Retirement planning: Why your state pension may be especially useful in coronavirus crisis

Retirement planning: Why your state pension may be especially useful in coronavirus crisis

“As part of the planning stage, you should see if there are any potential stressors, or if losing a specific source of income would place you under significant financial pressure.

“There are so many options out there now, and thousands of people are entering their retirement without a strategy in place.

“Not having a plan could leave you short of funds in later life, or even see you become overly modest with the amount you access.

“Either way, the result is the same: you can’t enjoy the retirement you really want.

“If you’re unsure what to prepare for, talk to a financial adviser, or visit the Pension Wise website for all sorts of useful information.”

4. Get peace of mind

With pension savings affected during the crisis, Ms Byron has highlighted how other forms of income may be useful – be that savings, a Defined Benefit scheme, or the state pension – if the person is state pension age, that is.

“An unexpected market shift like this re-enforces the importance of having some base-level of income secured,” she said.

“Suddenly not being able to rely on specific income strategies, such as your investments or property, can cause anxiety, so it is sensible to seek income streams that provide some financial security.

“Your state pension or Defined Benefit scheme for example, are reliable sources of income you can turn to in times of market turmoil.

Published at Sun, 10 May 2020 03:01:00 +0000