Madonna has just turned 60. And while she may not be ‘hung up’ about it, your sixties is an important time to sort out your finances, ‘material girl’ (or guy) or not.
Always a smart cookie, Madonna has carefully managed her career, reportedly amassing a £450m fortune over the past four decades.
While she probably won’t have money troubles when she eventually retires, the rest of us do our best to make sure we are financially secure. When it comes to getting your finances on track, it’s never too late to get ‘into the groove’.
Let’s start with the basics. You may want to scream ‘Papa don’t preach’ when someone asks you if you have life cover and critical illness insurance in place, but they provide a safety net for your family if you die or have to stop working.
The Queen of Pop may show no signs of slowing down, but retirement is something most sixty-somethings should plan for.
If you have been saving into a pension while you’ve been working, that’s great. If not, and you want to start now, it’s not the end of the world, but you’ll have to set aside a lot more to make sure you have a decent income to live on when you finish work.
One thing Madonna will certainly have to be wary of when she next visits the UK is a scam pension call, where fraudsters try to swindle the over 60s out of their life savings and pensions in particular.
We at Scottish Friendly have been warning of this for some time. If you do get a call, don’t panic; just end the call and find out more about the options open to you.
Finally we come on to investing. As we all know, there’s nothing Madonna likes more than a good ‘Holiday’. Of course, we all know Madonna isn’t on the ‘borderline’, but that is likely to be because she has invested her money wisely over the years.
If you’d like to be spending your sixties, seventies and eighties on an ‘Isla Bonita’ or a world cruise, investing regularly over the longer term in a stocks and shares ISA can for some people be the most likely way to achieve this. But remember, investments can go down as well as up, so you could get back less than you invest.
For those of you approaching your sixties, I hope this guide has been a ‘ray of light’ and will prompt you to think about your financial future.
If you need more help, contact a financial adviser at unbiased.co.uk. There may be a fee, so make sure you confirm the total cost up front.