It’s never too early to start saving for retirement – but if you’ve left it a little late, don’t panic! Here are some tips to help you save towards a financially secure future.
- If you don’t have a lot to save, starting small is better than not saving at all. Any amount of savings helps. Saving a little each month can make a big difference, as long as you’re consistent. This will also help you get into a habit of saving.
- Don’t cash in your savings when you change jobs. If you have a pension or provident fund attached to one job, don’t withdraw it and spend it – rather have it moved over to your next employer or invest it privately in an appropriate retirement funding investment, and keep saving.
- If you don’t have a pension or provident fund, start contributing to a retirement annuity. This is a private retirement savings fund that in some cases can be tax-deductible.
- If you get a bonus, a raise, a 13th cheque or any other type of unexpected extra money, invest at least some (if not all) of it into your retirement savings, rather than spending it.