What are Retirement Funds?
Retirement funds are mutual funds that aim to provide regular income after an investor attains the age of 55 or 60. Because these funds provide pensions to investors, they are also known as pension funds. Generally, the pension starts at age 55/60 and continues until the investor’s demise, after which the remaining corpus is transferred to the nominee. View More
What is the Purpose of Retirement Funds?
The actual purpose of the target retirement funds is that it will create a smooth source of income for investors when they do not have a proper income. These funds act as deferred pay, offering monetary security and proper capital to pay up for all the necessities. View More
Who Should Invest in Retirement Funds?
Retirement mutual funds allow you to create a retirement corpus to get regular returns after attaining your retirement age. While getting a predefined amount every month is the norm, you can also choose to cash out your investment as a lump sum to fulfil your financial obligations. The mutual fund house carefully decides the monthly payout amount after factoring in the probable inflation at the time of maturity. View More
Different Types of Plans for Retirement
When it comes to the plans for the best retirement funds, you will come across many of them. Some of these are: View More
Taxability of Retirement Funds
The best retirement funds are more tax-efficient than many other investment options. Some retirement mutual funds allow you to claim a tax deduction of up to INR 1.5 lakh every financial year under Section 80CCC of the Income Tax Act. However, the income will be taxed as per your existing tax slab when the annuity starts. View More
Risks Involved With Retirement Funds
While retirement funds are often considered the best investment instrument for assured retirement benefits, they do carry some risks. Here are the most common risks associated with pension funds: View More
Advantages of Retirement Fund
The following are the top advantages of retirement funds: View More
How to Calculate the Amount You Would Need For Retirement?
When it comes to calculating the best income funds for retirees, individuals must consider multiple aspects, which include: View More
Conclusion
Pension funds or retirement funds can help individuals greatly after they retire from being a working professional. This retirement income fund will serve as a source of income for their later life. View More