ArtsAutosBooksBusinessEducationEntertainmentFamilyFashionFoodGamesGenderHealthHolidaysHomeHubPagesPersonal FinancePetsPoliticsReligionSportsTechnologyTravel

Why should you plan for retirement - Importance of Retirement Planning

Updated on August 26, 2011

Importance of retirement planning

Planning for your own retirement is always a question in mind. Most people always be in a dilemma whether is it the right time to plan for retirement, or moreover whether should I plan for retirement, is it really required?? Post retirement life is entirely different from your current lifestyle. You probably will not have anything concrete to work on; probably you may not have the strength to work hard. During this phase of life, your body needs some extra rest. But if you have a robust retirement portfolio, you will never have to worry about the funds and will be able to easily enjoy your life post-retirement without being depending financially on your children for day-to-day expenses.

Why plan for retirement

When you grow older, say around 45-50 years of age, you may feel less active and may wish not to continue working. But will you then have sufficient funds in your account to continue your current lifestyle for the rest of your life? Probably, you won’t have sufficient funds if you had not plan for retirement at the start of your career. In short, you can not quit working, as your financial condition will not be strong enough. So, in order to live a better post retirement life, you must plan for retirement and moreover, the earlier the better.

When to start saving for retirement

If this was the question in your mind that when should you start to save for retirement, then you should not wait for another month or another year. Start saving and investing right from the day you start earning. If you are already late, do not wait further and start building your retirement portfolio.

Early retirement planning is also helpful if you opt for early retirement voluntarily or due to some health issues. If you have a sound retirement portfolio, you may not face much problem, but if you had not planned for retirement, it will be a great trouble for you and your family to survive post retirement. So, do not wait to plan for retirement lest it will be too late to grow your retirement fund.

Benefits of early retirement planning

  • Enough time to grow your money
  • Investing in Long term investment instruments helps to exponentially increase your retirement fund
  • Robust Retirement Portfolio

Let us look at these benefits with the help of an example. Suppose, if you plan for your retirement at a later stage, you will only be left with 10 years to save for retirement; then even $1,000 every month at 8% annual interest rate will create a retirement fund of $187,700. And if you will put $500 for 25 years at the same interest rate, you will get around $473,700, which is more than double by investing half of the amount. So, certainly early planning of retirement is fruitful which will lead to a better retirement life.

Monthly Investment ($)
Interest Rate
Total Amount ($)
Early retirement planning helps to build a robust retirement portfolio.

If you have no idea how to start and invest for retirement, check out the below link to get a better idea.

In case, you are already late for planning of your retirement and looking for monthly income, check out the below link to find different options to work after retirement.


    0 of 8192 characters used
    Post Comment

    No comments yet.


    This website uses cookies

    As a user in the EEA, your approval is needed on a few things. To provide a better website experience, uses cookies (and other similar technologies) and may collect, process, and share personal data. Please choose which areas of our service you consent to our doing so.

    For more information on managing or withdrawing consents and how we handle data, visit our Privacy Policy at:

    Show Details
    HubPages Device IDThis is used to identify particular browsers or devices when the access the service, and is used for security reasons.
    LoginThis is necessary to sign in to the HubPages Service.
    Google RecaptchaThis is used to prevent bots and spam. (Privacy Policy)
    AkismetThis is used to detect comment spam. (Privacy Policy)
    HubPages Google AnalyticsThis is used to provide data on traffic to our website, all personally identifyable data is anonymized. (Privacy Policy)
    HubPages Traffic PixelThis is used to collect data on traffic to articles and other pages on our site. Unless you are signed in to a HubPages account, all personally identifiable information is anonymized.
    Amazon Web ServicesThis is a cloud services platform that we used to host our service. (Privacy Policy)
    CloudflareThis is a cloud CDN service that we use to efficiently deliver files required for our service to operate such as javascript, cascading style sheets, images, and videos. (Privacy Policy)
    Google Hosted LibrariesJavascript software libraries such as jQuery are loaded at endpoints on the or domains, for performance and efficiency reasons. (Privacy Policy)
    Google Custom SearchThis is feature allows you to search the site. (Privacy Policy)
    Google MapsSome articles have Google Maps embedded in them. (Privacy Policy)
    Google ChartsThis is used to display charts and graphs on articles and the author center. (Privacy Policy)
    Google AdSense Host APIThis service allows you to sign up for or associate a Google AdSense account with HubPages, so that you can earn money from ads on your articles. No data is shared unless you engage with this feature. (Privacy Policy)
    Google YouTubeSome articles have YouTube videos embedded in them. (Privacy Policy)
    VimeoSome articles have Vimeo videos embedded in them. (Privacy Policy)
    PaypalThis is used for a registered author who enrolls in the HubPages Earnings program and requests to be paid via PayPal. No data is shared with Paypal unless you engage with this feature. (Privacy Policy)
    Facebook LoginYou can use this to streamline signing up for, or signing in to your Hubpages account. No data is shared with Facebook unless you engage with this feature. (Privacy Policy)
    MavenThis supports the Maven widget and search functionality. (Privacy Policy)
    Google AdSenseThis is an ad network. (Privacy Policy)
    Google DoubleClickGoogle provides ad serving technology and runs an ad network. (Privacy Policy)
    Index ExchangeThis is an ad network. (Privacy Policy)
    SovrnThis is an ad network. (Privacy Policy)
    Facebook AdsThis is an ad network. (Privacy Policy)
    Amazon Unified Ad MarketplaceThis is an ad network. (Privacy Policy)
    AppNexusThis is an ad network. (Privacy Policy)
    OpenxThis is an ad network. (Privacy Policy)
    Rubicon ProjectThis is an ad network. (Privacy Policy)
    TripleLiftThis is an ad network. (Privacy Policy)
    Say MediaWe partner with Say Media to deliver ad campaigns on our sites. (Privacy Policy)
    Remarketing PixelsWe may use remarketing pixels from advertising networks such as Google AdWords, Bing Ads, and Facebook in order to advertise the HubPages Service to people that have visited our sites.
    Conversion Tracking PixelsWe may use conversion tracking pixels from advertising networks such as Google AdWords, Bing Ads, and Facebook in order to identify when an advertisement has successfully resulted in the desired action, such as signing up for the HubPages Service or publishing an article on the HubPages Service.
    Author Google AnalyticsThis is used to provide traffic data and reports to the authors of articles on the HubPages Service. (Privacy Policy)
    ComscoreComScore is a media measurement and analytics company providing marketing data and analytics to enterprises, media and advertising agencies, and publishers. Non-consent will result in ComScore only processing obfuscated personal data. (Privacy Policy)
    Amazon Tracking PixelSome articles display amazon products as part of the Amazon Affiliate program, this pixel provides traffic statistics for those products (Privacy Policy)
    ClickscoThis is a data management platform studying reader behavior (Privacy Policy)