Staggered retirement

If you retire completely and have not made sufficient retirement provision it could leave you without the income you need for many years. One option you could consider is to switch to working part-time and stagger your retirement.

Although some people delay retirement for financial reasons, a significant proportion keep working because they want to stay active and be productive.

Maximise your investments

This means you can keep your pension fully invested to maximise your investments for a few extra years while drawing on other savings and investments. Alternatively, you could draw out your payments over several decades instead.

If you are in a position to carry on saving, you will continue to receive tax relief on pension contributions at your marginal rate of income tax, until you reach the age of 75.

Annual pension withdrawals

One important thing to keep in mind before choosing a staggered retirement is that there may be penalties involved depending on how much you decide to withdraw each year from your pension.

If you do choose to stagger your retirement, it is important that you create a budget to see how much money you will have left over each month after all expenses.