What does retirement saving risk mean to you!?

Oct 30

What does retirement saving risk mean to you!?

To live well in retirement you will have to depend on how skillfully you plan and invest, and whether you make good use of tax-advantaged savings plans. To avoid failing your plans risk assessment will have to be on the top of your “to do” list. First, estimate how much you will need and remember, too, that your health care expenses are likely to go up in retirement, especially if you retired prior to being eligible for healthcare and must purchase insurance on your own. Figure out how you’ll meet those expenses. There are three main sources of retirement income: social security, pensions and annuities, and your savings. Start by determining your estimated social security benefits. Will you have enough to retire? Add in any annual payouts you expect from an annuity or company pension. If it’s not enough, it’s time to think about where the extra money will come from.

Remember, it’s never too early or too late to start saving. Start small if you have to and try to increase the amount you save each month. The sooner you start saving, the more time your money has to grow. How much you save is as important as how you save. The type of investment and inflation play important roles in how much you will have saved at retirement. Too much money in one type of investment is always a bad idea and puts your money at risk, to reduce your risk in savings Experts recommend that you spread your money among a range of investments so that your money is “diversified.” For instance, your risk of losing money is less if you buy shares in several mutual funds investing in various types of assets such as large company stocks, small company stocks and bonds. Even investing in just one mutual fund will help you to diversify compared to investing in individual securities on your own, since mutual funds, by their nature, allow you to invest in a collection of stocks, bond.

You may also want to take a look at financial products and services that could help but first a word of caution.  Because you’re growing a nest egg, you may start hearing from people offering their own strategies for managing your retirement money. These people may be relatives and friends.  You will also hear from strangers in phone calls, letters, and emails. Some may offer to double your money at no risk. Think long and hard about involving them in your financial affairs, unless they’re qualified financial professionals and can be objective. Retirees are frequently targets for scams.  Share your interpretation of risks at Aon Peril Exhibition, there is a chance you win £1000 Amazon Vouchers Prize. To enter simply send and image that best interprets your view of risk. The shortlist entries will be exhibited in the Embassy Tea Gallery in London for a week. The winning entry will be judged by some leading industry judges and will win a £1000 prize fund.Entries will be judged by some leading industry experts:

  • Angela McArthur Artist, Founder of Arterial Contemporary, Senior Lecturer at Ravensbourne
  • Barry Ryan Managing Director, Executive Producer & Creative Director, Free @ Last TV
  • Dennis Morrison Founder & Creator of Audience Magnet
  • Elliot Grove Founder of Raindance and British Independent Film Awards
  • Ben Mallaby BAFTA nominated director and Senior Lecturer in Film Production at Ravensbourne

Entry submission

  • follow @Aon_busIns
  • tweet your image with the following tweet ‘my entry for the @Aon_busIns #RiskInspiredCreative competition’.

If you do not have a Twitter account, email your entry to lynzi.ashworth@aon.co.uk

Entry dates: Open for entries 06.10.15 – Closing date 17.11.15