To retire or not to retire??

missile

There is more to life than working. Retire as and when you can afford it. If you can't manage or miss the challenge you could consider a part time position.

seven-day-weekend

My husband took early retirement because of his health on an Actuarilly Reduced Teachers' Pension in 2004 when he was 55 (he lost 1/3 of it). I gave up work at the same time but can't get any Pensions yet (I was59 yesterday).

We came to live in rural southern Spain, where the cost of living at that time was lower than the UK and the exchange rate was 1 euro - £1.46 .

Now the cost of living has gone up and while certain important things are still much cheaper (Council Tax - I pay per year here what I paid a month in the UK), groceries are more expensive and so are things like clothes and white goods. We don't have to use so much heating so that works out cheaper (although by unit charge I don't think it is). Telephone and Internet are more expensive. Car Tax is cheaper but the Insurance is more expensive, so that's swings and roundabouts.

Also the exchange rate has gone down to 1.1 so we have lost, in effect, 30% of the pension.

We have no rent or mortgage.

However, we have drawn our horns in and seem to be living on fresh air! We can manage OK on my husband's income (he also gets a reduced amount of Incapacity Benefit from the UK); however any large expenditure like a new boiler or fridge has to come from savings.

We still have our house in the UK, lived in by our son, and from 2010 will spend more time there. I'll get my State Pension then too.

In 2014 (January) my husband will get his State Pension and in 2014 (August) I will get my Local Government Pension - also the tax-free allowances will go up for both of us when we are 65, so things can only get better! I personally will not be liable for any tax, although my husband will, he pays it now.

So, what I want to say is, if you plan wisely and don't go mad with your income, we've found you can live on a much reduced income from when you work.

dzug1

anniehanlon wrote: »

I retire in October and although i will be 60 i am loathe to let go after nearly 24 years.
I know that we will manage financially and i love everyminute of it but it's going to be the letting go that will be the hard part, its been part of my life as much as anything else. So unless something untoward happens i think i have decided to work part time, take my company pension and defer my state pension, but can anyone tell me that if i defer my state pension is it paid into my estate if i die in the meantime. I have asked on another thread but didnt get an answer

Can't see that this has been answered so here goes -

your state pension dies with you - there is nothing left to go into your estate.

dzug1

anniehanlon wrote: »

Its all coming back to me now, took a few minutes but it was the pasties or sausage rolls wasnt it, you were
sticking up for me - bless you. I am so little i need a champion every now and again, nice to hear from you.

er....what is IYSWIM

In your.......
(determined to get my 2000th post in tonight)

A bit late - if you see what I mean

tanith

I had to take ill-health early retirement from the NHS and at first I was devastated. But once I realised all the things I could do and extra time for family, friends, hobbies and the 'do it in my own time' way of life I love being retired... I do miss my colleagues still but I guess everyone does... I would say if you can afford it and honestly won't miss the job do it now as soon as you can...

Valli

anniehanlon wrote: »

er....what is IYSWIM

In your.......
(determined to get my 2000th post in tonight)

If You See What I Mean.

did you makie it to 2000 that night?