Financial Planning

Retirement Planning

Planning for retirement is a bit like planting a tree; the best time to plant a tree (or start planning for retirement) was 20 years ago! The second-best time to start planting or planning is now.


What are some simple points that people should keep in mind when thinking about retirement?

  1. Don’t think you are too young to start planning for retirement. Time goes by very quickly and we find ourselves sitting on the threshold of retirement asking, “where did the years go?”
  2. Become engaged with your Superannuation, as early as possible. Employers are currently required to contribute 9.5% of a person’s salary to super, and this is intended to increase to 12% over the coming years. However, you may also be able to make voluntary contributions to super, which can have a substantial impact on your Superannuation balance over the years. When structured correctly, voluntary contributions to super can also be very tax effective.  In most cases, your Superannuation will be your primary retirement income vehicle, and becoming engaged with your Superannuation early can mean the difference between a comfortable, and a very modest retirement.
  3. Make debt reduction your priority. Carrying a home loan or personal debt into retirement can put serious strain on your cashflow. This will often force you to draw heavily on your superannuation to reduce your debt, leading you to be unable to fund your retirement long term. Establishing a budget to prioritise debt reduction is the best way to ensure that you are on track to eliminating your debt. It can also help you to adjust your spending habits in a way that allows you to save more now, for a comfortable and sustainable financial future.

In order to have the retirement you deserve, you need to start planning as early as possible. Engage a Specialist Wealth Advisor to help you set goals, develop smart savings strategies and invest wisely for a profitable future.

HG Financial Services – Corporate Authorised Representative 401592 of Alliance Wealth Pty Ltd  ABN: 93 161 647 007 AFSL: 449221