Close
Close

Buy a Life Insurance Plan in a few clicks

Now you can buy life insurance plan online.

Kotak e-Term

Protect Your family’s financial future with Kotak e-Term. Know more

Kotak Assured Savings Plan

A plan that offer guaranteed returns and financial protection for your family. Know more

Kotak Guaranteed Savings Plan

A plan that offers long term savings and insurance in one premium. Know more

Kotak e-Invest

Insurance and investment in one plan with Kotak e-Invest. Know more

Kotak Lifetime Income Plan

Retirement years are the golden years of life. Know more

Close

Get a Call

Enter your contact details below and we will get in touch with you at the earliest.

  • Select your Query

Thank you

Our representative will get in touch with you at the earliest.

6 Signs That You Are Not Financially Ready For An Early Retirement

Choosing to retire early without proper planning can make you regret your decision later on. Here are 6 signs which signify that you are not yet ready for retirement.

  • Dec 22, 2021
  • 1,303 Views

There may be various reasons you wish to retire early, such as disliking your job, pursuing travel, other interests, etc. But early retirement involves much more than just giving up your job. Your finances must be stable, and you must have a plan to address your regular and critical expenditures in the future. Choosing to retire early without proper planning can make you regret your decision later on.

Look out for the below signs, which signify that you are not yet ready for retirement.

1. You Are Struggling with Current Expenses

If you are unable to pay your bills comfortably with the current paycheck, early retirement may not be a good idea for you. While some expenses such as commuting may decrease when you retire, others like health, entertainment, and travel expenses may add on. Also, while struggling to pay your bills, there is little scope for investing and saving for retirement.

2. You Have Debts/Loans

If you still paying EMIs for home loans, study loans, or other debts, early retirement can further misbalance your finances. Therefore, you should pay off the debts before choosing to retire so that it doesn’t take a toll on your finances in the future.

3. You have no Retirement Plan (or Insufficient Savings)

Early retirement calls for efficient planning for at least a few years before you plan to retire. You must have a retirement plan and other savings that are more than enough for your expenses post-retirement. If you have opted for a retirement plan, the corpus must be sufficient to serve you for those extra retirement years.

4. You Do Not Have a Health Coverage

It is a crucial factor to look for while retiring early. It is vital to have insurance for health, life, and other disabilities before you retire so that such emergencies don’t affect your funds meant for other things. If you are still to get health coverage, it might not be a suitable time to retire.

5. You Have Family Obligations/Responsibilities

If you have family responsibilities such as education or marriage of children, dependent parents, or other obligations, you must reconsider your plan to retire. It is a better idea to get rid of all the responsibilities of the dependents before you choose to retire early.

6. You Don’t Have Separate Fund for Emergencies

Emergencies can fall upon us at any time, and you must be prepared for them before you plan your early retirement. There must be a separate emergency corpus to handle such situations. It may be in the form of market investment, properties, or other assets that can be easily liquefied in times of need.

Plan Wisely to Make the Most of Your Retirement Years

Early retirement is an excellent idea if you wish to lead a life on your terms, but the retirement years may be fruitful only if it has been planned wisely and well in advance. Also, you must be emotionally ready to retire with a plan in mind to utilise your free time.

In this policy, the investment risk in the investment portfolio is borne by the policyholder.

Kotak e-Invest

Download Brochure

Features

  • Return of Mortality Charges*$
  • Enhanced Protection
  • Multiple Plan Options
  • Zero Premium Allocation Charges
  • Tax Savings^

Ref. No. KLI/22-23/E-BB/521

T&C

- A Consumer Education Initiative series by Kotak Life

Similar Articles

What is the Estimated Return Percentage on ULIP? Do Investors Get Compound Interest?

What are the Chances of Losing all my Money in ULIP and How Much Return Should I Expect?

Terminologies You Should Understand About Retirement Plans

What is an Annuity Plan, and How Does Annuity Plan Work?

What are the minimum and maximum investment in ULIP? Would the Whole Amount Insured in The ULIP Insurance be Invested in the Market?

Saving for approaching retirement with retirement insurance

How to Maximize Your Retirement Savings with a Pension Scheme in India

Difference Between Unit-Linked Insurance Plans and Non-Linked Plans

Are Annuities Great For Early Retirement?

Single Premium ULIP or a PPF - Which One is Better?

7 Secrets that can Make Your Post-Retirement Phase Prosperous

Retirement Planning - How To Calculate Your Retirement Premium in India?

Benefits of Early Retirement Plans

What is Lock-In Period in ULIPs?

How can NPS help you save tax?

What is the Difference Between EPF, VPF, and PPF? What are Their Tax Benefits?

Why You Should Invest In An Annuity Plan?

Pros and Cons of Retirement Annuities

Benefits Of Retirement & How Investments Can Help You Enjoy Them

Know Why You Should Stay Invested in Your ULIP Plan

Looking for Ways to Earn Lifetime Income in Retirement? Here Are 6 of the Top Options

Inflation: A Key Factor to Consider into Retirement Planning

Is it Advisable to Withdraw the ULIP Insurance Policy After 5 Years?

Which Pension Plan Suits You best?

Types of Annuity Plan | Annuity Definition - Meaning & Key Benefits

Annuity Plan | How to Choose the Right Annuity Plan | Kotak Life

What Happens to ULIP Premiums Paid if the Market Crashes?

10 Steps to Figure Out How Much Money You Will Need For Your Post Retirement Plans

Why ULIP Should Be a Part of Your Investment Portfolio?

What are ULIPs and their Types?

Who Gets the Benefit After the Maturity of ULIP: The Proposer or The Life Insured?

Here's What Retirement Would Look Like 30 Years From Now

What are the Charges Levied on ULIP?

A Quick Guide to Retirement Plans

The Significance of Number 8,000 in Retirement Planning

How Much Corpus Does One Need for Retirement?

How To Keep Your Retirement Accounts from Being Hacked?

ULIP Plan or Traditional Insurance Plans - Which is better?

A Beginner's Guide to Understanding 401k Retirement Plan

ULIP Tax Benefits: यहां निवेश करने पर मिलते हैं 5 बड़े फायदे

Retirement: A New Start to Life!

Retirement Planning at 50? You Are Still Good to Go

Why Should You start Retirement Planning as soon as you start a job?

Is ULIP Better Than FD?

Can I Surrender My ULIP Policy after 2 Years?

Retirement Planning for Millennials

Retirement Planning: Use our Retirement Calculator to Plan Ahead

Why Should You Invest in NPS?

Which Is Better: ULIP or SIP?

Importance of Retirement Planning

Worried About Running Out of Money in Retirement? 4 Tips to Avoid This Crisis

NPS for Housewife

Ten Signs That You're Ready to Retire

What are Fixed Maturity Plans and Why Should I Invest in Them?

How Does Pension Plans in India Works?

Getting Close to Retirement? Six Key Retirement Planning Tips That Can Help You Retire

What is Fund Value in ULIP?

How Do Annuity Options Work In NPS

What is the Death Claim Payable in the Case of ULIP?

What is a Retirement Plan - What are its Features?

Types of Retirement Plans

What is Premium Redirection in ULIPs Plans | ULIP Insurance Plans | Kotak Life Insurance

Is it Suggestible to Take a ULIP Plan Linked with a Term Plan?

What are the Instruments Available for Building a Retirement Corpus?

Advantages of Pension Schemes and Retirement Plans

What Are Retirement Pension Plans?

Top 6 Reasons Why You Should Get A Pension Plan

Does Having Both ULIP Plan and Other Health Insurance Plan Make Sense?

Invest for your second innings with a guaranteed savings plan

5 Notable Investment Options for Retirees

Give Your Retirement Savings A Booster-Shot with Annuities

Top 4 Mistakes To Avoid While Planning For Your Retirement

What are the Differences Between ELSS ULIP and Mutual Funds?

Types of Pension Plans for Your Retirement

How To Choose The Right Pension Plan?

Why Should Retirement Planning Be on Top of Your Priority List?

What are the things to consider before buying ULIPs?

Understanding Annuity Plans

What Are Superannuation Benefits?

Retirement planning with a systematic life insurance plan

What are the 4 Financial Phases of Retirement? How to Budget For Each One?

How to Build a Tax-Free Pension Income for Retirement?

5 Reasons to Buy ULIP for a Secured Financial Future

Retirement Planning Guide for Working Men and Women

Un-Retirement - Are You Ready For It?

Is It Worth Buying ULIP Plans For 10 Years?

Best Insurance Plans for a Guaranteed Monthly Income After Retirement!

How Does ULIP Work in India?

What tax benefits are there on saving for retirement?

What To Do With Your Retirement Accounts During An Employment Lapse?

What are the Benefits of ULIP - Explained

5 Common ULIP Myths That You Should Stop Believing

How Safe is it to Invest in ULIP plans?

At What Age Should You Start Your Retirement Planning?

How Quickly is Fund Switch Effected in ULIPs? Is it Done the Same Day or After a Particular Number of Days?

Retirement Planning Guide: These 5 Steps Will Help You Towards a Safe, Secure and Fun Retirement

Tips to invest your voluntary retirement scheme money

5 Retirement Planning Tips for a Financially Controlled Post-Employment Life

यूलिप में 8 शुल्क जो आपको अवश्य जानना चाहिए

Save Early to Keep Living Your Dreams Post Retirement

What Happens If I Stop Paying My ULIP Policy Premium After Paying the First Premium? Will I Still Get The Return?

Different Types of ULIP Investments in India

Importance of financial Planning for Retirement

Do Pension Plans Allow any Death Benefits?

Top 4 Myths About ULIP Investments You Should Know

Do ULIPs Give Good Returns On Investments?

Is ULIP a Complex Financial Product?

यूलिप और उनके प्रकार क्या हैं?

Calculating a Retirement Corpus that can Support Your Lifestyle

Top 6 Flexible Benefits That ULIPs Offer

How Can I Achieve My Wealth Goal with ULIP Investment?

10 Steps to Figure Out How Much Money You Will Need After You Retire

Meaning of Sum Assured in a ULIP

Demystifying the Retirement Planning Process

How has ULIP Grown Over the Last 3 years?

How Can ULIPs Help You Plan for Your Child's Future?

How Does NPS Work?

FAQs on Taxation of ULIPs

Is ULIP a Good Option for People Above 60?

Long Term Investment Guide for Your Retirement

How to Win at Retirement Savings?

Top Investment Options for Retirement Planning

What are the Uses of ULIP?

5 Steps to Gift a Smart Retirement Plan to Your Parents

ELSS vs ULIP: Which is a Better Investment?

Important Questions To Ask Yourself Before Choosing A Good Retirement Plan

What is the difference between Life Insurance and ULIP?

EPF Grievance Management: All You Need to Know

What Are Mortality Charges In ULIP?

What is a Defined Benefit Plan and How it Works?

How should one decide on fund allocation within NPS?

5 Reasons Why ULIP Plans are One of The Best Retirement Planning Instruments

Can NRIs Invest in ULIP Plans Offered in India?

Benefits of Early Retirement Planning in India

How Has NPS Performed in Comparison with Other Instruments?

Are You Planning an Early Retirement? Here's Why Buying Annuity Plan Will Make Sense

Is it possible to live a financially independent life, even after you retire?

ULIP: Can You Surrender ULIPs or Withdraw Money from It?

How To Calculate The Present Value And Future Value Of Annuities?

Retirement and Pension Plans in India- What are Your Options?

ULIPs or Pension Plans – Which is a Better Retirement Plan?

What are the Rules for Exit From NPS?

Different Types of Retirement Schemes

How To Make Most of Your Money After Retirement?

What is Partial Withdrawal in ULIPs?

Is ULIP A Good Investment Option?

What is the Minimum Lock-in Period for ULIP?