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Why is it Important to Save for the Future?Dated: March 2004
The answer is to have sufficient wealth to achieve your personal goals, whether they be:
To buy a house
Do I need to plan for my retirement?
This is a question currently being asked by many. The answer is YES!
There are currently 6 Australians working for every retiree. By 2020 it is estimated this figure will fall to 3 working Australians for every retiree. This along with people living longer means you can no longer rely on the government to provide a pension in retirement.
If you want financial independence and have sufficient money to maintain your quality of life in retirement, you need to plan for this while still working. The sooner you start saving the more chance you have of achieving your goals.
How much is required to maintain financial independence in retirement?
This is a personal choice and will vary from one person to another. A recent study undertaken by the University of New South Wales reveals that the average Australian family will need around $43,000 pa to maintain a comfortable retirement and at least $23,500 pa will be required to maintain a modest retirement – where the basic expenses can be met.
The following table indicates savings needed to achieve desired levels.
How do I go about commencing my retirement saving plan?
The first step is to decide you want to do something about this.
The next step is to seek advice from a qualified financial planner who can use varying strategies and government incentives to create long term wealth and achieve your goals.
Why wait – Make an appointment today with Glenn Setches or Lis Keilty by phoning 03 5623 2276. Glenn and Lis can assist you develop a financial plan to achieve your future goals. All advice provided by OzPlan Financial Services is impartial and the initial consultation is free and without obligation.