Generation “Y” executives meet their professional goals faster and achieve their financial milestones sooner, from houses to cars, everything is coming much earlier.
Rising income, smaller families, aspirational lifestyles and better health facilities have changed the definition of retirement in India. It’s not surprising that they will want to bid adieu to the corporate grind at 50.
The question is not about what age is best for retirement; it is all about what income allows you to retire.
Anyone sharing their first thoughts on retirement would often simplify retirement as a time to do what you want to do, when you want to do it, where you want to do it, and, how you want to do it.
For Generation “Y”, early retirement is no longer a grim possibility that has often been portrayed as a life of loneliness and dependency. Instead, it is now worth planning for as an exciting second innings. With enough funds saved and generating comfortable returns, maintaining a lifestyle is no longer a choice. Thus, with changing perceptions there is a big cultural shift around retirement & second innings.
Second Innings Plan –
To fulfill all these desires and have a comfortable life post retirement, an extensive process of sensible planning with years of persistence is required. Patience helps you live with the reality that true rewards usually require some short-term discomfort.
Pieces of advice for people in their 20s and 30s planning financial freedom for the second innings,
Taking shortcuts in this step could lead to compromises and quick disenchantment.
In summary, working life often provides an opportunity for a second innings. Whether you need one would depend on how well your work is aligned with your priorities. A good way to assess this would be to take time off, at least a few weeks, to think through your lifeline and priorities. For many, the current work life brings great fulfillment, while for others there is far more to life than being successful at work.