Questions Our Clients Ask As They Start Thinking About Retirement

For many people in their 50s, retirement planning brings a unique mix of opportunity and complexity. With children becoming more independent and career achievements giving rise to increased income, you may find yourself with more choices and questions about your financial future. Here are five areas to consider, with answers to some of the most common questions we hear from clients.

1. “Should I pay off my mortgage, or invest?”

Deciding whether to pay off your mortgage before retirement or invest your money elsewhere can be challenging. While paying off the mortgage brings peace of mind and security, investing surplus funds could provide growth, potentially leaving you better off long-term. The right choice depends on factors like interest rates, tax implications, and your retirement timeline. We help clients weigh the benefits of each path, so they can make decisions that suits both their finances and lifestyle.

2. “How should I invest my pension?”

You may be wondering if your pension investments align with your goals. This is an ideal time to review and adjust your investment strategy if necessary. We evaluate your pension to ensure it is aligned to your longer term goals as it may not be something you have paid a lot of attention to.

3. “What should I do with my surplus income and bonus?”

You may have surplus income or work bonuses and wonder what to do with them. Options include pension contributions, ISA investments and cash savings as well as simply spending it! Your choices will depend on your tax situation, investment goals, and timeframe. By having a financial plan we help you make the right choices, not just for the present, but also for your financial future.

4. “How much money do I need to retire, and when can I stop working?”

One of the most common questions we hear is how much is "enough" for retirement. The answer varies based on your desired lifestyle, health, and how long you expect retirement to last. Additionally, some clients are interested in reducing work hours instead of fully retiring. We work together to assess how long your assets will last and when you might be able to reduce or stop work entirely.

5. “How can I reduce my tax bill, and what happens to my pension if I die?”

As you build wealth, it’s important to consider how taxes might impact your retirement income and what will happen to your investments if you pass away. With strategies for tax-efficient withdrawals and inheritance planning, we help you manage and protect your wealth, ensuring that it supports you in life and aligns with your legacy goals.

Ready to Plan Your Future? At Own Your Future Financial Planning, we’re here to help answer your questions so feel free to get in touch if you want to know more.