Retirement isn’t a fixed destination. What you want from retirement today may look very different from what you imagined a few years ago.

Life has a habit of changing plans. Maybe you’ve changed jobs, paid off your mortgage, started helping family members financially, experienced a health change or simply begun to think differently about how you’d like to spend your time.

That’s why it’s worth checking in on your retirement goals from time to time. The important thing to remember is that there is no single “right” way to retire. Your retirement should reflect what’s important to you.

Your retirement strategy may need to evolve too

When your goals change, it’s worth reviewing some of the building blocks that can shape your retirement, including:

• Your super balance and contribution strategy
• Your investment option(s)
• Your insurance cover
• Your planned retirement age
• The income you’ll need in retirement

A simple review can help you understand whether your current approach still supports the lifestyle you’re working towards. Retirement planning can be daunting but it doesn’t have to be.

Reviewing your super doesn’t necessarily mean making major changes. Often, it’s simply about checking whether the decisions you’ve made in the past still support the life you want in the future

Can a different strategy help?

As you move closer to retirement, you may find that strategies that weren’t relevant a few years ago now become worth exploring.

For example, if you’d like to reduce your working hours rather than stop work completely, a Transition to Retirement (TTR) strategy may help supplement your income while allowing you to continue building your super.

It’s also worth considering whether there are opportunities to boost your retirement savings in your final working years leading up to retirement. Depending on your circumstances, making additional contributions to your super can help increase the amount you have available when you stop working. Keep in mind that contribution limits apply and exceeding contribution caps may lead to additional tax.

Other changes in your goals may prompt you to review your retirement timeframe, explore different contribution strategies or rethink the balance between enjoying life today and preparing for tomorrow.

Need help understanding your options?

If you’re unsure about any aspect of your super, you don’t have to work it out alone.

Financial coaching can help you better understand your super and the choices available to you, giving you greater confidence about your retirement journey.

Because retirement isn’t about sticking to a plan you created years ago. It’s about making sure your plans continue to reflect the life you want to live.

Source: MLC