We all know that investing is for the long-term, especially when it comes to our Pensions. What you may not be aware of are the tweaks you could make to get to your goal sooner. Even better, you could make these tweaks, stay invested towards your original goal date, and find that your Pension Pot is bigger than you first imagined.
Log in regularly
Only by logging in regularly to your investments can you identify the areas where you could improve your investing journey.
If you start logging in every couple of weeks, and keep that routine going, you’ll be able to follow the performance of your investments. From these insights, you can then make decisions such as topping up or increasing contributions. These decisions could have a dramatic effect on getting you to goal sooner, or result in a bigger final Pension Pot.
With True Potential, you can log in 24/7 by app or through our desktop site.
impulseSave® extra money
How often do you find you have a few pounds floating about your pocket? Chances are you’ll see this as extra cash, so you justify a fleeting treat spend.
Instead of putting excess money in the month towards temporary moments, why not commit that money towards your long-term vision? Your few extra pounds could come back to you as much larger multiples in the long run, thanks to the power of compound growth.
With impulseSave®, our world-first technology, it is easy to top up at anytime, anywhere. Log in to your True Potential App on any device or desktop and get closer to your goal with the click of a button.
Increase your investment
The earlier you invest, the better, as your money has more time to benefit from compound growth. Realistically, you can’t hop in a time machine back to your early twenties, so saying “invest earlier” isn’t necessarily helpful.
However, what you can do is increase your contributions towards your investment today. This can compensate to some extent to years of investment you may have missed out on, and by paying in more to your investment you could realise you’ll hit your goal sooner with a bigger pot.
Take a look at your monthly spending and you may find disposable income you could divert to your investments.
Automate your investing
You’ve increased your contributions to get to your goal sooner, but how do you ensure you stay totally committed toward making those regular investments? The answer is to automate your investment with a direct debit.
With True Potential you can set up a direct debit online, helping you stay on track to achieve your goal.
Give yourself a financial fitness check
Regularly list your assets and liabilities to get a complete picture of your net wealth. By knowing your overall net wealth, you are able to potentially reach your goal sooner. For example, with an asset such a house, you could downsize and use some of the sale profit to fund your retirement. This could enable you to retire a little earlier, or with more money than you first accounted for.
Start Budgeting
A financial fitness check also means making changes today. Where can you cut some excess weight from your spending? Start to budget and identify areas where excess spending could be put to better use in an investment? Do you really need to buy a store-made cappuccino when you could make one at home? Consider how much a £4 a time coffee could add up over a year, is this or another area of ‘treat’ spending a significant saving you could make?
