Whilst most people would like to retire financially secure, the truth is that unless you start taking some positive steps to becoming financially independent, retiring wealthy shall be nothing more than a dream.   

Most people are placing a heavy reliance on the Superannuation Guarantee but, at its current rate, this will not provide sufficient income in retirement.  Current research indicates that most “baby boomers” are only saving at the rate of between 50% and 65% of the amount they should be, if they are to achieve their desired retirement income. 

The first step to having a financially secure retirement is to plan for it.  As with any journey, unless you have a destination you'll probably never arrive. So you must also set a retirement goal. For retirement planning, you need to answer three questions:

• What level of income do I want in retirement to support my desired lifestyle?
• What level of wealth do I need to provide that level of income?
• How will I accumulate that wealth?

The standard of living you'll be able to maintain once you retire will depend on your total assets at retirement. If you want to maintain your pre-retirement standard of living, as a general rule (and all general rules are subject to exceptions) you should plan on a retirement income equal to 60-80% of your pre-retirement income. Of course, the actual amount you'll need depends upon your particular circumstances. 

There are a range of alternatives available to you upon reaching retirement age. You can continue to work full-time, phase in your retirement or start enjoying life after work. Ultimately, your decision will depend on your personal objectives & financial situation. Regardless of the choices you make, there are a number of issues that may impact you upon reaching retirement, and proactively addressing them and planning in advance will ensure you maximise the opportunities available to you. 

It's never to early to start planning for your retirement. Although your plans may change over time, it’s important to identify your retirement goals and develop a plan to assist in achieving them.