Retiring in India

[kd2008]

Hello Everybody,

I am starting this thread to discuss about retiring in India. There are quite a few forums out there that discuss this topic in detail. First part is returning to India and then other being able to live/survive there. Some examples are:

www.retire2india.com/
http://www.r2iclubforums.com/forums/forumdisplay.php/1-Return-To-India-%28R2I%29-Topics
http://www.nriol.com/returntoindia/relocating-to-india.asp

I would like members to share their anecdotal knowledge of their friends and family who have done so.

[soggadu]

thank ypu so very much KD bhai for starting this... yes i want to R2I and my goal is 2021. Points i am working on for my goal...

1. Make sure you get steady income of atleast 1.5 lakh per month ( per today and it will be 1.5 lk + inflation in 2021)
2. Get at least a 3 bedroom apt in all the towns that might be of interest to settle down
3. Build up rental properties ( homes which can get rental income as rent is not taxed and goes un noticed in small towns)

Is this something doable? I have no plans to work when i go back... i might start a grocery store and start an NGO...bottom line i dont want to be dependent on pay check...

[qesehmk]

KD thanks for starting this thread. It is one of the key things on my mind too! Look forward to the discussion:

Let me jot down a few brainstorming thoughts of my own:

1. Does it help or hurt to be a US returned NRI.
2. Will it become easier or difficult in future to return to India.
3. What about financials? Can you take your pension IRA w you? Do you have to? What happens to your SS checks (way long for many of us! But still...worth considering).
4. Most of us would like to work for ourselves if and when we return. But is that day dreaming?

[pch053]

KD thanks for starting this thread. It is one of the key things on my mind too! Look forward to the discussion:

Let me jot down a few brainstorming thoughts of my own:

1. Does it help or hurt to be a US returned NRI.
2. Will it become easier or difficult in future to return to India.
3. What about financials? Can you take your pension IRA w you? Do you have to? What happens to your SS checks (way long for many of us! But still...worth considering).
4. Most of us would like to work for ourselves if and when we return. But is that day dreaming?

I know the answer to Q3 (SS check) as one of my uncle/aunt have retired in India and they are US citizens. THE SS check will be directly deposited to your bank account that you specify (they specified an US bank account; I am not sure how it will translate to an Indian bank account), irrespective of which country you live in.

Incidentally, the first link in the original post is quite informative about 401K, SS, medicare benefits, etc. Browsing that website in detail has inspired me to think of becoming a perpetual traveler (based on what I can afford) and there are some interesting links on that as well:
http://www.retire2india.com/2008/09/10-alternatives-to-retiring-abroad.html

[Pedro Gonzales]

For anyone wishing to retire in India who has excess USD funds available today, you would do well to convert to INR at today's exchange rate. The Re49/USD rate will not last long (long term average estimates go from Re30/USD to Re40/USD).

Your choices are FCNR (the currency stays as in USD), NRE (in INR but freely convertible back to USDs in the future as long as it stays in the account or goes into qualifying investments - I think real estate is one) or NRO accounts (saved in INR but not convertible back to USD, really meant for an NRI's Indian income). I chose to move funds into an NRE account with the plan of purchasing real estate with it. Even if Real Estate is not one of the qualifying investments, at least i have the ability to convert at today's rate and earn a higher interest rate (3.5%ish) than I would if the funds stayed here, and retain the ability to move the funds back if I don't purchase property at all.

Time is of the essence.

[GCKnowHow]

It's an interesting topic I've been thinking about it for a while. I'm not sure if I have to leave soon and raise kids in India or to continue here and retire in India. Would it be possible to retire in India???? Kids would be grown up and would not want to go back with me. Could I leave my kids and go on. Living is a prime location in India is equally expensive as living in a less expensive suburb here. When I'm in early 50's my kid would be in 20's.


KD thanks for starting this thread. It is one of the key things on my mind too! Look forward to the discussion:

Let me jot down a few brainstorming thoughts of my own:

1. Does it help or hurt to be a US returned NRI.
Helps if you go with a good cash for initial settlement and constant income palns.



2. Will it become easier or difficult in future to return to India.

I feel it would be difficult the way of living here and India are vastly different in every aspect. Living here for a long time reduces our adaptability greatly.



3. What about financials? Can you take your pension IRA w you? Do you have to? What happens to your SS checks (way long for many of us! But still...worth considering).

Yes ss can deposit to the bank. I also heard they would ship checks overseas too. But by the time I retire SS would be bankrupt and not much left in the for me to cash it.



4. Most of us would like to work for ourselves if and when we return. But is that day dreaming?

Starting a business in USA is much easier than in India. Getting approvals here are straight forward and are done by books. Also going to a new country after being here for 30 years or so its not going to be a cake walk.

Also my parents and relative are in different metros and its not easy to get a maid. It's currently about 3000 to 4000 per month to get a maid at home.

I would want to go back but looks like its getting difficult by the day.

[GK1234]

Please read them in order. Hope you like the second. thx.

http://india.blogs.nytimes.com/2011/10/22/why-i-left-india-again/

http://www.chetanbhagat.com/blog/2011/10/24/happy-diwali-and-why-i-am-still-here/

[qesehmk]

Very good read. Thanks for posting.

I think Sumedh's readings are brutally honest. His response to what he found could be debated but at the end of the day must be respected since its an individual decision.

I do think that there are great great great things inherent to both American and Indian cultures and there are things that are seriously seriously wrong with both cultures and nations. So an Individual needs freedom to find where his heart settles. An individual that has found peace within is more likely to solve the problems around us than an individual who is lost. It's that being "lost" is what I really am afraid personally. The "C" in ABCD!


Please read them in order. Hope you like the second. thx.

http://india.blogs.nytimes.com/2011/10/22/why-i-left-india-again/

http://www.chetanbhagat.com/blog/2011/10/24/happy-diwali-and-why-i-am-still-here/

[Stemcell]

Very good read. Thanks for posting.

I think Sumedh's readings are brutally honest. His response to what he found could be debated but at the end of the day must be respected since its an individual decision.

I do think that there are great great great things inherent to both American and Indian cultures and there are things that are seriously seriously wrong with both cultures and nations. So an Individual needs freedom to find where his heart settles. An individual that has found peace within is more likely to solve the problems around us than an individual who is lost. It's that being "lost" is what I really am afraid personally. The "C" in ABCD!


Sumedh has just realized globalization.....living in a flat world....lost in translation.
I could go on and on.
He had a choice to come back and he came back...a while later he will get fed up with the American life and go back for some much needed temporary retrieve in India.The broader picture is NOT which country is better...the broader picture is how best we manage our stay wherever you are at the moment.

I like Soggadu's plan of living on a revenue stream and not having to work but alas to generate the revenue stream is gonna be hard work.

[GCKnowHow]

Interesting read.
Two ends of spectrum.

If you can spend money on Pizza why not on your maid. That would have given Sumedh a peace of mind back home. But the other problems outside from driving and getting honked when you were waiting for green, etc are really irritating.

I booked an apartment about 20 months back and finding it hard to co-ordinate with them.
So the difficultly is not just with government office and staff, its spread out every where.
End of the day there are good and bad in both places. When you list your fav goods, you might see more good in one place and that is the place you should be.

To me nothing can beat a night dinner in open top roof with all cousins and my granny giving us the big balls of rice with some curry and vege.


Please read them in order. Hope you like the second. thx.

http://india.blogs.nytimes.com/2011/10/22/why-i-left-india-again/

http://www.chetanbhagat.com/blog/2011/10/24/happy-diwali-and-why-i-am-still-here/