Understanding the advantages of different retirement planning stages

From the time they start earning to the point they stop working, many people across the country are preparing for retirement. The following are some of the benefits each stage in a person’s life offers for retirement planning.

Young adulthood

Between the ages of 21 and 35, you might not have much free money to invest, however, you do have time for investments to mature. This is due to compound interest, which enables you to accrue interest, and the more time you have, the greater amount of interest you will earn, increasing your retirement funds for the future.

Early midlife

From age 36 to 50, you’ll likely face the biggest financial strains, like student loan repayments, insurance premiums, credit card debts and mortgages. Despite these challenges, savings are still critical. The advantages of this stage are that you’ll be making more money and still have time to earn interest on savings and investments.

Later midlife

Between the ages of 50 and 65, your investing may become more conservative. Although time will be running out to save for retirement, there are still advantages. Many of the previously mentioned expenses, like mortgages, debts and loans, will have been paid, freeing up cash for investing, and your annual salary will likely have reached its peak.

Do you need help with retirement planning in Shropshire?

Whatever stage of your life you’re in, at Hartey Wealth Management, our expert team can help you prepare your finances for the future. Contact us today for advice and support.

Share:

Recent Posts

How to Secure your Family's Future

Download our FREE eBook Now

Do you need help navigating the world of finance? Do you want to secure your family the best financial future possible?Download our Free eBook now.