Nearing Retirement

Before you enter retirement it is important to seek necessary advice. We recommend preparing your finances at least two years before you plan on retiring.

Pension Drawdown

There are a number of things you will need to do to ensure you are ready for retirement. Such as:

  • Working out how much income you will receive during retirement and how your spending may need to change. As well as any benefit entitlement
  • Considering the amount of savings and investments that could contribute towards your income after you retire
  • Paying off outstanding debts. Inevitably, your income is likely to reduce upon retiring.
  • Consider paying off debts such as credit card balances or hire purchases, as this could take up a larger proportion of your income than before. If you are entitled to a tax free lump-sum, you may consider using this to clear the debt
  • Seeing if you are entitled to benefits that older people may be eligible to. This can include benefits such as Carer’s Allowance, Housing Benefit or reductions in council tax
  • Requesting how much you may receive on your state pension. This will give you an indication of how much you may be paid based on previous National Insurance contributions
  • Seeing what options you may have regarding how you take your state pension
  • Making sure to set an appropriate date from when you begin drawing an income from your pension