Early-retirement wannabe

Goldiegirl

gadgetmind wrote: »

Money is fungible, particularly once it's in a joint account. Currently her SIPP is funded from this account to the tune of £240pcm even though she wasn't earning anything. Once she's earning enough in a tax year to increase this, then I'll increase it. Will it be her income funding this? Well, arguably, but does it matter?

Once *she's* earning enough ..... *I'll* increase it.


When I read things like that, it seems like there little involvement from the other party.


If it works for you that's fine, but the way you say it sounds as if your partner has no say in the matter.

racing_blue

Hi all,

Anyone here taking an actuarially reduced final salary pension? How did you decide?

I ask as my genes would appear shaky, all 4 grandparents dead by 75. A few years off but I'm loosely planning to cut and run at 55 with a 22% actuarial reduction. Sound OK?

atush

Goldiegirl wrote: »

Once *she's* earning enough ..... *I'll* increase it.


When I read things like that, it seems like there little involvement from the other party.


If it works for you that's fine, but the way you say it sounds as if your partner has no say in the matter.

Seems to me she has exactly as much say as she wants. Which seems to be little.

Linton

racing_blue wrote: »

Hi all,

Anyone here taking an actuarially reduced final salary pension? How did you decide?

I ask as my genes would appear shaky, all 4 grandparents dead by 75. A few years off but I'm loosely planning to cut and run at 55 with a 22% actuarial reduction. Sound OK?

It sounds OK if you can still have the standard of living you feel you need with the reduced income.

Dying at 75 was average 20 years ago. Since then average age at death has increased to the low 80's and in 20 years time is expected to reach the mid 80's.

Also, I think it would be a mistake to assume too much from the age at death of your grandparents. Factors other than genetics can have a major affect eg smoking, working outdoors or in unhealthy environments.

melanzana

racing_blue wrote: »

Hi all,

Anyone here taking an actuarially reduced final salary pension? How did you decide?

I ask as my genes would appear shaky, all 4 grandparents dead by 75. A few years off but I'm loosely planning to cut and run at 55 with a 22% actuarial reduction. Sound OK?

Hi, yes I did, in July at 56 yrs (nearly 57!)

Even with the reduction, my pension take home is 75% of previous salary take home. Although I was working three weeks on one week off for a while before early retirement. Kind of an experiment in reduced take home, if you will! And I managed fine on that.

Now that I'm early retired, my tax has gone way down, and I don't have to contribute to all the work deductions like critical illness policies, union subs and the like.

I am managing fine. But then again it depends on your own particular circumstances of course.

As I write, I am sitting on the terrace overlooking the Promenade Des Anglais in Nice. Weather is fantastic, food and wine cheaper than home, and I'm loving it!

Best of luck. I hope you will be happy.

gadgetmind

Goldiegirl wrote: »

If it works for you that's fine, but the way you say it sounds as if your partner has no say in the matter.

Well, I've created a spreadsheet, shown her the calculations for her salary, her DB pension (contribution and benefits*), the effect on state pension, and what it lets us change SIPP wise.

She then said, as usual, pretty much exactly "do what's best", so I am doing.

Anyway, she can't change the SIPP payment herself as she doesn't have the login details for security reasons.

* BTW, anyone who says this is complicated is having a laugh! Her employer are very open regards what it costs and how benefits accrue, and creating the spreadsheet required reading three pages all on the same web site and about 15 minutes of work.

Goldiegirl

gadgetmind wrote: »

She then said, as usual, pretty much exactly "do what's best", so I am doing.

Anyway, she can't change the SIPP payment herself as she doesn't have the login details for security reasons.

.

I might be straying into the relationship board territory, but how do you know she said 'do what's best', because she felt that if she did raise a financial opinion, she wouldn't be listened to, and you'd do what you wanted anyway.

Also, another thought, what if you dropped down dead ( I hope not) tomorrow, how on earth would she cope with everything, if she has such a low level of input into your financial affairs?

Doesn't responsible financial planning include making sure both parties in the relationship can cope with all money matters when one of them is inevitably left alone?

gadgetmind

Goldiegirl wrote: »

she felt that if she did raise a financial opinion, she wouldn't be listened to, and you'd do what you wanted anyway.

Her greatest fear is that I'd actually explain everything to her! I actually like explaining things and making informed joint decisions, but she trusts me to get it right.

Also, another thought, what if you dropped down dead ( I hope not) tomorrow, how on earth would she cope with everything, if she has such a low level of input into your financial affairs?

She actually handles all of the bank and savings accounts and it's "just" the investments that I handle. Everything would need a major rejig if I lost an argument with the No 7 bus, and it's all down on numerous spreadsheets that she's got access to, so that side of things wouldn't be the biggest issue by far.

On the positive side, my stewardship to date does mean that she'll be left with a significant 7 figure problem!

115K

melanzana wrote: »

As I write, I am sitting on the terrace overlooking the Promenade Des Anglais in Nice. Weather is fantastic, food and wine cheaper than home, and I'm loving it!

*Jealous* that sounds lovely.:)

gfplux

We also pay the minimum social security in Luxembourg. Last year this was €4856. This gives us access to almost free GP consultations, specialist consultations, treatments, dental, optical care and prescriptions. It also includes a small pension contribution for my wife who is below retirement age.
The additional costs might be €4/500. This is made up of a % of all the bills that is not refunded. For example you will pay your GP €20 when you visit him and then the government refunds €19
Nothing is perfect but we are very, very happy.
I imagine marine life the system is very much the same in Austria and Germany.