InvestorQ : My parents are planning to take a retirement saving plans. Can you suggest any good tips to choose the right pension plan?
Manisha Mehta made post

My parents are planning to take a retirement saving plans. Can you suggest any good tips to choose the right pension plan?

Answer
image
3 years ago
Follow

A pension plan helps an individual sustain his/her lifestyle even after the pay checks stop coming. These plans help an individual allocate some part of his/her savings to accumulate money and over a period of time, these funds offer you with steady income post your retirement.

Since there are many pension plans available, follow the below tips to narrow down on the best possible plan.

· Bear inflation in mind: Inflation plays a major role on your lifestyle, apart from age and duration of the policy. You need to narrow down your search on the sum assured and choose a right policy that would be beneficial to your family once you are gone. Seek professional help from insurance advisors of Coverfox.com to solve your dilemma. In short, your investment should beat inflation.

· Your pension plan must be complementary: Remember that your pension plans should always compliment your current retirement savings. You should focus on risk/return investments in case you have invested too much in conservative instruments.

· Flexibility in your pension plan: It is advisable to invest at an early age in pension plans. Your capacity to pay higher premiums can grow only as your income grows. There are certain pension plans that allow increasing the premiums gradually.

3 Views