Everyday Ordinary Man Approaching Full Retirement at 59.

Gers

excelpaul wrote: »

After June 30th when I intend to fully retire from teaching I have decided to spend 5 months just relaxing, reflecting and maybe putting together some ideas for the next stage of my life. Determined not to rush it or follow a strict timetable. I have had a lifetime of timetables and bells!! I also need time to 'heal' both mentally and physically.


I may decide to do something part-time or ad hoc after that. The great thing is that I will have a choice!!

I retired from education in March 2014 determined that I'd had enough. After about six months my mind and body were both bored with my highly anticipated pasts ime of watching the tide go out and come in again. Now I work approx four hours a week at my local FE college. Enough to make me glad I don't have to do it and to keep me in pin money (gin and whisky if you're interested).

I also do volunteer driving as my locale is very remote so public transport is either non-existent, infrequent or not in the correct place.

I love this phase of my life. Being productive without the responsibility or requirement of full time employment is simply brilliant. My SP will not arrive for another two and a bit years though I manage well on my occupational pension and savings. Savings not going down because of current account interest so far.

fatbeetle

I'm now awaiting confirmation of my "long service leave" entitlement, to get a more reasonable forecast of when I will leave. It's pleasantly scary. (LSL accrues at the rate of nine calendar days for each year of service. After 10 years of effective service an employee will be entitled to 3 months full pay LSL.)

According to my calculations, I may have 4.2 months at full pay. This would set my leaving date at Dec 1st 2017, and my return to Blighty as 22/2/18, (the day after my daughter's birthday.)

I may decide to take it at 1/2 pay, and stretch it out for 8 months.

(More info on my situation can be found in this thread at #17, in case anyone is wondering what I'm blathering on about!)

System

Many apologies about the lack of recent posts but I have been very busy as well as taking stock after the first few difficult weeks of 2017.
Thought I would make a quick comment about use of financial advisors though. This has been debated quite a bit on another forum I read on the TES website. I am not sure why so many people pay out so much money using them. I sorted myself without help of financial advisors. Internet, personal research and some common sense are all that you need. Come on most of us are blessed with some common sense and experience of life! Be sure of your goals and just work to achieve them. Although for me it is not all about maximising financial returns (Shock!! Horror!!) but ensuring quality time for me and my family which need not be that expensive!
Maybe if you have extremely large sums to deal with but for most of us trusting ourselves should be enough.

Katiehound

Well I have used a financial adviser for many years.
I first used him when my mother went into care and I had to sell her property and then invest the money to pay the care home and then nursing home fees. It was very helpful to have someone with whom to discuss the way forward and I was impressed with his advice. At the start it was to make capital growth and then as time went on it was to just make as much as possible!

Since then he has been in charge of my portfolio which has grown very nicely, thank you. I know full well I would not have made such wise decisions on my own because I made some smaller investments and lost money! Using his advice I also invested with execution only stockbrokers. If you use them you get a share of their commission.
As far as I am concerned it is money well spent, I would not and do not want to spend my time reading the FT from cover to cover!!!

System

Hi Katiehound
Thanks for your reply. I believe in your particular case the help of a financial advisor made absolute sense. I just feel that in some cases people are capable of making reasonable financial decisions on their own. Hopefully I didn't come across as pontificating! Just giving a personal opinion. Take care.

System

Dear all
As the end of February approaches I only have 4 months to go until my fixed term part time contract finishes. To be honest I am getting a bit wobbly about finances even though deep down I know I shouldn't be! I think I have been reading the pensions forum too much and feeling useless when reading about some of the large amounts some posters have managed to accumulate on there. Some seem to dither even with these dream amounts!


However I know I need to stop work at least for a while. I feel so much better working part-time and I am looking forward so much to having the freedom to choose what I want to do. After the death of my father I realise even more that time is precious and cannot be bought for any money in the world. Why do I worry!!?


I have no debt, house is paid for and will have sufficient monthly income until 66 when it will further increase when the state pension kicks in.
Anybody else feel the same? Anyone else in similar position to me financially and doing just fine? Please do share your experiences. Am I over thinking this? Am I just feeling strange about not having to go to work!


On reflection I think it is more to do with feeling I have not saved enough over the years rather than income.
Anyway I will continue with my plan to have what I will call core savings from April when I can contribute more to my ISAs.
Plan is to have about £16000 in my cash ISA and move towards increasing my S&S ISA to this amount in next 12 months. (Incidentally this seems to be doing very well at the moment) It is in a low risk fund aimed at long term growth. I plan to leave it for at least 7years. I may drip feed smaller amounts into this from time to time. I will also leave a few thousands in premium bonds. No risk and you never know!


The rest, which isn't much, will form the basis of my fun and back up money for a while. I will also add a little each month to this to help fund one offs like Insurances, Car MOT, Christmas and Birthdays etc...
I also intend to pay voluntary NI contributions over 7 years to ensure I qualify for the full amount of state pension from 2024.


I have also decided to take July to December to rest and reflect. I will also do those little jobs I don't usually have time to do as well ask enjoy the garden and oversee a couple of house improvements( to be undertaken by others!!)


Come next January I feel I will be in a better position/frame of mind to look at where I want to go next. To see if part-time work appeals etc.. I will also know by then how the finances are turning out. Of course I might just be enjoying being in total control of what I do and when!


Actually feel better having written all this down. Would be great to hear from others.


Take care.

bugslet

Hi Paul

Just read your thread and very interesting to see yours and other thoughts.

I'm sorry to hear of your father's passing, it does make you think about how much to work and I hope you also can remember the happy times you had rather than dwell on his illness.

I'm 52 and dithering at the moment. I have promised my main client three more years, but really there are days when I'd like to go tomorrow. I was approached to sell the business last year by one of my competitors or in theory I could probably just walk away and have a reasonable amount left £300k-ish????, though absolutely no real idea on tax situation.

Little in savings, really just 6 months living and around 25k mortgage left. Around 300k in private pension and apparently ( I had no idea until last week), that I never opted out of anything so luckily I get the full amount of £175.00 State pension at 67.

I do have an IFA and have done for around 20 years, his advice has been invaluable, I never, and still don't, wante the hassle of looking at investing money.

I think you've made your mind up, but are having an understandable wobble and need some people to just give you a bit of an internet push;). You may find after a few months that you find some part time work that you enjoy, that you would never have come across if you hadn't had the time to look.

WeeMidgie

Hi Paul, as mentioned before, I'm retiring at 63, end of April, with 2.5 years to SPA. I am already working part time, have done for a few years, but fatigue is still a huge issue. have an NHS pension in the interim of £395 per month, plus will use savings. I'm used to living on modest means, and the house and car are paid for. Over the years I've adjusted to a new sense of what is "enough", by simplifying and downshifting where possible.

What I'll need to get used to is seeing my savings go down during that 2.5 years. I've taken that on board intellectually, but in practice reversing the flow after years of saving will feel odd, I'm sure! However, I don't feel that staying in work would be beneficial to me or to the organisation I've been working for. This sort of instance, and the chance to put family first, are what rainy day funds are for. I have approx £128,000 cash savings, sounds a lot but interest rates are low and it has to last the rest of my life! It's staying in cash until I decide if I will live with family overseas permanently.

I'm looking forward to the physical and mental release of retirement, and like you intend a period of pottering domestically and an undemanding life, getting small jobs done in house and garden, prior to heading off abroad to visit family for a few months, again on a modest budget.

My outgoings are approx £280 per month not including food. I'll keep the car which is economical on petrol, approx 60 mpg. However, when the weather's good, and for non local trips, I'll use my older person's bus pass (I live in Scotland). My social life has bloomed since I joined the U3A a few years ago, and at 50 p per session, is cheap, or rather, beyond price!

I wish you well with the unfolding journey. You've clearly thought it all through, and I can identify with a bit of trepidation, but more with the needing to stop work and the sense of relief and freedom that will bring.

Katiehound

Hi Paul
I know you didn't want to do it, but when you have time on your hands you may well want to do a little 'play the current a/cs' game!! especially if you are having a money panic.

Interest has been cut recently, chiefly with the Lloyds group but some of your hard earned money could be earning 3% and interest is paid out monthly. Certainly in these times 'every penny helps!' to coin that well worn phrase. So if you have money in a cash ISA or 2 you might like to think about it........take a few £ks out and dabble in those current a/cs, some of the monthly regular savers even paying 5%! Riches indeed.

Time to make your bucket list.
Decide what you really REALLY want to do.... and start planning.
Not everything costs big bucks, there are good deals around you just have to look.
If you have been frugle most of your life old habits die hard.

Best wishes for a great summer ahead
Katiehound (and the houndgang!!)

Salfordkid

Hi Paul , Thanks for sharing your plans , you tell it very well . I am already retired , but will have a go at writing my story , not as well as you . :cool:

My story starts in 2005 , I was 51 and had a heart bypass . My wife and I thought it would be good to retire early , but with ten years to go on the mortgage there seamed no way . We used to watch "A Place in the Sun" and after seeing the price of houses in France we thought we could sell up , pay off the mortgage and buy a house for cash in France , so that is what we did .
Taking my works pension early , obviously greatly reduced . My wife got early voluntary redundancy so had a good pension . After 4 years in France we decided the winters were too cold for us , so looked for somewhere warmer and decided on Cyprus . No way could we afford to buy a villa so we decided to live out our days renting one . Just one more year till I get my state pension . Really enjoy being retired , good luck with yours .