Return to India Planning

Comprehensive tools and guidance for NRIs planning to return to India

US Financial Situation

Total assets worldwide in USD (investments, cash, property, etc.)

India Financial Situation

$66,667 at current exchange rate

$80,000 at current exchange rate

$24,000 at current exchange rate

Current Exchange Rate: 1 USD = 75 INR

Return2India Decision Guidance

Moving back to India after living in the US is a complex decision with financial, legal, emotional, and practical considerations.

Financial Planning Timeline

2-3 Years Before

Research tax implications

1-2 Years Before

Optimize investments

6-12 Months Before

Arrange banking & transfers

After Return

RNOR status planning

Critical Checklist

  • Understand tax implications in both countries
  • Review retirement account options and penalties
  • Research healthcare options in India
  • Plan for children's education transition
  • Update estate planning documents for both countries

Understanding the Return to India Decision

Deciding to return to India from the US is one of the most significant life decisions an NRI can make. It involves complex financial, lifestyle, and family considerations that vary greatly based on your age, career stage, family situation, and financial position. Returning offers reconnection with your roots, potentially lower cost of living, and family proximity. However, it also involves tax implications, lifestyle adjustments, and potential career transitions.

Our Return to India Calculator helps you evaluate this decision by providing a comprehensive financial analysis. Enter your current US assets and income, expected income and living expenses in India, current exchange rates, and the calculator will instantly show you the financial viability of your return, comparing your purchasing power, lifestyle sustainability, and long-term financial security. This gives you a clear, data-driven foundation for this life-changing decision.

How to Use the Return to India Calculator

Enter your financial details to get a comprehensive comparison of your current US lifestyle versus your expected life in India:

Step 1: Enter Your Current US Financial Situation

Input your total current assets in the US (including savings, investments, retirement accounts) and your annual income. This establishes your current financial baseline and purchasing power.

Step 2: Specify Your US Living Expenses

Enter your annual living expenses in the US including housing, healthcare, food, utilities, and all other expenses. This shows your current cost of living and lifestyle maintenance costs.

Step 3: Enter Your India Financial Expectations

Input how much you expect to have in assets in India (either transferred funds or existing properties/assets), expected annual income in India if any, and estimated annual living expenses in India including housing, healthcare, and lifestyle.

Step 4: Set the Current Exchange Rate

Enter the current USD to INR exchange rate. This is crucial for accurately converting your US assets and income to Indian purchasing power and ensuring realistic lifestyle projections.

Step 5: Review Your Financial Analysis

The calculator will show you your purchasing power in India, how long your assets would sustain your lifestyle, and financial sustainability metrics to help you make an informed decision.

Click "Calculate" to see your comprehensive financial analysis and decision guidance.

When Should You Use This Calculator?

Planning Your Retirement Return

If you're approaching retirement and considering returning to India, this calculator helps you understand if your retirement savings will provide the lifestyle you expect, accounting for cost of living differences and exchange rate impacts.

Mid-Career Transition Assessment

Considering a career change or sabbatical to return to India? Use this calculator to evaluate if your current savings and expected income in India (consulting, part-time work, investments) would sustain your desired lifestyle.

Family Decision-Making

Discussing return to India with your spouse or family? This calculator provides objective financial insights that facilitate family conversations and help everyone understand the financial implications.

Healthcare and Aging Planning

Planning for aging parents or your own future healthcare needs in India? This calculator helps you evaluate the financial feasibility of relocating to be closer to family or to access healthcare in India.

Tax and Financial Planning

Working with a financial advisor on cross-border tax implications? This calculator provides the financial foundation for detailed tax planning discussions and strategy development.

Understanding Your Calculator Results

The calculator provides several key metrics to evaluate your return to India decision:

Purchasing Power Comparison

See how your US assets translate to Indian rupees and understand your equivalent purchasing power in India. This shows if your current wealth would provide a similar or better lifestyle in India.

Lifestyle Sustainability

The calculator shows how many years your assets would sustain your expected lifestyle in India at current exchange rates and inflation assumptions, helping you plan for long-term financial security.

Income Analysis

See how your expected income in India (if any) contributes to your financial sustainability and whether additional income sources would be necessary to maintain your desired lifestyle.

Financial Decision Guidance

Based on your inputs, the calculator provides personalized guidance on financial readiness, key considerations, and critical planning steps to help you move forward with confidence.

Frequently Asked Questions

Who is eligible to return to India and maintain financial stability?
While anyone can return to India, financial stability requires adequate savings or income to support your desired lifestyle. Most financial advisors recommend having 3-5 years of living expenses in liquid assets, retirement savings that will sustain you, or reliable income sources in India. This calculator helps you determine if you meet these criteria based on your specific situation.
How does returning to India affect my US tax obligations?
Returning to India can change your US tax residency status from resident alien to non-resident alien, affecting how your income is taxed and what deductions you can claim. You'll also face India tax obligations on Indian-sourced income. Additionally, you must continue filing FBAR reports if your foreign accounts exceed $10,000. Consult a cross-border tax specialist to understand the specific implications for your situation.
What financial factors should I consider before returning to India?
Key factors include current assets and income, cost of living differences, healthcare costs, inflation rates, exchange rate risk, tax implications, property costs if buying, support for aging parents, and earning potential in India. Also consider the liquidity of your assets, currency conversion costs, and maintaining US financial accounts. This calculator helps you evaluate most of these factors comprehensively.
How do I handle my US retirement accounts after returning to India?
You can generally keep your US 401(k) and IRA accounts after returning to India, but you cannot make new contributions to a 401(k). Withdrawals are subject to US income tax and potential FBAR reporting requirements. Consider whether to take early withdrawals, convert to a Roth IRA, or leave funds to grow tax-deferred. Consult a cross-border tax and retirement specialist for strategies tailored to your situation.
What are the cost of living differences between the US and India?
India's cost of living is generally 50-70% lower than the US, depending on the city and lifestyle. Housing, healthcare, domestic help, and food are significantly cheaper in India. However, imported goods, air travel, and international education costs are comparable to US prices. Tier 1 cities (Delhi, Mumbai, Bangalore) are more expensive than tier 2-3 cities. Your lifestyle choices and city selection dramatically impact your actual cost of living in India.