular monthly income. This would be tax-efficient and can help meet your Rs 3 lakh monthly expenses.

Debt Fund Allocation: Debt mutual funds could provide stability. Returns are lower than equities but more predictable. They can be used for your regular monthly expenses.

Equity Allocation: Equity funds can still be a significant part of your portfolio. Over the long term, they will provide growth and protect against inflation.

Diversification: Ensure that your portfolio is diversified across asset classes—equities, debt, and gold—so that you’re not overly dependent on one type of asset for income.

Adjusting for Inflation
Inflation is one of the most significant risks to your financial security after quitting your job.

Higher Living Costs: Inflation could push your expenses from Rs 3 lakhs to Rs 6 lakhs in 15-20 years. It’s important to plan for this.

Growth-Oriented Investments: To counter inflation, ensure that a good portion of your investments is in growth assets like equity mutual funds. Over time, these should provide returns that outpace inflation.

Managing Taxes
Tax efficiency is crucial when you’re relying on investments for regular income.

Mutual Fund Taxation: Long-term capital gains (LTCG) on equity mutual funds above Rs 1.25 lakhs are taxed at 12.5%. Short-term capital gains (STCG) are taxed at 20%.

Debt Fund Taxation: Debt funds are taxed as per your income tax slab, so consider this while withdrawing.

Tax Planning: Work with a Certified Financial Planner to minimize your tax outgo and maximize your post-tax returns. It’s important to balance income generation with tax efficiency.

What Should You Do Next?
Here’s a step-by-step approach to help you transition smoothly when you quit your job:

Review Your Current Portfolio: Work with a CFP to review your existing mutual fund portfolio. Shift towards a mix of growth and income-generating funds.

Set Up a Systematic Withdrawal Plan (SWP): This will provide you with a steady monthly income from your mutual funds.

Build a Debt Mutual Fund Cushion: Allocate a portion of your portfolio towards debt funds to reduce volatility.

Ensure Tax Efficiency: Keep an eye on taxes, especially capital gains and interest income. Use tax-efficient strategies to protect your income.

Plan for Inflation: Ensure that a significant portion of your investments remains in growth-oriented assets to beat inflation in the long run.

Finally
Your decision to quit your job is supported by a solid financial base. However, managing your portfolio for regular income, tax efficiency, and inflation protection will be key to sustaining your lifestyle without stress. A clear strategy with professional guidance will ensure a smooth and secure transition into this new phase of life.

Best Regards,

K. Ramalingam, MBA, CFP,

Chief Financial Planner,

www.holisticinvestment.in
https://www.youtube.com/@HolisticInvestment

..Read more

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Ravi Mittal  |397 Answers  |Ask -

Dating, Relationships Expert - Answered on Nov 06, 2024

Asked by Anonymous - Sep 03, 2024Hindi
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Me and my bf are resident docters in a hospital .We hardly had time with each other ,but always supported each other in difficult times.Through fights ,breakups ,patch ups ,we were there all in these 3 years .He has always been more career oriented , hardly expressed any feelings on his own for me ,he only expressed or said i love when i asked him too .Now i m in my last year of md exams ,he got selected in aiims delhi dm since he was senior to me .Now he hardly communicates with me ,like in 48 h ,all we do is talk for 2 min ,where he hardly says anything ,sometimes he talks is about work.I have asked him multiple times if anything wrong i did ,he has kept on saying he is busy ,he says atleast i call u ,i hardly have time for anyone.He says all he sees now is his work ,patients and career . I have always adjusted according to him ,now it is becoming difficult to adjust .I cant take the trauma of leaving him ,because i have very important exams in 4 months .He was my only bestfriend ,my guide ,my love .He has been changed person .But i m studying and working almost 20 hrs , how to cope up ,i m all alone in this melodrama ,sometimes i wish i was dead
Ans: Dear Anonymous,
Your feelings are valid. It is indeed difficult to adjust to an unexpressive partner. One out of two things can be happening here- one, he does not know how to express his emotions; that is who he is fundamentally. Two, the work pressure and hectic hours have made him detached. You can try having an open conversation with him about it and let him know that you are not being able to carry on like this. Communicate your concerns and how his attitude toward you has affected your mental health. That is the only way to move forward. After the conversation either of two things will happen- it will be a wake-up call for him and things will change for the better. Or, he will continue to behave the same way and you have to rethink the relationship. My suggestion is to have the talk after your exams. I know you think he is your everything, but you are your everything. Do not let this relationship waste the years of hard work you have put into your studies. Focus on yourself and trust me when I say this- value yourself the way you want others to value you. If you don't, why would anyone else?

I hope this helps. Best Wishes.

...Read more

Anu

Anu Krishna  |1274 Answers  |Ask -

Relationships Expert, Mind Coach - Answered on Nov 06, 2024

Asked by Anonymous - Oct 31, 2024
Relationship
I am married for last 3 years. I found out about my wife's sexual past just months into our marriage. I even enquired her about her past before our marriage and told her that I don't tolerate lies and don't believe in premarital sex but she still lied to me and deceived into a fraud marriage. So I started sleeping with prostitutes and call girls as a revenge. I even had an affair with a divorced woman but that didn't last long. I know I didn't do anything wrong. She is the one is in the wrong. She deceived me into a fraud marriage. Should I forgive her and live with her?
Ans: Dear Anonymous,
instead of dealing with the problem at hand, you decided to go and create more problems?
What prevented you from actually talking to your wife. If you felt cheated, was it not possible for you to channel the anger by having a conversation with her about it? Revenge never helped anyone, but well...
Now, by blaming her, what can happen is that she will defend and you will again accuse and this will go on...
So, yes you are feeling cheated and deceived by her. You have two ways of approaching it. rebuild your marriage and start with a clean slate which means she cannot keep secrets with you anymore OR you can build more anger which is bound to destroy the marriage. I would suggest the first option where you get a fair chance to express how you feel to her and also come clean with your revenge scene with her...this may help both of you put things aside and rebuild the connection. Give this a fair shot!

All the best!
Anu Krishna
Mind Coach|NLP Trainer|Author
Drop in: www.unfear.io
Reach me: Facebook: anukrish07/ AND LinkedIn: anukrishna-joyofserving/

...Read more

Anu

Anu Krishna  |1274 Answers  |Ask -

Relationships Expert, Mind Coach - Answered on Nov 06, 2024

Asked by Anonymous - Nov 05, 2024Hindi
Relationship
Hello, I am a 42 year old woman with a 14 year old boy and a 12 year old girl. Ours was an arranged marriage. I got married at age 23 and my husband is just 2 years older to me. Right from the beginning my husband is great at cooking, household chores etc but never expresses romance openly. I was always a emotional woman who slowly turned to him and stopped expressing my needs well. So far out marriage was great cos I avoided confrontations and arguments. Only thing was he was always a critical person and I am emotional girl . Since I cld not express myself clearly as he never heard me, my communication with him sounded nagging, comparing and complaining. In 2011, he cheated on me and I learnt on his affair. I did not know how to process this phase so immediately forgave him within 2-3 days and even ended up being pregnant with my daughter. However he never used to speak on his past affair not were my feelings resolved. Whenever he would speak rudely or yelled at kids or me for little things, the past trauma would trigger and I would openly remind him of his grave mistake. This went on and he would get agitated and keep quiet. One day he did tell me that lifelong he needs to live with this past of me reminding him. But he has never understood the trauma I have gone through. I have just repressed it all along. Cut short 2024- there is lots of resentment with us. In 2022, I saw messages that he exchanged with another lady colleague on romantic songs , good morning messages and they would casually meet for lunch etc . This time I flew in rage and assumed he has cheated on me again. Told him first time I was a fool who didn't notice things right under my nose and now this is the latest. We had a big fight. I reminded him of his dirty past. At first he looked shocked from these allegations and told me he will clarify everything later. But next day in 2022 , when I asked him, he appeared to be a changed man and sounded more confident that he didn't do anything wrong. I pestered him to take me to office, we went to his office I met this lady and politely told her to stop sending good morning messages to my husband. I indirectly told her I have trust issues because of a past but did not elaborate. My husband who had taken me to the office , later was annoyed because apparently the woman colleague was annoyed about me coming to office and also mentioned about my trust issues. At this point this great husband spilt out to her that he had cheated on me. I never ever disclosed anything to her. Later he messaged me saying he was very annoyed and upset that I disclosed the dirty past to his colleague and if anything happens to his job he will never forgive me. I did tell him I never disclosed but he did not belive me. From 2022 until now we are almost in a silent divorce phase. We sleep in different bedroom and only communicate basic stuff on milk, curd , veggies etc He had never connected to me emotionally and would always get annoyed when I wld cry or show my frustrations. Now after all this he has literally cut me off emotionally. In this period from 2022-till now I did try to get back to normal but his vibes are very negative and disconnected. So even I too started distancing myself. During 2022, after the incident he had mentioned on how it is important to work, ve independent and how he favours open relationships ( non sexually). I was always working but earned lesser and used to depend on him a lot. Now I have changed in these 2 years, I have a better job and am not at all dependent on him emotionally, physically or mentally. Infact I pitch in to our household expenses.Our lives are totally disconnected and we there just for the kids. He cooks for all of us, I take care of remaining chores and help them in their studies . We don't attend family events and this has left many guessing on our status. I have lot of unresolved emotions and since he cannot process my emotions or least interested to hear me out I don't know when I will explode. I am just repressing my feelings and keeping a happy cheerful face for the family and kids. We even went for a vacation for kids sake where we just interacted with kids. Kids know things are not allright and pray for us together. I know this isn't healthy for me and I will invite psychosomatic issues in life later on. I am still attached to him and maybe once he expresses a sorry or a remorse and have a hope we can fall back in love again. Why can he never understand that emotional trauma that I have gone through Inspite of being loyal to him always. For once if he just uses kind words and apologises I will forever love him and forget everything.
Ans: Dear Anonymous,
Your husband perhaps is someone who is not great at conflict management; he finds it easier to avoid it and avoidance can mean that he hopes that it will go away or that you will stop talking about it or that he can find ways of actually pinning the blame on you for the way that he is feeling.
So, you will come across as nagging and may also feel guilty for asking him to listen to the way that you feel about the past incident. This is classic avoidance response from him that will make you wonder of you are actually wrong and at some point you may even start justifying his actions.
Repression is temporary; eventually all the emotions will collect themselves and hit back when you least expect it. If you want him to hear you and the way you have felt about his cheating, he will again get pushed into an avoidance mode. He has not learned any other way of handling conflicts. So, either you can go to couples counseling together OR you accept this side of him. Sounds too much to do, yeah? But how can you change a person who does not want to change. Some people also cannot express their love the way you have mentioned.
Since you still love him, I can only assume that the marriage holds a lot of significance for you. Then you can be happy only when he changes OR you accept him... which one seems more doable, start with that first...who knows if an external person like an expert can actually guide the two of you, things may fall in place!
I would also suggest requesting him for an honest chat where he is also in a space to LISTEN to you...try...

All the best!
Anu Krishna
Mind Coach|NLP Trainer|Author
Drop in: www.unfear.io
Reach me: Facebook: anukrish07/ AND LinkedIn: anukrishna-joyofserving/

...Read more

DISCLAIMER: The content of this post by the expert is the personal view of the rediffGURU. Investment in securities market are subject to market risks. Read all the related document carefully before investing. The securities quoted are for illustration only and are not recommendatory. Users are advised to pursue the information provided by the rediffGURU only as a source of information and as a point of reference and to rely on their own judgement when making a decision. RediffGURUS is an intermediary as per India's Information Technology Act.

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