Miss Sharon Smith addresses barbers, hairdressers, makeup artists and nail technicians at workshop put on by the JN Small Business Loans for contestants in its JNSBL Barber and Beauty Battle.
Members of the beauty sector were urged to think seriously about life after retirement, given that some professions in the sector were ephemeral, said Sharon Smith, consultant with responsibility for the JN Individual Retirement Scheme (JNRS) at the Jamaica National Building Society (JNBS).
Miss Smith made the appeal to more than 80 barbers, hairdressers, nail technicians and make-up artists participating in the JN Small Business Loans (JNSBL) Barber and Beauty Battle Launch, at a workshop, which was held at the Knutsford Court Hotel on March 29.
In her presentation on retirement planning, she called on the members of the beauty practitioners to think seriously about retirement based on the nature of some jobs in the sector.
“In your industry, especially for the nail technicians, some persons are do not always welcome someone who is 50 or 55 doing their nails. It’s not because older persons lack the skill; but, rather, the perception that they may not be in touch with new trends,” she explained.
“As a result, many persons in this business tend to move on long before they are 60 or 65. It, therefore, means that you need to begin saving from now, no matter what your income may be at this point in your career,” she advised.
She revealed that currently, approximately 40 percent of Jamaicans only have pension benefits from the National Insurance Scheme (NIS) to support them during their retirement years. And, indicated that with the NIS funds being approximately $5,600 fortnightly, many persons at age 60 and 65 will have difficulty surviving.
Miss Smith also said that only about 8.9 percent of the employed labour force, which is estimated at just over one million persons, are contributors to a approved pension scheme.
“In the real world, it is estimated that it takes 40 years or more to plan for retirement. Therefore, if you are above a certain age, no matter how much you save now, you will never be able to live the same pre-retirement lifestyle…because you have lost some of the years needed for your investment to mature,” she said.
The consultant also underscored the need for persons planning for their retirement to ensure they have a steady source of funds to save, and also cover their daily expenses.
“You may be saying that I have just paid down on a home; and I am going to add a room to the side. Or, you might say mommy or daddy has a piece of land; and, I’m going to build a home on it and will be for my retirement. Nothing is wrong with that; however, is important that you have a source of liquid cash when you retire,” she added, pointing out that this would assist in cases of emergencies
Ms Smith explained that beyond personal benefits, being a part of an approved pension scheme was beneficial to the Jamaican economy. She said pensions provided a pool of long term funds, which can be used to invest in public infrastructure; as well as, rural and urban development; and ultimately, increase the economy of the country.
Alrick Parris, a barber, the second place winner in the 2015 JNSBL Barber and Beauty Battle, who participated in the workshop, said he was grateful for the advice about retirement planning.
“Retirement is something we sometimes take for granted; and I am glad I was able to learn about the importance of planning for it. I will definitely take a life-changing advice from this session as well,” he said.
The JNSBL Barber and Beauty Battle took place at the National Indoor Sports Centre on April 10. The competition featured barbers, hairdressers, nail technicians and make-up artists undertaking several challenges for the chance to win a share of the $2.2 million in cash prizes.
The workshop was a part of JNSBL’s programme to educate members of the sector about trends in the industry, provide financial advice; and inform them about the opportunities to grow their operations; as well as, to plan for their retirement.
