Your Retirement Planning Checklist

Written on the 28 March 2023 by Parkside InvestorPlus

When it comes to retirement planning, more than likely you will belong in one two camps – you’ll either be looking forward to the day and years ahead or you might be dreading the thought of it.

If you are one of those who are looking forward to your retirement, then chances are you have planned for this next chapter in your life.

This planning may have included;

• Ensuring your having enough money in your superannuation to comfortably enjoy your time, hopefully, with your partner
• Knowing how you will spend your time and what activities you’ll undertake
• Making sure you have positive and supportive relationships around you
• And of course, making sure you maintain your health so you can enjoy the fruits of your hard work

On the flip side, those dreading the thought of retirement will be the opposite of the list above, i.e.

• Still saddled with mortgage debt
• Not enough funds in their superannuation and having to rely on Age Pension
• Wondering how they will spend all this extra time on their hands
• Social interaction was primarily through their work and/or work colleagues

As you approach retirement, what ever that time frame looks like to you, there are some considerations each of us need to work through, such as;

Your current level of superannuation or other financial resources (this is your starting point)

• Do you own your home outright or is there still a mortgage attached to it
• Are you an empty nester
• Your lifestyle expectations – i.e. how much annual retirement income do you need – for a moderate, comfortable or luxurious lifestyle?
• Your eligibility for the Age Pension and how much to top up your retirement income

However, spending some time and effort in preparing yourself (and your partner) for retirement can help to ensure you do indeed have a  joyful experience in this next phase of your life.

Simple steps can make an enormous difference.

Retirement Planning Checklist

Finances

• If you have not already done so, consult with a financial/wealth advisor – they will help you with simple steps to maximise your current position.  As the saying goes, the best time to plant a tree was 20 years ago, the second best time is NOW.
• Reduce or eliminate any outstanding debt – being debt free or near debt free allows you to use your retirement income on the things you desire rather than paying off loans.
• Determine your health care needs, this includes; coverage and expenses – some simple comparison and research may help you find a plan that meets your needs and budget.
• Ensure your Will and estate affairs (if not already prepared) are up to date and that you have discussed with the beneficiaries.

Lifestyle

• Choose your retirement date, retiring on your terms is much more pleasant that having retirement forced upon you.
• Decide what kind of lifestyle you and your partner (if applicable) would like to live, i.e. active, indulgent, chill.
• What hobbies or interests or even home projects will you embark on now that you have your own time.
• Stay on top of your health, exercise – walking, running, gym or yoga.

Location

• Think about where you’ll spend your retirement, in your current home, down size, sea/tree change, another state or even a retirement home.
• If you choose to move out of your current home, start thinking about the selling process and finding the right people to help you e.g. real estate agent, property lawyer etc.
• What home contents will you keep, give away, sell or simply dump.

Do your homework and seek out independent financial advice from a financial/wealth management planner – yes, they can save you years of going it alone and wasted time and effort.

The advisers at Parkside InvestorPlus can advise and assist.

Parkside InvestorPlus.