Money Matters After 60: Smart Financial Moves for a Secure and Fulfilling Retirement
Retirement isn’t just about stepping away from work — it’s about stepping into a new chapter of life. For many, the years after 60 bring both excitement and uncertainty: more time for family, hobbies, and travel, but also questions about how to make savings last, manage rising costs, and feel financially secure.
The good news is that it’s never too late to take control of your finances. Whether you’re fully retired, semi-retired, or just planning ahead, a few smart moves can help you protect your savings and enjoy your later years with confidence.
1. Review Your Retirement Income Streams
Your financial picture after 60 often looks different from your working years. Start by reviewing all your income sources:
State Pension:
Check your State Pension forecast at https://www.gov.uk/check-state-pension
The full new State Pension for 2025/26 is around £230.25 per week. Your amount may vary based on National Insurance contributions.
Workplace or Personal Pensions:
You can usually take up to 25% of the amount built up in any pension as a tax-free lump sum.
Withdrawals beyond this are taxed as income — be careful not to cross into a higher tax band.
Other Sources:
Part-time work or freelancing can supplement income – leverage your experience and skills to help others while making money!
Investments, savings, or rental income should be factored into your overall plan.
2. Create a Retirement-Friendly Budget
A realistic budget brings peace of mind. Start by separating your expenses into “must-haves” (housing, healthcare, food) and “nice-to-haves” (travel, hobbies, eating out).
Track spending for a couple of months to see where your money actually goes. The MoneyHelper’s Budget Planner is a free tool that can help you track spending.
Look for opportunities to save — for example, reducing subscription services you no longer use or decluttering your home. You might be considering downsizing if you’re not using all the space in your home.
Make room for fun: retirement should include things that bring you joy.
3. Adjust Your Investment Strategy
As you move through retirement, protecting your wealth often becomes a higher priority than chasing growth.
Your risk appetite: Not everyone, but generally, people become more risk-averse as they get older. It’s important to make sure any changes in your attitude to risk are reflected in how your money is invested.
Keep up with inflation: Leaving cash in the bank could be riskier than investing it, with inflation eroding your savings. Find the best interest rate you can on your savings or consider long-term investments to make your money work harder.
Tax-efficient accounts: use your Individual Savings Account (ISA) allowance (£20,000 in 2025/26) for savings and investments that grow tax-free.
4. Plan for Healthcare and Long-Term Care
The NHS covers most healthcare needs, but some expenses can still catch you off guard.
NHS dental, eye care, and hearing aids often involve extra charges – setting aside a contingency fund while you can help to ease financial pressures when unexpected costs come up
If you haven’t already, talk to family members about your preferences for long-term care so you can prepare financially and emotionally.
The threshold for residential care fees is £50,000. If your capital (savings and property) is above this amount, you will be expected to pay the full cost of your care. However, with the right planning, there are ways to protect your capital from care fees.
5. Sort Out Your Will and Estate Planning
Good estate planning ensures your wishes are followed and can reduce stress for your loved ones.
Write or update your will — without one, UK intestacy rules decide how your estate is distributed.
Review the Inheritance Tax threshold (currently £325,000 plus any residence nil-rate band).
Ensure pension and life-insurance beneficiaries are up to date.
Consider Lasting Power of Attorney for both property & financial affairs and health & welfare, in case you’re unable to make decisions yourself later on.
6. Stay Alert for Scams
Scammers often target older adults in the UK with fake investment offers or pension-release schemes.
Be cautious of unsolicited phone calls or emails — genuine companies rarely contact you out of the blue.
Check that any financial adviser or firm is authorised by the Financial Conduct Authority (FCA) https://www.fca.org.uk/. Our FCA number is 954255.
Register your phone number with the Telephone Preference Service to reduce cold calls.
Shred old paperwork that contains personal details.
Money management after 60 isn’t about cutting back on everything — it’s about making your money work for you so you can focus on what matters most: staying healthy and creating memories with loved ones.
There’s value in every conversation at The Money Partnership, so please don’t hesitate to reach out for further guidance on any of the above. You can contact us via email, chat over the phone or schedule an in-person meeting – whatever suits you.
