Pre-retirement tips

What are your retirement goals? The concept of retirement means different things to different people. Whether it is the opportunity to travel, spend time with family, to start a new project, or to dabble in a mixture of all of the above. Retirement is a time to enjoy and to be free of financial stress. It can be a major life transition and we need to be honest about what our goals are and what trade-offs we are willing to live with. Even if retirement seems a while away, it is good to have a plan. Here are some tips to help you plan for retirement:

1. Start saving early and consistently as every little bit helps. Compound interest as well adds up over time so the sooner you start the better.
2. Calculate your retirement expenses and estimate your future needs: use some of the tools mentioned on the website to calculate how much you might need in your budget and how your retirement income could look like.
3. Diversification of the Scheme means your investments are not stored in one ‘basket’ and is not impacted by the performance of one company or industry.
4. Consider making additional contributions to the Scheme if you can afford to.
5. The cost of living is a big topic at the moment so factor in inflation and how this might impact your long term retirement income. Some members choose to keep their savings in the Scheme even after leaving employment.
6. Consider possible large expenses and health care treatments before retirement.
7. Regularly review and adjust your retirement plan as needed, and the most common preference is to think about finances and insurance annually. Key calendar dates are a good reminder, such as the change of year.