5 Tips To Plan an Early Retirement

Thinking of an early retirement? Here are 5 tips that will help you plan it better:

Do the math: Have clarity about the amount of annual income required post-retirement and the size of your overall retirement corpus.
Amp up your investments: Invest early and capitalize on the magic of compounding. The secret is to invest early and steadily over a long term.
Increase your income: If your current income does not provide you with the required retirement corpus by a set date, then consider increasing your income by creating a secondary income source.
Keep your expenditures in check: It's natural for your expenditures to increase along with your earnings. Cut back on non-essential expenses and aim at spending carefully.
Be tax smart: Money saved is money earned. Leverage instruments like ELSS, PPF, and NPS, among others, to optimize your contribution to your retirement corpus.