It’s never too early to start thinking about how you’ll fund your retirement and later life. With life expectancy at an all-time high, more of us are living long into our twilight years, meaning our finances have to stretch further. Careful later life financial planning will help ensure you’re financially comfortable for the rest of your life.
When reaching retirement, your pension becomes your main source of income, and if you live for a long time, it could have to stretch quite far! So, it’s wise to review your current pension choices and consider how and when you’d like to receive it as part of your later life financial planning.
Investing in a funeral plan should also be included in your later life financial planning. A funeral plan is a secure way of financing your funeral and allows you to lock in services at today’s prices, thus protecting against future inflation. It also allows you to arrange the entire service in advance, giving you – and your family – peace of mind, knowing that you will get the farewell you want.
Writing a Will can also help with later life financial planning; it details how you’d like your estate to be shared amongst your loved ones, removing any ambiguity over such matters. At the same time, you may also want to consider appointing a Power of Attorney to act on your behalf in private affairs, business, or some other legal matters.
Another important aspect of later life financial planning is to consider how you’d cope with failing health and how to fund long-term care should you need it. Earmarking reserves for this purpose and detailing your wishes could relieve some of your family’s financial and emotional burden.
It’s never too early to start later life financial planning, and making important decisions regarding your future finances, retirement, healthcare and funeral will ease some of the strain from your family.