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How are you preparing for retirement?


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#26 Nastyflea

Posted 15 February 2017 - 05:08 PM

I married money.


Ok, not really, we bought our house 20 years ago and paid it off in 10 years so all extra money goes into savings and he adds to his super as much as he can, which is matched by his employers(public service).
My super sucks and always will working in retail and now as a SAHM for the next few years at least.

#27 *Nasty*Squeekums*

Posted 15 February 2017 - 05:16 PM

I dont think about it apart from winning lotto
I have bills now i can barely afford, that more important here

Almost 30, no super as only ever done cash in hand

sh*t happens, it is what it is

#28 Mumtotwo13

Posted 15 February 2017 - 05:18 PM

Op if you don't own a house, I would put anything extra into saving for a deposit rather than super, and buying somewhere you can retire in, for example buy a 2 bdrm unit rent it out and continue to rent something larger while you've got kids. It can be a more affordable option than buying a larger house.

My mum has a bit of super, owns her place outright and has the pension. It's relatively comfortable compared with renting on the pension.

#29 just2ofus

Posted 15 February 2017 - 05:19 PM

I am a single parent and it keeps me awake a night...I am mid 30's and have not much more than you in super.

I have for the past two years being putting $50 per month into my super fund, the government matches that contribution up to $500 per year.

I have just been offered my first FT role in over 7 years (parenting and studying) and negotiated my salary rather than accepting their offer (like I normally would have) primarily so that I can start building my super up.

Lastly, I have been saving to purchase an investment property so that I will have something at retirement. I have been lucky enough to be in a position to live with my parents for the last few years, but I've also only ever worked PT whilst finishing uni - so I'm not in a great financial position but I'm trying to be as prepared for the future as I can be.

#30 blimkybill

Posted 15 February 2017 - 05:35 PM

I would suggest the following for someone not in a strong position.:

If you can't afford to buy a house where you live now, buy a modest property somewhere you would be willing to live in retirement,  then rent it out
See if you can get into reasonably paid work which might give you a viable option of working part time well into your 60s. Ie work which isn't going to burn you out earlier.
Once the kids are costing you less, salary sacrifice into super.

#31 Silvers

Posted 15 February 2017 - 05:37 PM

I read lots of financial blogs and have picked up heaps of great tips.  We have paid off our home and are able to save 50% of our income which gets invested, mainly into blue chip shares.  Our plan is to live off the dividends, well before retirement age if all goes to plan.

The main lesson I have learnt is it's not how much you earn but how much you keep.  If you are spending more than you earn you either need a plan to increase income or cut expenses.

#32 Prioritising Pooks

Posted 15 February 2017 - 05:47 PM

We do nothing.

#33 lizzzard

Posted 15 February 2017 - 05:48 PM

First off, I am not planning to retire till I'm in my early-mid 70's. I like work, it's a big part of my self concept. So continuing to work isn't something that scares me. I also have a long term professional plan which should put me in a good position to have practical options to that age (e.g., flexible income streams that can be ramped up or down depending on how much work I feel I want to do). Of course, it's possible I will become unwell to the point where I can't do any work, but as a reasonably healthy person all my life, I'm okay to take the risk that working at least somewhat till then will be feasible.

Realistically, that leaves me with 20-odd years to fund. I have a very loose plan after that involving super and other investments. DH and I haven't been very diligent and systematic about our finances, but have grabbed opportunities (sometimes involving quite a bit of personal sacrifice)  to make up ground when they they presented themselves. Of course that approach is only something we've been able to do because we know we have careers where those options can arise (or we can create them to some extent). Our strategy probably isn't typical, but it suits us!

#34 Gossipgirl22

Posted 15 February 2017 - 05:55 PM

We plan to rent out our house and sell it before capital gains kicks in. Then move to the coast where rent is cheaper. Sell, then buy our retirement unit or small house. We should have a decent cash balance and super by then. Providing I stay healthy, I'm off on regular trips.
But mainly I tend to live in the moment as I could be hit by a bus tomorrow, so I don't stress, but still plan just in case.

#35 Bone Apple Tea

Posted 15 February 2017 - 06:13 PM

I won't be able to afford to retire, so will need to work until I die.  Due to divorce and a low income I'm basically screwed and unless I win lotto or get a better paying job in the near future, I'm facing living off cat food if I retire.

I do put a bit extra away into my super every week.  However the balance is so low that the extra doesn't do much.  I've run the figures through an online calculator on my super fund's website to project what I will have at age 65 and it isn't much.  

In some ways I would be better off getting myself sent to jail.  At least I would have a roof over my head, have medical paid for and food supplied.

#36 happygoluckyinoz

Posted 15 February 2017 - 06:13 PM

We haven't sat down and made a plan or anything, but we have been salary sacrificing into our super accounts. Any pay rises we get we increase the percentage we contribute (so essentially haven't had a pay rise in 4 years).

We didn't start paying into supers until we were late 20's as that's when we emigrated to Australia, and we have no pension in the UK either, so we are aware we need to 'catch up' so to speak.

We are also planning on buying a house closer to the City and working hard to pay it off, so come retirement it should be a valuable asset and we will be able to move somewhere much cheaper and bank the capital.

#37 Feral Grey Mare

Posted 15 February 2017 - 06:15 PM

I'm 56, widowed and doing sporadic casual work at the moment. I have two semi-dependant offspring (22 and 18). I own my house and have a small (< $30 000) super fund and an amount invested in a managed fund which gives me my income. I am aiming to return to the workforce later this year after I finish my uni degree. I am in a secure position mainly due to the untimely death of my DH from cancer and the subsequent payout of his insurance and super. Needless to say, I would rather have him than the money, but we are secure which is a big bonus.

#38 steppy

Posted 15 February 2017 - 06:18 PM

View PostBone Apple Tea, on 15 February 2017 - 06:13 PM, said:


In some ways I would be better off getting myself sent to jail.  At least I would have a roof over my head, have medical paid for and food supplied.
That's my back up plan!

#39 mayahlb

Posted 15 February 2017 - 06:29 PM

Don't really have a plan. I have a small amount in super (I think it is currently around 47K? Dh has around 90K. The GFC destroyed his super, he lost probably 3/4 of what he had and I made him change funds to mine, seeing how as my spouse he qualified for an account) and plan to grow it and add to it when I can afford to. I was lucky enough to get a super account with a fund that rarely loses money.

Our current house is paid off via inheritance funds so that is also another area we have been extremely lucky in. Currently we are saving (well trying to seeing as how DH was made redundant yet again, 3rd time in 8 months). I want enough to put down a decent deposit on another house as the plan is to move interstate when the oldest is due to start high school. I'm also almost qualified in my field so hopefully my earning potential goes up (currently part time, but not too badly off).

Also this sounds terrible but there is a good chance we will come into money when DH's parents pass on (hopefully not for a long time yet). I suspect that will impact how we plan for the future but it is not really something we take into consideration. DH is also 10 years older then me and has done a lot of physical labor so we do take that into account. I can see myself being the breadwinner in another 10 years while he works part-time.

#40 DebbieDoesSanta

Posted 15 February 2017 - 06:40 PM

The posts that suggest "buying a property" as though most of us have a deposit laying around is perplexing.

#41 Bridandzar

Posted 15 February 2017 - 06:41 PM

We are just trying to pay our home off by the time we retire and once the kids are adults we should have a lot more cash to put away for retirement.  Our supers are invested in growth and lucky my husband already has $180k in super and I have $95k. We earn about the same but he gets 17.5% super and didn't have anytime off for kids - to method difference is wow!!

I also hope to win lotto ������

We are currently both 35 so many years left in the workforce 😞

Edited by Bridandzar, 15 February 2017 - 06:41 PM.


#42 Nasty Start

Posted 15 February 2017 - 06:53 PM

View Postgabbigirl, on 15 February 2017 - 12:46 PM, said:

If there is only one thing to do is to make sure you own somewhere to live.  renting when a pensioner is a nightmare!! I am living this with my FIL as we speak!

So grab a copy of the Barefoot Investors book and follow some simple guidelines to get some financial security.

Good luck, if you are already thinking about it now, you will be fine :)

I just told my sister the same thing! Work on having that mortgage gone by retirement at the latest. Our mum and dad (dad alone now) wouldn't be so comfortable in retirement if they still had a mortgage or rent to pay.

I aim to pay this house off in five years so we can move to the zone for our preferred HS. I will need a small mortgage to buy there but will downsize from this house and buy something I can stay in alone as it will be very central.

View PostIShallWearMidnight, on 15 February 2017 - 04:50 PM, said:

We are planning so that our own home plus 2 investment properties will be enough to get by. (With income of 400 a week, after expenses from the rentals, and no living costs, we should be ok.)

Im not a believer in super after losing the majority during the GFC.

A financial adviser once told me lots of people struggle to keep up with the costs on IP's in their retirement as they are relying on passive income with not much option to increase it if there is a short term problem.

#43 LuckyMummy ♥♥

Posted 15 February 2017 - 06:55 PM

Like PP we are hoping to pay off the mortgage before retirement. Then we will rely on whatever super we have, our savings, plus whatever pension there is to survive until we die.

And even though I don't have to work for our family to survive, I am working part time anyway so that I am accumulating a little bit of super and also keeping my work options open in the future.

Im assuming there will be a pension, but i am also assuming that the pension age will be after we are unable to work full time anymore. It will probably in the mid 70s by the time we are ready to retire. This is probably our biggest risk. How we will survive in those years before the pension kicks in??. It will probably involve us using up savings, a huge chunk of our super (if they let us access it) or selling the house and moving to an outer suburb or to a country town, or an apartment. Or relying on our kids to build us a bungalow.

I also worry about superannuation laws. They seem to change all the time and I hate the fact that my retirement money is controlled by government policy. So I don't think I'll sink much extra money in super, as we grow older and the kids move away we will probably invest in shares or property as a back up income stream.

#44 LuckyMummy ♥♥

Posted 15 February 2017 - 06:58 PM

Oh, and I'm going to try hard to stay married because single women sadly struggle the most in retirement. Lucky DH and I are pretty solid. But seriously, if I was in my 50s or 60s and considering divorce, unless there is abuse I'd seriously put up with a lot just to stay married

And I'm only half joking.

#45 EsmeLennox

Posted 15 February 2017 - 07:10 PM

I'm not even thinking about it. But I do have a fair bit in super and we'll pay off our house in the next few years, well before retirement. We are very fortunate to not have to think about it too much.

#46 Charli73

Posted 15 February 2017 - 07:28 PM

View PostLuckyMummy ♥♥, on 15 February 2017 - 06:58 PM, said:

Oh, and I'm going to try hard to stay married because single women sadly struggle the most in retirement. Lucky DH and I are pretty solid. But seriously, if I was in my 50s or 60s and considering divorce, unless there is abuse I'd seriously put up with a lot just to stay married

And I'm only half joking.
I actually remember reading an article on women who knew their partners had mistresses and were cheating but turned a blind eye because they didn't want to go through the whole divorce etc as they knew they were better off financially as part of a married couple. Very sad.

#47 LUV-MY-KIDS

Posted 15 February 2017 - 07:46 PM

If you can afford to buy a house that would be my first priority.  If it's to expensive and you can move.  If not buy a house where you can afford and rent it out.  If you can live in it in retirement.

Owning is key to having an ok retirement.

#48 Brutta Borgia

Posted 15 February 2017 - 07:50 PM

Yes I agree - a good first step is to own your own home/unit - no mortgage.  I know property needs upkeep, rates paid, utilities etc - but renting needs some (not all) of these things too - and owning just gives you that added security. A good amount of super helps too, obviously.

#49 Chelli

Posted 15 February 2017 - 07:52 PM

I'm hoping we've built up our business enough to get good money for it when we sell. The proceeds are going towards retirement.

#50 Ally'smum

Posted 16 February 2017 - 10:08 PM

I really need to get on to this, we haven't really talked about it and it is probably only 20 years away for us (if we retire at 60).

First priority is to get rid of the mortgage, planning on doing that in around 12 years, then can put that money towards investments.

Dh has a good amount in super, I contribute extra so I work part time but am topping up to a full time equivalent.

I will go back to full time work in the few years and continue to top up.

We have a small investment in shares, plan on building this.

We will inherit something, not relying on it, but we know we will both get something.

Really our main priority is to get rid of debt as soon as possible.

I don't expect to qualify for a pension, to be honest I hope that we have enough that we don't. T

his all assumes that both of us are well and employed for the next 20 years.




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