No one wants to work forever but that Lamborghini won’t buy itself

 
There’s one thing I think about every week, and that’s the weekend and how I’m going to spend my time. Will it be the pub? Will it be the gym? Who knows - but just imagine having these options every day, who wouldn’t want that? 

The immediate issue with this is work. We all have to work. We all wish we didn’t, but we do. But what can we do to reduce the age we can stop working?  I know I want to retire as early as possible, so that I can spend as much time as I can enjoying doing the things I love. But how am I going to achieve this? The state pension is an ever moving goal and who knows, may even disappear before I make it to the right age! So what options do I have? 

Savings are the most obvious answer, but how much do I need to save? This is very difficult to answer, but at Scrutton Bland we have some fantastic software which can look at the future and map out some expectations. For example - do you expect to be supporting a family?  Would you like to buy a house?  Maybe start a business?  All these can be factored in to assess your future needs. 

Do I have any other sort of savings? I think I had an ISA once but I’m pretty sure I used that to buy my first car; a reliable old Escort. So what other options do I have? A personal pension may not be the first thing to think of, but it is a very real answer to a very large question. Pensions let you save money for retirement, they are a discipline whilst also giving you the chance to get your hands on some of the tax the government takes from us. Additionally ‘tax free’ money can be taken on retirement which is a massive bonus to the return on this investment. What a result!  When retiring they will sometimes provide a nice big lump of tax free money to spend how you please. Lamborghini, here I come! 

But the most important thing is to know what you want to achieve and when. Do you want  a lump sum when you retire? If so, best start stockpiling those pound coins now.  The earlier you put some aside, the better the result in the end. 

The need to provide for your later life is a genuine concern that we need to think about and actually act on. But don’t worry, it’s never too late to start thinking about retirement, whether you’re 18 or 70, but action is the solution to the problem. That’s where a financial planner can assist. Not only can they help you work out the answers to the question of your future financial needs, they can also provide a detailed path in how you get there. After all, we all have goals, but don’t necessarily know the route to take to get to them. 

It’s easy to say, “I’ll do it next year”, or “I’m too young for that right now”, but have a think, are you really too young? That Lambo isn’t going to buy itself you know and were you aware the difference in saving £100 a month at 25, 35 or 45?  The final results are staggering in the difference it makes. If you feel like you don’t know the answer to any of the above questions, or if you have any other questions about finances in general, then why not give us a call at Scrutton Bland.  After all, who doesn’t want a Lamborghini! 

Contact Rob at rob.wood@scruttonbland.co.uk or tel 01206 838415.