Don't make these mistakes if you are planning for retirement

Zee Media Bureau

New Delhi: Retirement plans ensure that you spend your old age without worrying about your finances. A good retirement plan not only gives you financial security but also keeps you psychologically upbeat about the future.

However, if you are planning for your retirement, it is advisable that you keep the following things in mind and don't make these mistakes.

No focus on Goal

Everything after retirement sums up to one question –How do you want to spend your life after that. Do you want to go on a cruise holiday? Do you want to live in a community home or spend the life in the tranquility of some far-away village? For all these it is important to create a goal or destination. Don't make mistake while making your goal chart.

Know your finances

When you retire you will also have to keep in mind inflationary pressures. A packet of milk will not cost the same 20 years hence. So don't make the mistake of miscalculating your finances.

When to start

It is not only about when to start preparing for your retirement, it is also about how much to put in the fund. So, calculate the time and the money spent on your retirement fund.

Additional corpus for health hazards

With old age, comes a lot of ailments too. You must be well prepared to face these hazards. A fund or insurance against health should also be borne in mind when you calculate your plans.

Investment plans

You can not blindly create a fund and chart out your retirement plans. You also need to be a smart investor. Talk to your portfolio manager and find out what suits your salary type and how optimally you can use your savings.