May 13, 2023, 02:12 PM IST

Mother’s Day 2023: How can working moms create a safe and secure future

Sirali Gupta

Planning a retirement is necessary for working mothers as it helps them secure their as well as their family’s future. 

Whether you are a working mother or a business owner, you need to create a solid plan, save diligently, invest wisely, and build a comfortable and secure financial future. Here are some tips that working mothers can follow to build a retirement plan

Save early, save more 

By starting early, mothers can take advantage of the power of compounding, which allows their investment earnings to earn even more over time. By contributing regularly and consistently, mothers can accumulate a substantial amount of savings over time.

Plan and diversify 

Making a checklist of all the things that you will need in the future will help you make a proper retirement plan. After making a list start setting financial goals and accordingly start investing. Remember to diversify the portfolio as it minimises risk and maximises returns in the long run.

Follow the 40:30:30

Working mothers can follow the rule 40:30:30 which allocates 40 per cent of their income to necessities, 30 per cent to desires, and 30 per cent to savings to make the retirement corpus.

Check if the plan is working 

After planning and execution, it is necessary to keep an eye on whether the plan is working and whether you will be able to reach your financial goal. If yes, you can continue with the plan but if not it is crucial to make necessary changes as per the situation. 

Health is wealth 

It is necessary to ensure adequate health coverage, as it can protect mothers and their families from unexpected medical expenses that could potentially jeopardize financial stability post-retirement.

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