Living Rich in Retirement – A Guide for Australian Expats Over 50 – How do you set yourself up for a rich life in retirement? The answer depends upon what you consider rich to be. For many Australian expats a rich life is the freedom to travel and explore without having to go to work to meet day to day expenses.
In this article I’m going to explore how an Australian expat can live rich on relatively modest retirement funds amounts by taking maximum advantage of the various retirement savings plans on offer and the low cost and / or low tax environments around the world.
My background is helping Australians retire with high quality of life whether they are expats or want to become expats in retirement. Having advised thousands of Australian retirees this is what a high quality of life in retirement looks like:
- Living exactly where they want to. This might be in multiple locations (Noosa and the South of France) or even a continually evolving location via motorhome, airplane, motorcycle, or boat.
- Loving who they want. In that the relationships they invest in are meaningful. Sometimes that includes extended family, with Children, Grandchildren, and Great Grandchildren.
- Enjoying the Leisure activities that give them the most pleasure. No more work driven obligations to associate with people and groups that don’t align with core values.
- Legacy, knowing that they are leaving behind the legacy that they want to be remembered for.
Approaching retirement (residents or Australian expats) have several decisions to make around planning for retirement. We focus initially on any funding shortfall and figure out the best way to close that gap in the last decade of work.
Typically, these decisions revolve around making more money, or spending less money, and careful review of investment approaches, risk, and asset allocation. There is usually a way forward that doesn’t involve clients working until they are 80 years old but for some people that isn’t an issue.
Getting this right and planning to succeed is immensely powerful. Imagine if you could have a first world country as your home base house on the coast, pay zero income tax, live half of the year overseas in your chosen second home in either rented or owned, or cruising the Mediterranean on a yacht.
If you wanted you could choose a different Country to base yourself in every year, still effectively paying zero income taxes all the time remaining a tax resident of Australia. Access to the luxury and lifestyle you desire, without the high cost of Dual Citizenships or having to buy overpriced real estate for a long stay visa (unless you really want to!!).
All the above depends very much on who you are, what citizenships you hold and your accumulated resources. If this article as got you thinking that it might be time then book a chat, reach out and we have look and venture an opinion on how you are travelling.