Retirement: different strokes for different folks!

In the course of my work, the one question I love asking clients will be their outlook towards retirement accumulation.? Recently, I've started to classify the attitudes of my clients in their late 20s/early 30s.

(1) The Lifelong worker: Individuals who are not too concerned about the future because they believe/want to work for as long as they can.

(2) The Live Light: Those who prefer to reduce liabilities as soon as they can to reduce financial commitment, thus allowing them to 'semi-retire' earlier.?These are usually the ones who like to clear off their mortgages and pay up for their insurance. And as soon as they are free from liabilities, they will save aggressively for their retirement. Investment volatility? No problem - because they have no liabilities.

(3) The Early Savers: Those who prefer to save aggressively when they are young, so that they can semi-retire early with multiple?sources?of passive income.?These are the ones who kickstart their annuities early and plan more longitudinally. They don't mind having loans?as long as their total income can cover the repayments. They do not mind investment volatility either because they have the luxury of time.

(4) Retirement? Money isn't a problem. I am building my empire!

There's really no right or wrong approach to retirement planning but the important thing is to know and to plan according to your preferences. After all, different strokes for different folks and what matters is that we all get there.

Do you belong to one of the?above too?

If you have been thinking about your retirement (or if you have not done it at all), feel free to try out this calculator here: https://northstar.efc.sg/link/consultant/yvonnelim/retirement?

Otherwise, just drop me a note. I promise it'll be a fun discussion!