In the simplest sense, pre-retirement planning prepares you for life after paid work ends, not just financially but in all aspects of life. It is therefore essential to prepare well in advance.
- Contributions to retirement annuities;
- Building discretionary investments;
- Taking advantage of tax-free savings;
- Considering income in your investment (even though you don’t need it yet); and
- Beating inflation.
It also includes non-financial aspects, such as:
- Lifestyle choices;
- How and where you would like to spend your time during retirement;
- Where you would like to live; and
- When to completely stop working, etc.