- Ask the expert: Get proper advice from the financial expert to get the best plans for your needs.
- Research: Conduct research about the best financial company that provides you with proper guidance and support of your future.
- Update your records: Record all your general information regarding retirement like age of retirement.
Planning for retirement or old age is a process that should be started at an early stage. The process involves the following:
- Determining the need (What)
If you wait until your 30’s to start investing for retirement, you have about 30 years before you retire. Then you can probably plan to live another 30 years in retirement. That means you could spend one-third of your life retired, living off your investment earnings. In other words, you would be living on your savings for the same amount of time you spent saving for retirement.
- Determine how you plan to retire: This can involve the different ways or strategies you will apply towards retirement.
- Determine where you plan to put your retirement benefits. This could be in form of savings, investment, assets etc.
- Determine how much you will need in your retirement
Retirement Planning and Management Cycle
Under this cycle, you are required to;
- Identify your retirement goals
- Analyze your current financial position
- Understand your income sources
- Investment planning
- Planning for unforeseen life events
- Managing your retirement income
- Continuous and regular monitoring of retirement assets