Académique Documents
Professionnel Documents
Culture Documents
&
Employee Benefits (RPEP)
Expense Method
How about being rich not just in cash and material assets, but also
enjoying great health, fulfilling relationships, a life filled with
activities you love, freedom to manage your time and resources as
you choose, and more…
From Financial Planning Perspective :
“Wealth Creation is all about creating Financial Assets,
Managing Investments and Generating Income Streams.”
Liquidity:
It significance how fast investment assets can be converted into
liquidity for any kind emergencies including retirement cash flow.
Return:
It is necessary to beat inflation in order to create wealth
Life expectancy
Stage 2.
Finding out the Present value of Expenses outflow during retirement.
i.e from Retirement age to Life expectancy.
Stage 3.
Finding the amount of investment needed to create retirement
Corpus.
i.e from Current Age to Retirement Age
Advantages of DC plans
Participants have certain degree of flexibility on how they choose
to save
Can be funded through payroll deductions directly
Participants can benefit from good results
Easily understood by participants
Tax deferred retirement savings medium
Disadvantages of DC
Difficult to build a fund for those, who enter late
Participants bear investment risk
Other Plans
New Pension Scheme
Investment Product :
Public Provident Fund Scheme
Reverse Mortgage
National Pension Scheme