How much do you need to save for retirement? According to IAN BLACK of AAM Advisory, you need to first think about what you want to do (where, how and when) after you retire before you can start proper retirement planning. We asked Ian to share some wisdom about the steps he has taken as he gets closer to his own retirement and what he’s learnt along the way. Below are his answers to the important questions to ask yourself when considering retirement.
What do you want to do in retirement?
My wife and I are trying to balance golf, skiing and lying on a beach – not easy to do in one place so more than one retirement home may be on the cards.
How much travelling will I do and how will I travel – plane, train or car?
In addition to travelling to ski, we want to visit our children in Australia, meaning we will need to be near an airport offering good flight connections.
Do you intend to work?
I may wish to do some consulting, so I need to take that into account when looking at visas.
What are the key things to consider?
- Visa conditions and availability
- Cost of living
What’s the next step?
Once you have designed your retirement plan, work with your financial planner who can help you evaluate how well prepared you are financially, stress-testing your planning against the worst that global markets can throw at it. They can work with you to develop a plan to plug gaps and keep you on track for your ideal retirement.
So, a bit of planning and we are done?
Not quite, nothing stays the same: laws, taxes and visas all change, as do you. Ten years ago, if you had asked me, I would have told you that I knew for sure what my retirement was going to look like. I would retire in France and, in the winter, I would work as a ski instructor. In the summer, we would head down to the coast and enjoy the beaches and would visit and be visited by our UK-resident children.
But what a difference a decade makes! My retirement plan has changed so much. I will retire in Southeast Asia so I can be near my Australian-resident children. There’s not much call for ski instructors in Southeast Asia, but in the winter we will head to the mountains to ski for a few weeks each year. Brexit may impact where we can go and for how long. My wife’s new-found enthusiasm for golf means that we will spend more time on the golf course than at the beach.
Fortunately, my plans were flexible and could adapt to my new retirement goals. But not all planning is as flexible as mine and often needs time to adjust and adapt to the new financial reality of your retirement.
IAN BLACK is the Head of Financial Planning and Wealth Solutions at AAM Advisory
Need help with your retirement planning?
To find out how you can plan for your perfect retirement or review your existing planning, email Audrey.firstname.lastname@example.org to arrange a complimentary review with one of AAM Advisory’s MAS licensed representatives.
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