Recently I’ve had the pleasure of meeting with a few different lots of lovely pre-retirees. They’re of similar ages, yet they’re entirely at different stages of preparation for their retirement journey. Sadly, some haven’t even really started!

I’d like you to imagine starting the longest holiday of your life with the equivalent of a blindfold in place? Or maybe trying to drive with a flat tyre. How far could you get before frustration or boredom set in?

It’s a stark reality…retirement today is nothing like retirement was twenty years ago when I started financial planning. It’s a very different beast! Now retirement can be confusing…and extremely complex.There’s no such thing as simply finishing work and then being entitled to a full aged pension like it used to be when you’d reached retirement age.

Now, our friends at Centrelink or DVA (Veterans Affairs) like to know everything about your assets and income so they can do their best to reduce your pension entitlement.

And if you gift your family money to help them out…well that can create another level of problems entirely. A lovely lady asked…’well what if I buy a house in my son’s name and I give him the money from my inheritance to buy it’?  You’re generally allowed to gift assets of up to $30,000 over a five year period (at no more than $10,000 per annum); any more can and will be counted as a deprived asset for up to five full years.

Today’s tip: If you’re getting ready to retire, please do not take a do-it-yourself attitude, get advice from a professional not your neighbour or friend.

Professional advice should aim to ensure you’re protecting yourself and your family from the unexpected consequences of an innocent decision. Oh yes, professional advice comes with a price. However experience shows getting it wrong, or overlooking an important aspect of planning, can come with a far bigger price. I’ve helped clients claim pension entitlements that they’d missed out on for 10 years, all because they were overwhelmed and didn’t know where to start.

I’d love to chat about how to help you maximise your retirement.

Talk soon

Gayle