Importance Of Retirement Planning

“Retirement” is not a word; it is a feeling.

People like you, yes you, working hard for 8 to 10 hours every day eagerly wait for this golden years’ period.

When we think of retirement, we can think of different plans regarding this. Retirement can be an afternoon sleep for some, while it can be a trip and spending time with family for others.

Retirement Planning

But the retirement period becomes golden just only when you work hard and do daily struggles with your life and work.

In this article, we will learn about retirement planning, its importance, and its necessity for every individual.

Let’s get started.

What is Retirement Planning?

Retirement planning is a process of being financially independent after retirement. This enables you to live a happy and secure future life.

But in this process, the most important thing is saving money, and for that, you cannot depend on just your income savings every month. Also, it would be best if you learned proper investing in the stock market to grow your capital returns.

If you are new to this stock market field, you can join a stock market course to learn the basics, and it will help you with your investment.

So, what’s the need for investing in retirement planning?

Investing is pretty important these days. There are many reasons for saying so.

Let us look at an example to clarify this.

Assume you are earning INR 60000 per month. You need to meet the desired needs, the basic needs, fight inflation, diseases, etc. Hence, you can understand that you would need at least 50000 to meet your needs in the retirement period and live a healthy and happy life.

It is true that we can’t save a lot every month. Here, proper investing in the stock market helps increase the capital in the long and short term.

Not just the above reason, but also there are various other reasons mentioned below that are equally important for retirement planning.

  • Medical Emergencies

 When we grow older, we are surrounded by a lot of diseases and medical problems. By the time we get well, there is a lot of money spent on our health.

Hence, this becomes one of the main reasons for investing in retirement planning to meet the required money needs.

  • Inflations

 It is a bitter truth that the prices will keep on increasing. If you have ever talked with your grandparents, you would know that 1 rupee in their childhood was equivalent to today’s 500 or even 1000 rupees.

Hence, to meet future inflations, you need to have a proper amount that fulfills your requirements.

  • Nuclear Families

 Big joint families are just left in the movies nowadays.

In reality, people prefer to be alone and leave their parents due to family problems, insecurities, etc.

Hence, you need to do all the necessary things for yourself, not depending on anyone in the future.

Also, when you think of retirement planning, you need to be sure of the needs of planning.

Let us see some of those reasons below.

  • We are humans, not machines. You cannot work all your life. There is a time when you need to take a rest and stop.
  • In today’s world, the number of diseases is increasing significantly, and the body’s immunity is decreasing. Hence, it would help if you plan accordingly for those medical emergencies.
  • The average life expectancy is decreasing, and you have to adjust as per the time and demand of your body.

Sometimes, the body can’t work for hours every day and wants to stop early due to health.

  • Also, till you are working, you don’t give good time to your family, and you have a lot of dreams to fulfill, including trips. Hence, you think of fulfilling them after retirement.

So, start planning and investing today to remove a load at the end of your retirement.

If you don’t know the best way of investing in getting the best returns, you can join stock market courses of The Thought Tree.

So, what’s next?

Yes, you guessed it right, the benefits of planning retirement.

Benefits of Retirement Planning

So far, we have covered the importance and need of planning for retirement. Now, in this section, we will talk about the benefits of retirement planning.

  • Stress-Free Lifestyle

 Who doesn’t want to live a peaceful and stress-free life?

Retirement is the best time of life that everyone waits for. When you have an investment that provides you regular income, you can have a healthy and worry-free life.

Retirement is the time when our body needs relaxation, and the life you live at that time is the outcome of the hard work you do today.

  • Money works for you

When we are young, we are busy with our lifestyle and jobs, running after the so-called 9 to 5 job.

However, when you have attained age, and we retire, this is the time when our money has to do the work.

We all have heard one slang in our childhood that money doesn’t grow on trees.

Hence, where will you get all the money for the future?

Investment is the best way to meet all the future needs. You should start investing a small amount from a young age. The saved and invested money is with you when you need it the most, i.e., after retirement.

  • Cost-saving

 When you start investing at an early age, then your retirement planning becomes cost-saving.

This is as simple as an addition of two numbers.

To understand this in better and simple words, you can look at an example.

Let’s say you have to save 5 lakh rupees for the future. There are two cases,

  1. You started saving at the early young age of 25 years.

Here, you have around 30 to 40 years to save such an amount. So, every month you can save a small amount that would be negligible from your earnings.

  1. You wake up late and start saving at the age of 40 or 45 years. Now, you need to save a lot every month to sum that up to the desired amount for the same amount. Hence, there are chances to have some problems with everyday living too.

The above example was straightforward and simple to understand the cost-saving.

  • Inflation beating returns

Inflation is the gradual increase in the rates of the products in the next few years.

When you invest your money in the banks, you get a fixed return. The percentage of return you get is even low to  meet the inflation of the future.

Hence, the best option that is left with you is investing in the stock market.

Stock market investment helps in getting great returns over a period. Also, if you do invest in some analyzed and good company, the returns are way higher than expected.


In this article, we learned various benefits and the importance of retirement planning.

Retirement planning is one of the best things that you can do for your future. Also, the earlier you start investing, the easier it gets to plan your future, and the better your life is today and tomorrow.

If you have any problems regarding the stock market, investments, etc., you have the opportunity to study the stock market from well-known educators at The Thought Tree.

I hope the article was helpful for you and you will start working on your future from today itself.

Author BioHello and welcome to everyone reading my bio. I am a content writer by profession and also an investor in the stock market. I have a hobby to write, not because of my profession but because I love to do so. When I was a student, I was curious to know about the stock market because I saw people investing. I didn’t know why some became happy and why some became sad upon their investment.

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