Best place to invest for over 50's

robertedwards

Hi All,

My mum currently works for the nhs and they have offered to retire her due to ill health so she would get a lump sum of 11k and then get a set amount each year or no lump sum and just get a higher amount each year. She was thinking to take the lump sum and look for another job that shes capable of doing.

I was wondering if anyone had any ideas of the best place to save or invest the 11k for a over 50's for best return. She has been in rented for quite a while now so i didn't know if she would be better using the 11k as a deposit maybe to get her own home.

Thanks for your time

Robert

Linton

Depending on the detailed circumstance it may be significantly more beneficial for her to forego the lump sum. In particular she may not be able to replace the lost pension by investing the lump sum if that's what she was wanting to do.

I suggest she gets advice on this. Or if you provide more information people on this forum can identify some key points she may wish to consider.

dunstonh

Does she really want to take on a £100k plus mortgage in her 50s when she has just been paid off due to illness?

Chances are taking the lump sum is the least attractive option. We would need figures though.

margaretclare

What a question. Best place to invest? It's like asking how long is a piece of string. 'Best'? There's a huge market out there.

'Paid off due to illness'? Does that mean she's retiring on grounds of ill-health? She can get an enhanced pension payment, or, if she goes down the annuity route, she can get an enhanced annuity on health grounds. I assume we're talking of NHS pension here?

Depends on nature of illness, but I agree with dunstonh above. If she's on her own, a mortgage means more responsibility, more worry, all the hassle of home maintenance and upkeep and she may not be physically able to cope with it. There's a lot to think about.