Pensions Planning: The NUMBER

Bravepants

numptydumpty18 said:

Been over my number and recently updated monthly figures below, so aiming for £3400 pre 60 and £3000 post 60 after mortgage paid off and kids through uni. Aiming to exit as soon as I can

Blimey, how are you spending £700 a month plus on cars?

Langtang

Bravepants said:

numptydumpty18 said:

Been over my number and recently updated monthly figures below, so aiming for £3400 pre 60 and £3000 post 60 after mortgage paid off and kids through uni. Aiming to exit as soon as I can

Blimey, how are you spending £700 a month plus on cars?

My guess would be a pcp deal, plus petrol (plus a little tucked away for servicing) Were usually £600 plus fuel. Although, £300 pcm for fuel must mean work miles too.

chiefie

AlanP_2 said:

cfw1994 said:

AlanP_2 said:

SouthCoastBoy said:

Yes I am very concerned about inflation, all the money pumped into the economy recently will I think result inflation over the next few years. I'm not convinced cpi is an accurate indication of my inflation number. Council tax increases are horrendous, no accountability, not based on whether you can pay and nothing discretionary about it. Mine is around 2200 a year for a band d property.
In some ways the govt need inflation to go higher to help inflate the massive govt debt away

How can you get more accountability than the ability to "sack" the Board every 4 years through local elections?

You may not agree with the decisions they make but it's hard to argue there is no accountability.

Well....there are MANY areas with 'safe seats' that mean a non-insignificant portion of the population feel there is no accountability....

Terron said:

DairyQueen said:

In the absence of any fun things to do during a winter lockdown OH delayed his retirement until the end of this year, although I suspect he will go sooner now we have the new home, lockdown is lifting, and the weather warmer.

What absence? There is always reading.

& walking, watching endless films or binging series, gardening, not to mention brewing & drinking (I told you not to mention brewing & drinking!)....& now meeting up with pals in parks....& soon in beer gardens (etc)....

True, but my comment was in relation to Council Tax which is set by your local council not central government. Although central government decisions to take an axe to the level of funding they provide for local govt / services has driven a lot of the increases over recent years.

Surprising really that central gov't can axe spend their Minsters and Departments don't have control over rather than the ones they do. Makes you wonder whether they went for the easy option and hence moved the "complaints" to local councillors inboxes than theirs but perhaps there was a real justification (that has never been articulated). 

Central government did this to make it appear that the (income) tax burden isn't rising. It has just been shifted. Local authorities haven't coped with the loss of central government grant. It's interesting that state pension rises go straight back out of pensioners accounts to pay council tax. It appears that pensioners get a good deal but they don't 

numptydumpty18

Bravepants said:

Blimey, how are you spending £700 a month plus on cars?

250 a month per car ex fuel is easy to get to if not doing bangernomics. 6-8k depreciation every 4 years, insurance, tax, servicing, mot and the odd big repair all mount up. Likely to see a bigger reduction in fuel costs though and may drop to one car.

MallyGirl

Throw in a few tyres too for good measure- easily racks up the costs

Anonymous101

Bravepants said:

numptydumpty18 said:

Been over my number and recently updated monthly figures below, so aiming for £3400 pre 60 and £3000 post 60 after mortgage paid off and kids through uni. Aiming to exit as soon as I can

Blimey, how are you spending £700 a month plus on cars?

I'd imagine I work with many people that are doing that on just one car. New ish £30-£50k car has got to be around £500pm on a PCP plus maintenance, servicing, tax, insurance, not mention fuel.
I know this is MSE so we have skewed views but I'd imagine most of the population don't think twice about £250 + Fuel every month for a car.

UpZord

I'd always live and retire in a town so i'd budget for a bike/public transport and minimal car use. Don't forget it has to be electric from 2030

what does this mean anyway, knowing the figure? if I have a £20k p.a. figure, could i retire as soon as i hit a £500k pension pot ?

Sea_Shell

UpZord said:

what does this mean anyway, knowing the figure? if I have a £20k p.a. figure, could i retire as soon as i hit a £500k pension pot ?

That's basically what we did.  No regrets yet!!

Stubod

UpZord said:

what does this mean anyway, knowing the figure? if I have a £20k p.a. figure, could i retire as soon as i hit a £500k pension pot ?

..knowing "your number" means you can start planning when you want to finish paid employment, (assuming you do?).

Depending on your age, (ie years left to run for private and state pensions), I think most people in their mid / late 50  would find a £500k pot sufficient to "go early" based on a £20k annual spend?

(assumes your 20k increases by 2.5% to match inflation, and you pot "growth" is at least equal to inflation, then your state pension kicks in after max. 10 years and provides you with half your income. You just need to set up a spreadsheet and run some numbers based on your age, current savings/investments and planned spending, then take your best guess at inflation and investment returns).

chiefie

UpZord said:

I'd always live and retire in a town so i'd budget for a bike/public transport and minimal car use. Don't forget it has to be electric from 2030

what does this mean anyway, knowing the figure? if I have a £20k p.a. figure, could i retire as soon as i hit a £500k pension pot ?

New cars will be electric - you will still be able to buy second hand for quite some time after that