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What are the best retirement investment plans in India?


A bit of calculation and the knowledge of how to tide over a financial crunch go a long way in the retirement years.

Retirement is the rainbow at the end of the long, arduous road of life. It is a time for goodbyes and new beginnings: as you finish the working chapter of your life, you begin a new journey that helps you reconnect with yourself and your family. You now have the time to do all the things that there was no time for previously – develop a hobby, travel, go out with friends, and learn new skills…
But a happy retirement is not a lucky coincidence. It needs careful planning and a firm grip on what one needs from the future. One must start retirement planning when one is still working. One can explore some of the best investment plans for retirement, such as:

Open a PPF account

A Public Provident Fund (PPF) account is most Indians' traditional go-to investment and savings options. Financial planners also recommend opening a PPF account if you wish to have a large fund of money waiting for you when you clock in your retirement. The money is deposited for a period of 15 years and has a lock-in period of seven years. Partial withdrawals are permitted after seven years are over. The interest rate on the PPF deposit is between 8 to 9%.
 
Create a fixed/recurring deposit

If you have savings stashed away, you can grow them further by depositing them in a fixed/recurring deposit account. Your bank will open this account for you. The interest rate on the deposit is constant throughout the tenure of the deposit, so you are aware of how much money you will get at the end of the tenure. Needless to say, the longer the tenure and the larger the deposit, the more it will grow.
 
Invest in ULIP

A Unit Linked Insurance Plan (ULIP) offers excellent returns over a longer period of time. The policy offers the dual benefit of market-linked returns by investment in equity securities, as also life coverage for as long as the plan is active. It has a lock-in period of three years. This is a great option for those who are 10 years or more away from retirement and would like a good sum of money in their hands when they retire.
 
Buy a pension plan

Today, insurance providers in India are offering the best retirement cum investment option in the form of pension plans. These are insurance policies that offer a regular income when one retires. They take care of living expenses and create a much-needed stream of income when the retiree's income from work stops. You can consider getting an annuity plan that fits your future needs.