What will you do during your retirement? A home and garden makeover is most people’s top spending goal
- About a quarter of people over 40 plan to take a vacation to celebrate retirement
- About 23 percent want to help children and grandchildren buy a house
- Nearly a third plan to continue working after retirement age to increase their income
- Do you need help arranging your finances? Find a financial advisor service
One in three people aged 40 and older plan to make refurbishing their home and garden a priority in retirement, new research reveals.
Many are also focused on the family, with 23 percent saying they would help children and grandchildren buy their own homes, and 15 percent planning to pay for the education of the younger generations.
But nearly a third plan to continue working after retirement and a quarter are not very confident about their finances later in life, according to Canada Life’s survey of homeowners seeking retirement.
Pension expenditure: more than one in three wants to redecorate their house and garden and about a quarter are planning to go on holiday
To fund their retirement and help them achieve their financial goals, 41 percent of people over 40 plan to access their savings and investments, while 20 percent will take a tax-free lump sum of their work pension.
About 14 percent are planning to sell and downsize their current ownership, and 12 percent are considering releasing stock to raise funds for their retirement.
>>>How to arrange your pension: Read more here and scroll down to the box below
The Canada Life survey also found:
– About 32 percent will use money released in retirement to supplement daily living expenses
– About a quarter are planning to go on vacation
– One in five plans to buy a new car or caravan
– About 15 percent will improve home and garden safety
– Some think of debt, 14 percent say they would settle an outstanding mortgage when they retire, and 9 percent aim to pay off unsecured loans.
Family aspiration: about 23 percent want to help children and grandchildren buy a house
Alice Watson, a spokesperson for Canada Life, says: ‘People are increasingly approaching retirement with different goals and plans, driven in part by a changing attitude to time and money.
Retirement is no longer seen as the sole event of giving up full-time work, and with this added challenge comes the opportunity to view all of your assets and assets as part of your financial plans for later life, rather than say retirement or real estate assets. for specific purposes.’
Canada Life surveyed about 1,000 British homeowners aged 40 and over earlier this year.
How do you arrange your pension if you are afraid it will fall short?
If you’re concerned about your retirement and having enough, read a full 10-step guide to solving it here.
First, research your existing pensions. Broadly speaking, you should ask schemes for the following:
– The current fund value
– The current transfer value – because there may be a penalty to move
– Whether the pension is part of a final salary or defined contribution scheme
– If there are guarantees – for example a guaranteed annuity – and if you would lose them if you moved the fund
– The pension prognosis at retirement age.
You can use a retirement calculator to see if you have enough – find This is Money’s here.
You need to add the forecast figures to what you expect to get in state pension which is currently £179.60 a week or about £9,300 a year if you qualify for the full new rate.
Get an AOW forecast here.
If you’re tempted to merge your old pensions, here are some tips to help you decide.
If you’ve lost track of old pensions, the government’s free tracking service is: here.
Be careful when you search for the Retirement Discovery Service online, as many companies with similar names will appear in the results.
These also offer to seek your retirement, but try to charge or thrash you for other services, and can be fraudulent.
If you’re in your twenties, we’ve got a special retirement guide here. Self-employed people can find out how to arrange their pension here.
Women, who often miss out because they receive lower wages and do unpaid care work, can find out here how to increase their pension.
TOP SIPPS FOR DIY PENSION INVESTORS