We tell you how to retire early at 45 and a strategy for financial planning for early retirement. The steps you need to take prepare your finances when you plan to retire early at 45. This includes planning the kind of retired life, retirement savings needed, regular retirement investments required, besides provisions for retirement housing and retirement healthcare costs. Website: www.fundoomoney.com Subscribe: https://www.youtube.com/channel/UCQTqvgT_qzPZn1D1bHsxtKw?sub_confirmation=1 Visit YouTube channel: https://www.youtube.com/c/FundooMoney Share Video: https://youtu.be/6srbN7Aqp4s Playlist on Retirement: https://www.youtube.com/playlist?list=PLfnE1LvH_GLEtmfWnpqr_9IyorYYTKzUW Video "Get ELSS To Start Retirement Savings l Save For Retirement With ELSS": https://youtu.be/AESs8Q7I4x0 Video "5 Steps to Build a Mutual Fund Retirement Portfolio": https://youtu.be/JUGsyFqE6iI Video "How To Recover From A Late Start Part II": https://youtu.be/C4iPYIaoYoM Video "Will Retirement Mutual Funds Work For You?": https://youtu.be/-uVMjTJOPfc Edited Highlights 00:00 Chapter 1 Introduction 1:19 First step when preparing for early retirement or retiring at 45, ask yourself how will spend your life in retirement 1:48 A lot of people mistakenly think that they need early retirement when they actually have a problem with their job or profession 2:22 What would you spend your time after early retirement? 2:28 Depending on the answer to the question, determine you financial requirements for retirement
2:39 Chapter 2 Action Plan 2:40 The next question is how much money you will need to lead a regular life after an early retirement 2:46 You will need larger saving for retired life after an early retirement when compared to a regular retirement 3:11 Now, in a far shorter work life you need to accumulate enough savings for a longer retired life 3:48 Retirement savings will need earn enough in retirement and covers regular and periodic costs 3:54 It should be able to cover even unanticipated costs 4:23 With the retirement savings target fixed, determine how much need to spend and invest 4:33 You will need to invest more since you will need to save more in a shorter work life 5:08 Be prepared for compromises like cutting down on some expenses 5:13 Look for expenses that can be staggered 5:36 Invest your money in high growth investments that grow faster than inflation 5:48 Invest your money in high growth investments that grow faster than inflation 6:29 You can't rely on fixed deposits for growing your money 6:38 You money has to grow well despite the impact of inflation and tax 7:06 Opt for equity mutual funds to grow your money 7:10 Consider consistency of performance over 1, 3 and 5 years for equity mutual funds 7:20 Compare performance with the benchmarks of the funds besides comparing performance with peer funds 7:29 You can invest through systematic investment plan or SIP 7:39 If investing in an SIP before, increase the SIP amount 8:11 Get a fix on your retirement housing. Where will you stay after early retirement? 8:20 Retirement housing is important for anybody but it is critical for those planning an early retirement 8:30 This is because it is a huge investment and you need take loans 8:34 You can't have an early retirement if you have an outstanding home loan 9:12 You need to retire any home loan before you retire early 9:25 You need to make provisions for healthcare costs 9:31 During age 40-45, ailments typically start surfacing 9:37 Remember, as you age, medical costs typically increase 9:50 You need to have health insurance and coverage for critical illness through critical illness cover 10:06 Ensure that your family is covered by health insurance 10:10 Retirement savings shouldn't get spent in medical emergencies in retirement 10:37 Have a Plan B that will cover you just in case things don't go as planned
