You’re never too young to start planning for your retirement

Preparing for your retirement is an essential part of your long-term financial strategy and with advancements in medical technology we are living longer and healthier lives.

Taking a realistic look at your retirement plans as early as age 45 (or, if you’re a super planner, even earlier!) is worth doing to ensure you will have enough set aside for the future.

The first step is to decide what kind of lifestyle you are hoping to live when you retire. Right now, you are likely only focusing on your immediate needs such as mortgage payments and the cost of living, but you still need to be looking into the future while making these plans.

You need to consider how you want to live and where you want to live. Will you downsize from the family home? Do you plan to travel? How will you be occupying your time when paid work is no longer a key priority?

Once you have figured out where you want to be, you need to start looking at how to get there. Here are a few things you should start considering:

  • Superannuation – work out if your super is being invested appropriately. Do you need to be contributing now to ensure you have enough for your future plans?
  • Investments – make sure you are strategic here. If you have invested in shares, property or managed funds, will they adapt to help accommodate your changing lifestyle?
  • Insurance – the right insurance is important. Are you and your family using the most suitable coverage?
  • Daily finance – you need to be looking at areas where you can save some of your income – this article can get you started. Are you spending money where you don’t need to be?

It is never too early to begin these plans because once you take these few steps, you may find that you aren’t quite as on top of your finances as you thought.

We see this happen far too often but, with the right preparation, you can get back on track before it’s too late.

Chances are that during your forties and fifties you will be at your peak earning potential, so it is the perfect time to be saving more and mapping out your future.

Everyone has different goals and visions for the future and your financial planner is there to help navigate the path. Our team of Financial Strategists can help you develop and implement the right plan to guide you to your ideal retirement. Contact us today for more information.

Bridges Financial Services Pty Limited (Bridges). ABN 60 003 474 977. ASX Participant. AFSL No 240837. This is general advice only and does not take into account your objectives, financial situation and needs. Before acting on this advice, you should consult a financial planner.