Being set for life, when you retire from your job, or the daily ‘grind’, is easier than you think, if you apply the ABC plan shared by Camille Steer, corporate manager, fund services, at JMMB Fund Managers, during a recent episode of the JMMB Goal Getter Live (webinar) series.

Steer, outlined the components of the ABC plan; audit your finances and take action accordingly; put a budget in place and consistently contribute to your retirement plan, while controlling your expenses.

“When you have this (financial) underpinning you will unlock the power to achieve all your financial dreams…as the ABC plan will help you to create financial habits that will allow you to feel energized, empowered and excited about achieving all your financial goals.”

The pension expert noted that retirement planning is best approached as a part of one’s holistic financial planning, and is not separate from the achievement of one’s other goals, such as homeownership; enjoying your dream vacations; buying a car and wealth accumulation.

She, therefore, outlined that individuals should take a similar approach to establish a solid financial base, starting with an emergency plan of three to six months’ worth of their expenses.

“What we are seeing as a result of COVID-19, is that more persons are going into pre-retirement earlier than planned and so they have less set aside. Therefore, for persons who are still employed they should use the opportunity to maximise their contribution, which can be as much as 20 per cent of their annual gross salary,” outlined, Steer.

In giving a sense of the amount needed during retirement, Steer, shared that the advisable amount is at least 70 to 80 per cent of one’s last salary at retirement age, therefore with the help of your financial advisor this projected amount is calculated.

http://www.loopjamaica.com/content/jmmb-shares-abc-plan-help-individuals-get-set-life