How to side-step retirement remorse
The good news is that most pensioners thoroughly enjoy the freedom that retirement brings. They can pursue their hobbies, take more holidays and spend more time with their family and friends. When people have regrets, it’s often to do with the way they planned for their retirement and the decisions they did or didn’t take about their finances whilst there was still time.
Many people reach retirement and wish they’d put more into their pension plan in their peak earning years. Keeping a regular eye on how much you’re saving towards your pension will ensure that you know how much you’re likely to have when you retire and give you the chance to increase your contributions if you can afford to. Getting a state pension forecast is important too; many people overestimate how much their state pension will be worth and aren’t sure at what age they will receive it.
A recent report from Aviva3 warns that millions of workers risk sleepwalking their way to a pension that will, in effect, be less than the minimum wage at retirement. Don’t let this happen to you.
Not getting appropriate advice is often highlighted as a regret by those people who feel they made poor financial choices when they retired. People retiring today can expect to have several decades of active life ahead of them. Making sure that their funds don’t run out too soon can often be a major concern. Getting good financial advice can help ensure that you have a plan in place that meets your likely pattern of expenditure and keep funds in reserve in case you need to pay for nursing or residential care.
3Aviva, Sep 2018