Women come to us at all stages of preparing for their retirement. Whether you are just starting out and looking to start a pension pot or if you are planning on retiring imminently, there are several steps that you can take to get on track for a comfortable retirement.
1. Start Early
It is never too late to start planning your retirement, if you are planning to retire in the next few years there are many ways you can boost your pension pot.
However, our financial advisers always recommend that people start saving into a pension as early as possible. Even though you might be young and only just starting to establish your career,
Even if you can only afford small monthly amounts initially, your pension savings will still get a boost as the government automatically adds tax relief to your contributions at your marginal tax rate. For example, if you are a basic rate tax payer then contributing £100 to your pension will only cost you £80 as the 20% will automatically be reclaimed from HMRC. (Please note that anything over the basic rate of tax must be claimed via the individual’s tax return.)
2. Calculate how much you need to save into your pension
Some people put off saving for their retirement as they are unsure how much they need to save.
A financial adviser at Four Wealth Management can help you calculate how much your pension would need to be worth to provide you with sufficient income when you retire.
Your outgoings are likely to be much less in retirement than when you are working. You are likely to have already paid off your mortgage, you will no longer have to commute, and your children might now be financially dependent. A financial adviser can help you to estimate your essential costs at retirement and discretionary costs to help you work out how much income you will require each month for a comfortable retirement.
You can then start to save towards this goal.
Book a no-obligation meeting now to discuss how much you need to save into a pension
3. Work out how much you have already saved for retirement
Auto-enrolment and workplace pensions are a good way to start you saving for retirement and you also benefit from employer contributions.
However, if you have had multiple jobs in your lifetime then it is likely that you will have started a different pension at each job held with a different provider. Many people lose track of these pensions or leave them invested in the default funds which are unlikely to be in line with your individual goals.
To help you work out how much you have already saved in pensions and track down any old existing pensions, a financial adviser at Four Wealth Management can help you.
Book a no-obligation meeting now to track down your pensions
4. Find out how much your state pension will be
The maximum State Pension in the 2022/23 tax year is £185.15 per week. However, the actual amount you will receive depends on your National Insurance Record. You can check the amount you will receive on the government website.
It is unlikely that the state pension will provide you with sufficient income for your dream retirement but it will help you to reach the amount of income you want to achieve each month.
5. Check if you have a pension shortfall
Now that you know how much you have already saved for retirement, how much state pension you will receive and how much income you will require each month. You can calculate if there is a shortfall between the amount you have currently saved and the amount you hope to retire with.
A financial adviser at Four Wealth Management can help you to create a retirement plan to make up this shortfall.
Book a no-obligation meeting now
Book in a meeting now
Decisions you make when planning your retirement can be irrevocable and will define the income you receive when you retire.
Financial advice could be invaluable when it comes to choosing the best retirement option for you individual circumstances.
Book a no-obligation meeting online now or call 0117 973 0500.
The value of a pension with St. James’s Place will be directly linked to the performance of the funds you select, and the value can therefore go down as well as up. You may get back less than you invested.
The levels and bases of taxation, and reliefs from taxation, can change at any time. The value of any tax relief is dependent on individual circumstances.
