Have you planned your expenses?
What expenses do you expect to see increase or decrease upon retirement? Rent, mortgage, debts, taxes, healthcare and insurance will affect your retirement income.
If you’re not too sure about your future expenses, a POSB Relationship Manager can help provide a list of possible expenses you might face after retirement, and how these might increase or decrease.
Unforeseen challenges you might face in attaining your desired retirement
Sudden illnesses or accidents may impact your retirement plans. If you have children, will you be able to concurrently support them through graduation and save for your own retirement? Will your current insurance plan be enough to protect you?
How can you cash out?
Upon retirement, would you rather draw a fixed amount regularly or receive a large sum at the start of retirement and be left to manage it on your own? You should also think about what you intend to do with the money. Do you want to stash it away, or invest it?
Have you planned for a will and decided who your beneficiaries are?
Ensure that your will is updated and decide who gets power of attorney. If you should pass on unexpectedly, who will receive the remaining balance in your retirement account? And how do you want to be treated should you fall terminally ill or be rendered unconscious? Be sure that your instructions are clear and your documents are accessible in case of emergency.
Planning for retirement may seem like a daunting task, but the sooner you begin, the higher your chances are for a successful, stress-free retirement in the future. If you are unsure of what immediate steps to take, or would like assistance in mapping out effective and manageable retirement plans, make an appointment with your POSB Relationship Manager or visit any of our branches.