What Are Your Goals For Retirement And How Do You Plan To Achieve Them?

Retirement is coming for you some day, and we believe in having a good plan. That plan differs depending on your goals and your situation. When do you plan to retire? What do you want to do? How are you going to get there?

Personally, I'm just saving money for when I'll inevitably need it. I can't say I have much of a plan. I'll make small investments throughout my lifetime so I'll have money when the day comes that I can't work anymore. I do not plan to fully retire until I'm unable to continue working. At that point I'll probably move into a nursing home and annoy my grandkids as much as possible (see the above video for an example). I don't want to be too wealthy and I don't ever want to be able to have anything I want. I just want to have enough money to live comfortably and pursue the things that matter to me. I expect some of those things will come later in life, when I'm unable to work as much as I work now, and I want to be financially prepared to continue doing things I love to do when I'm older.

That's my "plan" for retirement, hopefully achievable through modest savings. What's yours, and how will you get there? Share your thoughts in the comments.


Comments

    I haven't put a great deal of thought into it, other than the mandatory minimum superannuation contributions.

    Other than that, I'm looking to get myself a caravan and go exploring for a few years. Yes, I'm going to become one of "those" people.

    "From 1 July 2017, the qualifying age for Age Pension will increase from 65 to 65.5 years. The qualifying age for Age Pension will then rise by 6 months every 2 years, reaching 67 by 1 July 2023."

    Which means at 30 now if they keep that formula up I will reach the required age of retirement at 76 in 2056 which means 45 more years of working.

    45 more years before I can access my super that they keep wanting me to put money in now.

    My plan is to contribute as little to super as I have to because 45 more years is a long time in which I can become more independantly financially secure so I can retire when I want.
    I have a good base to start, One mortgage, and some shares, but the potential 45 years left of working life scares me.

      Unless medicine makes some seriously serious advances in the field of aging, it's unlikely that they will keep increasing the retirement age much past 67. Besides which, if you have enough squirreled away, you can retire early. :)

    It's a good idea to make extra super contributions, at least up to the level that the government will match. To make the most of compounding interest, it's best to start this as young as possible.

    I work in and around superannuation industry and I can tell you I am NOT relying on my super!

    I am doing something far more risky, but if it works I should have the option to retire in 5 years instead of 30 years. (Futures trading)

    buy a house or two in a good area. Sit on it for about 20 years and then sell them. Shoudl return over 200%

      That might have been a good strategy 10 years ago, but I am not too sure about for the next 20 years. We are currently at peak debt for house mortgages. And do you know how many baby boomers are retiring in the next 5-15 years that have that same strategy and the effect that will have on housing supply which will decrease prices further?

      No one knows how assets will move over the next 20-30 years. Keep a balanced distribution of your assets - and actively re-balance them quarterly (or ride the trends and have auto stops if you are game.)

    Winning Tattslotto has been part of my 5 year plan for about 6 years now.

      Ah, Tattslotto, taxation for the mathematically challenged. (Yes, I know you were kidding, but I love that quote)

    A) Put money into 'buckets' before it gets anywhere near your wallet. Have lots of buckets (ING Direct is great at this)

    B) Pay off all credit cards

    C) Have an 'Emergency Fund' bucket (2-3 months salary is a nice goal) stops you using the credit cards and getting into trouble, lose your job or medical emergency.

    D) Super - use funds/companies with lowest fees. Don't use fancy 'balanced', 'growth' etc. Use basic assets cash, fixed interest, listed property, aus shares, international un-hedged shares. Contribute 20% to each and re-balance every quarter to 20% - which sells high and buys low, asset classes go in cycles.

    E) Non-Super investment plus own property - (another bucket) as much as you can. Depending on what stage of your life the house/investment ratio will change. Be riskier with this part especially if you are younger.

    You can 'retire' when you can live off about 4% of your income generating assets (assumes you can get 7% return and inflation takes 3%) - if your outgoing are small you don't need much money to retire.

    Also, don't just factor in retiring at an age like 65. Factor in saving to take a year off when you are 40, or 6 months off when you hit 30. Life is not a straight line. And having money to buffer the bumps makes the ride easier.

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