Why is Retirement Planning important?
Planning for retirement doesn’t need to wait until the last minute, and it’s never too early or too late to start.
The purpose of superannuation is to fund retirement. There are various incentives that investing into superannuation offers to encourage people to fund their own retirement where possible. For example, did you know withdrawing from super after age 60 in retirement either through a lump sum or retirement income stream is tax free?
How can having a plan for my superannuation benefit me when I retire?
When working, superannuation is utilised to accumulate funds for retirement. The more super we manage to accumulate during working life, the better placed we should be for when retirement comes. Upon retirement, it is generally the case that super is moved into a retirement income stream to replace the wages you are no longer receiving.
Retirement income streams come in two forms:
Pensions which most super funds provide an option for in retirement. There are also a few different types of pensions.
Annuities which are offered by Life Insurance companies, friendly societies or trade unions and can be purchased with super money or non-super money.
What do I need to consider when planning for my retirement?
Getting advice as to how best to structure your retirement will help you ensure you have positioned yourself financially to meet your goals and answered questions such as:
How long do you need retirement funds to last?
How best to invest these funds?
What kind of lifestyle do you want to live in retirement and how much will this cost?
Am I entitled to the Age Pension?
What happens if I pass away?
At JKLM Wealth Group we can help you plan your retirement and implement the best strategies to ensure you are answering these questions and more. We also have years of experience with working with Centrelink and clients who are receiving the Age Pension or part pension.