People in the final decade of their working lives often worry about whether they will be able to get to a comfortable retirement. What can they do to ensure they reach that goal? How much savings will they need to retire with financial security? How much longer will they have to work?

Once older workers have their mortgage well under control and can see their children becoming financially self-supporting, they can focus on reaching a secure retirement.

To be able to retire they need to pay off all personal debts including car loans, credit cards and home loans. They also need to grow their superannuation quickly and build up other investments such as properties and shares.

There is a test to check how far people still have to go before they can retire. Add up the value of all assets owned excluding personal use assets (home, cars, caravan and so on). Add up all debts regardless of what asset they relate to.

Deduct the total debt from the investment asset value. The result is the current net amount of savings available to fund retirement. Multiply that figure by five per cent and the resulting answer is an estimate of the amount of retirement income the current savings could generate.

Is it enough? That question can only be answered by preparing a spending budget. Boring yes, but very beneficial. Tally up all the regular bills over the last year. Add on a best estimate of regular shopping costs. Then think about how spending in retirement will differ and adjust the result.

If the expected future spend is greater than the potential investment income the person probably cannot afford to retire yet. If that is the case, there are ways to improve the situation.

First, pay more off debts. Pay extra on the highest interest rate loan first. Once that is gone pay that payment as extra onto the next highest rate debt, and so on. 

Investment gearing plans using managed funds and shares can start small and be increased when it suits, generating long term growth. Consider using borrowings to buy an investment property. That will also provide the benefits of gearing, gains on borrowed money.

Salary sacrifice is a very efficient way to save. The earnings sacrificed into super are taxed at only fifteen per cent. The tax on profits accumulated is also only fifteen per cent. Once over age sixty a pre-retirement pension strategy may be smart. 

Reaching a comfortable retirement requires discipline to use income efficiently. A great deal can be achieved in those final working years. Professional financial advice can help determine the ideal plan for the best outcome.