How this Darjeeling-based coder is aiming to retire early with a ₹15-cr corpus

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Slow and steady: How a passive approach secured this CEO's retirement future “Harsh, like quite a few of my clients, aims for financial independence by 50-55," Nayak said. “However, with NPS, if one decides to exit completely before 60, at least 80% of the accumulated corpus must be used to purchase an annuity, while the remaining 20% is paid out as a lumpsum. Further, the annuity is taxable at the individual’s slab rate." Mishra has opted for an NPS-E account—an equity-oriented NPS scheme with 75% equity allocation, unlike pure debt investments such as EPF and PPF.

Mishra’s portfolio has 60% allocation to equities, 15% investment in real estate, 5% in gold, and the remaining 20% in debt. Of his equity portfolio, 70% is in mutual funds, and 30% in direct equity shares. Within mutual funds, 20% is invested in the index fund category, 14% in small-cap, 11% in equity-linked saving scheme, 18% in mid-cap, 6% in infrastructure fund, 8% in flexicap, 4% in contra fund, and 13% in other equity funds.

Then there is also some exposure to hybrid funds. Mishra said he bought a flat as an investment in Pune last year and expects to get possession of the property sometime next year. He said he opted for Pune as he sees it as a growing market with several opportunities and spotted a good location near an IT park in Pune.

Also read | Are you sharing too much? The risks of giving your ITR credentials to CAs Mishra decided against taking a home loan to save on interest costs. Instead, he opted for staggered payments to his developer on a quarterly basis. He plans to rent out the property and expects a 4-6% rental yield.