A pension is a great way to be able to ensure your future financial freedom whilst still enjoying life now! Contrary to common belief, it’s not an end to your current lifestyle. Your pension plan is all about ensuring that you can maintain that lifestyle when you retire. Although it can feel overwhelming with how to start or where to turn, you can start now.
With small contributions, you can have the peace of mind that you’re taking control of your future!
Sounds great, right? Well, what happens now?
Taking the first steps to secure your financial future is as easy as 1,2,3!
- Figure out how much you’d like to have as a comfortable retirement income.
- Find out how much you’d need to invest monthly and when you’d need to start.
- Decide when you’ll start!
We’re happy to help you every step of the way. Let’s start by figuring out how much do you need to save. In order to work out how much you need to be financially secure in retirement, you first need to decide what type of lifestyle you would like to have. When planning for your retirement, ensure you can build up a substantial pension fund by the time you would like to retire.
You can make use of retirement calculators to help you get to grips with how much you need to invest and from what age. Zurich retirement calculator
Using a retirement calculator will assist you in figuring out at what age should you look to start investing in your pension. Is this too early? Is it too late? This is a common question we get! While it is never too early or too late to start investing, rather ask yourself “what type of lifestyle do I want when I retire?” Then work backwards, working out how much you’d need in a monthly retirement income, how much you would need to invest monthly and when it’s best for you to start investing for your future!
Does starting early really help? Let’s use our example from our previous blog. Imagine you plan to retire at 68 years of age and would like to receive a monthly retirement income of €3,300. If you’re a top-rate taxpayer, and only start your pension when you are 50, you would need to pay in something like €1,545 of your monthly income. However, if you start investing in your pension when you’re 30, paying in €508 per month would get the same result!
So, the answer to when is the best time to start investing? The sooner the better, even if you just start with small amounts.
So, what are you waiting for? It’s time to get on board!
Want to know more or have some questions? We’ll take you from revving up to retirement! Sign up for PAW21 for FREE, get involved and learn about how you can secure your financial future now!
Are you ready to start today? Get in contact with our partners from Moneycube for an in-depth and personalised chat.