Your 50s can be a golden window for future-proofing your finances. With retirement on the horizon and family priorities changing, sensible moves now can lift your income later, reduce stress, and help you achieve the retirement you want. It’s also a great time to put simple estate planning basics in place so your intentions are clear and easy to follow. Here are six practical decisions you can start today to set yourself up for the next decade.
1.Keep compound growth working for you
It’s not too late to benefit from compounding. A decade of focused saving can still add meaningful growth, particularly within pensions and ISAs where returns can compound without the tax drag. For illustration, £200 per month for 10 years growing at 5% a year becomes roughly £31,000 before fees and charges. If you plan to work into your 60s, that extra growth can support more flexibility later.
MoneyHelper explains how and when you can access pensions, and what to consider as you top up. However, from 6 April 2028 the normal minimum pension age rises to 57, so build your plan with that timeline in mind.
Practical step: Review whether a small increase to pension contributions fits your budget, especially if an employer match is available, then check that your investment mix still matches your time horizon and risk appetite.
2. Build and maintain the right emergency fund
Unexpected costs don’t stop in your 50s. Job changes, health expenses, urgent house repairs, or helping family could all land at the same time. A robust cash buffer prevents short-term shocks from derailing your long-term plans.
A widely used UK rule of thumb is three to six months of essential outgoings, adjusted for your household, health and job security. Review the target each year, since your life today is unlikely to match your life five years ago.
Practical step: Use an easy-access account, such as a cash ISA, automate monthly savings, and keep the fund separate from spending money so it’s there when needed.
3. Review protection while you still rely on your income
Your responsibilities may have changed, but the need for cover often remains. Life insurance and income protection can reduce financial strain if illness or injury interrupts work. Private medical insurance can also provide faster access to diagnostics and treatment.
Protection policies were called on heavily in 2024, with a record total paid out in claims, while NHS elective waiting lists have remained high. Taken together, there’s a clear case for checking that your cover is still fit for purpose.
Practical step: Check sums assured, terms and exclusions, and make sure beneficiaries are up to date. Align policies with your wider estate and retirement plan. Check your employee benefits if you have them.
4. Tackle lifestyle creep before it eats tomorrow’s income
Earnings often peak in your 50s, and everyday spending can quietly rise to match. Subscriptions, upgrades and small treats feel harmless, yet they can shrink what you save for the future. According to Barclays, in July 2025, discretionary card spending rose 2.4% year on year, while essential spending fell 0.7%. This data serves as a good reminder to keep your non-essential spending in check, so you aren’t using up tomorrow’s retirement income today.
Practical step: Set a rule that a slice of any pay rise or bonus goes straight to pension or ISA savings before it reaches your current account. The additional benefit of this approach is that many employers enable you top-up your pension from your gross salary (salary sacrifice), which may reduce your income tax. Better still, some employers may add to, or even match your pension contribution.
5. Make small, steady optimisations
Future-proofed finances usually come from consistent tweaks rather than dramatic overhauls. One useful habit is to take stock of your pensions on a regular basis. Keep a simple list of each pot, the fees and key features, and consider consolidation where it genuinely reduces costs and simplifies the admin. An annual check like this keeps risk on track and makes your pensions easier to manage.
Government policy is moving toward default consolidation of small, dormant pots, as part of its value for money drive which underlines the long-term benefits of keeping your pensions tidy. Seek guidance or advice before moving any scheme with special guarantees.
Practical step: Keep a one-page pensions inventory with provider names, policy numbers, charges and beneficiary nominations, and review it annually.
6. Put family and legacy plans on firm footing
A little planning now gives you control and makes life easier for the people you care about. Update your Will, put a Power of Attorney (POA) in place for finances and health, and keep pension beneficiary nominations current so your money goes where you intend. These steps provide clarity, reduce stress at difficult times, and help your family act with confidence. For straight-forward Wills and POAs, take a look at our partnership with Which?
From 6 April 2027, most unused pension funds and some death benefits will be included in an individual’s estate and be potentially liable to Inheritance Tax. If your plan was to leave pensions untouched for the next generation, sense-check that approach so it still fits your goals and the new rules. A brief letter of wishes and a simple document pack (with key contacts, policy numbers and where to find things) can also make a big difference.
Practical step: Review your Will and POAs, confirm pension beneficiary forms, and note where important documents are stored for a trusted person.
Ready to feel more confident about the next decade?
The choices you make in the next ten years can shape the next one. Book a free financial planning consultation with a Flying Colours Advice financial adviser today and we’ll help you prioritise what to do first and create a personalised financial plan that’s tailored to your goals, your household, and the stage of life you’re in.
Please note
This article is for general information only and does not constitute advice. The information is aimed at retail clients only.
All information is correct at the time of writing and is subject to change in the future.
The value of your investments (and any income from them) can go down as well as up and you may not get back the full amount you invested. Past performance is not a reliable indicator of future performance. Investments should be considered over the longer term (minimum of 5 years) and should fit in with your overall risk profile and financial circumstances.
A pension is a long-term investment not normally accessible until 55 (57 from April 2028). The fund value may fluctuate and can go down, which would have an impact on the level of pension benefits available. Past performance is not a reliable indicator of future performance.