Expat Retirement planning

In the fnal ten years prior to your planned retirement date, to begin with you need to calculate what you are worth. As a starting point establish what your likely state pension entitlement will be.

You should also contact the pension trustees of your current and previous employers, who will be able to provide pension forecasts, as will the companies managing any private pension plans you hold.

Next you need to look at how much income you will need in retirement. It’s important to be realistic. You may spend less if you are not commuting to work, but don’t forget to include holidays, travel and any debts you may still have. If you are currently on target to receive less than you will need, you should obtain professional advice about how you could make up a shortfall.

During the fnal ten-year period in the run-up to your retirement, it’s crucial that you maximise savings. is may not only mean contributing to pensions but into other investments that may include Individual
Savings Accounts (ISAs). You also need to consider whether options such as retiring later or working part-time beyond your retirement date may be a more realistic way of meeting your retirement goals. It is not only how much you save but where it is invested that can make a dierence, so you should also review your investment strategy.

Use this opportunity to carry out an audit of existing pension plans; look at where they are invested, how they have performed and what charges are levied on them. Don’t forget also to find out whether there are guarantees on any plans. Now will also be an appropriate time to obtain professional advice about whether it makes sense to consolidate your existing pension plans, perhaps into a Self-Invested Personal Pension (SIPP), or to take steps to protect capital values.

On the day of your retirement you will need to replace your earned income with that from another source. This will usually be from an individual pension plan or one sponsored by an employer.

However, most people will have a number of different types and sources of pension. In many cases, people will be unaware of how much total income their various pension plans will give them in retirement.

Once you are working offshore the rules regarding how much you can contribute to such plans are complicated and many people cease paying into to them once they leave, simply because they are not aware of the regulations. Such action has the effect of reducing your retirement income if you do not replace these savings with an alternative plan.

Many people have frozen, deferred or paid-up pension plans – that is existing plans where payments have been suspended or stopped – and often assume that little to nothing can be done to access the capital once you have left their home country.

With the length of time you have left of your working life, we can help attain the retirement you want.

Speak to a professional retirement planner by simply filling in the form below:

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