Why save for retirement?

Ruhi had been working hard all morning and was feeling quite tired. She decided to take a much-needed break and strolled out of the office building. The nearby ice cream parlor attracted her attention; she thought ice cream was always a good idea. As she walked into the ice cream shop, she saw?Sanchit?coming out.

????Ruhi: Hey Sanchit, it has been ages since we last caught up. What have you been up to?

????Sanchit: Well, there are a lot of things. There are two existing projects I am currently working on - one involves helping the support staff in organizations make better financial decisions, and the other is creating fun and engaging finance lessons for kids.?? How about you?

????: Wow, that sounds fascinating. Speaking of Finance lessons, I have been hearing a lot about the importance of financial planning, especially regarding retirement.???? Could you tell me about it?

????: Also, can you explain it to me like one of your lessons? ??

????: Absolutely, Ruhi. Picture this: It's a warm summer day,??? and an ant?? is constantly gathering food for the upcoming winter. Meanwhile, there's a grasshopper?? nearby, just enjoying himself. Even when the ant reminds him about the challenging days ahead, he ignores her, thinking he will do it later.

????: I know this story! When winter arrives, the ant uses the food it has stored, and the grasshopper suffers a lot of hardship.

????: Exactly! Just as the ant?? works hard all summer to store food for the winter,?? we need to work hard and save money for our retirement years.

????: But, we have just started earning. There is a lot of time left. Why do we need to start saving right now?

????: Well, we indeed have time. However, the earlier we start saving for retirement, the better we can plan?? and the more comfortably we save without putting much strain on ourselves. Also, the money gets more time to grow.?? Remember, the ant didn't wait till the end of the summer to start saving food.

????: Well, that makes sense. Thank you for explaining the importance of retirement planning in an easy-to-understand manner. Next time we meet, you have to help me with investments.

Takeaway:

• Saving for retirement is like the ant in the fable storing food for the winter. Just like winter, retirement is unavoidable. Best way to deal with it is to plan for it.
• The earlier you start saving for retirement, the more time your money has to grow.

-----------------------------

Get tips to save taxes and invest better in your inbox. Subscribe now!

Till next week,

Happy Wealth Creation

Disclaimer: Educational content, not financial/taxation advice. Please consult your financial advisor/tax consultant before deciding based on this content.

P.s. Here is why RBI has asked Visa to stop some of its payments