How much should we have saved for retirement by age 45?
| Annual income at 45 | Approx. retirement savings target |
|---|---|
| ₹6 lakh | ₹24 lakh |
| ₹10 lakh | ₹40 lakh |
| ₹15 lakh | ₹60 lakh |
| ₹20 lakh | ₹80 lakh |
| ₹30 lakh | ₹1.2 crore |
| ₹50 lakh | ₹2 crore |
But this is only a rule of thumb. In India, your actual target depends heavily on your expected retirement age, current expenses, home ownership, children’s expenses, pension/EPF, healthcare costs, and inflation.
A better way to calculate it
If you want to retire at 60, I’d calculate:
Required retirement corpus ≈ annual retirement expenses × 25–30
So, if your expected retirement expenses are ₹1 lakh/month:
₹1 lakh × 12 = ₹12 lakh/year
A rough corpus target would be ₹3–3.6 crore at retirement.
