OpenTube

Can you RETIRE with 1 Crore in India?

Aspero

16,176 views

₹1 crore.

For many Indian households, it's been the number every Indian has associated with financial freedom and retirement.

But with the concept of FIRE and rules like The 25x Expense Rule, this ₹1 Crore soon changed from a goal to a stepping stone.

But after our last retirement podcast with someone who actually retired with ₹1 Crore, one debate completely took over the comments - at one corner were people who thought that the guy had a number of 'privilege' that allowed him to retire, the other segment was in complete agreement that a person can retire with ₹1 Crore in India.

Instead of answering these questions with opinions, we decided to test the idea itself.

In this video, we put the ₹1 crore retirement dream under the microscope using realistic assumptions, practical calculations and situations that millions of Indians relate to.

The results challenged some of our own expectations, and they certainly won't be what everyone expects.

So, if you already have ₹1 Crore or will soon have, watch this video till the end before chasing the next big number. Maybe ₹1 Crore is your retirement number.

One number. One question. A very different answer than you might expect.

Timestamps:

0:00-1:30 - The ₹1 Crore Debate
1:30-3:15 - Can someone retire with ₹1 Crore in India?
3:15-3:36 - Assumptions & Simulation Factors
3:37-6:22 - Scenario 1: No House & No Income
6:23-10:10 - Scenario 2: Own House but No Income
10:11-11:53 - Scenario 3: Own House + Side Income
11:54-14:13 - Final Verdict
14:14-14:24 - Subscribe!

20 Comments

@ankit0657 2 months ago

I am 34 have a house , a car , a sizeable corpus and zero loans. Now I am cruising at autopilot, doing bare minimum at work , not worried about hikes , promotions etc. best feeling ever . Will continue to build investment portfoliio as long as possible.

@mallikarjunabasavapattana5947 2 months ago

People are not understanding the difference between retirement and financial freedom to do want we want.

@blackmaskmask6109 2 months ago

one glitch, expecting 12% returns with equity + debt is way too high. reasonable would be 10%. I have seen people retire with < 1 crore but they were single and had no family. So yes, a number doesn't tell the full story.

@saikrish655 2 months ago

actually this is the most realistic FIRE explaination I have heard recently . great !

@TheBhimasur 2 months ago

One of the more logical and practical explanation I have heard around achieving financial freedom

@scientificnishant 2 months ago

Your way of explanation is very crisp and clear..love ur analysis

@yatishjadhav88 2 months ago

Very nicely covered fire. Keep up the good videos. It makes sense to do some very less pressure job after 45 rather not do anything at all. That would only lead one to mental and physical problems.

@JagirHussain18 2 months ago

Wonderful analysis with 3 different scenarios. Of course fire numbers will change to each and every person based on their needs and wants.
Overall really well presented 😊
After watching this video I am subscribed to your channel 👍

@sathyasview4892 2 months ago

I think this video is clear and on point much appreciated. And my suggestions to those wants to retire with 1cr.

1cr actually dont need to give us a complete retirement, but it gives freedom of life relatively for all of us like middle class people.

Not necessarily go 9 to 6 job, no need to burn from the work stress, no need to spoil our health for that… instead

Just slowly wakeup and do work 2 to 3 days 4 to 5 hrs work which will give you flexible work options, or freelance, consulting or small business etcc…

I think to achieve this at the age of 35 to 40 is really big thing. Then when we get older lets say 55 just stop work at all…

At the same time make your life simple and train your family to live simple and dont get into these Indian traditional stuffs like marriage expenses, expensive education etcc… instead just give them a decent education if they are really talented enough they will make their life on their own as what you did😅

Indian average lifespan now reduces to 60 already.

So ladies and gentlemen 1 cr is sufficient believe me. Just live the life simple as possible and stay on the earth much more. 🎉❤

@KSD-z5b 1 month ago

Great explanation, on the scenarios,
A few changes to make last scenario more realistic,
Simulate the Part time income to last only 10-15 years (as Mental/physical capacity can reduce)
Also cut out some expenses after year 20 onwards (eating out, travel will become less frequent).

@rabisankarmanna8191 2 months ago

One conclusion from whole discussion is that Lean FIRE monimum 1cr is okay to start with. although dont agree with return numbers but overall philosophy I like and agree with. Less rent and pasion side income keep life smooth.

@johnlogan4303 2 months ago (edited)

Instead of explaining why you put the title of 1cr retirement when thst person had net worth more than 1cr and also ran coaching class.

@amitsrivastava1826 2 months ago

Perfect

@Dr.SD4079 2 months ago (edited)

12% ?!!! Bro …. It was May b true bfore but now it seems no way as far as this ruling dispensation at helm!!! GDP data is fake budgets are fake infrastructures are fake … we can be fooled by fake news and media blitzering but foreign investors can’t and they left to great extent India to invest somewhere!!!! I am about to retire and my MF corpus took a great beating trimmed down !! That too at the verge of my retiring days😡😡😡
Forgot to add….! Your analysis is the best one so far I have come across as I look for this every day! Great work keep up the good work 👏👏🙏🙏

@nikhil199029 2 months ago

Get 2 1 bhks and 1 cr.
One for rental one for living and 1 cr for infinite money

@reset.india20 2 months ago

Future market returns will be around 6 to 8% only. Japan market last 30 years nil returns.

@PrytexAcademy 2 months ago

On point, great analysis! people questioning the lower future returns aspect should understand that real returns matters, here the real return taken is 12% (market return) - 6% (inflation) = 6% (real return). Future returns might be lower as India transform to Upper-middle income country, but then inflation also comes down. Just compare inflation in the past, the smoothed trend is downward!

@venkatakrishnanjayaraman5410 2 months ago

I just retired with 1.2 crore in Bangalore, Own house and a separate corpus for Children Education. Real return of 3% and proper asset allocation, Inflation 6%

@anoopgummalla1758 2 months ago

12% consistent returns is.impossible boss

@AbhisekBasuMullickঅভিষেক 2 months ago (edited)

The basic assumption of average 12% return of portfolio with a balance of debt and equity is wrong. With 100% equity portfolio also it will be difficult to achieve 12% cagr in future. 50:50 Debt + Equity portfolio will have around 7-8% per annum returns.