Saying goodbye to the workforce can be exciting but it can also be stressful. It’s the end of an era – you are looking forward to having some spare time and your usual routine may become a thing of the past.

But fear not, retirement is something to look forward to - you’ll have more time to do the things that are really important to you.

Below are some handy hints to “get the ball rolling” on how to keep your finances under control and help reduce possible financial stress while you are enjoying the fruits of your labour:

1. It might seem obvious, but prepare a budget! Write down all your regular expenses to work out what is really important to keep track of. ASIC’s MoneySmart retirement planner is an excellent tool to get you started.
2. Holiday locally and skip the overseas trip – Although you are not working, you may still want to holiday from time to time. To cut down on expenses, why not consider holidaying in your own backyard (well, not literally!). The average Australian has seen less than 70% of Australia. Keep an eye out for domestic flight sales and save your money on travel. There’s also no unexpected surprises like visas, vaccinations, currency conversions or additional taxes to take into consideration.
3. Take up a cost effective hobby – Keep yourself busy with a hobby that brings you joy. Select a hobby that doesn’t have a huge impact on your savings, like swimming, helping out at a local charity, yoga, cooking classes, joining a book club or joining a singing group.
4. Consider working part time – This can be a good option to ease into semi-retirement before fully retiring, and a way to keep extra income coming in. It can also allow you to try something you have always wanted to do. Plus, if you were thinking about reducing your work load but can’t yet afford to drop in income, a TTR pension can top up your reduced salary. See page 22 of ASIC’s MoneySmart Financial decisions at retirement guide for more information on the TTR pension.
5. Take advantage of your entitlements – There are plenty of senior discounts, government benefits and loyalty cards available that can reduce your cost of groceries, phone bills, medicines, meals out, water, electricity and even council rates. Why not take advantage of all these special offers – you’ve earned it and every saving counts! Visit the Australian Government website for more information and to register for a Seniors Card.
6. Most importantly – See a licensed financial adviser. An adviser will help you assess your current situation, consider your short and long-term needs, and develop financial strategies that take into account all the tax and social security requirements.

For more information on how to be financially prepared for retirement, book an appointment with one of our Financial Advisers today.