What comes to mind when you hear ‘retirement’?

Perhaps the first image is a sun-soaked beach, or maybe the dream house project you always wanted.

Whatever you are aspiring towards, the chances are your new lifestyle won’t come cheap.

Rather than being bowled over by that cost, you can enjoy the dream aspiration knowing that your future is perfectly affordable – if you do the right things with your investment in the present day.

That means setting a goal and sticking to that goal with a long term disciplined approach. It is quite simple:

  • decide how much money you can invest each month; and
  • how long it will take to build a Pension pot big enough to fund your retirement.

For most people it is a case of investing some of their salary each month into a Pension over the long term. Typically, your employer will also contribute into your Pension and you’ll also receive tax relief. That’s why investing your salary into your Pension for as long as possible makes sense, as you can keep more of your earnings and grow this towards your future.

Another way to stick to a disciplined approach if you are self-employed or want Pension options beyond what your employer offers is to set a direct debit at the start of each month.

This is known as ‘paying yourself first’ and is a way to ensure you stick to your investment goal. You can always add to your investment throughout the month with any extra money through True Potential’s impulseSave® feature in the True Potential app. This may mean you reach your goal quicker than anticipated, as with every investment you close your gap to goal.

By investing in your Pension regularly for a long period, your money has the time to grow, hopefully growing into the vision of retirement you aspire to.

And remember, markets do go up and down. In times of volatility, that could be opportunity to invest at a reduced price. Regular investing helps to smooth out the price of the units, so you get a better average price for your investment.

From age 55 onwards (increasing to age 57 in 2028) you can then choose to withdraw from your Pension. However, there could be tax advantages and growth advantages to continuing to invest and stay invested for as long as possible.

Reaching your retirement goal doesn’t need to feel impossible if you set a plan and stick to it. To get a personal plan tailored to you, speak to a financial adviser.


With investing, your capital is at risk. Investments can fluctuate in value, and you may get back less than you invest. Past performance is not a guide to future performance. Tax rules can change at any time. The information contained in this publication does not constitute a personal recommendation and the investments referred to may not be suitable for all investors.

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