Many people dream of moving abroad when they retire as it can sound very relaxing and a great way to spend the rest of your life. Many Brits move to Spain and other European countries and become known as ex-pats. While this is a common occurrence and it is a sensible decision, there are some things that you need to be cautious of when it comes to your finances.
Here, we are going to give you some of our best tips to help you become financially smart when you move abroad in your retirement. Keep reading to find out more.
Consider Your Pension
The first thing that you’ll need to consider when you are moving abroad is the pension that you are going to be living off. Not all pensions can be accessed from outside of the UK but there are ways around it. Tailor Made Pensions specialise in pension support for ex-pats amongst other things. Find out more about the pension that you currently have in place and plan for your future to be financially smart.
Keep Some Money At Home
If you are planning on cutting all ties with Britain when you move abroad then this suggestion probably won’t apply to you. Otherwise, it might be a good idea for you to keep some of your money in your British bank account and avoid switching it over. This can then be used when you are travelling back and forth or if you decide to move back in the future. Exchange rates can change all the time and you don’t want to lose any of your money. Make sure to consider this when moving abroad.
Live On A Budget
Have you ever thought about living on a budget? While you don’t want to be restricted in your retirement, you need to remember that you aren’t making any money anymore. This means that you need to look after the money that is in your pension and spend it wisely. Try to live on a budget that works for you and your family. Plan your meals, don’t overspend and this should keep you in good stead for many years to come.
Our final tip for those who want to be financially smart when they move abroad in their retirement is to do some extra research on banks. You need to make sure that you are setting up a bank account abroad so that you can avoid any fees from your own bank. Find out which bank is the best for you and you should be able to make the right decision.
If you are planning on moving abroad in your retirement then you should make sure to be as financially smart as possible. Take on board the advice that we have given you in this article and you should be able to make the right decisions.