Posted: 22/09/20 by Fortitude Financial Planning
It’s never too soon to start planning for retirement – it will sneak up on you quicker than you think! But where do you start?
Fortitud Financial Planning know that retirement planning seems like a daunting thing to get your head around – some people are more than happy for you to think that. But at Fortitude, they show you how simple it can be. You can even do a lot of it yourself if you have the time and the inclination.
Whether retirement is just around the corner, or way off over the horizon, the best time to start planning is today. They’ve put together this simple step-by-step guide to help you get going. It’s packed full of useful tips on how to plan for retirement – and make sure you get the one you deserve. And of course, whatever help you need along the way, they’re here for you.
STEP 1. HEY BIG SPENDER
Ok, you might not like this bit – but if you’re going to plan for the future, the first step is knowing how much you spend right now.
The easiest way is to go through your bank statements. Go back a year and you’ll get a really clear picture of where your money goes. Is it the mortgage or your bills that take the lion’s share of your income? Does a big chunk go on holidays or eating out? Or does your passion for fine wines cost you an arm and a leg each month?
“Only you know what’s important.”
You’ll find plenty of online tools to help you. If you have lots of different bank accounts, this free tool can help you pull everything together and then split your spending into different categories. Or for a more traditional approach, you can enter all your outgoings on the budget planner here. Of course, if you’d like us to sit down and go through everything with you, that’s fine too.
Once you’ve got all your spending laid out in front of you in black and white, you can start to decide what’s most important to you. Is it the holidays that keep you going? Do you still need such a big house? Can you trim anything off your household bills?
Some things you won’t be able to or even want to change. But you can be sure there will be plenty of things you can cut out or save money on. For starters, it’s quick and easy these days to check if you’re getting the best deal on your utility bills. Maybe now’s the time to downsize and free up some cash? Or maybe you’ll decide everything is fine how it is and you want life to continue in the same vein.
“It was a personal and emotional journey. It was hearts and minds.” Emily, client
The thing about doing an exercise like this, it’s your call – only you know what’s important. And only you can decide how you want to live your life – now and in the years ahead.