If you’re on the verge of retirement and still struggling to see your options, you may have found yourself in a pickle especially if you have contributed the bare minimum to various RRSP’s during your lifetime. However, don’t let your anxieties get the better of you; here are a few ways in which you can help save money during your retirement:
- Selling your house before your retirement can save you a heap of money and is beneficial should you find yourself next to broke approaching the time of your superannuation however this option only works if you’re willing to downsize your property. By this I mean investing in something slightly less expensive that will still provide you with comfort and all the necessities you need for a relaxed retirement.
Say you sold your home for £500,000, the most appropriate option is to purchase a home within the £200,000-£300,000 region leaving at least £200,000 spare to invest in something that generates an income such as a fixed term annuity.
- Once you have downsized your home, it is time to shop around for an annuity. It is crucial that you compare the best pension annuity rates in the UK before you go on to choose the most reliable and best rate pension provider. Not many soon-to-be retirees realise that shopping around can not only save you money but also significantly increase your income to provide you will a more secure life during retirement.
- In the case that annuity rates are low, perhaps consider developing a source of passive income to assist you during your retirement. Those with greater expertise are likely to look at purchasing a rental property to aid them in the rental process however it’s just as easy to transform one of the spare rooms into a guest room for your residents to stay.
These are just a few ways that you can prepare yourself for a comfy retirement in the event that you are a little stripped for cash. For more advice on how to enhance your annuity, speak to a specialist annuity advisor today and see what you can save.
A recent divorce can often be an unpleasant process especially in the event that one or both of you suffer from ill health ranging from mild to acute conditions that affect the quality of your life and your ability to carry out daily tasks. However, if this is the case then it is imperative that you receive the correct legal and financial advice regarding pensions as often these two events can coincide causing a series of added complications should the situation be left unsettled.
In most cases, the basic approach to any divorce settlement is that the couple receive equal amounts of pension income in order to treat the event without bias. However, this is not the case with impaired life annuities in relation to the event of divorce. Should you or your partner suffer from a lifelong medical condition then it may be the case that you will be entitled to purchase a slightly higher annuity than your healthy spouse for the same deposit.
If this is the case, it is crucial that you make your legal advisors aware so they can begin to tackle the situation head-on. If the advisers were not made clear of this health problem then the healthy spouse may find themselves worse off in comparison to the spouse suffering from a lifelong heath issue should the pension be divided equally.
An impaired life annuity within divorce agreements can effectively provide a partial resolution to the problem of their being too little pension to be shared between the spouses so by maximising the income for the spouse suffering from a health issue, you are therefore providing both spouses with a significantly increased fund.
When it comes to the time to purchase your impaired life annuity it is vital that both you and your former spouse shop around for the best pension annuity rates available on the market to ensure that you receive the greatest income possible.
Fixed term annuities are a safe, secure option that guarantees you a steady income throughout your retirement, however, many couples or single retirees struggle to find ways to make the most of their relaxing retirement and often waste the time that they have left pondering over the options available.
As a single retiree, it can often be difficult engaging in enjoyable activities especially if you have no one to share the experience with so a retirement community may be the ideal way to dig yourself out of the retirement rut.
A retirement community is a fantastic option as it enables you and your partner or yourself to spend the rest of your retirement living in comfort and luxury. It also offers you the opportunity to meet new people who are of a similar age and interest which will eliminate the worry of fitting in and bring you closer to other couples or individuals currently in the same boat. Not only this, retirement communities often are said to bring closure to an individual as they begin a relaxed, stress-free superannuation following years of hard work and dedication.
Although the majority of your experience in a retirement community will be independent, many communities offer additional care for those who need it so they too can make the most of their fixed term annuity.
There are a whole variety of leisurely and lifestyle orientated retirement communities that offer a range of amenities that cater for all different walks of life including golf courses, libraries and social activities that focus on bringing the residents closer.
There a number of communities both abroad and in the UK that can offer you an exceptional standard of care and enjoyment during your retirement that all come at an affordable price in exchange for a wonderful experience during your stay meaning that you have the option of you want your community to be situated.
A retirement community is a great alternative to invest in with your fixed term annuity and enables you to share your superannuation with a loved one or even a meet a loved one to share your retirement experience with in the comfort of your own community grounds.