Retirement planning

deVere Group provides and advises on retirement solutions for our internationally mobile client base.

This advice allows our clients to become financially secure and lead the retirement lifestyle they always dreamed of without any financial worries or concerns.

Will your current retirement planning be enough to ensure a financially secure lifestyle?

We understand that life can often get in the way, but if you delay saving for retirement, you could be in serious danger of running out of money in the future.

You might be forced into working longer than planned or rely on your family for financial support. A recent study reveals that up to 80% of professionals in the US are unprepared for retirement and don’t have enough money saved for when they start drawing down from their pension.

The earlier you start saving, the more time your money has to grow and enjoy the benefits of compound interest.

If you delay saving for your retirement, until a later age, the amount you will need to save will increase steeply. This will mean that a larger amount of your disposable income will need to go towards retirement savings, which is likely to create issues later down the line.

Time is your best weapon in the fight against a financially insecure retirement. Consistent saving is the key to a financially secure retirement. Your financial advisor can give you advice and options to fulfil your financial needs and create a plan to achieve your desired retirement income.

Why your retirement savings might not be enough?

Inflation

Inflation eats away at savings and erodes value. As the cost-of-living increases and prices rise, your purchasing power becomes less, meaning you get less for your money. The retirement savings you think will be sufficient today will be worth less in the future, so you need to counteract inflation with investments that outpace inflation.

Longevity

Another factor is that people are living longer with modern medical advancements and ever-improving living standards. In the past, retirement was an average of 10-20 years. However, retirement could now last up to 40 years and beyond.

It is predicted that by 2050 people will be living into their late nineties and even hundreds. This means that your current retirement planning could be insufficient, and you need professional advice to help make your money last longer.

Workplace pensions

Unfortunately, we can no longer rely on work pensions to cover retirement costs. Jobs are changed on average every seven years in modern society, meaning company pensions accumulated are falling short.

Defined benefit pensions offering guaranteed income at retirement are also becoming a thing of the past. Guaranteed incomes for life are no longer being offered by employers.

Cost of living abroad

Professionals living and working abroad also change the retirement dynamic. Living abroad often requires more money to retire as the cost of living is usually higher. This means that pension planning needs to be revised to fund the upgraded lifestyle.

Start planning for your retirement today

The best time to start planning for your future is today. The more time you give yourself, the easier the process will be. To arrange an introductory financial planning session, please click on this link.

FAQs

How much should I be saving for retirement?

The amount a person should be saving for retirement is different for everyone. The required amount is dependent on several factors. Some of the questions you should think about include…

What kind of retirement lifestyle do you want?

The lifestyle you envisage will determine what kind of retirement income you will need. Do you see yourself eating out frequently, travelling abroad, joining country clubs, and buying that second home? You may prefer a quieter pace of gardening, DIY around the house and visits to family. Your vision will drive the amount you need to save.

Will you want to downsize your lifestyle or maintain your current one?

Do you want to maintain the lifestyle you currently have, e.g. downsizing to one vehicle, a smaller home, or travel only once or twice a year?

At what age do you want to retire?

Knowing the age at which you would like to have the option to stop working will help your advisor determine the capital required to retire comfortably and develop a retirement savings plan.

How much do you already have saved up for retirement?

This has a significant influence on your retirement planning. If you started early enough and have a bulky nest egg saved already, it will make it easier for you to retire comfortably. If your savings are minimal, you might not be able to enjoy the retirement lifestyle you imagined or might have to continue working and postpone retirement for a few years.

What assets do you currently own?

This refers to what your savings currently consist of. Do you have company/work pensions, personal pension plans or investments, or will you rely heavily on state pensions/social security?

deVere’s expert financial planners can help you calculate exactly how much you will need to have accumulated to enjoy the lifestyle you’re imagining.

Early retirement planning

Retiring early requires discipline and commitment to your retirement savings. Your nest egg needs to be substantially larger to fund your longer retirement. Your financial advisor will review your workplace, private, and state pensions to put together a financial plan best suited to your retirement savings needs.

Remember the tax implications of retiring early, as you might not be eligible for the same tax benefits. deVere has the expertise and experience to help you build and manage your wealth before and after retirement.

deVere is one of the world’s most regulated financial advice advisories, offering bespoke financial advice, retirement and investment planning, tax mitigation and wealth management.