Financial position at age 50!!

Aspen_Sky

Thanks Calicocat...that's a very good point about "balance".


I don't think it's a great plan to skimp to extremes now...it's not all about retirement, we must also enjoy the here and now.


Sensible preparation is probably the key.


Cheers all

Lynplatinum

Hi Aspen Sky

I am 57 and have arthritis and suspected ME (I dont present enough symptoms to be sent for further testing. I have always physically looked after myself (yoga/correct diet/eyes/teeth etc) but due to the aforementioned I have begun to put on weight. I mention this because it influenced my decisions.

Last year, so that I could enjoy life, I semi-retired. I now only work 3-4 days per week (I run my own business and its has peak times of demand).

I have taken my company pension but a friend of mine suggested that I work out a) how old I will be when the fund runs out (78) and b) how much per month I would loose by taking it now rather than @ 65 (£20 per month). Well £20 per month in 20 years time is not gonna be worth much!! My family have all passed away in their early/late 70s and I am planning to downsize ASAP (i.e. this year) so that I can a) live by the sea b) be completely mortgage free c)have a forever home with all facilities on one level and near shops.

This has meant that I have to be frugal with my day to day living (e.g. am currently challenging myself to a £5 per week grocery bill + organic veg box @ £5 per week) so that my cash goes on going out and having fun rather than bills. I also do the Martin Challenge :A once or twice a year - i.e. get all utilities for as cheap as poss (the first year I saved myself £1500 - as you get better deals so you save less per year LOL)

Its about what is right for you. I too have houses (rented) that form part of my income, and I agree with you that it is a safer investment than any banks' 'financial products' - so for example my 'endowment mortgage' (bought in the early 90s) will not even make the mortgage price!! I also worked for a bank - the low salaries were boosted by 'commission' or whatever they were calling it that week to get round trades descriptions - on all the products for all staff!! :mad:

So I am half working and half retired!:rotfl:

Good luck whatever you decide.:T

esmf73

One thing I would suggest, which has come from bitter experience. My dad died suddenly recently, he had a funeral plan of £2200. We had a basic funeral which cost £5000 and then as my mum wished a party for friends, wake, which cost £1000. ( afternoon tea at a hotel)

Fortunately mum has been able to borrow money from family whilst various plans are sorted to pay, but don't let your loved ones be in similar situations.

Aspen_Sky

Thanks again to everyone for comments...much appreciated.


Kittie and Lynplatinum ....very thought provoking posts from you both...thank you for sharing your experiences.


Really enjoying reading all the posts and different oppinions....if anyone else would like to add their own stories or suggestions, please do join the chat.


Thanks again,
Aspen Sky

judi24

Interesting thread! I am almost 46 and suddenly obsessed with thinking about money and my future. I have 4 kids (3 at home although one is 22) and am a single parent again! I bought my ex out of my house so still have a fairly chunky mortgage (£145k). I have had some level of debt all of my adult life but through the support I have had on here that will all be gone in around 9 months (less if possible) and my mind set towards money has changed so much. I want to have some good holidays with my family before they are too old to want to come with me - but they will all be done fairly frugally.


I work in the public sector and pay into the pension so I guess that's at least something! (I pay 12% of my salary which is matched by my employer and my pension prediction is ok and I should be able to live on it but won't be able to take it until i'm 60)


I would like to retire before I'm 60 (hopefully 58) so my plan once the debt has gone is to overpay the mortgage and have that paid off in 10 years - then save frantically until I have enough savings to retire - I will also downsize my home and use any equity left as savings! over the next 10 years I will be working towards developing elements of my job that I will be able to use to make a little money once I am retired (consultancy, coaching etc) so I have a back up when I eventually retire.

westie660

Hi,

I am a similar age to you aspen, and have also been giving much thought to financials and retirement planning. Like you I have 2 buy to let properties, but only a very small private pension. My own home is mortgage free now, and I currently work only part time.

I recently had a chat with a few of my friends about retirement plans, and now realise that I am actually in a pretty good position compared to many. I had thought that the lack of pension fund was a huge drawback - I still think that it is, but perhaps not as bad as I had feared.

My plan is hopefully to downsize in the next few years - I reckon I could quite happily move to a smaller cottage for retirement years, and this should free up enough cash to buy another 2 rental flats. I think that the income from 4 rentals (with perhaps a little part time work) would keep me quite comfortably, plus my government pension when the time comes.

I know the property/rental market could crumble tomorrow, but I still think that it is less risky than putting all of ones eggs in the pension basket. So all things considered, I think that your instincts so far have been good, and I wish you every success in the future. Do let us know which directions your plans take.