Most of us look forward to retirement. It means that we can start spending our time pursuing those interests that you always said you’ll get around to one day. However, these plans may be limited to the funds you have available when you finally decide to stop work.
The first step to getting ready for retirement should be to work out the costs. Assuming that you have paid off your own home and are debt free, costs can be broadly classified into three basic categories; essential living costs (such as groceries and other consumables, utilities and healthcare), lifestyle (such as holidays and costs associated with a more active retirement) and future (funds required for major medical or aged care expenses). Next should be working out your current financial position and lastly allocating your funds into investments so that they support your costs. Sounds simple right? Considering that your retirement could last 20 to 30 years, will your funds last that long?
Have you considered:
- Utilising a combination of the age pension and your own money to fund your retirement?
- Making additional contributions to super or your spouse’s super?
- Commencing a transition to retirement strategy?
- Downsizing the family home and investing in an income stream to help fund your retirement?
- Allocated your funds to support your essential, lifestyle and future costs?
Speak to us today and we can help you put together your plan to help you achieve this and many of your other goals.
Let us know how we can help