The ‘Pit Stop Checklist’

March 14, 2022

The ‘Pit Stop Checklist’

for your journey, from the
working years to the golden years!

Ever considered taking some retirement planning inspiration from Formula One racing?
Much like the sport of Formula One, in which pit stops play a vital role in ensuring a smooth win for the player; in today’s demanding times, stage-wise planning for retirement is crucial for a smooth transition, from your working years to your golden years.

Your first major pit stop at 10 years before retirement is all about preparation and provision. Do plan it with your spouse, as retirement is a couple goal.

Take a holistic view:

Consider future expenses, lifestyle, family goals and retirement goals.

Estimate your requirement:

Cover essential spends, discretionary spends, contingency funds, healthcare costs and inflation.

Calculate your current investments:

Includes EPF, Super Annuation, ESOPs, PPF, NPS, etc.

Gap assessment:

Identify additional investments needed. Also consider a secondary income source.

Plan for your goal:

Make investments suited to your personality.

The second pit stop at 5 years before the finishing line of your career, underlines the importance of consolidation and transition planning.

Portfolio Performance:

Assess and rebalance your portfolio, as needed. Shift from high-risks to balanced investment instruments.

Eliminate Debts:

Try and pre-close your loans.

Plan Employer Transition:

Check on the continuity of employer’s family Health Insurance Plans. Make sure you have an adequate health and protection cover.

Consolidate Finances:

Get single view statements for your finances, keep no more than 2 Credit Cards, and consolidate all spends.

The make-or-break stretch is finally here. Now is the time to intensify your efforts and plan your golden years, right down to the minutest detail.

Relive Plan:

Evaluate post-retirement life from financial, social, emotional, and physical angles.

Withdrawal Strategy:

Take professional advice to help you figure out monthly withdrawals, based on your life-expectancy and lifestyle goals.

Rebalance:

Balance your portfolio, towards less risky investments.

Don’t miss:

Contingency fund checks, PPF/NPS Maturity decisions, tax implications.

Don’t forget:

To win at every stage of life, every winner needs the right pit stop team and strategy to stay ahead in the race. You too can benefit greatly, with the right retirement advisors by your side.

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