As you get closer to your chosen retirement date, you should start thinking in more depth about what you want from retirement and making more detailed plans about how you might achieve it.
You should review your savings and investments to make sure that your money is working hard enough for you to achieve the retirement you desire. Speaking to a financial adviser could make a considerable difference.
It’s essential to review your pension fund. You may want to consider increasing your pension contributions now, to give yourself a larger pension pot to retire on.
If you have a partner it’s worth sitting down with them to discuss what you each want out of retirement, so you can work closely together on building a lifestyle where you are both happy.
You should think about whether you have an up-to-date Will, and other financial considerations, such as whether you would like to be able to financially support loved ones, or if you have any debts you’d ideally like to pay off before retirement (such as a mortgage).
Calculate your current living expenses, including big one-off costs that might only occur once a year, and then consider what will change when you stop working, such as reduced travel expenses. This will provide you with a good idea on how much income you will require in retirement.
If your budget reveals a potential gap between your spending and your likely retirement income, you need to look for ways to fill this gap.