There has rarely been a time when pensions have been so high on the political and social agenda. As we all expect to live longer than the generations that have gone before, and our general standard of living has increased, taking the time to plan your retirement and have the confidence that you will be able to afford to put those plans in place should be high on the list of things to do.
When it comes to pension planning there are some fundamental actions that can be taken to help boost your income in retirement.
Start young
It pays to start saving early. Those that can afford to put aside money for their pension in their early 20’s will have a significant head start on those who start saving later in life. Even small amounts can make a big difference if starting early. This is known as the cost of delay and can have a significant impact on the size of the pension fund at retirement.
When your Employer offers you a pension, take it!
We still hear of people who have access to a Company pension scheme but opt out of the benefit. Most employers will contribute to your pension as a percentage of salary and may also request that you contribute an amount. By doing so contributions will be deducted from salary and you will get into the habit of saving for retirement.
It’s not just about a pension plan
There are other ways of saving for retirement which may be appropriate. ISA’s offer tax breaks and can be an attractive way of saving. Many people also look at their business as a retirement asset and property can also have a role in providing retirement planning. Even those considered to be in generous pension schemes such as final salary schemes should plan ahead and take a holistic view of retirement planning.
Work longer
May not be everyone’s ideal but if your retirement income doesn’t match the lifestyle that you want, then consider working longer. Many people have unrealistic expectations of retiring early or retiring on an income that is unattainable. Those extra couple of years working may make all the difference.
Make the most of your options at retirement
Many people spend their life diligently saving for retirement. There are increasingly more options available at retirement. All options should be carefully considered before any commitment is made,
Seek advice
At whatever stage you’re at it is important to be making the right decisions. Getting these decisions wrong can have a significant impact on your retirement. In any event it pays to seek the advice of an independent financial adviser or independent financial planner.
Here at Barry Fleming & Partners we have clients located across the UK and internationally. Our broad range of services including pensions and retirement planning, are available throughout the UK with meetings at a location of your choice.
Both our offices have visitor parking and are well connected to the motoway and rail networks. Our northern office in Altrincham, is local to Hale, Sale, Styal, Wilmslow, Warrington, and Cheadle. Our southern office is very convenient for Newbury, Hungerford, Swindon, Reading, Marlborough, Thatcham, Andover, Winchester and Salisbury.
We are happy to host meetings at either of our offices if that is more suitable for you.