India ranks first in retirement readiness but they are not completely on track to meet their required/ desired retirement income. A vast majority of Indians still have to financially depend on their families after retirement. On an average, employed Indians save only about 71% of the income that they will need after retirement. This may be a result of inconsistent savings habits.
A good majority of people use a workplace pension plan with their employer contributions to prepare for retirement. Most people are happy with the savings accounts and life insurance products for retirement savings in India. There is also the persistent popularity for saving through gold and real estate because of their concerns about the impact of inflation on savings and investments.
Products with easy-to-use access, tracking and management of retirement savings would encourage a lot of working Indians to save for retirement. Indians also seem to be really interested in different types of investment products when compared to other countries, suggesting the strong appetite for new financial products. People also save for their retirement through National Pension System (NPS) as it is safe and in banks as fixed deposits,
Indians saving for retirement should invest more consistently to stay on track for retirement income goals.
