4 Steps YOU can take NOW to make sure you are in a
comfortable position when Retirement comes knocking.
Retirement…it can be a scary thing and for most Australian’s these days it is indeed a impending decision they need to do something about.
No more is retirement about the good ol’ days. It’s a period of winding down and enjoying life’s pleasures, as it should be.
Most Australians these days fear that they won’t have enough money to fund their hard earned retirement.
And that fear is well earnt…
A recent Mortgage Choice Financial Confidence survey showed that 65.2 per cent of respondents were worried about their retirement funds, while 60.7 per cent thought that they would need more than $500,000 in order to retire.
In addition, 18.5 per cent said they had no idea how much they’d require.
Yet while these monetary figures would undoubtedly come as a shock to many Aussies, the data revealed that more than 50 per cent of us don’t give our retirement any ‘serious thought’ until we are aged in our 50s.
So how much do you need to make your
retirement dreams a reality?
According to the Association of Superannuation Funds of Australia’s Retirement Standard,to have a ‘comfortable’ retirement, single people will need $545,000 in retirement savings, and couples will need $640,000.
4 Steps YOU can take NOW to make sure you are in a
comfortable position when Retirement comes knocking
1. The first and most important thing you need to do is check what your financial position is today.
There are a number of online calculators that will help you to project your retirement savings such as the ASIC’s money smart calculator.
This can help you understand what path you are on and allow time to correct the course if it’s not taking you where you want to be.
2. Next, take a proper look at your finances.
The two biggest expenses you will have over your lifetime is income tax and interest on bad debt (such as homeloan, credit cards and cars). We all hate these but many accept there is little that can be done to reduce these burdens.
Try and find a way to accelerate the repayment of your debt.
This could be achieved by refinancing your home loan to a lower interest rate, consolidating debts or making extra repayments.
Our debt snowballing strategy allows people to repay 100% of their debts in less than 10yrs.
3. Reducing tax is a critical step, since over your lifetime the average income earner will pay close to $1 million in tax.
One of the most simple tax reduction strategies is to salary sacrifice some money into superannuation.
You only pay 15% tax on super contributions vs the average tax rate of most people being 34.5%. This provides an instant tax saving of 19.5%.
4. Investing in growth assets such as good quality shares or an investment property is another way to save tax while you’re boosting your investment portfolio.
When it comes setting up your financial future it’s important to take action today with someone that has a proven track record to getting others results.
Taking control of your retirement starts with finding
the best advice.
With the right advice you can discover the best ways to structure your finances so they support you throughout retirement. That way you can gain the freedom to shift your focus from money to the things you love. It’s a liberating experience.
Imagine yourself taking the holiday you’ve always dreamed of or spending long afternoons with the people you care about most – it truly makes getting retirement ready seems all the more worthwhile.
Our Process Is Simple
- We take the time to get to know you during a meeting at our expense,
- We ask question in order understand what you care about and
- We help you discover if you are on track to achieve those things.
If you’re on track, then maybe there are a few things we can point out that will make the journey easier and sometimes there is not much we can do.
Either way, it’s great to have a professional check up and know that you are on track. Get in touch with us here
