Most of us spend little or no time thinking about our retirement when we are younger, but that’s the very time to take action. Ask yourself, how long do you want to work for? The earlier you start, the more choices you have. Right now, you are in a unique position to choose to retire early, at say age 55 or 60. This is because you have time on your side, time to take action and plan ahead.
Generous Tax Relief – but for how long?
One of the best things about saving to a pension is the generous tax relief currently available (up to 41%* for a higher rate tax payer). The amount you need to save depends on a number of factors, such as:
- When you’d like to retire.
- Your age now.
- What kind of lifestyle you’d like to have in retirement.
- Any pension arrangements you already have in place (from previous or current employers).
- How much you can afford (bearing in mind that current tax relief can effectively cut the cost of your monthly savings by almost half).
For advice on how to set up a pension and start saving for your retirement, talk to a qualified financial advisor today.
*Assuming higher rate taxpayer 41%. It is important to note that tax relief is not automatically guaranteed; you must apply to and satisfy Revenue requirements. Revenue terms and conditions apply.