Setting realistic goals
Once you have reached retirement age you are essentially playing with the cards you have in your deck.
To get new cards and new choices is challenging, as your ability to generate income in retirement can be more limited. It comes back to the recurring message that it's never too early to start preparing for later on in life when you may not be working.
Setting realistic goals and understanding what it takes to reach them is an important exercise to do – the earlier the better.
On the Sorted website there are calculators that enable you to project your retirement income, match that with your expected cost of living and work out whether you are in good shape or if you have a few gaps to manage. A simple projection of your desired income in retirement can quickly give you a sense of what level of savings you require to achieve that goal. We have found this exercise helps make the actions that you need to take a little more concrete. It also helps you make choices now that affect your long-term future.
Knowing your goals and having an action plan is all about certainty for you in your retirement. Getting started early gives you more time to prepare, makes it easier, and can help set you up to be happy and healthy later in life!