Retirement is a multi-decade problem. Even “moderate” inflation multiplies living costs and quietly shrinks what a fixed corpus can buy. Planning in today’s rupees without inflation is one of the most common under-saving mistakes.
Two inflation effects
First, the cost of the same lifestyle is higher on the day you retire. Second, prices can keep rising after retirement, so a static withdrawal can lose purchasing power. Healthcare often inflates faster than a headline CPI average.
How to model it here
Use the Inflation Calculator to see future cost and purchasing-power loss on a sample expense. Then feed inflated lifestyle assumptions into the Retirement Calculator. Stress a higher inflation case for medical-heavy households.
Investment side
Long-horizon portfolios often need growth assets to outpace inflation — with volatility. Near retirement, sequence risk matters. Asset allocation is personal; calculators illustrate maths, they do not prescribe a portfolio.