Retirement planning is the process of preparing for life after employment by determining retirement income goals and the necessary steps to achieve them. This involves assessing current financial status, estimating future living expenses, considering healthcare needs, and evaluating sources of retirement income such as Social Security, pensions, savings, and investments. Effective retirement planning includes creating a strategy to build and manage assets over time, ensuring that individuals or families can maintain their desired lifestyle, cover expenses, and potentially leave a financial legacy. Key components often include budgeting, saving, investing, and understanding tax implications related to retirement accounts.
A recalibration of pension points will occur in 2025, affecting retirement futures based on changes in the average income. Pension points are calculated from contributions by employees and employers, with…