MONEY EXTRA

In Season 3, Episode 2, we invited finance guru Marc Bineham to speak about retirement and finances on our Money Extra segment. 

Marc posed some thought-provoking questions that will help aspiring retirees to  set about planning this exciting phase of life…

Here’s a transcript of his talk on Money Extra

Hi, I’m Mark Bineham, retirement coach from the Money Sandwich talking to you today about retirement – it is not just about the money.

Many people look towards retirement from a purely financial perspective. It’s understandable as getting your finances right is a very important part. However, it is only one part, you also need to be prepared for retirement emotionally and physically, including answering the biggest question. What will you do once retired?

So, what will be your next big challenge?

You are entering a new phase of your life and great phase, but for it to be rewarding, it must provide you with a challenge. The last thing you want is to become bored.

Do you prefer a traditional type retirement spending time on recreational activities close to home or do you want to make a significant shift in your lifestyle, such as downsizing the house, buying a caravan, and traveling indefinitely? Or, would you continue to work more or less as you are now because you enjoy your work? Maybe just slow it down a bit?

Financially our aim should be to have enough funds that you work because you want to, not because you have to.

Your relationship is in another important consideration. Many couples have not spent a lot of time with each other in the last 20 years or so before retirement. Work and family can do that to you. Have you had a chance to talk to your partner or loved ones about this?

I’ve also asked retirees what are they doing to maintain their health and well-being as you want to achieve the best quality of life for the next 30 odd years. It is so worth putting in the effort as your health is as important as thinking about your finances.

Finally, when it does come to your finances, what are you doing to ensure the money lasts? How is it working hard for you? How have you invested it?

I heard a well-known economist say that the greatest risk is not where your money is invested, but that we will outlive our money as we are all living longer. That is a great thing, as long as we can afford a good life.

It so worth investing some time and effort into this area as well.

Baby Boomers Guide Money Extra segment is supported by the Ecstra Foundation and the Older Womens Network NSW.