Less Than a Decade to Retirement? Let’s Get You Ready!

You’ve spent your working life building up savings, and now it’s time to make sure those savings can support the lifestyle you want in retirement.

I help clients get a clear snapshot of where they stand today and what changes—if any—are needed to reach their goals. Here are a few key areas we typically look at:

1. Estimate your retirement expenses

Many people don’t know how much income they’ll need once they retire. Start by building a budget that includes essential living costs as well as extras like holidays, hobbies, and gifts. This helps you figure out how much income your pension and savings need to generate.

2. Identify your income sources

Once you’ve worked out your target income, the next step is identifying where it will come from. This may include workplace or personal pensions, the state pension, rental income, or savings and investments. Understanding this mix helps you plan how and when to draw from each.

3. Boost contributions while you can

If you’re in your peak earning years, now is a good time to maximise pension contributions. Many people choose to top up their pensions with lump sums in the years just before retirement. This can be a tax-efficient way to strengthen your retirement fund.

4. Review your investment risk

As retirement approaches—usually within 10 years—it’s worth checking how your pension is invested. Shifting to lower-risk investments can help reduce the chance of a sudden drop in value at the wrong time.

5. Should you combine pensions?

Consolidating pensions can make them easier to manage, but it’s not always the best option. Some pensions come with valuable guarantees or features you might lose by moving them. Get advice before making any changes.

6. Know your retirement options

Do you know how you’ll access your pension when the time comes? Will you take a lump sum, use income drawdown, or buy an annuity? Exploring your options early can help you align your choices with your goals.

The bottom line?
The years before retirement are critical. A bit of planning now can make all the difference to your peace of mind later. If you’re unsure where you stand, consider speaking with a financial adviser to make sure you’re on the right track.