While there is no denying that retirement is an exciting period in any person’s life, it can also be a worrying one. After all, you are not going to have a consistent income coming in as you used to, and so you need to master the art of managing your money effectively. For some people this is easy business. For others it can be incredibly difficult, especially when you consider how the financial climate has changed over the years. This is why it is a good idea to give your parents a helping hand when they are getting ready to retire. Here are some tips you can use to get started…
Prioritise your own retirement savings – The first thing you need to do is make sure that your own finances are in order. A lot of people end up sacrificing their own retirement funds because they want to make sure that their parents are going to be fine. However, if you do this, you are only going to put yourself in an incredibly worrying position. Don’t just pass on the problem to yourself!
Introduce the initial conversation – You are not going to be able to help your parents retire if you do not know where they stand financially. This is why you need to introduce the conversation to them carefully. Some people don’t like to talk about money, and you need to be prepared for the fact that your parents may simply dismiss you and try to change the conversation. If you know that this is likely to be the case, you need to think carefully about how you are going to frame the conversation. Perhaps you could use it as an opportunity to learn together? Equity release is something that is being discussed more in the news and on television today. You can find out more at www.responsibleequityrelease.co.uk .
You could use something like this to get the ball rolling. “Have you seen those equity release adverts on television? I thought we could look into it together.”
Learn more about the help that is available – There are probably a number of different benefits that your parents are going to be entitled to. Not only does this include government assistance, but a lot of companies offer special perks and discounts for older people too, so you should definitely explore this further so that your parents make the most of everything that is available to them. Head to https://www.moneywise.co.uk/pensions/retirement-lifestyle/the-best-discounts-the-over-60s for more information on the best discounts available for people over the age of 60.
As you can see, there is a lot that needs to be considered when it comes to retirement. If you follow the advice that has been presented above, you can help to make sure that your parents are ready for this stage in their life. From prioritising your own retirement savings to introducing the initial conversation in the right way, if you follow the steps discussed, you should be able to ensure everything goes as smoothly as possible.