Six issues you are able to do in your 50s to set your self up for retirement

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Your assist makes all of the distinction. Learn extra For a lot of, the prospect of retirement stays a distant dream, conjuring photos of countless gardening and leisurely cruises.

But, time has a behavior of accelerating, making monetary foresight important to make sure a snug future.

“It’s actually essential, ensuring you’re planning in your 60s and retirement. Life can change so rapidly,” says Matthew Sheeran, Cash Wellness collaboration associate and skilled debt adviser.

“If you get into your 50s, you're extra prone to issues like sickness, harm and needing to take day out of labor for companions. So that is actually your greatest alternative to ensure you’re planning in your future.”

These are the choices to make earlier than you hit the large 6-0. Your pockets will thanks later…

<img src="https://static.independent.co.uk/2025/07/25/07/22144000-1c3ba6cf-6cea-49c9-a4b8-ac1376829ea2.jpg" srcset="https://static.independent.co.uk/2025/07/25/07/22144000-1c3ba6cf-6cea-49c9-a4b8-ac1376829ea2.jpg?quality=75&width=320&auto=webp 320w, https://static.independent.co.uk/2025/07/25/07/22144000-1c3ba6cf-6cea-49c9-a4b8-ac1376829ea2.jpg?quality=75&width=640&auto=webp 640w" loading="lazy" alt="Budget planning is key to a healthy pension pot" class="sc-1mc30lb-0 ggpMaE inline-gallery-btn"/> open picture in gallery

Price range planning is essential to a wholesome pension pot (Alamy/PA) 1. Use a price range planner – in the event you’re not already

Begin safeguarding your retirement by getting day-to-day expenditure underneath management. “Get a way of what you’ve received coming in versus what you’ve received going out,” says Sheeran, who recommends utilizing a web-based budgeting software or the 50 30, 20 technique, “spending 50% of your earnings on wants – hire, meals, important payments; utilizing 30% on desires – going out, seeing family and friends, spending time along with your kids; after which 20% on financial savings or debt; clearing off any high-interest debt earlier than it will get too large, after which no matter you’ve received left over, put away in your future.”

Take a look at the Cash Wellness price range planner for extra.

2. Observe down previous pensions

Chances are you'll be wanting ahead to the day you possibly can draw your pension, however have you ever saved observe of all of the pension pots you’ve collected over your working life?

“In your 40s and 50s you may have the power to earn more cash, your earnings will be versatile, however then when you retire, you’ve just about received a set earnings, so it’s by no means too quickly to start out interested by pensions,” says Sheeran. “Observe down any misplaced pensions, even when they’ve solely received £100 in. That’ll offer you a good suggestion as to: what life-style do I need sooner or later? And the way way more do I have to pay now to get to that time?”

Dig out previous paperwork that can assist you hold observe of pension pots.

“Some folks aren’t able or don’t have the posh to save lots of a lot of cash, however in the event you do have cash left over on the finish of every month, sort out your debt,” says Sheeran. “All the time begin along with your high-interest debt: bank cards, overdrafts and private loans. They'll actually drain retirement funds due to the curiosity, particularly when it's possible you'll not have the means to pay them rapidly at a later age. Go away low-interest money owed till afterwards, that’s whereas not forgetting to save lots of slightly bit for a wet day on the identical time.”

Sheeran recommends utilizing a free debt recommendation service (like Cash Wellness’ or Nationwide Debtline).

4. Maximise your earnings

Subsequent up, take a look at earnings you would possibly inadvertently be lacking out on. “There’s so many advantages that go unclaimed within the UK, so there could be stuff you’re entitled to that you simply’re not claiming,” says Sheeran. Go to turn2us.org.uk to search out out what you could be entitled to.

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There are “fast wins” available too, says Sheeran. “Negotiate higher offers along with your broadband, your cellphone, reduce TV subscriptions you’re not utilizing, and ensure you’re on an appropriate vitality tariff. There’s so many tariffs which may reward you for placing your washing on at night time on a timer. Little issues like that may prevent £20, £30, £40 a month, which might go in direction of that pension or financial savings pot,” he explains.

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It is usually essential to be financially resilient to be able to hold your pension wholesome (Alamy/PA) 5. Take steps to being financially resilient

“You wish to ensure you are as financially resilient as doable. That would begin by having emergency funds in a present account or an account you possibly can entry simply with out penalties. We’d at all times suggest having anyplace between three to 6 months’ value of important bills saved,” says Sheeran. “Something over and above that, that’s the place you’d take a look at Premium Bonds and/or an ISA.”

6. Discuss to your kids

This could be a difficult one, however don’t shrink back from it. “I converse to so many individuals which can be in debt and their grownup kids aren’t paying any cash in direction of the payments in the home, and that youngster would possibly really be in fairly scenario themselves,” says Sheeran. “Usually the kid doesn’t realise their mother and father are struggling. I’m certain in the event that they did, they might contribute. However there’s slightly little bit of a humiliation or pleasure issue for some mother and father, the place they only don’t wish to ask.”

He says at this stage of life, it’s very important – whether or not you’re in debt, struggling or not – to maximise your earnings. “It’s solely truthful that kids contribute after they’re able to take action.”