FIRE (Financial Independence Retire Early)
What is FIRE all about?
FIRE (Financial Independence Retire Early) is a movement that began in the United States so that they could retire early and become financially independent so that they didn’t have to rely on any job in order to live their lives.
In 1992, the book “Your Money or Your Life” published by Joseph R Dominguez helped encourage people to choose Life over spending most of it slogging at workplaces. With the advent of the Internet in the 2000s, FIRE gained popularity into mainstream media and many Americans have adopted this lifestyle change in order to retire early.
The goal is to save and invest aggressively somewhere between 50–75% of your income so that you can retire sometime in your 30s or 40s.You heard it right, one needs to save at least half of their income in order to pursue a FIRE lifestyle.
In order to pursue a FIRE lifestyle one must seek to do two things: keep their expenses extremely low and find ways to raise their income. The idea being higher your income, lower are your percentage expenses and faster you can attain financial independence. People can choose to have a part time job or completely give that up work as well. It basically means attaining financial freedom so that you can choose to do whatever you’ve planned to do during your retirement. Is it easy to achieve FIRE ? NO Forget FIRE, even normal retirement at 60 is not possible for many people in India. Retirement planning is hardly given any importance in India. People become prey to scams and lose out on investments as there is a lack of awareness on personal finance. Most of the people who achieve FIRE do not do so because of fantastic returns, but because of aggressive saving and investing that money in meaningful avenues. Those who achieve FIRE are also those people whose income is on the higher side. Keeping one’s expenses on check is another very important aspect of attaining FIRE. Many of us want to upgrade our lifestyles as we move towards higher income hence it becomes difficult to attain FIRE.
PensionBox is here to fulfill all your retirement needs and help you retire just right.
PensionBox simplifies the National Pension System(NPS), the government's pension scheme for private employees both for retail users and HRs/companies.
If you don’t have an NPS account, you can simply open your pension account within 2 minutes and if you have NPS PRAN already, you will be able track, invest and manage everything free of charge with best user experience.
We never touch or hold your money directly, your investments go safely to your chosen pension fund through approved channels.
We are built with Zerodha as POP , ensuring transparency, data security, and peace of mind. Your retirement savings are protected by regulation and secured by technology.
That’s why, PensionBox brings transparency, zero charges, timely support and freedom to select any pension fund so that you get the best experience investing in NPS & be better future ready.
That’s not it, we help you & your company together to maximise contribution and tax savings with minimal charges & best user experience.
If you are an existing zerodha user then you get a fast login or sign up using kite ID.
Once you are onboarded with kite ID, you get free access to
- Open NPS in 2 minutes
- Track existing NPS
- POP shift or CRA shifting
- Invest in one time or create SIP in NPS
- Withdraw NPS requests & instant withdraw tier 2
- Create your dream retirement plan
- Open NPS Vatsalya for your kid
- Share with HR (To unlock more tax benefits)
- Employer Contribution:
- Contributions made by your employer to your NPS account are tax-free up to 14% of your basic salary under Section 80CCD(2). Do connect us with your HR to enable this for you.
Tax Benefits in Old Tax Regime - Self-Contribution:
- Deduction up to ₹1.5 lakh under Section 80C.
- Additional deduction of ₹50,000 under Section 80CCD(1B) — exclusive to NPS investments!
- This allows you to claim a total deduction of up to ₹2 lakh every year on your NPS contributions.
- Employer Contribution:
- Contributions made by your employer to your NPS account are tax-free up to 10% of your basic salary (Basic + DA) under Section 80CCD(2). Do connect us with your HR to enable this for you.
- This is over and above your personal deduction limits, giving you extra tax efficiency.
Feel free to book a free call to learn more about NPS, NPS Vatsalya, Corporate NPS & PensionBox or contact the support team.
