Retire at 45 on ₹2 lakh a month
A 32-year-old earning ₹6 lakh a month after tax wants to stop working at 45 and keep spending ₹2 lakh a month in today's money until 90. They have ₹1.2 crore invested and ₹30 lakh in EPF, and invest ₹2.5 lakh a month, raised 5% a year.
92%chance the money lasts, retiring at 45 on ₹2.00 L a month
₹10.74 Crneeded at 45, in today's ₹
₹1.50 Crnet worth today
Chance the money lasts to 90 with a ₹2.5 lakh SIP, by retirement age
| Retire at 42 | 77% |
| Retire at 45 | 92% |
| Retire at 48 | 98% |
| Retire at 50 | 99% |
Each extra year of work helps twice: one more year of saving and one less year of spending. Moving the date by two or three years usually does more than chasing higher returns.
The assumptions
- Age 32, money has to last until 90.
- Take-home pay ₹6.00 L a month, rising 2% a year above inflation until retirement.
- Household spending ₹2.00 L a month in today's money, 90% of it after retiring.
- SIP ₹2.50 L a month, raised 5% a year.
- Health insurance ₹50k a year, out-of-pocket medical costs from 70, and a 3% yearly chance of a ₹10.0 L bill insurance won't cover.
- Equity returns 11% a year on median with 22% volatility, inflation 6%, 90% confidence, New Regime tax.
All numbers come from the same engine as the calculator, run over 1,000 market histories. See how it works for the defaults and their sources.
This is an illustration, not advice. Your own numbers will give a different answer.