Holiday rain may be warmer, but it has the same effect!
14 February 2025This statement would be inconceivable if I were sat at my desk. There are always financial planning tasks to undertake each day, which are to some extent reactive, and then there are planning tasks which are proactive. All strands to the rich tapestry that a financial planner enjoys, and which keeps the Chapters Financial team focused on our clients' needs.
The opening statement was written whilst I was on holiday. Don't get me wrong, it was a great holiday destination, but I like writing, it had been raining all day (at least the rain was warm!) and, well, you know the rest. One of the results is this blog, which I hope you enjoy.
Boredom in itself can be a positive thing in motivating you to achieve something with your spare time. Sometimes it can be a negative thing in leading down a path to fill the time that you later regret. And what if you had loads of time, such as in retirement? One common client question we ask is simple: 'What would you like to do in retirement?'. Some advisers have the propensity to get tied up in the facts and figures, rules and regulations of all things retirement planning, but forget to ask what's it all about.
Indeed, in our experience, some clients and enquirers have not thought through what they want to do when they have extra time spare, perhaps with some tax-free cash in their pocket, and a regular pension income agreed. The client reactions to the question have been extreme, from the opening of a Pandora's Box of dreams to be fulfilled, to tears of sadness because the work they loved was coming to an end as they had reached a contracted age (obviously no longer usually allowed).
As we have noted in other blogs and articles, based on data from the Office for National Statistics (ONS), a man currently aged 65 may live to around 85, and a female to around 87 (current average ages at death). If you retire at 65, you're likely to have 20 or more years ahead of you to enjoy! Quite daunting really if you compare it to your time in education, or your employment in your favourite job. So you may have a good few years ahead of you – how will you enjoy them? The increase of the starting age for the State Pension to 67 (currently) might see 'gaps' in income that need to accounted for. We sometimes call these 'gap years', and we are not referring to university times.
As part of our financial planning process, we will always want to know the hard facts and figures about your financial position. This allows us to understand where you have been and where you are up to. However, it usually provides no insight into what you want to achieve in the future, which some may fairly argue is the most important aspect of any financial planning. So, when that rainy day arrives and you have little to do, perhaps make a note or two of what you want to achieve in the future. You might argue that boredom, on the rainy day or otherwise, is optional!
No individual advice is provided during the course of this blog.
Keith Churchouse FPFS
Director
CFP Chartered FCSI
Chartered Financial Planner
Chapters Financial Limited is authorised and regulated by the Financial Conduct Authority, number 402899
