How much is enough for retirement? A commonly asked question and from people of all ages. Although simple to ask, it’s not as simple to answer.
There are many factors that you need to take into account when considering how much money you need for retirement. At a minimum you should allow for:
- Life expectancy – according to the Australian Bureau of Statistics the average Australian male is 81, female is 85
- Cost of inflation
- Changes in economic circumstances (both at a personal and societal level)
- Planning for the unexpected such as medical costs
All of this adds up to an equation that most people are too scared to deal with – let alone too busy to sit down and look at the sums. However, it’s essential to plan with the end in mind and think about how you’d like to live and what you’ll need in retirement.
I truly believe that regardless of all the unknowns, it’s a figure you need to come up with. At the very least, it will help you work out if you have the time to save for retirement. Once you know the sum of money you’ll need, you can start working towards that figure.
This is where you can use property to find your twilight years with a strategic and well researched property plan.
My strategy is to continually invest in property, then sell off as our money runs out (remember I am spending the kids inheritance… lol… and I love to shop and travel!).
For more information, you can download our complimentary eBook Have you calculated the true cost of retirement? here.
As always, if you have any questions, leave a comment below.
Until next time,
From the desk of Christine.