40 years of pension savings: what will you spend it on (literally)?

Saving 1,050 euros a year for 40 years at an average return of 5% could give you around 125,000 euros. What would you do with it? Enjoy a world full of adventure with a touch of luxury here and there? Or are you already looking further into the future? We can suggest seven ways to spend your pension savings in a pleasant, yet thoughtful way.

1. Reinvest it!

Would you like to get even more out of your pension savings? Why not reinvest in new initiatives to gain even more benefit from your years of effort? Examples of this might be:

• Reinvestment in alternative pension funds or plans
• Equities, government or corporate bonds (e.g. start-ups)
• Property investments and/or rental income

You decide for yourself how much financial risk you want to take, which governs the potential returns on your money. If you are looking for other alternative forms of investment, find out more here.

2. Give the next generation(s) a helping hand

Between now and thirty to forty years in the future, you may well have children who are fully active on the labour market. You may even have had grandchildren running around before then.

Because every generation faces its own financial challenges – including the cost of an ageing population – and you could give them a financial boost. For example, by applying one of the ideas under point 1?

3. Go for the outdoor life

Life is not for the timid. During your working years, did you secretly dream of living outdoors on the coast or in sunnier locations in Tuscany, the south of France or Spain? Follow your dream of an exotic home with your pension savings income.

4. Invest in your local sports team

Or why not use some of your money to give financial support to one of the sports teams in your area? You can invest in a sporting, healthier future for many young people while also stay in close contact with the local community.

5. Create an exclusive collection

You are a big fan of wines or spirits and you have built up a beautiful collection over the years. But the truly exclusive bottles are still missing. Take the step from wine lover to true connoisseur and invest in a wine cellar that you can enjoy for many years to come or leave to increase in value.

Or maybe music or art is closer to your heart? Start looking for the exclusive items: rare LPs or comic books, vintage pieces... The search is at least as exciting as stumbling on that one great find.

6. Globe trot in style

Forget about city breaks and summer vacations that are always too short. Cruises, five-star hotels, dining in the top restaurants, exciting expeditions all around the world: with 125,000 euros, you can discover a large part of the globe in a once-in-a-lifetime way!

Explore the most breathtaking heights and depths our world/planet has to offer, discover the most beautiful and sunniest rivieras, make sure you’ve seen each of the continents at least once in your life, etc. In short, use the proceeds of your savings to enjoy plenty of new, priceless and life-enriching experiences.

7. Invest in your home comforts for tomorrow

The home you know and love may not yet have been furnished exactly how you would like it. You need comfort in your home on both your 65th and your 85th birthdays.

Perhaps you want to have a stair lift installed at some point, and you can invest in the necessary facilities in advance. You may want to convert a room into an extra bedroom or bathroom. Or is it finally time to turn your home into a fully automated and smart home? By making the right choices, you can enjoy your home for many years to come.

We help you get even more out of your pension savings

At Keytrade Bank, we can always give you more ideas about what you can do with the proceeds of your pension savings. At the same time, we realise that monthly living costs continue after you retire.

That’s why we’d like to work with you to work out how we can get the best returns for you, so that you don't have to worry about your finances after you stop working.

Take a look at the different pension savings options on our website and contact us for more questions or advice.

Find out all about pension savings via Keytrade Bank