An Introduction to Planning for your Retirement
When you think about retirement you more than likely think about all the spare time that you will have and all the things that you would like to do when you reach that stage. However, it is essential that you plan for your retirement while you are working, as you may well be left without sufficient resources to fund for your retirement. Most want to be financially comfortable and continue their lifestyle into retirement.
The fact of the matter is that the State Pension (Contributory) will only provide you with an income of approximately €230.30 per week as at January 2010. This amount is in the region of one third of the national average wage. If you were to retire on this amount, it may mean a big fall in your standard of living and lifestyle. Therefore, if you want to be able to enjoy a comfortable retirement, then you really need to think about putting some money away to save for your retirement.
The sooner and the younger you are when you start saving for your retirement, the easier it will be for you to save and you will also have a better chance of meeting your personal and financial goals. If you don’t plan for your retirement, who will? What is the best way to put those savings away? A Retirement Plan is one of the easiest and tax efficient ways to save for your retirement. A major benefit of investing in a pension is that for every €1 you invest the Government will subsidise up to almost half of your contribution subject to your net relevant earnings.
How much money will you need to contribute in order to provide comfort and security when you retire? The answer will depend on a number of factors including:
- Your age now, and the age at which you think you’ll retire
- The amount of income you think you’ll need when you retire
- The investment returns which your fund achieves
Your Financial Adviser will discuss these and other factors with you, and based on your answers, they can discuss and recommend what contribution you should make to achieve your financial goals.
For further information, please contact me on firstname.lastname@example.org