Posted at 8:00 a.m.
Nathalie Guilbault does not have a pension plan from her employer in the pharmaceutical industry: she has therefore always saved for her retirement. “I had money invested in different places, but I didn’t have a clear plan or goal for my retirement,” she says. When you’re young, you don’t really think about retirement. »
Then she turned 50, and shortly after, her father died. “He managed the finances, in his couple, and my mother had no idea how much money she had when she found herself alone. It made me realize that I didn’t know exactly what I had either. I wanted to find out and see if I was on the right track for retirement and, if necessary, readjust the shot. »
This realization rarely happens before the age of 50, notes Manon Létourneau, financial planner, senior wealth management advisor and portfolio manager at National Bank Financial.
Before, there is often the purchase of the house and the arrival of children. It is after questions about retirement arise, or when the person experiences an event that has a great impact on their financial situation, such as a divorce or a death.
Manon Létourneau, Financial Planner, Senior Wealth Management Advisor and Portfolio Manager at National Bank Financial
Watch the worst and best scenarios
When would be the ideal time to retire? This is the question that Manon Létourneau asked Nathalie Guilbault, who has been her client for years. “She told me the target age, then we looked at her current cost of living and that projected at retirement. There is the 70% salary rule, but for someone who likes to travel like Nathalie, it might be more like 100%. »
Nathalie has finally repatriated all her money to the same place and she is saving more to reach her optimal retirement scenario.
“But that doesn’t stop him from eating his steak on Friday evening,” says his adviser. She moved in time. Many people procrastinate because they are afraid to face their situation, then the years pass and it becomes more and more difficult to readjust. »
And the risk?
If many people think that when you approach retirement, you have to review your risk tolerance, Nathalie Guilbault has instead decided to stay the course, on the recommendation of her advisor.
I tend to think that if, as you approach retirement, you have to readjust your risk tolerance, it is because it was not well assessed at the start.
Manon Létourneau, Financial Planner, Senior Wealth Management Advisor and Portfolio Manager at National Bank Financial
The important thing is to always be able to sleep well at night, according to the counsellor. “The person will not cash in all of a sudden by falling into retirement to put his money under his mattress, she illustrates. Some say they’re scared because they won’t have time to recover if they lose everything. But we are not at the casino! »
If the past is not a guarantee of the future, the financial planner notes that over an investment horizon of 10 to 15 years, we can still expect similar returns. “Even when approaching retirement, it is important that the portfolio continues to perform in order to achieve its objectives. »