Akshay : Oh Come on Niraj, you always keep talking about retirement planning. My Grandparents, Parents never planned their retirement and they managed decently. Why is that I should be required to plan for my retirement ?
Niraj (Smiles) : Ok. So do you use a PowerBank Akshay ?
Akshay : Yes, of course. It’s a must-have. One cannot manage without it.
Niraj : Really ? How long you have been using a mobile phone ?
Akshay : Almost 10-12 years I guess.
Niraj : And are you using a PowerBank from 10-12 years ?
Akshay : No. But that’s because there were no SmartPhones those days. The basic keypad phones would run 2-3 days without charging. But these Smartphone batteries don’t even last one full day. Thus, I need to carry a PowerBank
Niraj : So why don’t you switch back to the basic keypad phones ? You wont be required to use a PowerBank.
Akshay : What are you saying Niraj ? Now that’s not possible. I am so used to all these cool apps, features etc. I can’t go back to the basic keypad phones.
Niraj : Exactly. So your grandparents’ and parents’ life was somewhat like that basic keypad phone. They would manage with tap water, but you require bottled water. For them, summer vacation would mean a trip to Dadi house or Nani house. At the most, once in 4-5 years, they would take a trip to a religious place and would happily stay at a dharamshala. But just ask yourself if you can even imagine that. You and Your family compulsorily requires a trip to a good destination every year. Once in 2 years, it has to be a foreign destination. The hotel necessarily has to be a 3-4-5 star property with swimming pool. So things have changed a lot. Isnt it ?
Akshay : You are making sense. But am I doing anything wrong by living a good life? In those days, there were not too many facilities. Thus, my grandparents didn’t use it. But I should use it right ?
Niraj : Undoubtedly, you should use it. But at your retirement, would you suddenly like to go back to the Basic Keypad phone life ? If not, then you need a powerbank.
The way you necessarily need a powerbank to take full use of your Smartphone; Similarly, you need a good retirement amount so that you can continue the same lifestyle as you are having right now.
When you have electric supply available, you don’t only charge your smartphone, but you also charge your powerbank. You do this, so that when there is no electric supply available, this powerbank comes to your rescue.
Similarly, during your earning years, don’t just fulfil your needs for today, but also save and invest some amount for your retirement. This will ensure that when you have no electric supply (regular income) available, this powerbank (retirement wealth) will keep you going.
Akshay : You have drawn an amazing analogy between Powerbank and Retirement Planning. I will start planning for my retirement today and also charge my powerbank.
We look forward to your feedback and comments on the above article.
The Author Prof. Saurabh Bajaj (BE, MBA, FRM, CFGP, CIA, AFGP) is CEO with Nidhi Investments, Mumbai. His articles have a readership from 78 Countries across the Globe. He may be contacted on CEO@nidhiinvestments.com if you have any questions.
(The views mentioned in the article are personal opinion of the author. The characters used in the article are imaginary).