Archive · 18 Aug 2026
India's Middle Class Faces Retirement Time Bomb Warning
A very smart money expert gave an important warning about growing old in India.
He said that one day, grown-ups stop working and stop getting a salary.
But even then, they still need money for food, homes, and doctors.
He said people should start saving money when they are young, like in their 20s.
Saving early is like rolling a snowball — the longer it rolls, the bigger it gets.
If you start very late, you have to put away much, much more money every month.
He also said everyone should have health insurance to help pay for doctor visits and hospitals.
Another expert said that even people with lots of savings are sometimes scared to spend it.
So he said retired people should only use a small piece of their money each year.
That way, their savings last as long as they live.
Swarup Mohanty, Vice Chairman and CEO of Mirae Asset Investment Managers, warns that salaried Indians who delay investing past 35 risk running out of money in old age.
Starting late is costly: earning Rs 10 crore by investing from age 20 needs Rs 10,000-20,000 per month at 12%, versus roughly Rs 2 lakh monthly if starting at 40.
Mohanty says lacking good medical insurance is a major mistake because healthcare will become more expensive as people age.
Retirement strategist Milind Deogaonkar says many retirees with sizeable savings still fear spending and postpone trips, room upgrades and health check-ups.
Deogaonkar recommends annual withdrawals of 2.5%-3.5% of a corpus and a separate healthcare buffer of Rs 35-50 lakh for a retired metro couple using private hospitals.
- Who
- Swarup Mohanty, Vice Chairman and CEO of Mirae Asset Investment Managers, and retirement strategist Milind Deogaonkar
- What
- Warnings that Indian salaried professionals who delay investing or lack medical insurance could run out of money in retirement
- When
- Date not specified; the warning was made during a podcast with Finnovate
- Where
- India (with advice aimed at retirees living in metros using private hospitals)
- Why
- Because salaried people can live decades after active income stops while medical bills and other costs keep rising
- Warning issued by
- Swarup Mohanty, Vice Chairman and CEO, Mirae Asset Investment Managers
- Critical age
- 35
- Goal example
- Rs 10 crore at 12% assumed returns
- Monthly investment at age 20
- Rs 10,000-20,000
- Monthly investment at age 40
- About Rs 2 lakh
- Inflation estimates
- 6%-7% overall; 12%-14% medical inflation
- Recommended withdrawal rate
- 2.5%-3.5% annually
- Healthcare buffer
- Rs 35-50 lakh for a retired metro couple