• Get Life Cover worth Rs.1 Crore at Rs.17 per day2 – Bajaj Allianz Life Smart Protection Goal

  • Apne life goals ki guaranteed1 hona Ye Bhi Sahi Hai

  • Fulfill your Life Goals with Bajaj Allianz Life Goal Assure

  • Here's a Comprehensive Tool To Plan Your Child's Future

  • There is lot to remember in Life, Set renewal premium payments to Auto Pay

  • Get your Life Goals Done with Bajaj Allianz Life Smart Assist – BINA MILEY MIL-KAR

  • Paying your Renewal Premium is Quick and Easy!

  • Know the right amount of Insurance you need in just a few steps!

  • Avail Term Insurance Tax Benefits under Section 80D

  • Know how to invest money during the covid-19 pandemic!


Thanks for showing your interest. A representative from
Bajaj Allianz Life will contact you shortly.

Dear Customer, we request you to connect with us in our next business working hours, (Monday to Saturday 24*6) Thank you, Have a great day ahead


I hereby authorize Bajaj Allianz Life Insurance Co. Ltd. to call me on the contact number made available by me on the website with a specific request to call back. I further declare that, irrespective of my contact number being registered on National Customer Preference Register (NCPR) or on National Do Not Call Registry (NDNC), any call made, SMS or WhatsApp sent in response to my request shall not be construed as an Unsolicited Commercial Communication even though the content of the call may be for the purposes of explaining various insurance products and services or solicitation and procurement of insurance business


Please refer to BALIC Privacy Policy

In this policy, the investment risk in investment portfolio is borne by the policy holder.

Strong Long Term Fund Performance Track Record**

One Of The Most Trusted Brands#

Why You Should Not Procrastinate on Your Retirement Planning | Bajaj Allianz Life

Tax Benefits~ On Online ULIP Plans

Please enter a Name
Please enter a Mobile No.
Please check the box to proceed
WS_LIGuideHome_Banner_EN 307 38983691 WS_LIGuideHome_Banner_HI 307 38983695
WS_LIGuideHome_Banner_Mob_EN 307 38983693 WS_LIGuideHome_Banner_Mob_HI 307 38983677
Please Select Language

**, #, T&C Apply | BJAZ-WB-EC-02755/21

Why You Should Not Procrastinate on Your Retirement Planning?

By : Bajaj Allianz Life

Imagine this scenario: You are 67 years old, healthy and hearty, sitting on the porch of your two-storeyed home listening to the sounds of your grandchildren playing. In the evening, you have a dinner at your favourite restaurant planned with your close friends. And in the next two days, you are going to be boarding a flight to Paris, for a Europe trip planned to last for a month. And what’s the important thing about all these scenarios? You’re funding all of it yourself, independently.

Such scenarios can be achieved, with beginning your retirement planning, may be, in your twenties itself. However, people may usually postpone their retirement planning to the later stages of their life. As per India Retirement Index Study’ (IRIS), 2022, a shocking 86% of people over the age of 50 had regrets about not planning their retirement earlier1.


Why should you not procrastinate planning for your retirement?


As with other decisions related to money and financial independence, it is preferred if retirement planning is approached as soon as possible, too.

Otherwise, you may experience the following disadvantages:


• Plans could become expensive to maintain


Age is one of the factors that influences premium for your life cover part of the life insurance plan, hence your premium for your life cover part of the life insurance plan may typically be lower when you are 30 years as compared to when you are 45 years old. Furthermore, buying a life insurance plan at a young age allows you and your loved ones to enjoy financial security for a longer period.


• Returns may be diminished due to a smaller timeframe


Along with higher maintenance costs, another monetary drawback of late retirement planning might be the relatively diminished returns. These kinds of investments perform optimally if they are held for the long term, since this allows compound interest to do its work effectively.

Let’s consider two investors, Anuj and Rashmikant, as an example.

Anuj understood the importance of retirement planning and started investing in a ULIP when he was 30 years old with the intention of wealth generation for retirement.

Using the help of a retirement plan calculator to better understand his goals, he decided to invest Rs 60,000 every year until he was 60 years old.

On the other hand, Rashmikant awakened to the benefits of retirement planning very late. He began his retirement plan at the age of 45 years by investing Rs 1,80,000 every year for the next 15 years.

By the time both were 60 years old, assuming a steady return of 8% for both, Anuj has accumulated approximately Rs 55 lakhs while Rashmikant has been able to accumulate approximately Rs 45 lakhs only.

*Note: The above figures are for illustration purposes only and not indicative of actual returns. Please refer to the online calculator and policy brochure for more details on ULIP product and fund performance.


• Chances of investing in an aggressive portfolio may reduce


Another way your returns may reduce due to a late start in retirement planning is because, at a later stage in life, you may not want to invest aggressively, if you have a lower risk appetite. You may want to stick to a more conservative portfolio, which includes fixed-income securities, low-risk instruments, etc.

The benefit of investing in a ULIP with a conservative approach is that you bear lesser risks, which is suitable when you are nearing the end of your work life. However, the market linked returns may be lesser with such an approach, as compared to investments in high-risk equity instruments.


• You may lose out on related tax benefits


Every year you pay the premium for your ULIP or retirement-oriented life insurance policy, you have the opportunity to save up tax on Rs 1.5 lakhs of premium paid by claiming deduction under Section 80C or Section 80CCC of the Income Tax Act, 1961. Premiums paid towards a specific retirement plan, such as a pension plan or an annuity policy, are also eligible for deductions under Section 80CCC. Note that this deduction is clubbed with the rest of the Section 80C deductions and the maximum limit for the total claimable deduction under Section 80C is Rs 1.5 lakhs.

Further on maturity of annuity policy, any commuted value of pension is tax free in the hands of policyholder under Section 10(10A) of Income Tax Act,1961.

Also, note that some deductions may not be applicable if you are opting for the new tax regime. Only those who are paying tax via the old tax regime may be able to enjoy the deductions, as long as the terms and conditions prescribed in Income Tax Act,1961 are met.

Before proceeding with any plan, ensure to consult a financial advisor and/or a tax expert. Using tools such as the retirement plan calculator and the ULIP calculator can also help you in the process of starting your retirement planning early.




Bajaj Allianz Life Videos


Presenting Shubman Gill as The New ACE Of India | Bajaj Allianz Life | Bajaj Allianz Life ACE

Contact Us

Bajaj Allianz Life Insurance Company Ltd.

Bajaj Allianz House, Airport Road, Yerawada, Pune - 411 006, Maharashtra

Tel No: 020-66026773

Branch Visit Timings:

Monday to Friday - 9:00 AM to 3:30 PM (IST)

Saturday - 9:00 AM to 1:00 PM (IST)

Customer Care Helpline:


Monday to Sunday: 9:00 AM to 7:00 PM (IST)

NRI Services Helpline

24/7 (All week days)

Sales Enquiry Helpline:


Monday to Saturday: 9:00 AM to 7:00 PM (IST)

For NRI: +91-20-35125850 (Call charges apply)

Monday to Saturday: 9:00 AM to 7:00 PM (IST)

Find Us Online

#Survey conducted by brand equity – Nielsen in March 2020

~Tax benefits as per prevailing Income tax laws shall apply. Please check with your tax consultant for eligibility.

**Past performance is not indicative of future performance.

The above information is for general understanding and is meant to educate the general public at large. The reader will have to verify the facts, law and content with the prevailing tax statutes and seek appropriate professional advice before acting on the basis of the above information.

The views stated in this article are not to be construed as investment advice and readers are suggested to seek independent financial advice before making any investment decisions. For more details on risk factors, terms and conditions please read the sales brochure & policy document (available on carefully before concluding a sale.

In this policy, the investment risk in investment portfolio is borne by the policyholder. Investment in ULIPs is subject to risks associated with the capital markets. The policy holder is solely responsible for his/her decisions while investing in ULIPs.