When one opts for voluntary retirement, it is often the case of being financially prepared and choosing to live life on own terms. However, it is easier to brace yourself even if you are not planning to opt for early retirement due to old age, health condition or outdated skills or technological disruptions.
So, it is highly advisable to begin saving early and be prepared for such adverse situations. It is always better to have a corpus to fall back on during emergencies, but hanging your boots earlier will require a faster saving pace.
So, to save for early retirement, one needs aggressive growth in your current investments. One must allocate his assets and distribute investments across equity and debt so you can derive growth during your pre-retirement phase and income during your post-retirement years.
Mutual Funds are an easy but risky route to access the stock markets and debt securities. Equity funds offer inflation-beating returns. While investing your hard-earned money in fixed deposits and Public Provident Fund (PPF) come with a safe lock-in period.
How much money needs to be saved for timely retirement or early retirement is contingent on your own personal needs and lifestyle. There is no one-size-fits-all recipe here and one needs to calculate properly to figure things out.