EasyFinance.com Community

Financial Planning Advice For Seniors - Understanding How To Plan For Retirement

Posted January 9, 2018 by Lewis R Humphries to Finance 1 0
This post was written by a EasyFinance.com Community member. The views expressed below may not reflect the views of EasyFinance.com.

According to statistics revealed at the end of 2017, an estimated one-in-three retirees in the UK will have to survive solely on the value of their state pension.

This is a stark revelation, and one that reveals the challenge facing savers in the modern age. The issue is even more concerning for seniors, who have very little time to optimise their funds before entering the uncertain world of retirement.

In this article, we’ll offer financial planning advice for seniors, while cultivating the perfect strategy for those approaching retirement.

Start by Creating a Monthly Budget

On a fundamental level, you cannot hope to save for your retirement without a viable budget. After all, some seniors may have reduced their hours and earnings in preparation for retirement, making it impossible to accumulate wealth without managing expenditure.

A financial budget should always be designed to reveal your spending habits and revealing potential savings, while there should also be a clear focus on reducing everyday expenditure. By saving money on weekly groceries and monthly utility bills, it’s possible to make incremental savings over a sustained period of time.

You can also use budgeting software to manage the process, with modern packages capable of creating transitional budgets that negate your move into retirement. This will help you to adapt and cope successfully with life outside of work.

Continue to Invest

Just because you’re approaching your retirement date, this does not mean that you should stop investing in your future.

While your workplace pension may close when you retire, for example, you could consider transferring your accumulated wealth into a personal scheme. Self-invested personal pensions (SIPPs) allow to invest independently, while they can also be managed online and offer you access to a wider range of investment assets.

This way, you can continue to build wealth even once you leave the traditional workplace, and this can prove particularly effective if you enter a period of semi-retirement or consider working on a contract basis.

Partner with a Financial Planning Expert

In order to fully realise the value of these steps, you should consider partnering with an established financial planning expert. This not only ensures that you accumulate wealth as effectively as possible, but it also helps you to determine a clear withdrawal plan and minimise the tax burden placed on your capital.

Firms such as Tilney will offer these services and more, helping to ensure that you pay as little tax as possible on your accumulated funds.

This type of service provider will also enable you to organise your will long-term fiscal plans, which in turn makes sure that your estate is distributed fairly and effectively in the event of your passing.


About Lewis R Humphries: Lewis is a finance blogger and researcher from the UK, with a passion for personal savings and small business growth.

Leave a Reply:

Only registered users can post comments.

Find More Products & Services