Planning for how you are going to fund your retirement is an absolute necessity in the modern age. With people living longer than ever before, the parametres of retirement have shifted significantly. Now people are considering working for a lot longer than they did in the past in order to fund all the things they have been dreaming about in the future. Whether you are fast approaching that age or are still some way off, there are a range of things you will want to consider so you can enjoy a happy and financially secure retirement.
An Older Workforce
More than ever, people are choosing to go on working as an extra way of bringing in income during their golden years. This may involve continuing full time hours for longer, or scaling back commitments and going part time after your pension starts to kick in. Old age is no longer seen as the stigma it once was. Indeed, many employers see it as a benefit that older people are bringing years of experience along with them. Flexible working is now coming into many organisations so people are more able to fit work around the rest of their lives. Like anything else, it is worth writing down what you are likely to earn from your pension as well as other sources of income to see the benefits of continuing to work for a longer period of time.
Before retirement, your number one consideration should be getting rid of debt as this can act as a huge burden that ends up growing over time. Other key issues include pensions, tax, annuities and wills. You may need to enlist the support of a wealth manager such as Dartington Wealth Management and other financial planners to help you through some of the more complex issues. Ultimately, it is all about undertaking detailed calculations so you are prepared for every eventuality.
It is likely that you may have pensions coming in from various different sources including a state pension and other workplace pensions. Also, you may be considering taking out an annuity so you convert any savings into an annual income. If you’re in the process of planning what to do with your pension, be very wary of any pension scams as people are always looking to take advantage if they can.
Seek Expert Advice
Ultimately, it’s a good idea to speak to the experts as they are in a better position to help you weigh up your options and make the best decision for your future. It’s always a good idea to plan for a long retirement, but also consider worse case scenarios so that loved ones aren’t left in the lurch. As well as the necessities of life, you will also want to consider the cost implications of any travelling you are planning or other major expenses. Being prepared for every eventuality will help you avoid any unpleasant surprises in the future.
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