We have gathered 10 things that you should consider when you are 10 years from retirement.

1. Get your priorities in order

How many years do you plan to stay in the workforce? What are your financial needs during that period? What is important to you in your working life? And is there anything in your working life that you would like to change in the lead-up to retirement? It is important to prepare how you want to work in the final part of our working life and how you envision the transition to retirement. By starting these considerations well in advance, you ensure that you make the most of your options - and people are often surprised at what can be achieved at their workplace if they initiate a dialogue about, for example, a part-time position in good time. 

The University of Copenhagen has published a good guide on how to prepare your late career and transition to retirement. It can be read (only available in Danish) here

2. Find out when you can start receiving pension benefits

In addition to your retirement pension, you may have other pensions with us, e.g. an annuity certain and/or retirement insurance. The pensions are paid differently, and there are different options depending on which pensions are involved. If you reduce your working hours, you can for example start a partial payment of your retirement pension.

You can read more about how the different pensions are paid here

3. Consider if you have saved enough for retirement

What will you have to live on when you retire? Do you have other assets besides your pension? And what are your expectations for your standard of living? Consider whether you need to increase your savings while you can.

In Min pension you can get an overview of your pension savings in P+, and how much you can expect to receive in pension benefits. If you want to increase your pension contributions, you can, for example, make use of the option for extra contributions. Read more here

4. Check the allocation of your contributions 

You can achieve greater flexibility in your pension benefits when you retire if you consider the allocation of your contributions well in advance. Are your only contributing to a retirement pension, or are you also contributing to an annuity certain? Different pensions can provide flexibility in terms of payment of benefits. 

5. Consolidate you pensions with one provider 

If you have pension savings with multiple providers, it may be a good idea to consolidate your pension schemes with one provider. In particular, the smaller so-called 'scattered pensions', resulting from shorter employments or changes between sectors, are gradually eroded by fees and inflation. By consolidating your pensions, you avoid paying administrative costs in multiple places, and a larger portion of your contributions earns interest. This paves the way for a higher overall pension. 

On Pensionsinfo.dk you can get an overview of all your pension schemes. Once you have examined what you are paying in fees and costs on your various schemes, you are welcome to contact P+ for a discussion about the advantages and any disadvantages of consolidating your pensions. P+ has, incidentally, some of the lowest costs on the market.

6. Check that your insurance cover is right for you

Your insurance package is an important part of your pension scheme, and as the need for insurances changes throughout life it is important that you adjust your insurance to your current situation. You may not need the same cover throughout life. 

In Min pension you can get an overview of your insurances in P+. You can see which insurance benefits will be paid if you fall ill, lose the capacity to work, have an accident or in the worst case die. You have the option to adjust your individual insurance cover yourself. 

7. Check the beneficiary designations on life insurance and pension 

It is a good idea to consider who will receive money from P+ when you die. If you have not decided who should receive the payment on your death, the payment will be made in accordance with the Danish Insurance Contracts Act's rules on designation of next of kin. 

Read more about the rules on beneficiary designation and how to submit a beneficiary declaration to us here

8. Consider inheritance and wills

If you want to have a say in the distribution of your estate - that is assets other than pension - you should make a will. This applies not least if you have children from a previous relationship, or if you are not married, but wish to provide for your cohabitant. 

If you have a spouse or cohabitant, you can get an overview of your combined savings and whether you have adequately provided for each other and any children on Pensionsinfo.dk

9. What about your home?

Housing needs can change over time. Therefore, it is a good idea to consider well in advance what expectations you have for your housing situation as a pensioner. Do you want to stay in your current home as long as possible and perhaps use your home equity as part of a drawdown arrangement? Or are you planning to move to something smaller or cheaper to free up funds for retirement? 

If you want specific advice about your housing situation, we recommend that you contact your bank.

10. Contact P+ well in advance

The sooner you consider your pension, the greater influence you will have on the framework for the final part of your working life, the transition to retirement and retirement itself. Even though retirement may still fell far away, we therefore recommend that you actively engage with your pension and retirement planning. 

In Min pension you can find relevant and targeted information about your specific pension and insurance. For example, yo can see a forecast of your benefits in an interactive graph that can be adjusted according to retirement age and return expectations, thus giving you important insight into your current and future finances. You are always welcome to contact us for an advisory meeting.