Retirement Planning – Finance
Tracking your expenditure can be a vital part of meeting your retirement plan goals. 3. Estate planning Ms Bouton encourages all of her clients to have updated estate plans. It is important to ensure that your Will, Advance Care Directives or other important documents are as relevant as possible to your current beliefs and circumstances. Estate planning can only be put together if you have full capacity, and you can
Planning helps prepare for anything Aged in their mid-fifties, Joe and Lucy were worried about their financial situation. With increasing debt levels due to credit card debt, they had very little in savings and were unsure how their superannuation worked. They had an overwhelming feeling they were not moving forward and a fear they would never be able to retire. Guided by their financial advisor, Joe and Lucy were able to identify clear goals and create workable strategies within realistic timeframes, whilst receiving ongoing education and support.
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Your Retirement Living – 8th edition
never know when you will lose the ability to make decisions for yourself. It is better to be prepared for any incidents by having up‑to‑date estate plans in place.
4. Track your budget It may seem like a no-brainer for some, but there are people that don’t track their every-day spending as they should. Tracking your expenditure can be a vital part of meeting your retirement plan goals. If you don’t track your spending, you may not be able to appropriately understand why you aren’t hitting your super or saving targets, or aren’t growing your retirement nest egg. Watching where your funds are going day in, day out, can help you stick to a budget and achieve your financial retirement objectives.
5. Engage a financial planner A financial planner can take a load of stress off when preparing for retirement and they can even implement appropriate strategies
that fit your individual needs. For many, retiring can be scary, especially when there are unknowns you don’t understand. An aged care financial planner can have the skills to help you navigate the barriers you face and prepare you for future costs. According to Ms Bouton, when asked, the number one priority of her clients is always living independently at home for as long as possible. So if you want to meet this goal, you need to start thinking and talking about how you want to live when you retire, how you are going to fund this and plan for the possibility of requiring extra help or care around the home later on. Otherwise, you may be left without any choice and the decision is taken out of your hands. Disclaimer: The information in this article is general in nature and does not constitute legal or financial advice. Readers should seek their own personal legal and financial advice from a suitably qualified practitioner.
Aged Care Financial Advisers (ACFA) assisted Joe and Lucy to consolidate their debt into the one loan, manage their budget and cashflow, boost their savings to provide them with some cash reserves and increase their superannuation investments using tax effective strategies and reviewing their underlying investments.
Although Lucy was devastated, she and her family were reassured that financially she would be ok.
The organisation also ensured they had adequate insurances in place so in the event of illness, injury or death their financial future would not be in jeopardy.
As Joe’s spouse, Lucy inherited his superannuation and this, along with her own superannuation, allowed her to still be financially secure in retirement.
Joe and Lucy would meet with their advisor twice a year to ensure they were on track with their plans. Their cash reserves and super grew in value while their debt decreased. As a result, they were able to reduce the level of their insurances and in turn provide them with improved cash flow. Sadly, nine years after meeting with ACFA, Joe passed away unexpectedly.
Joe’s insurance allowed Lucy to pay off the mortgage. She had cash reserves, allowing her to take some time off work while she got accustomed to life without Joe.
Financial planning is not just about money, it’s about peace of mind, confidence, a trusted relationship and financial certainty. Case study provided by Aged Care Financial Advisers The information contained within this content has been provided as general information only and prepared without taking into account your financial position, objectives, and needs. You should consider its appropriateness and seek financial advice before making any financial decisions.
