Retirement is only the beginning of a life phase where you enjoy the freedom to make things happen on your own terms, at your own pace. That kind of living is enabled when you’ve planned for it. Here are some tips to get you started.
1. The earlier the better:
Start saving as early as you can, or work on catching up as soon as your finances allow, so you can maximize any unused RRSP contribution room.
2. Use the power of compounding:
Without a doubt, saving little by little adds up, thanks to time and compound growth. It’s also much easier to save when you have a pre-authorized contribution to a retirement plan.
3. Turn to tax-advantaged plans:
Whether you choose an RRSP (registered retirement savings plan) that defers tax or a TFSA (tax-free savings account) that earns tax free income, your savings will grow faster.
4. Aim to reduce debt:
If it’s hard to find the extra money to put toward your savings goals, focus on lowering your debt by paying down your mortgage or other loans. Then gradually increase your retirement contributions.
5. Find a financial advisor:
You don’t need to be an expert to make the right decisions to meet your goals. A trusted advisor can answer all of your questions and provide help along the way.
Contact a Scotiabank advisor* today, who can help create a financial plan that makes sense for you. Visit a branch or scotiabank.com/future to learn more.
® Registered trademarks of the Bank of Nova Scotia. * In Quebec: your Scotiabank Investment and Personal Banking Specialist or your Scotia Securities Inc. Mutual Fund Representative.