Whether you’re nearing retirement or currently in retirement, it can be beneficial exploring ways in how you can continue growing your nest egg, so you can keep living your best in your golden years!
Planning ahead for retirement can also mean planning where you’re going to go travelling, what hobbies you’re finally going to take up, or simply planning time to relax!
Most of your retirement plans will include needing a sufficient amount of retirement savings.
Taking away the financial stress during retirement is important. You want to enjoy the years you’ve been saving up for so long. To make it easier, one thing you could consider is an investment strategy throughout your retirement.
If you don’t know where to start, here are 3 areas you can invest in:
Investing in a Rental Property
If you have a significant amount of money set aside, you can purchase a property and make it a source of income by renting it out.
Though you won’t use the property yourself, generating a regular income through real estate investments can be helpful in alleviating financial stress during retirement and allow you to live a comfortable lifestyle.
Another great factor is if you invest in a well-maintained property, in a good location, it will often increase in value over time.
As Australia’s property market value continues to increase, it’s now more than ever, a great time to consider investing in real estate.
Eventually, you can also consider selling your property after a few years and enjoy the potential returns of your investment.
Investing in Bonds
A less risky investment option, compared to growth assets like shares and property, can be bonds. Bonds are like loans you provide private companies or the government, and in return, you can enjoy regular interest payments.
The income you can generate from bonds can potentially be a reliable source of funds to help you during your retirement.
There are plenty of opportunities to invest in ethical companies through bonds as well.
This way,you can feel good about knowing where your money is going and how it’s helping achieve a sustainable cause.
3. Investing through your Superannuation
If you are planning for a future retirement, you can choose to make extra contributions to your super to help it grow. You can also choose to change your super investment option to a higher growth option and enjoy the higher returns.
Alternatively, if you have already retired, you may be able to make use of the downsizing contribution superannuation strategy.
You might be someone who is looking at selling your home and wanting to move closer to friends or to a new location where you can explore new hobbies.
Relocating is quite common for retirees looking for a great lifestyle change.
A great factor about downsizing in retirement is the ability to be able to use it as a way of boosting your retirement savings – this is called a downsizing contribution.
The downsizing contribution allows you to contribute up to $300,000 from the sale of your home to your superannuation fund. However, it’s beneficial to seek financial advice before exploring this option to ensure this is the right financial decision for you.
Ethical Investment and Retirement Planning
Finding the right investment strategies for you can help you achieve financial freedom and comfort long after retirement.
If you want to get a head start on financial planning for retirement, work with us at Novo Wealth.
We offer ethical investment advice for people who want to work on their future as early as today and transition safely into retirement.
Book an appointment today, and let’s discuss how to secure your financial future the ethical way.
IMPORTANT; This information is general in nature only. It does not take into account your individual circumstances. We recommend that you seek professional advice before making any investment decision.
