Baby Boomers are approaching the point of retirement as a generation at large, and many members are beginning to realize that it just doesn't make sense to keep putting off their retirement planning (or what's left of it) a day more. When it comes to effective planning for retirement, it is absolutely necessary to be fully attentive and diligent with each and every detail (and there are surely many that will come into play), as otherwise it simply won't be possible to lead the kind of lifestyle that they have been envisioning for their sunset years.
Truth be told, retirement planning isn't something to be left until the effective date of retirement is just around the corner, as by then the opportunity has already slipped away to create a sufficiently solid and comprehensive plan for your retirement. Instead of leaving the planning process till the end in this way, it's recommended to get as much of a jump start as is humanly possible, with a few clever individuals having been known to start as early as their 30s roughly (as the saying goes, the early bird gets the worm).
To start with, you will want to ensure that you have a reliable and sufficient income flow during your retirement years, which will primarily come from a superannuation plan. Superannuations are possible to arrange through various different sources, amongst which the most typical would surely be one's previous employer, the government, the trade union you previously enrolled in, or in a limited set of cases a person's investments. Making sure that such a flow of money is coming in during retirement will largely shape the degree of peace of mind that you have in this chapter of life.
Furthermore, you will want to address your tax scenario at present and what it will look like at the moment that you actually retire, as this is a factor that will weight on your retirement to a significant extent. Bear in mind, for example, that certain tax incentives are in place for spouses to set up a joint superannuation fund instead of setting up individual ones. Check with an authority on the subject to see if you and your spouse qualify and if this would be a good idea in your particular case.
Financial planning will need to figure prominently in your retirement planning, and in this regard you will want to do your best to ensure that you are not relying on one single source of income during retirement (your superannuation, specifically). Don't merely go solo in this aspect of planning: to the contrary, you will be well advised to seek out the advice of a financial expert that can help you put together a smart investment portfolio. Discuss your current standard of living and what you hope to achieve for your retirement years with this person.
In any case, retirement is a time when most people subsist off of a fixed income. Unless you did incredibly well for yourself prior to retiring (and even then if you don't manage your wealth properly), there will need to be certain sacrifices made. It is precisely in light of this reality that planning becomes so important.
To help in the adaptation, adopt your monthly budget for retirement prior to actually retiring. Try only spending the amount you will have per month during retirement to see how you conform, and keep in mind that there may be expenses that will disappear during retirement (so don't despair if it seems a bit tight).
As the date for retirement draws ever closer, you will want to check to see whether you are on-track with your plans or if things have changed significantly. Make whatever final adjustments you need and remember: it's your retirement after all, so you might as well do your best to enjoy it and live it up! - 32535
Truth be told, retirement planning isn't something to be left until the effective date of retirement is just around the corner, as by then the opportunity has already slipped away to create a sufficiently solid and comprehensive plan for your retirement. Instead of leaving the planning process till the end in this way, it's recommended to get as much of a jump start as is humanly possible, with a few clever individuals having been known to start as early as their 30s roughly (as the saying goes, the early bird gets the worm).
To start with, you will want to ensure that you have a reliable and sufficient income flow during your retirement years, which will primarily come from a superannuation plan. Superannuations are possible to arrange through various different sources, amongst which the most typical would surely be one's previous employer, the government, the trade union you previously enrolled in, or in a limited set of cases a person's investments. Making sure that such a flow of money is coming in during retirement will largely shape the degree of peace of mind that you have in this chapter of life.
Furthermore, you will want to address your tax scenario at present and what it will look like at the moment that you actually retire, as this is a factor that will weight on your retirement to a significant extent. Bear in mind, for example, that certain tax incentives are in place for spouses to set up a joint superannuation fund instead of setting up individual ones. Check with an authority on the subject to see if you and your spouse qualify and if this would be a good idea in your particular case.
Financial planning will need to figure prominently in your retirement planning, and in this regard you will want to do your best to ensure that you are not relying on one single source of income during retirement (your superannuation, specifically). Don't merely go solo in this aspect of planning: to the contrary, you will be well advised to seek out the advice of a financial expert that can help you put together a smart investment portfolio. Discuss your current standard of living and what you hope to achieve for your retirement years with this person.
In any case, retirement is a time when most people subsist off of a fixed income. Unless you did incredibly well for yourself prior to retiring (and even then if you don't manage your wealth properly), there will need to be certain sacrifices made. It is precisely in light of this reality that planning becomes so important.
To help in the adaptation, adopt your monthly budget for retirement prior to actually retiring. Try only spending the amount you will have per month during retirement to see how you conform, and keep in mind that there may be expenses that will disappear during retirement (so don't despair if it seems a bit tight).
As the date for retirement draws ever closer, you will want to check to see whether you are on-track with your plans or if things have changed significantly. Make whatever final adjustments you need and remember: it's your retirement after all, so you might as well do your best to enjoy it and live it up! - 32535
About the Author:
Gnifrus Urquart knows how crucial a Self Managed Super Fund can be in retirement planning. As such, he has his managed by the Premier option in Self Managed Superannuation Fund experts
