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05th November 2020
Five Years to Retirement
The last five years prior to retirement may be the most important time for a full wealth check to ensure you can afford to retire in the style that you would like to as this gives you time to consider remedial action if needed. The success of anyone’s retirement will be determined by the amount of preparation that they have put in to date and confirming that this is sufficient.
If you have not taken regular Financial Planning advice it is imperative that you engage with a financial planner at this ‘5 year before retirement’ mark to help determine how close you are to meeting your retirement income goals and to identify if there are any other options for maximising the efficiency of your savings for the next five years of receiving earned income.
There are three main outcomes from a review at the ‘5 year before retirement’ mark:
1. No further changes needed. You already have sufficient savings and can retire tomorrow and meet all of your plans and objectives. Or, you may already have sufficient savings to retire but need to keep saving to achieve all of your goals in retirement or, it may just be a simple few tweaks.
2. It may be that you are on track to meet your targets but you need to continue saving over the next 5 years to meet your objectives.
3. Not on track for their retirement. You may need to consider how you can best save more whilst you have the chance to over the next five years or consider delaying your retirement plans. Alternatively, you may not be able to retire with the level of income that you had been planning for and have to dial back some of your retirement expectations.
Whatever the outcome, there are a numerous ways a ‘Retirement Health Check’, 5 years before a planned retirement, would help you.
Please contact us if you would like to disucss your retirement plans.