How To Plan For Retirement
It doesn’t matter if you’re 64, 14, 32, or 56 – you can always plan for your future, including your eventual retirement. Since you’re reading this article, you’re likely ready to begin the endeavour, but where do you start?
When Do You Plan to Retire?
Knowing what age you plan to retire at can help you set a future financial goal for yourself. You’ll be able to work out how much you’ll need. The amount you’ll need to save will vary greatly if you plan to retire at 68 or 78. Don’t forget to take into account your longevity risk, that is, it’s possible you may not retire as soon as you thought you would.
Control Your Finances Now
You may need to monitor your spending – what you spend now may affect when you can retire. Limit what you’re spending and keep your remainder in your retirement account. The money you place there now will be worth even more when you eventually draw it out.
Pick a Retirement Plan
Everyone’s needs are different in this regard. Should you invest more than is necessary to your Super? Should you diversify your account by investing in shares? Should you invest in property? Ultimately, it’s up to you and your situation, just make sure to do your research before diving into any retirement plan – ideally talk to a financial advisor.
Diversify to Avoid Financial Downfalls
Some good advice for everyone, regardless of their situation, is to diversify your accounts.
It’s impossible to know where the next collapse or the next boom will happen, so keeping a broad array of accounts is your best chance of succeeding in the long run. 96% of singles and 89% of couples between the ages of 40-64 are expected to utilise the age pension program during retirement. A diversified account can help avoid, or at least supplement, having to rely too much on this scheme.
What will Residential Aged Care cost?
If you’re thinking about aged care and want to make sure you set aside enough funds for these services, the cost is based on what you can afford and the particular services you choose. As everyone’s circumstances are unique, we recommend you seek advice from a financial advisor for your individual circumstances. You can also contact Anglican Care to find out more about the three fees you may be eligible to pay when entering Residential Care.