12 February 2022
Make plans with the one you love this Valentine’s Day
Valentine’s Day: A occasion filled with romance, where you can show your significant other a little extra appreciation and affection. And what’s more romantic than planning your future together? That’s right — we think you and your partner should plan for your retirement this Valentine’s Day.
The first few steps of planning for retirement don’t require extensive research or number crunching. All you have to do is have a candid conversation with each other about how you picture your future together. That doesn’t sound so bad, right?
After that, you may need a little help from your friends at Active Super. But don’t worry, we have all the tools you need to make planning your retirement not only painless, but exciting.
Why every couple should plan for their future
You might be thinking, “Hold on, we’re so young. Why would we think about retirement this early?” Truthfully, you’re not the first couple to feel that way, but that sentiment is misguided.
The earlier you start planning for your retirement, the sooner you can execute your plan, and the quicker you’ll retire. So, the longer you wait, the longer you’re going to have to work, and the older you and your partner will be before you can start enjoying the next chapter of your lives.
Picture this: You and your significant other draft a retirement plan today, put it in action tomorrow, and then retire a decade earlier than you would if you waited. That’s 10 years that you can act like every day is Valentine’s Day — romance and adventure, not work, can be your top priorities.
Sounds pretty ideal, right?
So, now that you are going to incorporate planning your retirement into your Valentine’s Day, let’s talk about how to go about doing that.
How to get started
Establish your goals
The first and most important step in planning your retirement is to figure out what it is exactly that you are planning.
How old do you and your spouse want to be when you retire? How much money do you expect to have waiting for you in your super? Will one of you work longer than the other, and if so, by how long? What is your contingency plan for if one of you can no longer work?
A lot of these decisions will depend on your ages, current financial situations and family structure. Once you settle on your decisions, you can get started on mapping out how to execute your retirement plan.
Use the tools and resources available
Active Super has many resources available for planning your retirement. One of the most helpful tools we have for couples just starting out is our Retirement Lifestyle Calculator.
This calculator will ask you questions about you and your partner’s current income, spending habits and retirement plan, and it will use this information to advise you on how much money you will need to achieve the kind of lifestyle you desire in retirement.
We also take it upon ourselves to make sure that you are as informed about the retirement planning process as possible. That’s why we host webinars and events where you can learn about smart retirement planning and more.
There are many ways that you and your partner can build your super. For example, some workers elect for salary sacrificing, which means directing a portion of your pre-tax paycheck into your super. You and your partner should discuss how much money you are willing to sacrifice now to give yourselves a better retirement.
Additionally, some married couples opt for spousal contributions. This enables one person in the couple, typically the one with a higher income, to contribute money to the other person’s super. If there is a pay gap between the two of you, this could help you bridge it. Also, the person who is contributing money might be able to receive a tax offset. If win-wins aren’t romantic, we’re not sure what is.
Meet with a financial planner
Deciding on your retirement goals can be fun, exciting and romantic, although the part that comes next might be scary. But, not to fear! Active Super believes that every part of planning your retirement should be easy and give you something to look forward to.
To get started on executing your retirement plan, request an appointment with an Active Super financial planner. Whether you and your partner are a young couple who are just beginning to plan your retirement, or you are making a change to a plan that you’ve had in place for decades, we can steer you in the right direction.
Contact us to learn more about how we can help you and your significant other plan for retirement this Valentine’s Day.
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