The key to enjoying a fulfilling and stress-free retirement begins with a well-structured retirement plan. But how much should you save, and how can you be sure it will be enough? In this blog, our LBW advisors will provide valuable insights into effective retirement planning and helping you secure your best future.
How important is a retirement plan?
Your savings are more than just numbers—they form the foundation of your lifestyle after years of hard work. A robust retirement plan ensures comfort and security, allowing you to enjoy your golden years.
ASFA’s retirement spending standards
The Association of Superannuation Funds of Australia (ASFA) provides helpful guidelines for retirement budgets, tailored to your desired lifestyle. For retirees over 60, the estimated annual costs are as follows:
Modest lifestyle: Individuals need at least $33,134 annually to cover basic expenses, mostly supported by the age pension, while couples require $47,731.
Comfortable lifestyle: To enjoy extras including private health insurance, a nice car, holiday trips, and leisure activities, individuals need $52,085 per year, while $73,337 is recommended for couples.
These figures highlight the importance of careful planning, smart investments, and effective money management to help you achieve your retirement goals.
Things to consider for your retirement
As you come closer to retirement age, things may have an effect on your finances. Some factors may include:
1/ Your ideal lifestyle: Planning ahead can help you manage your funds effectively and may even enable you to retire at a time right for you.
2/ Current savings: Your income and investments determine how much more you need to save to meet your future needs.
3/ Having a family: Supporting family members may require additional resources.
4/ Economic changes: The rising cost of living can make it challenging to keep up if you don’t have enough funds.
5/ Healthcare expenses: Medical costs typically rise as you age—having good insurance can prevent future financial strain.
Plan your retirement with LBW
Our tailored advice on SMSFs, investments, and estate planning can guide you towards reaching your retirement goals.
Start planning for your future. Contact our team for financial advice and take the first step towards achieving your retirement goals.
This blog provides general educational information only. The content does not take into account your personal objectives, financial situation or needs. You should consider taking financial advice tailored to your personal circumstances.
LBW Business + Wealth Advisors is an Authorised Representative of LBW Wealth Pty Ltd ABN 56 652 382 128 AFSL 534569. Please see our website www.lbwca.com.au or call 03 5221 6111 for more information on our available services.
