YOUR FINANCIAL JOURNEY
Funding Your Retirement.
FUNDING YOUR RETIREMENT
Wise words on retirement are that:
“…you don’t retire from, you retire to…”
Questions that you may want answers to are:
- Is it possible for you to retire at 60?
- How early can you access your superannuation?
- Can I take out a lump sum to kick off retirement with a holiday? Are there any tax implications of such a withdrawal?
- Am I able to access a monthly payment to replace my salary? How much would this need to be per month? What are the tax implications of withdrawing my superannuation after age 60?
At Locumsgroup we can advise you on the required steps to prepare for an early retirement by reviewing your financial position, identify your financial objectives and lifestyle goals, and start the process of planning for an early retirement.
We can ensure that you have a clear understanding of these key questions:
- Do you feel sufficiently confident with your level of knowledge to make an informed decision about when and how to transition to retirement, giving you complete peace of mind.
- Do you understand the financial implications of reducing your working hours before age 65.
- Have you considered the lifestyle trade-offs you might have to make if you retired at 60.
- Are you clear on the implications of exactly when you are eligible to access your superannuation, and the consequences of taking a lump sum upon retirement.
Are you on track to funding your dream retirement?
It’s important that you know that all your hard work and success in your career is directed towards reducing or clearing your mortgage and any other debt, and planning for an ideal retirement. You want to be able to still enjoy life, travel, exercise and not have any financial pressures.
Some key questions you need answered:
- Given our current assets, plus ongoing employee super contributions, if you continue to work through to age 60 or beyond what will your financial arrangements look like and what kind of monthly pension could you draw?
- Currently you can earn up to about $18,200 per month after tax. In a married couple, assuming income splitting from investments that is $18,200 each. Is this a benchmark for your retirement income needs?
- If there is a funding gap how can you make that up? Should you be trying to contribute more to your superannuation. You’ve heard about salary sacrifice, should we explain that to you? Given school fees etc are finished what’s the best way to use your surplus income to increase your retirement funding?
- What other changes can you start to make that will positively influence our retirement?
- Can we help you understand the impact of extra savings over the next 8-10 years on your final retirement capital?
- What are the implications if you decided to do some work between the ages of 60 and 65 to supplement your income, how would that affect things?
Locumsgroup can help you be prepared for the transition by:
- Understanding your financial position and where you will be you will by age 60 if you maintain the status quo.
- A precise understanding of how much extra capital you might need to save each month to meet your retirement goals.
- A strategy to save in the most tax-efficient manner.
- A sense of certainty and confidence in your ability to create a well-funded retirement.
- A series of financial projections which help you understand the financial consequences of the different choices you can make; increased savings or retiring at age 60, versus age 65 for example.
