Many people in Falmouth put off retirement planning because they simply don't know where to start. The thought of retirement can be overwhelming, but Octo Financial Planning breaks the process down into a few simple steps.

Retirement planning isn't just about having enough money; it's about creating the retirement lifestyle that you've been working towards for decades.

Imagine your ideal retirement

Before you begin crunching any numbers, imagine what you want your ideal retirement to look like. Do you see yourself travelling regularly? Will you downside your home or stay put near family and friends?

Your vision will shape everything. Someone planning to sail around the Mediterranean will end up with a different plan to someone who wants to volunteer locally and spend time with their grandchildren.

The clearer your picture, the easier it will be to plan for it.

Start calculating what you need

This part is where some people get stuck, but it doesn't have to be complicated. Start with your current spending. Track how much you are currently spending on housing, food, transport, leisure and bills.

Then adjust for retirement. Some costs may disappear, while others may increase. For example, your mortgage might be paid off, but you might spend more on hobbies and travel.

A common rule is that you'll need about two thirds of your pre-retirement income, but your personal circumstances are more important than any formula. Be honest about the lifestyle that you want, not the one that you think you should want.

Find out what you already have

You might already have more than you think. First, check your State Pension at gov.uk to see what you're entitled to and when. Then, gather information about any workplace pensions that you might have.

Don't forget other assets, like ISAs, savings accounts or investments. Will you inherit anything? Do you own a property that could be downsized? List everything that you can think of, even if the amounts are small.

Seeing the full picture often reveals that you're in better shape than you feared, or it highlights areas for improvement that you can start addressing now.

Fill the gap with a strategy

Once you know where you are and where you'd like to be, you can see the gap between them. If there's a shortfall, don't panic. You've got options.

Could you increase your pension contributions, even modestly? Every little bit will compound over time. Would working a few extra years make a considerable difference?

Sometimes the answer isn't just saving more, its being more strategic about when you claim your State Pension, or how to drawn down from different pots to minimise tax.

Review your strategy regularly

Your first plan likely won't be your last. Life changes. Perhaps you'll receive an inheritance, face unexpected health issues, or decide that you want to retire earlier than you thought.

Set a reminder to review your retirement plan at least once per year. Check whether you're on track, and make adjustments to your contributions or expectations accordingly.

Retirement planning isn't something that you do once and forget, it's an evolving process that grows with you.

Your retirement, your way

Retirement can be daunting when you're staring at a blank page, but it becomes manageable when you break it down into simple steps. Start with a vision, understand your numbers, and build a strategy that is unique to you.

The sooner you start, the more choices you'll have when the time comes.

A pension is a long-term investment, the fund value may fluctuate and can go down. Your eventual income may depend upon the size of the fund at retirement, future interest rates and tax legislation.