Affluent Indians rethink retirement as family responsibilities and career shifts overlap: HSBC

Affluent and high-net-worth Indians are increasingly moving away from a traditional, linear approach to financial planning as retirement, career transitions and family responsibilities converge, according to a new study by HSBC, conducted in partnership with Ipsos. 

The survey of 9,993 affluent and high-net-worth investors, including 1,115 respondents in India, found that financial priorities are increasingly overlapping, with investors balancing multiple goals and supporting different generations simultaneously. 

The shift is driving demand for flexible wealth management solutions, with 89% of Indian respondents seeking financial strategies that can adapt to multiple needs and 84% wanting expert guidance to navigate competing priorities. Flexible financial strategies were a priority for 39% of respondents, while 36% each highlighted access to liquidity without compromising long-term growth and advice tailored to non-linear financial planning. 

“For many affluent Indians, retirement, family responsibilities and career changes are happening at the same time. Families need flexible plans that evolve with them, while keeping long-term goals in sight – and that prepare the next generation not only to inherit wealth, but to build the capability and confidence to use it well,” said Sandeep Batra, head of International Wealth and Premier Banking at HSBC India. 

Longer lifespans reshape retirement plans 

Longer life expectancy is prompting affluent Indians to rethink their financial plans, particularly around healthcare and maintaining their standard of living. As many as 96% of Indian respondents said they had reconsidered their financial plans to account for future needs, with long-term healthcare cited by 44% and maintaining their current lifestyle by 37%. 

The amount respondents believe they need for retirement has risen to $420,000, up 6% from 2025. However, they have saved only 48% of that target on average, highlighting a gap between retirement aspirations and preparedness. 

Retirement is also increasingly being viewed as a gradual transition rather than a definitive end to working life. About 78% of respondents expect to leave work gradually or through a flexible arrangement. Meanwhile, 34% favour portfolio careers or encore careers, which involve pursuing new professional opportunities later in life, compared with 22% who prefer traditional retirement. 

Inheritance priorities differ across generations 

The transfer of wealth between generations is becoming a more prominent consideration for affluent Indian families. While 41% of respondents expect to leave a financial legacy, 34% expect to receive an inheritance, at an average age of 51. However, expectations around how inherited wealth should be used differ across generations. While 69% of benefactors want to provide their heirs with a home, a financial safety net or support during major life events, younger investors are more likely to view inheritance as a means of pursuing personal aspirations. 

Around 65% of Gen Z respondents and 62% of millennials would allocate inherited wealth towards travel, career breaks and passion projects, reflecting a broader shift in how younger generations view financial security and personal fulfilment. 

Beyond transferring assets, affluent families are increasingly focusing on building the next generation's financial independence, skills and resilience. The survey found that 81% of investors support their children’s or grandchildren’s personal growth and resilience. About 71% fund formal education and skills development, while 65% support career advancement or entrepreneurial pursuits. 

As many as 87% of respondents prioritise passing on education, financial literacy, and other capabilities, compared with 64% who prioritise foundational assets such as a home deposit. Nearly half, or 49%, said their primary objective was to equip the next generation to achieve full financial independence.