Planning for Old Age/Retirement: “Invest for your Old Age.”
In our society, people retire either voluntarily or are forced out of employment. Some people do not stop work completely because they do not plan early enough for their retirement. Transitioning from working life to retirement takes careful financial planning and decision-making – give yourself plenty of time to prepare. Due to advancement in medicine and other factors, people now live much longer and therefore need financial resources to pay for those years. As life expectancy continues to rise, so is a greater need to plan for financial independence in old age. Whether you decide to retire early or work longer, the earlier you start planning, the more likely you will be financially prepared for retirement.
It’s important to determine how many years you expect to live in retirement. It’s always better to think for a longer time rather than a shorter time to ensure you have enough money. Most people who live to be the age of 65 will live an average of 19 more years. It’s advisable to plan on living into your 90’s just to be safe. The total life expectancy for a Ugandan is 55.8.
Importance of Retirement Planning and Management
To anyone who has been in service for a long time, it is important to retire and have time to yourself out service. The importance of this is;
- To help you maintain the required lifestyle
- To ensure self – sufficiency at retirement
- To be able to provide for emergencies