Early-retirement wannabe

BucksLady

atush wrote: »

Goldie, that is all so true.

Depending on where you are, you are poor or profligate.

That is very true, but my observations were in respect of the pensions/savings boards. Any comments made were not meant as an attack on any member and only a generalisation.

atush

I feel poor here sometimes, but I spend more at tesco that all those MF wannabees and scrimpers lol.

It is all swings and roundabouts. But you can learn from debt free boards and scrimpers. I learned about TCB here, and have saved 500 quid already. That I would not have.

kidmugsy

What's TCB , atush?

nicknameless

kidmugsy wrote: »

What's TCB , atush?

topcashback

atush

It is great. And if you let me send you the link, I get a fiver lol?

Basically if you buy things online from travel, to household goods, to insurance, tv, phones etc. You get a % cashback on the sale. You can take it as cash into your bank, or you can get it uplifted by 5% and use it as amazon or other vouchers.

there is also Quidco which is similar.

Can't use it all the time, but I do when I can.

Even pension fat cats love getting stuff for free?

Thrugelmir

ognum wrote: »

Why do you believe early retirement equals living like a hermit?

Much depends on the hand that fate deals you though out life. Divorce years some years back was my personal nemesis. I'm not complaining though. I still get the same buzz from what I do as I did decades ago. Guess that's down to one's own mindset and attitude. When I do finally find myself getting bored and not having challenges to address I'll hang up my boots. Having worked with many people in their 70's and 80's who are still in business. Age isn't a restriction of having to something to offer.

missyrichards

I thought you meant TCB as in Taking Care of Business.

http://www.urbandictionary.com/define.php?term=tcb

ETA - I thought the early retirement crowd must be very hip, lol.

Marine_life

For me the thing with money is not that I necessarily want to spend it, its that I absolutely don't want to have to think about it! I'm not sure if that makes sense but it seems like a lot of people who've posted on this thread have got themselves comfortable with their retirement budget by tracking their expenditure to a high degree of detail. I could do that (I'm an accountant after all) but it gives me no pleasure what so ever.

Marine_life

Interesting pension developments at work.

Our current defined benefit scheme has now closed to new joiners (no surprise there). It's non-contributory and the current benefit is worth around €48k per year, index linked with a two-thirds surviving spouse benefit. I would estimate equates to a pot of around €1.5 million i.e. it must be hugely expensive.

Anyway, one of the interesting development is that they will now allow retirees to take the whole Net Present Value of the pot as a (taxable) lump sum on retirement using a 4.5% rate of interest to calculate the current value. My estimate is that this would produce a pre-tax value of around €750k so it seems like a monumentally bad deal - unless I'm missing something?

Thrugelmir

Marine_life wrote: »

My estimate is that this would produce a pre-tax value of around €750k unless I'm missing something so it seems like a monumentally bad deal - unless I'm missing something?

Called present bias. People often prefer jam today rather than jam tomorrow. Those with a finance background tend to be those to take a different perspective.