The Basics of Retirement Planning in Nigeria

Retirement planning can seem like a daunting task, but it’s essential for ensuring a secure financial future.

Whether you’re just starting your career or approaching retirement age, it’s never too early or too late to start planning. In this article, we’ll cover the basics of retirement planning in Nigeria to help you get on the path to a comfortable and peaceful retirement.

1. Set goals and create a plan

The first step in retirement planning is setting goals for a peaceful retirement in Nigeria with a plan.

            You need to create 4 plans

*The Transition Plan – which makes your transition to retired life a pleasure

*The Wealth Building Plan – builds the peace of mind that comes from knowing you and your family won’t have to worry about money during your golden years in retirement

* The Healthy and Fit for Life Plan – what you need to know for good health and healing throughout your life

* The Wisdom Plan – everything you need legally, spiritually and emotionally for a happy, serene retirement

These four plans will help you cope with the challenges of Retirement while building sustainable multiple streams of income for a wealthy, healthy, wise and peaceful retirement

2. Determine how much money you need to save to live the lifestyle you want in retirement.

It’s essential to be realistic and take into account factors such as inflation, healthcare costs, and unexpected expenses. Once you have a goal in mind, create a plan to achieve it.

Set up your retirement savings account plus a personal investment plan and contribute regularly. Consistency is key when it comes to retirement planning. Even small contributions to your retirement accounts can add up over time. Start saving as early as possible to give your money more time to grow. Set up automatic contributions to your retirement accounts to ensure you are saving regularly.

3. Consider your living expenses

In retirement, where you’ll live and how much it will cost.

One of your goals as you plan your retirement should be to live in your own mortgage free home. It is important so you can retire without worrying about where to live

A good Financial Retirement Plan can be broken down into three main phases:




The accumulation phase is where you build up your retirement savings, while the preservation phase involves protecting those savings and ensuring they continue to grow. The distribution phase is when you start using your retirement savings to cover your living expenses.

During the accumulation phase, it’s important to determine your retirement goals and create a plan to achieve them. You’ll need to consider factors such as your desired retirement lifestyle, healthcare costs, and inflation. Determine how much you need to save to meet your retirement goals, and create a plan to contribute regularly to your retirement accounts.

The preservation phase involves protecting your retirement savings and ensuring they continue to grow. This includes monitoring your investments and making adjustments as needed. It’s important to maintain a diversified portfolio that balances risk and return.

The distribution phase is when you start using your retirement savings to cover your living expenses. It’s essential to plan for how you’ll withdraw your money, taking into account factors such as taxes and required minimum distributions. Work with a financial advisor to create a plan that ensures your retirement savings last throughout your lifetime.

4. Retirement Activity - Monitor your plan regularly incorporating what you’ll be doing in retirement

Your retirement plan should be a living document that you update regularly. As your life circumstances change, such as a job change or a new child, make adjustments to your retirement plan.

What will you be doing in Retirement - a business? volunteer work? Travelling? It is important to plan ahead. Many individuals who retire without knowing what to do in Retirement end up sick, depressed and disappointed

Start learning, get trained and make wise investments towards what you’ll be doing in retirement

6. Staying healthy and Fit is another goal that must be incorporated into your Retirement plan which is easy if you use the acronym EAT

* Eat Differently - Good diet & food choices

* Act Differently - Incorporating fitness and exercise routine into your daily schedule

* Think Differently - Lifestyle choices by avoiding stress, pollution, noise and toxic relationships

In conclusion, retirement planning in Nigeria is essential for a secure financial and peaceful future.

Determine your retirement goals, choose the right retirement accounts, contribute regularly, take advantage of employer contributions, consider your living expenses, and monitor your plan regularly. By following these basic steps, you can create a retirement plan that gives you the security and peace of mind you deserve.

Finally, remember that retirement planning is an ongoing process. Review and update your retirement plan regularly to ensure you’re on track to meet your goals. And if you’re behind on saving for retirement, don’t panic. It’s never too late to start. Work with a financial advisor or The Retirement Queen to create a plan that helps you catch up and achieve your retirement goals. With proper planning and discipline, you can retire comfortably and enjoy the fruits of your labour.

Article by Bibi Apampa The Retirement Queen Nigeria at

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