Why Retirement Readiness Is About More Than Your EPF Balance
Mr Suresh Menon, 56, a senior engineer in Pune with 29 years of EPF contributions, always assumed his retirement was well planned. He had EPS-95 accumulating, an NPS account and fixed deposits. When he finally sat down to map all five dimensions — income replacement, healthcare costs, inflation exposure, lifestyle expectations and family obligations — the picture looked different. (Illustrative account — not a real identifiable case.)
Retirement readiness is not a single number. It is the intersection of five distinct dimensions, each with its own risk profile and planning requirement. Most Indians approaching retirement have a partial view of one or two — rarely all five.
The Five Dimensions — Why Each One Matters
| Dimension | Points | Key Risk if Ignored | Severity |
|---|---|---|---|
| Income | 25 | EPS-95 pension often covers less than 10% of pre-retirement income | High |
| Healthcare | 20 | Medical costs rise 8–12% annually after 65 — most underestimated expense | High |
| Inflation | 20 | 5% inflation halves purchasing power in 14 years | Medium-High |
| Lifestyle | 20 | Lifestyle expectations rarely mapped against projected income | Medium |
| Family | 15 | Supporting adult children or elderly parents — rarely budgeted | Medium |
"The most common mistake isn't having too little money — it's never having mapped all five dimensions against each other."
— Retirement planning research summary, 2025Income: The EPS-95 Reality
EPS-95 monthly pension = (Pensionable Salary × Service Years) ÷ 70. With pensionable salary capped at ₹15,000 for most members, the maximum EPS-95 pension is around ₹7,500/month — regardless of actual salary. The income gap for most Indian retirees is significant, and NPS annuity (40% of corpus at ~6%) only partially fills it.
About the Assessment Below
8 questions across 5 categories produce a Retirement Readiness Index score from 0–100, a Financial Retirement Age estimate, and a breakdown of your strongest and weakest dimensions. Result is informational only — not financial advice. No registration required.