Jun 8, 2012

Planning to retire......What matters....

Financial security in retirement doesn’t just happen. It takes planning and commitment and, yes, money.

Some facts....

  • Fewer than half of Malaysian have calculated how much they need to save for retirement.
  • The average Malaysian spends 20 years in retirement.
Putting money away for retirement is a habit we can all live with. Remember… Saving Matters!

1. Start saving, keep saving, and stick to your goals

If you are already saving, whether for retirement or another goal, keep going! You know that saving is a rewarding habit. If you’re not saving, it’s time to get started. Start small if you have to and try to increase the amount you save each month. The sooner you start saving, the more time your money has to grow .      Make savings for retirement a priority. Devise a plan, stick to it, and set goals. Remember, it’s never too early or too late to start saving.

2. Know your retirement needs

Retirement is expensive. Experts estimate that you will need about 70 percent of your pre retirement income – lower earners, 90 percent or more – to maintain your standard of living when you stop working. Take charge of your financial future. The key to a secure retirement is to plan ahead.

3. Consider basic investment principles

How you save can be as important as how much you save. Inflation and the type of investments you make play important roles in how much you’ll have saved at retirement. Know how your savings or  retirement  plan is invested. Learn about your plan’s investment options and ask questions. Put your savings in different types of investments. By diversifying this way, you are more likely to reduce risk and improve return. Your investment mix may change over time depending on a number of factors such as your age, goals, and financial circumstances. Financial security and knowledge go hand in hand.

4. Don't touch your retirement savings

If you withdraw your retirement savings now, you’ll lose principal and interest. If you change jobs, leave your savings invested in your current retirement plan.

5. Ask Questions

While these tips are meant to point you in the right direction, you’ll need more information. Read more. Talk to a financial adviser. Ask questions and make sure you understand the answers. Get practical advice and act now. More info on how to invest using your EPF account 1 or spare cash monies with Public Mutual, please call me Miera at 012 338 6033 or Dzul at 017 683 0333


Post a Comment

What do you think of my blog???