Most of us have returned to work with great intentions to be our best selves during the next 12 months. The danger is that our personal goals will be forgotten quickly as we find ourselves caught between the rock of unfinished work from last year and the hard place of a boss with big plans for the year ahead.
“Why not take a moment to check up on (and perhaps adjust) a few key things that will set you up for success well beyond 2022,” says Jackson, Employee Benefit Consultant at 10X.
He adds that this is particularly relevant for those who tend to leave their finances to “manage themselves” during the year, for example leaving retirement planning up to their employer.
“It is great if you are one of the lucky ones whose employer gives access to a retirement saving fund, but you should at least check in every now and then to see how things are going. It is your money and your retirement after all.”
Jackson suggests asking yourself the question: Am I doing my part, for example am I saving enough?
Also, he says, fund members should ask if their fund has performed as well as expected these last, crazy years.
“Things change, as we all know, and adjustments may be required to keep those plans for a comfortable and stress-free retirement on track. If you don’t already have a retirement plan that you can check your progress against, you can create one on 10X's website,” he says.
You could also start by sending your HR representative a short mail saying hi and happy new year, and checking in on your retirement plan. Here is a suggestion to get you going:
Dear XXX
Happy New Year! I hope you and your loved ones had a happy and peaceful break. I would also like to wish you all the best for a great 2022.
I am starting my working year by doing a check-up on my personal finances, and would like to know please:
What percentage of my salary is being contributed towards my retirement benefits?
How can I monitor the fund’s performance?
Is the company satisfied with the fund’s performance and what it costs us?
Are any changes planned?
Jackson adds that if your personal circumstances have changed at all since you joined the fund you should check that your nominated beneficiaries are still up-to-date. “Relationships change, babies are born, people die … it is worth double-checking that the details on your nomination forms match your intentions should you pass away.”
He adds that if you are at all concerned that your beneficiaries are not up to date you should add this question to your email to HR: Please would you confirm the name/s of any nominated beneficiaries?
Jackson adds that, while you are at it, you should look at what benefits your fund covers. You might find that you are duplicating cover in one area, such as paying for a funeral policy when you already have this under your pension fund’s benefits.
Jackson adds: “Some employers also have group risk benefits available to their employees (provided through a separate policy of insurance), such as life cover, income protection, funeral cover, even the cost of educating children. It’s important to know what and how much risk cover you have so that you can get rid of duplicate policies and channel those funds into plugging any gaps.”
Taking the time to evaluate the cover you have against what you need might be a small investment that ends up paying a big return when you or your family need it most.
“This email to HR will not take longer than a couple of minutes to send and may make an enormous difference. Do it before you get stuck in to 2022’s work assignments,” urges Jackson.
The content herein is provided as general information. It is not intended as nor does it constitute financial, tax, legal, investment, or other advice. 10X Investments is an authorised FSP (number 28250)
