The age old saying of ‘Failing to Plan is a Plan to Fail’ couldn’t be more true when speaking in terms of retirement planning. But when the government keeps pushing out the retirement age, this planning can be very difficult to start let alone keep updated.
Retirement planning can take on many facades, the most common of which will include a traditional plan of attack with a financial planner. This will generally involve fast tracking debt payouts then maximizing super contributions so as to provide for a lifestyle of your design in retirement.
For business owners, the above plan of paying down debt and maximizing super still plays a part but before they start considering these steps, they first need to plan for retirement of their business. This can be as ‘simple’ as selling the business at the right time or as complex as a business structure whereby the business runs ‘under management’ to provide passive income sources for the owners.
The key with any type of retirement planning is actually making the plan. No comprehensive retirement plan can be completed overnight nor can they be implemented quickly to achieve the desired result. The earlier the plan can be developed and implemented the greater changes of success the plan has and the easier it is to stick to.
Not planning for retirement is akin to pulling a ‘Steven Bradbury’. The majority of the time you will finish in last place. Only rarely will everything fall into place just the way you want without any planning.