Your next life stage requires careful planning.<\/b><\/p>\n
Retirement is a period of life that many people spend years dreaming about: the chance to finally leave work behind and enjoy much-needed time with family and friends. While it\u2019s natural to be excited about retirement, it\u2019s worth getting all your ducks in a row before you say goodbye to work \u2013 and a regular income \u2013 forever.<\/p>\n
If you\u2019re edging towards retirement age, here are eight signs that you might not be ready to sail off into the sunset just yet.<\/p>\n
You don\u2019t have a clear idea of your personal finances<\/b><\/p>\n
You wouldn\u2019t venture into an unknown city without a map and expect to have control over where you end up. When it comes to your retirement plan, you shouldn\u2019t be navigating without direction either.<\/p>\n
Areas that are good to understand in detail include a well-rounded view of your super \u2013 how it\u2019s invested, the fee structure and how well it\u2019s performing. It can also be helpful to have an idea of how much super you\u2019ll need for retirement and what you expect your living expenses to be over the next 30 years or so.<\/p>\n
You haven\u2019t worked out your new retirement income<\/b><\/p>\n
One of the key factors in weighing up your financial situation at retirement is understanding what your new retirement income will be and whether you\u2019re financially ready to take this next big step. Without the regular pay cheque from your job, you may have to allocate yourself an amount you can comfortably live on for decades to come.<\/p>\n
To figure out this amount, take time to assess how much money you\u2019ll need to retire comfortably. It can also be useful to work through a detailed budget to ensure the projected amount can go the distance.<\/p>\n
You haven\u2019t tried living on your retirement income<\/b><\/p>\n
\u2018Try before you buy\u2019 is an age-old adage for a reason, and it\u2019s especially relevant when it comes to your retirement. You don\u2019t want to run out of money before you\u2019ve made it to your golden years.<\/p>\n
And if your retirement income proves to not be enough? It\u2019s a lot easier to rectify this before retirement, as opposed to when you\u2019ve already said goodbye to work and bought yourself that long-coveted boat or seaside property.<\/p>\n
You have too much debt<\/b><\/p>\n
It\u2019s not a good idea to carry any debt into retirement.<\/p>\n
Your retirement strategy could include debt reduction as a key area, including paying off a mortgage or credit card debt. Taking a mortgage with you into retirement can affect you in a number of ways so, if you can, it\u2019s optimal to pay out this debt before retiring from work.<\/p>\n
You haven\u2019t maximised your super<\/b><\/p>\n
Do you have enough retirement savings? Consider the possibility of further super contributions and what might be a realistic amount for you to contribute.<\/p>\n
You haven\u2019t considered how your needs might change<\/p>\n
The transition to retirement often mirrors your journey into old age, which is why it\u2019s important to factor additional healthcare needs into your retirement plan. Life is unpredictable at the best of times, but a financial buffer can take the sting out of any unexpected shifts, especially where your health is concerned. Consider how your healthcare needs might change over the course of your retirement, including factors such as preventative care and health insurance.<\/p>\n
You haven\u2019t emotionally prepared for retirement<\/b><\/p>\n
There\u2019s more to retirement planning than just your finances. Retirement is a huge transition, separating you from the work you\u2019ve spent the better part of your life involved in. For some retirees, it can be a big adjustment. Even if you\u2019re elated at leaving your working life behind, your plans for the future may have lost their sheen due to changes in the global environment. For this reason, ensuring that you\u2019re emotionally ready for retirement should also factor into your strategy.<\/p>\n
You haven\u2019t spoken to your family about your plans<\/b><\/p>\n
It may be your retirement but your choice to finally wind down your working life can have implications for more than just you and your partner.<\/p>\n
Expectations can be a tricky thing to anticipate but they can, to some extent, be managed, especially with clear communication.<\/p>\n
This is an edited version of advice offered by AWM Services Pty Ltd.<\/p>\n","protected":false},"excerpt":{"rendered":"
Your next life stage requires careful planning. Retirement is a period of life that many people spend years dreaming about: the chance to finally leave work behind and enjoy much-needed time with family and friends. While it\u2019s natural to be excited about retirement, it\u2019s worth getting all your ducks in a row before you say […]<\/p>\n","protected":false},"author":8,"featured_media":333,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[34,1],"tags":[],"class_list":["post-2123","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-community","category-uncategorized"],"acf":[],"distributor_meta":false,"distributor_terms":false,"distributor_media":false,"distributor_original_site_name":"Kangaroo Valley Voice","distributor_original_site_url":"https:\/\/kangaroovalley.nsw.au\/valleyvoice","push-errors":false,"amp_enabled":true,"_links":{"self":[{"href":"https:\/\/kangaroovalley.nsw.au\/valleyvoice\/wp-json\/wp\/v2\/posts\/2123","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/kangaroovalley.nsw.au\/valleyvoice\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/kangaroovalley.nsw.au\/valleyvoice\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/kangaroovalley.nsw.au\/valleyvoice\/wp-json\/wp\/v2\/users\/8"}],"replies":[{"embeddable":true,"href":"https:\/\/kangaroovalley.nsw.au\/valleyvoice\/wp-json\/wp\/v2\/comments?post=2123"}],"version-history":[{"count":1,"href":"https:\/\/kangaroovalley.nsw.au\/valleyvoice\/wp-json\/wp\/v2\/posts\/2123\/revisions"}],"predecessor-version":[{"id":2124,"href":"https:\/\/kangaroovalley.nsw.au\/valleyvoice\/wp-json\/wp\/v2\/posts\/2123\/revisions\/2124"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/kangaroovalley.nsw.au\/valleyvoice\/wp-json\/wp\/v2\/media\/333"}],"wp:attachment":[{"href":"https:\/\/kangaroovalley.nsw.au\/valleyvoice\/wp-json\/wp\/v2\/media?parent=2123"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/kangaroovalley.nsw.au\/valleyvoice\/wp-json\/wp\/v2\/categories?post=2123"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/kangaroovalley.nsw.au\/valleyvoice\/wp-json\/wp\/v2\/tags?post=2123"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}