APPENDIX: 40+ questions to test your objectives

You should attempt to answer all of these questions, as should your spouse or partner, if applicable.  This will help you pin down your objectives, and should also bring out conflicting objectives.  If you aren't sure of the answer do note this.

Print this page so that you can go through this check-list at your leisure.

ABOUT YOU  
How old are you? .......
How old is your wife/husband?  
When realistically, do you want to retire?  
When do you need to draw benefits?  
Will you cease all paying work after you start taking benefits?  
What is your current state of health?  
What is your guess as to you longevity? e.g. 75, 80, 85  
What is your guess as to your spouse's longevity?  
How many dependants do you have? Age?  
What is your current income rate? Do you expect it to change after retirement?  
Have you any outstanding debts? How do you intend to pay them off?  
What is your current marital position? Do you anticipate any changes to this?  
ABOUT YOUR PENSION PLANS  
How many pension funds have you accumulated?  
Do you know what type of plans these are?  
Do you know if these plans have restrictions at retirement? e.g. on tax free cash or type of annuity?  
Have you asked these plan providers for details of benefits they would provide at your retirement and the current fund size?  
YOUR OBJECTIVES AND TARGETS  
What is your net income now?  
What do you expect it to be after retirement?  
What is your minimum income need in retirement?  
Do you think your day to day expenses will go up or down in retirement? e.g. any new expensive hobbies!  
Can you foresee specific increased income needs, e.g. schools / university fees? What are they?  
Do you require increases built into your pension income? If not, why not?  
Will you need to build in an income for your widowed spouse or dependants when you put your retirement plans in place?  
How much income would they need if you died?  
Do you require tax - free cash?  Why or what for?  
How much control of your investments do you want to retain? e.g. is "self investment" important?  
YOUR VIEWS AND UNDERSTANDING  
What is your attitude towards investment risk? (Answer on scale 1-10, 1 being very cautious, 10 being very aggressive.)  
What do you feel about gambling with the pension fund you have saved for all those years?  
Do you understand how an annuity works, and the options within an annuity contract?  
Do you expect interest rates and annuity rates to move up / down / sideways in the next 5 years?  
Do you expect investment returns, on balance, to move up / down / sideways in the next 5 years?  
YOUR ESTATE AND WILL  
Is your will up to date?  
Do you and your spouse largely leave everything to each other?  
How large is your estate?  
Have you made any provision for inheritance tax?  
How much equity do you have in your house?  
How you considered how you would deal with long term care?  
How much provision have you made for you Inheritance Tax liability?  
Have you friends or colleagues who might appreciate independent financial advice?  




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