This normally means the setting aside of money or other assets to obtain a steady income at retirement. The goal of retirement planning is to achieve financial independence, so that the need to be gainfully employed is optional rather than a necessity.
The process of retirement planning aims to:
- Assess readiness-to-retire given a desired retirement age and lifestyle, i.e. whether one has enough money to retire; and
- Identify actions to improve readiness-to-retire.