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Financial Planning
Prior to Retirement
It’s easier to live in the present when you have the next 20 years figured out.
- Ric Edelman
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Wealth Traits Financial Planners, No. 9, Maven Projects Centre,
Dr. Thirumoorthy Nagar 3rd Sreet, Nungambakkam, Chennai - 600 034.
www.wealthtraits.com
Isn’t every one’s dream to live financially secure and comfortable retirement life? All your active
income will stop. Your child may not be your retirement solution. We can’t rely on social security (is
there in India?) also. One has to live either liquidating assets and resources or getting Passive
Income or combination of both. Passive income could be rental income, interest, dividend from shares
or capital gains. Exception may be intellectual income like Royalty (Not applicable for most of us). So
you need solid resource(s) at the time of retiring. Research shows that 4 in 5 under-estimate
retirement requirements. Life can throw lot of challenges which can wipe out retirement kitty. Lot
many other things need to be addressed as well.
Financial planning for doctors retirement can formulate a strategy to accumulate retirement
corpus then protect, manage and distribute income in retirement along. Well created plan includes
emergency corpus, old age health fund, debt mitigation, tax optimization, protection plans (Insurance)
for health, Critical illness and assets like vehicle, Property and Estate Planning (Transferring assets to
next generation the way you like). Most of the tasks are to be completed before retirement.
What are two dreadful things can happen in anyone’s life? I would answer without thinking twice,
Living too-short or Living too- longer. With the advent of medical advancement average life
expectancy is increasing but with mechanical/materialistic life-style people are suffering to the largest
extend. 2 more demons are waiting to spoil your half cooked plan, Inflation and Tax. Don’t get carried
away by simple advertisement like “save x amount for Y numbers of years for your colorful
retirement”. There is a big chance that you will end up locking your money in low-yielding, tax
inefficient instruments.
When comes to retirement financial planning for dentists, it’s not just crunching numbers alone.
Good Planner listen to clients on what concerning them, value system, philosophy and get
underneath what client say they want and see what beyond that. With the road map they empower
you by explaining why they recommend what they recommend and why do things in certain way. This
will help you take control of your financial life. Solid defensive measure, cash flow management and
Estate Planning are pillars of any retirement plan.
