Pre-retirement is one of the most important stages of your financial journey.
This is where in many cases, your dependent children have or will soon move out. You will have significant cashflow as your home loans will be almost or recently cleared and you will be wanting to spend more time enjoying yourself. In this stage of your financial journey, you can use your wealth to bring an early retirement, transition out of the work force, or accumulate assets quickly. Tax efficiency is very important at this stage of life as you want to optimise your wealth to be best positioned for once you cease your income through employment. Superannuation may become accessible depending on your age and ensuring you know the fundamentals of your superannuation will ensure you to build a strategy that will transition you into retirement as soon as possible. It is also at this stage where you will want to start planning what you are going to do in your retirement.
Questions you may ask yourself at this life stage.
- When can I retire?
- How do I retire?
- how much do I need to retire?
- Will I get Aged Pension?
- What happens if the market crashes?
- Do I need to keep doing tax returns?
- How do I minimise tax?
