Retirement concerns: Practical steps to secure your savings

Worried you might run out of money in retirement? You’re not alone. With inflation, job changes and shifting pension rules across Africa, a clear plan beats panic. This page breaks down simple, practical moves you can do now to reduce risk and stretch your nest egg.

Assess and protect what you already have

Start by listing all income sources: state pension, employer funds, private savings, investments and any rental or side income. Check recent statements for fees, returns and beneficiary details. Small, high fees can eat your savings over time — look for cheaper options.

Know your rights with workplace pensions and social grants. In some countries you can delay claiming to increase payouts; in others you can top up contributions. Contact your pension administrator and ask for a plain-language summary if the paperwork is confusing.

Protect against scams. Pension fraud is common. Never move funds or sign transfers without independent advice. If an offer sounds too good, it probably is.

Grow and stretch your nest egg

Diversify rather than betting everything on one asset. A mix of low-cost index funds, government bonds and a small allocation to property or income-generating assets helps balance risk and returns. If you’re unsure, many platforms offer simple, low-fee portfolios aimed at retirees.

Keep an emergency fund of at least three to six months’ expenses. That prevents you from selling investments at a loss when markets dip or when unexpected costs hit, like home repairs or medical bills.

Think about phased retirement. Working a few hours part-time or consulting lets you delay drawing down pensions and keeps some income flowing. That’s especially useful where pension payouts drop sharply if taken early.

Healthcare can be the biggest unknown. Check what your public system covers and what it doesn’t. Consider private medical insurance or a dedicated health savings pot if long-term care costs in your area are high.

Watch inflation. Stable, income-focused investments and inflation-linked bonds help preserve spending power. Avoid long-term fixed deposits that get swallowed by inflation unless they’re inflation-linked.

Consolidate where it makes sense. If you have several small pensions from past jobs, consolidating can reduce fees and make management easier. But check exit costs and tax effects before moving anything.

Plan for heirs and surprises. Update your will, name beneficiaries on accounts and keep clear records so loved ones can access funds quickly. Consider a power of attorney for financial matters if health declines.

Get a reality check every year. Use a simple retirement calculator to estimate how long your money will last under different spending rates. Adjust contributions, spending or investment mix if the numbers don’t add up.

If you’re stuck, a short session with a certified, independent financial advisor can be worth the cost. Ask them for clear action steps and a simple plan you can follow.

Start small today: check a pension statement, set up an emergency pot, or cut one fee. Small moves add up and reduce retirement worries faster than you think.