Economics of Retiring

Starting to think about how people manage their finances, life, family commitments and extra leisure time once retired and whether or not we're properly positioned money wise, leisure wise, shifting into a different mindset 'wise'....

Hmmm, how did you prepare for a 'downshift', in money and an 'upshift', in time ?

Did you find it psychologically challenging or just sheer relief to retire?

Three years to go before we hit the big R and really want to get it right.
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Comments

  • margaretclare
    margaretclare Posts: 10,789 Forumite
    The best advice I can give is: always have something in reserve. Life has a habit of throwing curve-balls. You just do not know what is round the corner and, while money doesn't buy happiness, it can 'oil the wheels', make things possible that would be otherwise impossible. I've actually saved more since retirement than I ever did before. I keep getting asked 'what are you saving FOR?' and my answer is as above. There have been times in the last few years that I blessed my savings e.g. when I needed the bathroom re-done so that DH could use a step-in shower when he came out of hospital.

    Also, as time goes on you become less and less capable of doing things you once did with ease. 20 years ago I used to spend all day in the garden and would come in tired. Now, I can be out there for half an hour pulling a few weeds and I come in knackered. So, more and more things need someone else to be paid to do them. You dare not let the place get overgrown because that's a dead give-away to any passing lowlife 'here lives someone who can't do it, a bit elderly/disabled, ripe for opportunist robbery or con-trick'.
    [FONT=Times New Roman, serif]Æ[/FONT]r ic wisdom funde, [FONT=Times New Roman, serif]æ[/FONT]r wear[FONT=Times New Roman, serif]ð[/FONT] ic eald.
    Before I found wisdom, I became old.
  • pollypenny
    pollypenny Posts: 29,393 Forumite
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    I was concerned about finances after retirement. However, it has been fine, do far!

    Could do with some more interest on savings, mind you.

    I did supply for a year after I finished officially, do that was a gentle easing in to retirement.

    We find loads to do, usually involving U3A!
    Member #14 of SKI-ers club

    Words, words, they're all we have to go by!.

    (Pity they are mangled by this autocorrect!)
  • pollypenny
    pollypenny Posts: 29,393 Forumite
    Name Dropper Photogenic First Anniversary First Post
    Something I forgot to add : try to finance any big expenditure before you retire. We replaced our kitchen and boiler.
    Member #14 of SKI-ers club

    Words, words, they're all we have to go by!.

    (Pity they are mangled by this autocorrect!)
  • Errata
    Errata Posts: 38,230 Forumite
    First Post Combo Breaker
    You can try out the downshift in money by spending three months now living on what your retirement income will be, just exclude travel to work costs.
    Upshift in time - depends on what you want to do that you don't have time to do now.
    Psychology - accept you're a different team to the one you were when working and you'll be in each others company a lot more.
    Tip - make sure you have a man shed in the garden!
    .................:)....I'm smiling because I have no idea what's going on ...:)
  • Bigmoney2
    Bigmoney2 Posts: 640 Forumite
    Log what you spend now, so you have an idea where your money goes. There will be shift once you stop working.

    Also remember that its the net income that counts and you won't pay NI or pension contributions on a pension.

    Have a look on the pensions board there are some good threads on there.

    It can be psycologicaly challanging as you have to motivate yourself, after all you could stay in bed all day if you wanted.
    It can be difficult to change the mindset and may take time to adjust.
  • PennyForThem_2
    PennyForThem_2 Posts: 1,036 Forumite
    Name Dropper First Anniversary Combo Breaker First Post
    I am 2 years off retirement. I work full time at the moment, but in preperation I am checking out what is happening during the day in my town. I am also thinking hard about what I enjoy.

    If you work for a large employer you may find that they run a pre-retirement session - I work for NHS and when you give notice you want to retire they give you the option to attend one of these. There may also be a retirement club - I have heard ours is very active.

    Look at Charity - would you like to volunteer for helping out - mot just shops - other things you can do. May be utilise skills you already have.

    One retiree I know trained as an advisor in CAB, another volunteers in local Food Bank and yet another does 1 day a week weeding and food growing in the local community farm garden.

    Museums have lunchime lectures, parks have walks, local wildlife conservation area and the park both want volunteers to help out.

    Library has coffee mornings and a reading group. Local hospital mans its information desk with volunteers.

    I know now that I have a wide choice of stuff to do once retired and just need to whittle down what I want to do.....
  • mjm3346
    mjm3346 Posts: 46,889 Forumite
    First Anniversary Name Dropper Photogenic First Post

    Did you find it psychologically challenging or just sheer relief to retire?

    Sheer relief, partially retired at 50 then totally 18 months later. Although originally one reason for going was to avoid being stuck until 55, if I was doing it again I would actually go for full retirement at 50 and not bother with the partial retirement.
  • chesky
    chesky Posts: 1,341 Forumite
    First Anniversary First Post
    Retired getting on for six years ago and have managed far better than I thought. I used to even manage to save my state pension but I'm afraid most of that has gone by the by, due to inflation - but also due to the fact that I still have fairly extravagant moments every now and again and feel I can still indule them. Like Polly Penny, could do with a better rate of interest on the savings.

    The first thing I did when I retired was volunteer to become an adviser at CAB and I've never regretted it. Kept my brain active and I find it endlessly fascinating; do that two days a week.

    Other days (except for weekends) I have to do at least one thing 'extra' - that is, apart from cooking, shopping and cleaning. Doesn't have to be anything special - it can be as mundane as doing the filing (where does all that paperwork come from?), or going to the cinema, or clearing out a cupboard. Just as long as it's an 'extra'. Today it's going to Westfield with my 18 year old granddaughter who handed in her assignments yesterday, so we're celebrating that.

    All in all, I think you'll enjoy your retirement.
  • Errata
    Errata Posts: 38,230 Forumite
    First Post Combo Breaker
    Doing this, that and the other when retired and filling every moment with doing something is not the be all and end all. Nobody will turn into the devil's handmaiden if they spend time and simply stand and stare

    What is this life if, full of care,
    We have no time to stand and stare.
    No time to stand beneath the boughs
    And stare as long as sheep or cows.
    No time to see, when woods we pass,
    Where squirrels hide their nuts in grass.
    No time to see, in broad daylight,
    Streams full of stars, like skies at night.
    No time to turn at Beauty's glance,
    And watch her feet, how they can dance.
    No time to wait till her mouth can
    Enrich that smile her eyes began.
    A poor life this is if, full of care,
    We have no time to stand and stare.
    .................:)....I'm smiling because I have no idea what's going on ...:)
  • pollypenny
    pollypenny Posts: 29,393 Forumite
    Name Dropper Photogenic First Anniversary First Post
    edited 18 July 2013 at 1:24PM
    Indeed, I am planning on spending the afternoon on a lounger in the garden with my book!


    Six years ago it would have been 30 teenagers whingeing ' Can we take our ties off, miss? '. :D

    Retirement is brilliant.
    Member #14 of SKI-ers club

    Words, words, they're all we have to go by!.

    (Pity they are mangled by this autocorrect!)
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