Further to our last post, where we set out the first steps in your DIY Financial Spring Clean, here we set out the next steps in getting yourself on track financially.

Now you might well be losing interest already, but there is a positive side to all this drudge. What is it that makes us anxious, unhappy, feeling bored and then doing irrational things. It generally is because we lack purpose and focus – as human beings, we thrive on social interaction (hence why we hate lock down!) and we function much more positively when we have focus and a purpose.

Hence, if you bring that sort of order and discipline to your financial life, you can expect to feel much more upbeat and a greater sense of wellbeing about so many other parts of your life.

So, here goes…….


Saving for your retirement

It does not matter how far away this is, however it is a psychological fact that we will focus more on this the closer we get. Which is a paradox and complete contradiction to what to do, to make the biggest difference to your life in retirement – which is save as much as you can early on in life. Now, we are not talking about saving £000’s per month, but simple basic steps

In the UK, all full time employees, aged 21 and over, earning over £10,000 per annum, will be automatically enrolled into their employers Workplace Pension Scheme – and if you join, your employer has to contribute. Yipee, some free money!! Well, not quite, you have to contribute as well….

Currently, if you contribute 5% of your earnings, your employer must pay at least 3%. We would suggest you work out what you can afford and even if its only 1% more, do it! Or, join and then review it each year, or at salary review time and if you get an increase, just up your savings a little as well.

The power of time/compound interest cannot be underestimated and having your savings invested for 20,30 or even 40 years will give you a great start to your retirement living

If you are self-employed, there is no Workplace Pension Scheme – its DIY, so you need to sort one out yourself. But the same principles apply – start early and at a level you can comfortably afford, then build it up over time, as earnings allow. The tax benefits are great – but I’m not going to explain them here

Call us, chat your options through and see if we can help. If we can’t, we will guide you in the right direction

Contact any member of the T&R Team, we are here to help – 01522 513191

Stay Alert and safe

Andy Dyson & the T&R Team