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New Year, New You: Our Financial Resolutions for 2024

We can’t believe it’s almost 2024 already! This year has certainly flown by.

And with the fast-approaching new year, comes the need to set out new year’s resolutions. Whilst health and fitness goals tend to rate highly on the resolutions list, one crucial area is often overlooked: pension planning.

We all know that keeping on top of your pension is key to achieving a financially secure retirement, so setting retirement-themed resolutions for yourself could prove to be a helpful method of ensuring you remain on track to the retirement you want.

What would these resolutions look like? We’ve outlined our favourite seven resolutions to give you a helping hand:

Resolution 1: Evaluate Your Current Pension Plan

The first step in securing your financial future is understanding where you currently stand with your pension plan. Review the terms and conditions of your existing plan, including contribution rates, investment options, and projected pay-outs. Take note of any changes in your employment status or personal circumstances that might affect your pension contributions.

Resolution 2: Increase Your Pension Contributions

If your current financial situation allows, it could be worth considering increasing your pension contributions. While the minimum contribution is 8%, many financial experts recommend contributing at least 15% of your income to retirement savings, so if you are able to increase your contribution by even just a few percent, it could boost your pension fund in the long term. In addition, boosting your contributions could allow you to take advantage of potential tax benefits.

Resolution 3: Think About Diversify Your Investment Portfolio

Diversification can be key to mitigating risks and maximising returns on your pension investments. So, it could be worth reviewing your current investment portfolio and assess whether it aligns with your risk tolerance and retirement goals. However, all investment portfolios, regardless of their diversification, all present risk. With this in mind, it is important to speak to a financial adviser before making any major decision to ensure that your decision suits your needs and future goals.

Resolution 4: Stay Informed About Pension Legislation

This year has proven that pension laws and regulations can change at the drop of a hat, potentially impacting your retirement savings. So, resolving to stay informed about any updates or changes in pension legislation could certainly prove beneficial in the long-term. Understanding the latest regulatory updates could empower you to make informed decisions about your pension plan and adjust your strategy accordingly.

Resolution 5: Track down lost funds

If you’ve had multiple employers throughout your career, you may have accumulated pension accounts with various providers – and it can be very easy to lose track of them! So, this year, why not make it your resolution to track down those long lost pensions. Of course, the government’s pension dashboard will be able to assist with this when it is launched in October 2026. Until then, the best starting point will be the government’s pension tacker; all you need is the name of your previous employers, and the tracker will let you know the name of the pension provider and the relevant contact details for you to access your pension information,

Resolution 6: Plan for Retirement Expenses

Beyond your pension income, it’s essential to plan for other retirement expenses such as healthcare, housing, and lifestyle choices. So, in 2024 why not create a comprehensive budget that considers these factors? Doing so will allow you to estimate the income you’ll need during retirement and make the necessary adjustments to keep your retirement strategy on track.

Resolution 7: Consider advice

Seeking professional advice can be crucial to pension planning success. Indeed, independent financial advisors, such as our team at My Pension Expert, bring specialised expertise to develop comprehensive pension plans. Our team offer personalised solutions tailored to your unique circumstances, goals, and risk appetite. In doing so, you’ll be able to make more informed decisions to achieve the retirement you want.

As we enter 2024, there couldn’t be a better time to set yourself achievable resolutions and make sure you’re on track to the retirement you want. Whether you’re planning to retire next year, or further in the future, it’s never too early to start planning. And remember, the team at My Pension Expert are only a phone call away and can support you every step of the way!