Traversing the road to Retirement

For many, prior to covid, the word ‘retirement’ was associated with the idea of extended holidays to exotic destinations across the globe or spending quality time with grandchildren. 

Australians spend most of their working lives saving for their retirement so that when the time comes to retire, they can lead a comfortable life. After more than a year of disruption and loss due to the coronavirus pandemic, many people are uncertain about what to expect in retirement, new realities have emerged and with them a new approach may be needed to build financial security.

How would you rate your overall financial organization right now? 

Do you know how much you will need in assets and income for a long, comfortable stress-free retirement?

Are you  on track to build those assets? ​

Around 50 per cent of Australians retire early due to unexpected circumstances and within time frames they did not choose. The reasons range from health issues to unemployment to providing care to loved ones. This can result in retirees feeling out of control and impacted not only financially, but emotionally as well. For many investors, financial planners play a pivotal role in providing technical advice, guidance and peace of mind before, during and after the retirement process.

There are many reasons why people fail to achieve financial success​, they can include – 

1. Lack of information or too much information​
2. Leaving it too late​
3. Distraction​
4. Procrastination​
5. Looking for the ‘magic solution’​
6. Don’t make it a priority​
7. Don’t believe they can​
8. Get caught up in working out why things won’t work​
9. They never take action​
10. They don’t get help​

​A successful retirement involves more than just money. Certainly, money allows for many of the things that make life worth living, but it is not enough on its own. Other important factors in a successful retirement include,mental and physical health, having realistic expectations and owning a home.

Having adequate savings in place allows for a degree of flexibility when it comes to discretionary spending and provides a stronger sense of control. When planning for retirement there are two core factors that determine the amount of savings a retiree needs – life expectancy and projected expenses. 

Retirement planning is not a ‘one size fits all’ approach. But no matter what an individual’s needs are, solid financial planning allows for a smoother transition and helps alleviate the uncertainty of retirement. As we assess what’s next as individuals and a society, we have a fresh opportunity to envision the future.

Book an obligation-free call to discuss your needs and help identify how we can add value to your situation

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