Once we reach our sixties and seventies we start to feel like the time is ripe for retirement. After decades of working it’s during these later years that many feel the need to wind down, relax and begin endeavours that don’t involve a 9-5 schedule, and rightly so! The question is– when is the right time to retire?
At Lady Anne Funerals we have helped a number of retirees and future retirees make a prepaid funeral plan. No two clients we work with are exactly the same and their decisions when it comes to retirement aren’t the same either. We have put together a list of things that will help you decide when the right time to retire is for you.
When you feel the time is right
For some, working well into your sixties or seventies is enjoyable. You may feel like you’ve really hit your straps in your job role and if you’re lucky, you’re passionate enough about your job to want to continue. For others, working past your sixties is tiring and you might start to feel that your time could be better spent with kids, grand-kids, travelling and settling into a well-deserved retirement. Transitioning into semi-retirement is a viable option for many Australians and gives the best of both worlds. More time for yourself while still making an income to fund your retirement. When the time feels right it usually is.
Plan with your partner
The best time to retire is at a time that you and your partner agree on. Transitioning into retirement is a far simpler task if you and your partner are in it together. It will also make consolidating assets and putting together a budget much more straight forward. Outside of financial planning, retiring together means that the two of you can make plans together like travelling, joining a club or volunteering.
Perhaps you’ve lived in the same suburb for 30 years and you’ve always dreamed of a beachside view. Maybe your children have had children and your time could be spent as a babysitter for your beautiful grandkids. Everybody’s lifestyle is different and as life goes on different situations arise that make retiring more or less convenient. When you have your retirement planned it may just seem like the right time in your life to start leading a less stressful lifestyle. If you’re not sure when the right time is, you could try taking long service leave to give retirement a “trial run”.
Do you have sufficient financial resources?
Probably the most important factor when it comes to deciding when you should retire is how much money you have saved in the form of your superannuation, investments and assets. The current ASFA Retirement Standard suggests that couples need to have access to $58,444 annually to live a comfortable lifestyle, while singles need $42,569.
Calculating your assets including any property you own, your superannuation savings and investments is a good place to start. After that, have a look at the age pension eligibility to see if you qualify for a payment. Part-pension payments are offered to retirees who don’t hold enough assets to live comfortably.
Talk to an expert
When it comes to deciding when is the right time to retire it can be helpful to talk to a financial advisor or planner who can assess your wealth and your needs for retirement. A financial planner can assist you for putting goals in place and help you to put together a method of achieving the goals. Professional advice may help you build your wealth more than you could have alone, giving you peace of mind that retirement is achievable.
If you are considering retiring in the near future why not take advantage of our free retirement planning guide? We have put together a list that breaks down the important factors to consider before you retire. If you’re looking for ways to be more prepared for later life why not talk to one of the ladies at Lady Anne Funerals about our prepaid funeral plan options. You can never be too prepared and organising a funeral plan means there will be no undue burden put onto your loved ones.