Even if retirement is years away, here are 6 crucial things you need to do to make the most of your retirement years.
Take care of the big-ticket items – Have you been postponing some repair work around home, scared to even think about how much it is going to cost you? You might be able to live with an out-of-date bathroom, for example, but if your roof need repairing, get it done before you are on a retirement budget.
Pay your debt – This is a big one, and you probably have been working towards this goal for years. You don't want to have to pay a mortgage out of your retirement budget, or front up the steep interest rates on your credit card debt.
Discuss your plans with your spouse or partner – You might have a good idea of what you want to do when you retire. But have you asked your spouse or partner what they want to do? If one of you wants to travel while the other wants to stay home and look after grandchildren or spend the days gardening for that matter, it could create conflict on how you spend your retirement dollars.
Build a support network – If you are planning on moving house, neighborhood or even city, you will need a new support network. Being close to family is not always an option, so if you move, invest some energy in finding your way around and getting to know the locals.
Find a hobby – You've worked all your life towards these golden years, make the most of them! You will have the time to spend on your favourite pastimes, but if you don't have a hobby, it would be good to find something you enjoy doing.
Commit to a budget – The tricky thing about retirement savings is that you don't know how long they will need to last. These days, you can expect to live in retirement for 30 years, or even more. Having a budget is essential. Overseas trips, new hobbies, visiting family and the day to day stuff all need to be contemplated.
The key to enjoying your retirement is having the right plan in place - you want to make sure you have the money to fund the kind of retirement you want to have.
It's never too early to start planning. You can start small by making sure you are making the most of KiwiSaver every year while you are working. You can also make sure you have your mortgage structured in a way that will help you pay it off faster. And lastly, make your savings work hard for you.
Want to get started? Get in touch, we're here to help.