Retirement Finances - insurance and other fiscal measures

Life Assurance

Your life assurance will probably end when you reach pension age, as will contributions to your pension scheme. Remember that if you go on working up to pension age (sixty for a woman, sixty-five for a man), you should pay no National Insurance contributions on any payday after you reach that age.

Regular Investments and Savings When you retire you should reappraise your whole approach to saving, investment and finance.

Bank Charges Special concessions by banks for people over sixty generally have ended. All the main banks now offer free banking to everyone who keeps in credit. It's worth studying the rules to make sure that you keep inside the free banking limit. Some banks offer a special package for people over fifty-five, including free financial advice and reductions on the cost of services.

Interest on Loans and Credit Charges Do try to avoid taking on any new commitments. And avoid like the plague any loans to clear debts which use your home as collateral.

Miscellaneous and Personal

Stationery and Postage Items that seemed to cost a fairly insignificant amount when you had a job may now seem to swallow up a noticeable chunk of your income.

Retirement Budgeting - read on

Retirement Finances Christmas, parties or Birthday Presents

Donations to Charity Surprisingly, it is the people who have the least money who give the most to charity.
Payments to Relatives Even when you retire, there may still be older or younger relatives for whom you take some financial responsibility.
Pocket Money It is important that you do have some allowance for the things you don't want to tell anyone about.
Cutting it Down
When you have done your 'before' and 'after' expenses list, go through it deciding what is really necessary and what is not. Remember that hobbies and care of yourself are not luxuries. Doing without everything except food, drink and warmth is not a sensible way to economize unless you are absolutely forced to do so.
If you live alone, it is especially important . . . ... see: Retirement Finances Christmas, parties or Birthday Presents