Once retirement was something to look forward to. But now it seems the dreams of long holidays, taking up golf or just relaxing could become a thing of the past.

A shocking three-quarters of us expect to continue working beyond the age of 65, a fifth think we will not retire until we hit 75.

But what can you do to make sure you do not have to literally work until you drop?

Follow our plan of finances throughout the decades of your life and you will be able to take control and have more choice of when you give up the nine-to-five grind.

Getting into good financial habits now will set you up for life.

In your 20s

Budget

Take control by setting a budget. You will know what you have coming in, how much you need for bills and essentials plus what is left for socialising – so you do not end up in the red.

Savings

Start small and build up the amount you put away.

Just £10 a month will get you into the habit. Set up a standing order for the day you get paid and you will not miss the cash. Every £1 you save will stop you borrowing it at a later date.

Pension

The sooner you start saving and building your own pot the better.

From age 22, and earning over £10,000, you will be auto-enrolled into a workplace pension.

The legal minimum contribution is 8% of earnings (5% from you, 3% from your firm). If your boss offers to match higher contributions, put away more.

In your 30s

Mortgages

It is debt but a good one as you are investing for your future. This is when savings from earlier come into their own. The bigger deposit, the better the mortgage deal.

Getting your sums right is vital when taking out home loans.

Do not be simply lured in by the lowest interest rate. Work out the cost, including fees and charges, over the term to ensure you are getting the cheapest deal.

Get it wrong and you could pay thousands of pounds more than you need to. Think about the term you take out, there are deals up to 40 years but you do not want to be making repayments on this debt for the rest of your life.

Credit cards

These can be a good way to help manage finances, or spread the cost of bigger items, but only if you clear balances each month or use 0% balance transfer and purchase cards. But cards can be dangerous if you build up unmanageable debt. Don’t spend what you cannot afford to pay back.

Bills

From energy to insurance, mobile phones and TV packages, there are no rewards for loyalty.

Those that stick with firms get hit with price hikes. When deals end, compare prices and switch to the best alternatives.

Savings

This can be an expensive time in life, juggling rent/mortgage, bills and maybe kids but try to keep up the savings habit. Every £1 adds up.

Pension

Keep up the regular contributions. Remember tax relief on pension contributions is one of the most generous giveaways. As a basic rate taxpayer, every £100 you put in costs you £80 with tax relief.

In your 40s

Savings

If you get a bonus or wage rise, think about putting away a part of that.

The aim is to have three pots:

The first is an emergency easy-access fund of around three to six months’ salary.

The second is a medium-term pot to pay for things such as special events and holidays.

And the third would be longer-term savings, which are aimed at older age.

You should think about savings bonds, by which you lock away cash for a few years.

Or you can plump for ISAs, by which you can build up a decent tax-free balance that will help to boost retirement income.

Pension

It is time to start reviewing savings to ensure you are on track to achieve a decent pot. Put away the maximum you can afford.

Experts say we should aim to save 12% to 15% of earnings to build up enough to fund our retirement.

In your 50s

State pension

Get a state pension statement via gov.uk/check-state-pension or call 0345 3000 168.

This should be the basis of your pension income and will help you plan your retirement finances.

Debt

If you have built up credit card or other debts, tackle them now.

Move card balances on to 0% balance transfer deals – you will save a fortune in interest. You do not want to have to graft for longer because you cannot afford debt payments out of your pensions.

Mortgage

If you still owe money on a home loan, think about making overpayments to get it cleared quicker.

Most lenders let you overpay 10% each year without any penalty.

Pension

Now is a good time, if you have a little spare cash, to make additional savings and boost your pot while you are earning. But this should not be at the expense of paying off the mortgage or debt.

In your 60s

Budget

Work out your outgoings so you have an idea of what your regular bills will be in the near future.

This will help you to decide when and how you should access your pension savings.

Debt

Do your best to get this cleared, before you give up working.

Pension

Carry on putting away cash. Contact your pension provider so you know what your pot is worth and what income it is likely to generate.

Find out all options when accessing your pension savings.

If you haven’t used your free Pension Wise session, do it now (pensionwise.gov.uk/en or call 0800 138 3944). Find an independent financial adviser via unbiased.co.uk and vouchedfor.co.uk.

Savings

Keep squirrelling away spare cash to give you a bit of extra cash once you escape the nine-to-five world.

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