Don’t End Up Like Jane: Avoiding the pitfalls of blind retirement planning

The sun edged over the small cliff at the back of the cricket oval my eldest son was playing on this morning.

As part of the Kensington academy team. The same club Don Bradman plied his craft.

My son plays in the under 12 team. They were put up against an under 14 team. A tough challenge at best.

The under 14’s were putting on a batting display with balls flying all over the park. Including some hitting the small cliff backing onto the oval.

This was my backdrop for my office on this day as I watched on…

As I was sitting there thinking of the conversation I had with Jane this week.

Jane was one of few who had engaged an adviser to help her plan for retirement. However, as we spoke it came to light she had no contact from this adviser for over 18 months.

This adviser had let them down in a BIG way…and should be fired.

Jane and her husband wanted to retire, but there was one glaring problem. They were running around blind. Scared about whether they’d be able to retire comfortably in a few years time.

Had no idea whether they were on track for a comfortable retirement. Nor did they know when they would be in a position to finally retire and realise their retirement dreams.

This was playing on their minds and of great concern causing then a great deal of stress and frustration.

All Jane wanted was to know how much they needed, whether their plans are feasible and what steps they needed to take to retire as soon as possible.

Jane is situation is not an isolated one…

Your runway may be shorter than you anticipate…

I can’t emphasise enough how important starting the process early is. You don’t want to leave it until it’s too late.

Otherwise you may be on the cusp of a retirement nightmare…

In a recent retirement study by Fidelity, they found most older Australians are not actively planning for their final chapter.

The research found that your retirement runway may be shorter than what most expect. You see, most of us don’t work for as long as we intend to. Sometimes the reasons are out of your control. Sometimes, they’re not.

Top reasons for retiring earlier than expected are:

#1 Suffering from personal health issues.

#2 Required to care for a loved one.

#3 Made redundant or lost their job.

It’s no surprise that one in four retirees feel out of control at retirement.

We see this play out on a daily basis…

Jane, for example, experienced 18 months of lost opportunities and planning has increased their anxiety. Knowing they want to retire earlier rather than later.

Whatever the conditions that bring about your retirement, there are always things we can do to prepare and improve our circumstances, and, more importantly, our quality of life.

Planning is the missing link many overlook…

With many forced into early retirement, it makes sense to start planning as early as you can.

Retirement planning is a complex and crucial aspect of financial planning which should not be ignored.

The truth is, planning for retirement is not a simple task and requires a thorough understanding of various financial concepts and considerations.

From knowing how much is enough, assumptions, investments, risk, super, income streams, cashflow, navigating the retirement transition and more. It can be overwhelming for an individual to navigate it all on their own.

Even if you have undertaken your own planning. There’s still uncertainty and nagging questions around whether you have planned right.

Just like John, who we are working with at the moment. Had done all their own planning around retirement. They think they have everything in place.

However, want to make sure their numbers are right.  Are their plans is feasible and want clarity about how they will generate their income in retirement.

One of the biggest mistakes people make when it comes to retirement planning is running around blind. They don’t have a clear plan in place and have no idea how they’re tracking towards their goals.

Without proper guidance, it’s easy to fall short of their retirement goals and end up with a retirement lifestyle that is less than what they had hoped for.

With proper guidance, you gain a sense of control and clarity. It’s also a key driver of life satisfaction knowing you can do all you’d dreamed off in retirement.

Is professional guidance your missing link?

Many think seeking professional guidance is expensive…

I’d put it another way…what’s the cost of not seeking professional guidance?  It’s likely to be a multiple of any fee you pay a professional.

The mistakes you’re making you’re unaware of…

Risks bubbling away under the surface…

Tactics and strategies you’re not using that are costing you money…

The emotional cost of not knowing if your plan is feasible or not…

Blind spots you’re unaware of that will cost you dearly in retirement…

Setting it up all wrong…

We see this on an almost daily basis…the gaps in people’s planning when they go it alone.

The research conducted by Fidelity found people who have a professional financial planner have a higher quality of life. They are more satisfied with their lives than those who do not work with a professional.

This research also found those who worked with a financial planner were financially capable and resilient. Have a greater sense of meaning and purpose. While living their lives the way they want to.

Just like James and Mary who we worked with recently. They had accumulated a reasonable amount of assets.

Were happy with their work, but wanted more work/life balance. Not to completely stop work but create more time for other things they wanted to do.

They thought they were in a position to give up work if they wanted too. But wanted to know if they were going to be okay. Whether in fact their plans were feasible.

For James and Mary we worked through two different scenarios which provided two different outcomes.

Now James & Mary have the information to make a confident decision about when and how they retire.

Don’t let yourself end up like Jane, scared and running around blind when it comes to your retirement planning.

Take action today and schedule a Retirement Clarity Call by clicking here.  With the right planning and preparation, you can steer yourself towards the retirement of your dreams, and avoid the fears and concerns that come with not being prepared.

You’ve earned a enjoyable and stress-free retirement…

Glenn Doherty – CFP – Financial Planner | Retirement Planning Made Simple for aspiring grey nomads and avid travellers within 7 years of retirement 

We work with people in Adelaide and around Australia via virtual meetings!

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An opportunity to talk through some of your challenges and questions you have around your retirement.

Achieve some clarity and maybe a roadmap on how you can achieve a comfortable retirement.

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