How To Choose The Best Retirement Scheme?

How To Choose The Best Retirement Scheme?

How To Choose The Best Retirement Scheme?
Retirement Scheme

Every working individual is saving for his/her life after retirement as no one likes to alter their lifestyle once the steady flow of income stops. You can retire without any worries if you have invested smartly while you were working.

However, for that, you need to choose a retirement scheme that not only funds your immediate expenses after retirement but also fulfills your long-term financial goals. The retirement plans consist of two segments viz. paying a premium to collect a corpus before retirement and earning regular payouts from the accumulated amount after retirement.

Here are some of the ideal ways to choose the best retirement scheme:

Balancing the savings

If your retirement savings consist of too many conservative investment instruments, then it is an excellent option to choose the instruments that provide higher returns.

Investing in complementary plans can also provide additional benefits like health cover, accidental cover, etc. which might prove to be fruitful in the long run.

Considering different investment options

Planning for retirement from an early stage of your work life can be a wise decision as it gives you an opportunity to build an attractive investment profile over the years. You can afford to invest in high risk/return investments in the early part of your career and choose low-risk investments as you move towards your retirement period.

Low-risk investments are recommended for retirees since they need to consolidate their returns instead of going for high-stake investment schemes.

Senior Citizen Fixed Deposit from Bajaj Finance is a lucrative investment option for retirees as it provides assured high returns without exposing them to changing market scenarios. The retirees can also predict their returns in advance by using the online FD calculator.

Considering inflation and taxes

While investing in a retirement scheme, it is also necessary to take factors like inflation and taxes into account. Inflation will not reduce your returns directly but will have a significant impact on the worth of your money.

Similarly, most of the investment instruments are taxable as well. Currently, the inflation rate is approximately five percent. Therefore, you must look out for retirement schemes that provide returns higher than five percent even after the deduction of taxes and TDS.


Liquidity is an important factor especially after retirement as you will need money to cover your immediate expenses like medical bills, electricity bills, and other daily expenses. Therefore, it is wise to invest in an investment scheme that provides easy liquidity.

Bajaj Finance Fixed Deposit for senior citizens allows you to choose the lock-in period as per your convenience. You can set the tenor between 12 to 60 months as per your requirement, and the deposited amount can also be used as collateral to raise a loan against FD in crunch situations and emergencies. Also, you can withdraw your Fixed Deposit anytime without paying a heavy penalty.

Safeguarding your family

There might be someone who is financially dependent on you, and for that, you must go for retirement schemes that safeguard the interests of your family and spouse.

The retirees must carefully analyze a retirement plan to check whether it ensures the completion of policy and guarantees benefits to your family members in case the policyholder dies before maturity.

These are some of the things that you must consider before selecting a retirement scheme. By choosing Bajaj Finance Fixed Deposit for senior citizens, you can ensure extra returns as the interest rate offered is 0.35 percent higher than the regular FD rates. Also, you can earn regular income by investing in a cumulative FD and choosing monthly, yearly, bi-annually or quarterly interest payouts. These Fixed Deposits are also accredited by third-party organizations like CRISIL and ICRA which make them safe for the senior citizens.