If you’re in your 60s and confused about your retirement options, you’re not alone.
Pretty much everyone is confused about it all right now, and that includes the advisors and pensions companies.
So you’re in good company 🙂
But there is help around and I’m going to do lots of guides, articles and videos about the pensions changes and your retirement options in the weeks to come. So you’re not alone.
To start with, here are your first easy, baby steps to approaching the whole glittering, glamorous, exciting world of retirement…
- First step – Do Not Worry
- Second step – Take a Big Deep Breath
- Third step – Get Help
- Fourth step – Again… Do Not Worry
- Fifth step – Keep Coming Back Here
Not only are the pension rules changing on April 6th (the start of the new tax year) but people’s lives are changing so rapidly that LOADS of people don’t even know when they’re going to retire or what they’re going to do when they do retire.
It’s like shifting sands…which is not comfortable.
So if you’re feeling confused and worried about what you should do with your money, relax.
Seriously, you don’t need to worry.
It may all seem daunting but if you take it step by step you will get there.
Don’t ignore it, of course, but you really don’t need to worry about retirement and your money.
Here are some of the reasons:
- There are new rules for the State Pension which will mean you’ll get a better amount to help you cope week by week.
- There is some basic, free advice to help you decide what to do with your private or company pension pot if you have one. It’s not particularly in-depth, but it’s a start. It’s called Pension Wise and you can find out about it here..
- Your pension company, if you have one or more pensions, will give any help and advice they can (within the limits of their knowledge) if you ring them up.
- There are a LOT of people in the same boat as you so it’s likely many will have similar questions and issues to you. There will be questions and answers on forums and in the comments sections of articles like this one. In other words, there will be more and more information going forward.
- I’m here and Moneymagpie is here to help…and we will help…just you see. In fact, if you have questions now, put them in the comments section on this article.
So, before you launch into doing something about the retirement situation, stop…
Don’t do anything quickly.
In particular, don’t be taken in by strangers calling you, emailing you, coming to your door or taking out ads in newspapers, websites or magazines telling you that they have a fabulous, sure-fire investment opportunity for your money.
These are VERY likely to be scam-artists.
- Put the phone down.
- Ignore the calls.
- Just say ‘no’ to anyone who is not a bona fide financial advisor, whose advice you have paid for.
You have time to make your own mind up so don’t let anyone lead you off-track.
You don’t have to do any of this on your own (and that also goes for you if you are a couple and feel on your own).
There is help around in the form of:
- Pension Wise (not in-depth but free and a good starting point)
- Independent Financial Advisors – these people do need to be paid (they need to eat too) and I suggest you go for one that charges a proper fee rather than one of the cheaper variety who works for one of the big financial companies. It’s like to cost you around £500+ but it could save/make you THOUSANDS to get the right advice, so do pay the money. We will go back to this in later articles.
- MoneyMagpie 🙂 We will be coming up with all sorts of pension/retirement ideas, news and guides. We will also, as ever, bring you lots of ways you can supplement your income with fun money-makers and ideas for making your retirement long and full rather than dull and grey. Nothing in life should be dull and grey (other than 50 Shades of Grey which is both!)
- Your pension company (or companies). They are putting together guides and giving their staff training (not sure to what level) about the pension changes so that they can talk you through your options. Different companies will offer different ‘solutions’ so it depends who you’re with as to what they will suggest. Their advice won’t necessarily be the best – and you certainly shouldn’t just grab an annuity off them if they press you to do so – but, like Pension Wise, it will be free and a good start at least.
- The Money Advice Service – they have lots of really helpful articles about pensions, investments, savings and more.
If the points above made your stomach lurch (“what? Speak to my pensions company? Talk to Pension Wise? Pay for advice? Are you kidding?” you say) don’t let it get you down.
You don’t have to do it all at once and you can certainly do it in little bits and get everyone to write down the points you need so that you can digest them in your own time.
If you don’t know how to work things out because
- you don’t know when you’re going to retire
- you don’t know what you want to do in retirement
- you don’t know how long you’re going to live so you don’t know how long your money needs to stretch for
……you’re just like everyone else.
Seriously, no one really knows. Life has changed and pensions are changing so it’s all a brave new world for everyone (including the regulator, the Financial Conduct Authority!)
Don’t worry. We will work it out.
But don’t worry, I have a load of articles, videos and guides planned for you in the next few months so I will hold your hand as you pick your way towards a fun retirement.
Keep coming back to the site – and particularly open up the newsletters when they come – so that you can see the next exciting instalments of the MoneyMagpie retirement guide!