Follow Us on Google
The Nigerian Insurers Association (NIA) has educated retirees on the relevance of embracing annuity products provided by insurance firms as a way of living happy and ensuring steady income in retirement.
This is even as the association implored prospective retirees to acquire unbiased and independent practical advice and training on investment issues essential for judicious management of their lump sum payment.
Retirement experts offered this advice to retirees during a one-day workshop organised by the NIA, with the theme, ‘Preparing for tomorrow today,’ in Lagos.
Speaking at the workshop on ‘Importance and necessity of building economic back up’, one of the presenters, Olusola Ilori, noted that many retirees were ill-equipped to invest their lump sum themselves or even to choose the right financial advisers.
Ilori, educating retirees on steps to take before investing their lump sum, said, “Take your time; take a good look at yourself (especially your financial habits and history); get good independent advice from three good financial advisers; have a plan; diversify do not put all your eggs in one basket; become knowledgeable and skilled in whatever thing you decide to do; and start a business on a small scale.”
While warning retirees to avoid scams and get-rich-quick schemes, she buttressed the importance and necessity of building economic backups, by enjoining them to maintain a balanced lifestyle out of office and plan their retirement early enough.
“Do not lend money to people on your lump sum (if lent to your family, consider it a gift). Do not buy a new car; do not marry a new wife; do not start building a magnificent house.
“There is the need to attain financial independence. There is the need to strive for economic self-sufficiency through other sources of income to complement pensions paid monthly.
“On no account should one be pressurised to retire without planning and having at least two or three other streams of income to complement pensions. This would give financial security, guaranteeing dignity and comfort in retirement”, she counselled.
