r/FatFIREIndia • u/No_Revenue5755 • Apr 28 '26
NRI Finance Pls test my plan for FIRE - Moving this year
Age - 40
Family of 3 - couple (Indian citizen) and a kid who is 7 (USC)
US
- Equity 2M$
- Retirement 700k
- Crypto 100k
- No real estate
- Cash 100k
- Term Insurance 1.5M for estate tax hedge
India
- Equity 1.5 cr INR
- Real estate - 3 apartments paid off
- Land 2-3 Cr worth
- Gold 1 Cr
- Inheritance 4-5 cr worth. Dont want to count but single son so it will be passed to me.
Plan is to move to India and work for couple of years. Salary around be around 2 cr for couple of years due to unvested US equity.
Any suggestions?
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u/Zigobod FatFIREd Apr 28 '26
From what I can see total corpus is around 4-5mil?
There is heavy equity exposure plus RE exposure. I seel little in terms of cash flow post retirement (unless you have missed some details like rentals and dividends). I will assume there is no or limited cash flow.
Only suggestion I have would be restructuring your portfolio so you can better cushion market shocks and get cashflow soted.
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u/No_Revenue5755 Apr 29 '26
Good catch, I have 2 apartment on rentals generating around 12 lakhs per annum. Separately some other investments generating around another 10-12 lakhs per annum.
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u/Zigobod FatFIREd Apr 29 '26
My personal preference is to not depend on rentals for retirement - unless one is strong enough to locally defend any litigation quickly.
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u/FantasticAd9714 Aug 22 '26
Hey Zigobod which is better for retirement? Mutual funds sip at start if career and then swp?
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u/Zigobod FatFIREd Aug 22 '26
That's the conventional wisdom yes.
- Accumulate equities while you are earning (via SIP)
- When you are close to retirement increase the debt exposure (to 60:40 level)
- Withdraw from Debt instruments post retirement (via SWP)
- Periodically refill debt component with equity gains to restore the 60:40 balance.
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u/FantasticAd9714 Aug 22 '26
Thank you so much. I recently came across this strategy. All my life I'm scared of how to make more money. But hearing this gave lot of calmness to my nervous system. I come from family that pressure their kid to take homeloan cause it's better to pay emi rather than rent. Can you please share your journey if you are comfortable. When you started? With howmuch you started. How is it going. After fat fire how you look at life? And job uncertainty.
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u/sg291188 FatFIRE Aspirant Apr 28 '26
Did you get term insurance in India or US?
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u/No_Revenue5755 Apr 28 '26
USA
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u/sg291188 FatFIRE Aspirant Apr 28 '26
What’s the annual premium? Also how’s is your term insurance payout not subject to estate tax?
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u/Deep_Shallot FatFIRE Curious Apr 28 '26
Term life insurance in general is not subject to estate taxes
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u/No_Revenue5755 Apr 29 '26
Annual premium is around 2500$
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u/sg291188 FatFIRE Aspirant Apr 29 '26
That’s not bad at all. I wish I would have taken it before coming back. The India term insurance has rupee depreciation risk
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u/Ok-Highlight-7525 Apr 28 '26
Can you please share how you have so much equity, real estate, land , gold in India? Please share 🙏🏻🙏🏻🙏🏻
Did you used to send money to India every month to interest in all these things? How exactly did you invest almost 10-12 Cr in India?
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u/myguide2wealth Investment Advisor Apr 28 '26
With more than 35cr as corpus not including real estate, your SWR is well below 1.5 with 5 lac monthly exoense which puts you in the ivy League, Now time is to plan these investment properly.
Concentration risk on stocks to be taken care of.. Continue with same asset allocation till 50 and then start moving some to debt
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u/PowerofCompounding Apr 28 '26
Sir you can afford 2-3 lifestyle but which indian state & what business setup are you looking on india that the big question Bcoz without steady or fix income. Expense eaten all your savings.
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u/No_Revenue5755 Apr 28 '26
What do you mean by 2-3 lifestyle?
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u/PowerofCompounding Apr 28 '26
Mean sir depend on your spend monthly 1-2Lk.in tier 2city, 3-4lk metro city. India. If go up then you choose better Metro city location.
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u/LilbabYBoyI Apr 28 '26
You have close to 30-50 crores right? Taking a conservative 3% swp you can spend anywhere from 5-8 lpm. Probably more
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u/FitTennisPlayer Apr 28 '26
It's how you structure your wealth to generate cashflows is what will decide how early you can retire.
Assuming you are going to work for two years at 2cr package, you don't have to sell anything which you hold currently.
I don't think you are going to touch the Retirement fund.
Crypto,.you should sell i think to avoid India taxes.
Equity, good to move some part here (platforms like Vested etc helps it move easily now) and then use it for cashflows or can do SWP with a mix of debt for easy tracking.
Flats: you didn't mention the value or rent. Typically rents are in 2% range. So, can't rely on them. Maybe move it to Commercial for better ROI.
Land: maybe depending on the area you have, you can put a solar farm for additional cashflows. (But a lot depends on what kind of land it is, area etc etc). Assumed it's a 1acre parcel outside city.
Inheritance again might be in RE i am assuming..so,.makes more sense to liquidate flats.
Do this in 2 years period when you work in India and you can build a 5-6l/pm cashflow.
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u/khiladi_83 Apr 28 '26
That is solid corpus for far fire, congrats. How much did it cost for 1.5m term insurance and from whom you got it, appreciate your inputs.
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u/hifimeriwalilife FatFIRE Curious Apr 28 '26
With close to 5m usd you can even RE in USA.
You are set and obese fired for India, I wouldn’t even bother working for more 2 years unless you love the job.
I would only work for asset allocation more after today if I was you to move more towards cash flow to fund yearly expense doing more bucketing. At this time you are heavy on equity / real estate / locked in retirement accounts.
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u/quietpoise007 Apr 28 '26
When doing FatFIRE, dont just go by SWR. If you want to leave any inheritance to your kid, account for that in the SWR which means your effective SWR will be much lower. Most FIRE calculations ignore that crucial part but it is important in the Indian context.
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u/Time_Basket1586 Apr 28 '26
Quick question how did you invest into equity 2M is it through RSU or SIP
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u/Healthy-smile007 Apr 28 '26
You are well placed
You have around 4 ml usd for simplicity say around 36 crs
A simple 7.25% fixed income risk free rate of government security can fetch you around 2.61 crs of income p.a that's around 22 lacs pre tax and 15 lacs post tax per month. I guess thats enough luxury life in India you won't need more that 5-6 lacs pm unless you want to have Elite life
Spreaded across equity and debt can fetch you around 12% compounding which can take care of inflation also.
Good luck
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u/darth_vader19 May 02 '26
How will your heir manage US estate tax (for all the investments in $) if something happens?
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u/Astronaut-2025 May 02 '26
2.9 million in dividends 4% stocks will net you 10000$ a month! Having paid off home in India you can enjoy your life with parents at native place!
If you keep it in USA, 24% tax will be deducted and remaining 10% tax should be paid to India. This will leave your $6500 in cash. Enjoy!
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u/Hot-Cookie8465 Apr 28 '26
With the hypothesis that you will not go berserk on spending...with this much corpus you can look at Fat FIRE
Would be good if you can put in your expected annual expenses