13:43 22 September 2014
Close your eyes. Take a deep breath. Picture your final years when you will be in the thick of retirement. What do you see? Isn’t it interesting? Most of us look forward to enjoying ourselves, relaxing somewhere. Now get back to reality and see what you can do to ensure you will have a good supply of money to lead a comfortable retirement life.
Here is the straight lowdown that you will be eager to know.
Start setting aside money now. The earlier you start, the more time you have at your disposal and the larger you can grow your savings pot. The younger you are when you start, the more time you give your savings to bounce back from any losses in the investment markets, which come about every so often.
By signing up for workplace pensions, also known as automatic enrolment, you can count on the money contributed by your employer to your pension scheme. Your employer’s contribution to your pension pot is nothing but free money, which can boost up the value of your pension pot.
If you are like the average Joe, you are going to need at least 50% of your annual income (just before retirement) to keep up your lifestyle after you retire. Plan for healthcare, mortgage and other costs, which are likely to escalate in the near-term, and make allowances for changes in economic conditions.
ave always. Even if it is a meager amount- every week or perhaps every month. This is a very good habit and will work wonders for you in terms of boosting up your pension pot.