Does thinking about your life after 60, send fluttering butterflies down your tummy?
As an expat in your 30s, you get anxious when random pop-ups on health, family, finances, property and homeland begin clouding your mind. Regardless of whether you want to be a raring entrepreneur post retirement or would like to stay laid back exploring the world, here are two bouncers youÔÇÖve got to have on your side, to enjoy your retired life. They are none other than wealth and health!
Wondering how to get them to be your pals? Follow the tips below.
Visualise how youÔÇÖd like to live after retiring
Spend some time to figure out how and where youÔÇÖd like to spend your retired life. How would you like to keep yourself engaged and fulfilled? How much travelling youÔÇÖd like to do? Would you be working part-time to support yourself?
Be realistic about your aspirations.
Calculate the money needed
Based on the answer to the above questions, figure out how much money youÔÇÖll need to support your retired life style. Take the help of retirement calculators from Global Eye or Bloomberg thatÔÇÖs available online to tentatively come up with a figure. It helps to calculate based on the worst-case scenario.
Meet a certified financial planner
Do you have the time, knowledge or expertise to weigh and decide on investment options and financial goals? If the answer is no, then a certified financial planner should be your new best friend. Spend a lot of time with the planner to help him understand your goals, income, taxes and retirement aspirations. Apart from suggesting an apt investment portfolio, your financial planner would also manage your investments by closely monitoring and analysing the financial markets.
Start investing today
When do you begin investing for your retirement? The sooner the better. The earlier you begin, the less youÔÇÖll have to pay.
Usually employers in UAE offer International Pension and Savings Plans (IPPs and ISPs), enhanced End of Service Benefit (ESB) or End of Service Gratuity or Provident Scheme payment. Ensure you contribute to any pension scheme your employer offers. Remember to back up your pension income with a customised stock portfolio that matches your risk and investment goals. Plan your portfolio in consultation with your financial planner.
Stay engaged and healthy
The happiest retirees spend their retirement fruitfully engaged. They are either entrepreneurs or consultants or help around with the family. Hence figure out what youÔÇÖd like to pursue after retiring.
A recent study from HSBC, The Future of Retirement 2016, polled more than 1,000 UAE residents and found that almost half the working age population believe that poor health will make saving for their retirement more difficult. Hence itÔÇÖs important you maintain good health. Eat right, sleep well, play often, exercise at least three times a week and maintain strong social/ familial bonds for great mental and physical shape.
With the above tips in mind, be prepared for a hassle -free retirement life!