You’ve worked hard and now it’s time to stop and smell the roses, perhaps look after the grandkids, and take long weekends away.
When it comes to retirement it pays to plan and get everything organised before you can put your feet up.
One thing you might want to consider for a number of reasons is moving home.
Reasons to move home
When you bought your house it could have been in a location that was close to the good schools and close to work, but now you’re not working, do you need to be close to the city and that good school district? Moving further from the city usually means lower prices, and more money for you to spend during your retirement.
Maybe you need to consider downsizing? Many people have been put off downsizing their home due to it affecting their pension. In recent years the pension has been means tested, but your home being one of the only assets that was not taken into account. However, should you sell your home the equity you free up was then accounted for and negatively affected your pension.
The government gave pensioners relief by allowing a single person and a couple the ability to deposit $300,000 and $600,000 respectively into their super funds from the sale of their home, thus pensioners are no longer penalised for downsizing.
Downsizing can save you money in many ways, let’s take a look:
Cooling and heating large areas can get expensive, a smaller home can be temperature controlled at a much more economical rate.
A smaller home usually comes with less maintenance, which not only gives you more time to do the things you enjoy, it also frees up the money you would usually need to fix up issues.
Releasing equity in your home is a great way to enjoy your retirement, plus having a smaller house to clean is also a bonus!
Don’t risk it, get expert financial advice
As laws and regulations are always changing it is always prudent to get advice from an expert. Talk to the team at B&M Financial on the Gold Coast, we have up-to-date information on superannuation, and can provide Financial advice that will give you the best outcome.
You’ve worked hard for your money, make sure you make the most of it.