Since the concept of retirement was introduced in Germany just over 100 years ago, medical advances have meant that people are living longer, making their golden years a potentially fruitful and productive chapter of their lives. The downside is that very few of us save enough to cater for a lengthy retirement. So said Andrew Padoa of Consolidated Financial Planning, one of the exhibitors.
Padoa added that it is very difficult for the average person to save enough capital during their working years to provide an adequate monthly income during today's extended periods of retirement.
Many also regard the concepts of inflation, compound growth and investments as a complex minefield that's intimidating to navigate. But, he pointed out, beginning to save later than others may have disastrous consequences, purely because compound interest requires time to achieve significant results.
Said Padoa: "A 35-year-old whose investment is achieving 12% growth per annum only needs to invest R622 per month in order to have R 1.8 million at age 65. However, in the case of a 45-year-old whose investment is also achieving 12% per annum, he needs to invest R2081 per month in order to have the same amount of money at age 65 - purely because he started his investment later and now has a shorter time horizon for his investment to grow."
Natalie Watkin-Jones of the Liberty Group agreed that it's best to start planning for retirement as soon as a person starts working, with a product such as a retirement annuity. "For the ladies, a man is not a retirement plan," she added. "Have your own retirement plan."
This illustrates the value of obtaining solid investment advice from certified financial planners, which are among the businesses taking part in the forthcoming expo.
The event includes not only financial advice and investment opportunities for current and future retirees, but also takes a holistic look at today's retirement lifestyle - from health care and physical wellness to property options at a stage of life that can hold infinite new possibilities.
Another business participating in the expo, retirement planners the Refirement Network, focuses on helping baby boomers - the go-getting post-World War 2 generation who are now entering their 60s and 70s - to navigate the often turbulent transition from the working world to fulfilling retirement.
Many baby boomers, said Refirement founder Lynda Smith, can expect to live an additional 30 years beyond retirement. For some, this can be daunting prospect after several decades of busy professional achievement, but for others it is an enticing opportunity to grab life by the horns, enjoy quality leisure time and even make a difference to society.
"This new season could be a time of liberation and exploration, finding out what you have always wanted to do and having the time, energy and resources to do it. No other group in history has ever had a non-childrearing period in their adult lives where they are free to pursue their dreams, and are healthy and wealthy enough to do so," Smith added.
Retirement consultants such as Refirement can advise on how to disengage from one's career while still maintaining a sense of self and self-worth. Furthermore, they help clients assess whether they have done sufficient financial planning to maintain their lifestyle during retirement and provide guidance on how to thrive, and not merely survive, during this potentially exhilarating life phase.
The Retirement Expo showcases retirement properties, financial planning services, estates, travel options and resorts, as well as health-care, mid-care and frail-care facilities.
In addition, experts will dispense constructive advice during the expo's interactive workshops. Visitors can also find out more about how to keep fit and active during their later years.
The Retirement Expo is open from 9am to 5pm daily. Tickets cost R60 per person or R30 for retirees/pensioners and students. Children under 18 enter free of charge. Discounted parking has been arranged for seniors at R10 per car.
Go to www.retirementexpo.co.za for more info.
