Pensions Planning: The NUMBER

bluenose1

swindiff wrote: »

Would you be in a position to draw on the DC portion of the pension and defer the DB part until 60. Might be worth doing the sums to see how that would work out.

Yes, I would be able to do that. Thanks it is definitely worth me considering.
I have spent ages calculating the optimal level of additional DC but haven’t really thought yet about deferring DB to 60.
Doesn’t help that the investment builder doesn’t have a Salary Sacrifice calculator so doesn’t reflect the true difference to salaries.

Stubod

..sorry but I thought it was time for a re-boot of this rather good thread.

It has now been 12 months since we "pulled the plug" on work. I had originally planned to spend around £30k in retirement, (compared to around £24k we spent while we were working). However despite our best intentions we only managed to spend £22k last year...so in theory we can carry £8k forward to spend this year!! , although I fear old "savings" habits may die hard....I just hope I don't as we have some cash to burn.

atush

At least you can buy a new car for cash with all that savings when you need one lol.

I will have ZERO problem spending more than 22K lol.

MallyGirl

me neither! My projected fixed and variable costs come to more than that (10 years from retirement) and I will certainly be spending on travel/entertainment/hobbies on top.

TBC15

Stubod wrote: »

..sorry but I thought it was time for a re-boot of this rather good thread.

It has now been 12 months since we "pulled the plug" on work. I had originally planned to spend around £30k in retirement, (compared to around £24k we spent while we were working). However despite our best intentions we only managed to spend £22k last year...so in theory we can carry £8k forward to spend this year!! , although I fear old "savings" habits may die hard....I just hope I don't as we have some cash to burn.

How much/years do you keep in the war chest for when investments go south? Starting to make my plans.

enthusiasticsaver

We are aiming for £30k this year as first year with us both retired. No plans for big holidays this year but some home projects which could be expensive so they may have to come from what I call the capital expenditure account rather than income.

Stubod

TBC15 wrote: »

How much/years do you keep in the war chest for when investments go south? Starting to make my plans.

Approx half our funds are in "savings", (mainly nsi PBS and Index linked..and yes probably way too much but I am VERY cautious), and we have a further £100k available for when/if the shares go South for a holiday of their own...

westv

Can someone remind me, is the withdrawal percentage (4%, 3.5%. 2% or whatever) based on the total portfolio including cash?

Linton

westv wrote: »

Can someone remind me, is the withdrawal percentage (4%, 3.5%. 2% or whatever) based on the total portfolio including cash?

in my view....
Total investment portfolio but not emergency cash or buffer cash both of which are available for short term use. So only include cash if you actually hold it and regard it as part of your investments eg as a replacement for bonds which could be transferred to equity or bonds whenever you wanted.

kev2009

Just came across this thread, interesting ready - what seems to be the consensus on what is required for a simply person to liveon whilst in retirement? I seem couples have menioned 22k, some 30k but didn't see any for a single person or perhaps i missed them when skimming through the thread?

Would it be about half what couples need?

I'm a fair way off retirement but currently single and been looking at my pension recently and wondering if it will be sufficient and if i could retire before 68

Thanks

Kev