Regret retiring too early with not enough money?

marlot

mikeeboy wrote: »

...It's no surprise that there's so many positive posts from the baby boomer generation. How will this thread look in 20 years time. In 40 years time, when the draw down money has run out, this thread could look really different...

ex-pat_scot wrote: »

The more they saved, the luckier they got.
Frankly (and in very general terms) they were disciplined in not getting into debt, not borrowing to finance expenditure (apart from property), and saving diligently towards their retirement from an early age.

I qualify at the end of that baby boomer generation.

I planned to retire early, back when I was about 30 (53 now), and started saving towards it.

Every bonus I received went to my pension. Whenever I got a payrise, most of it went into my pension. When I paid off the mortgage, I increased my pension payments. For a couple of years at the peak, 65% of my gross pay was going into pension!

Then I was made redundant at 49. Fortunately, I'd built up a buffer of savings and was able to ride it out. I took a job that pays half of what I used to earn, and have dropped my pension savings back down. But I hugely appreciate the savings that I made in the good times.

I borrowed to buy a house in 1989 - at interest rates that peaked at 15%. I worked through the crash that meant that first house that I bought for £60k was sold for £40k in 1995 (when I was on an annual salry of £15k).

I've taken on two personal loans in my life. And both were cleared well ahead of schedule - I hate debt.

The more I save, the luckier I seem to get!

atush

chiefie wrote: »

I agree on the generational thing. Some on low incomes don't have these choices and I think something has to be done more than today to get employers to pay more in. They should have a responsibility to the longevity of society if they want to profit now.

The problem is also that we are inundated with advertising to spend now as it will make us lovely and bright like the people on tv. Not too much to incentivise to give something up now for a better life in 40 years 😔

Just as well something has been done about forcing employers to have workplace pensions and pay more in.

Auto enrollment ahs started ad the employer contribs will be rising.

Advertising has always been there, as has keeping up with the Jones. What has changed is many now have no tolerance for delayed gratification.

jerrysimon

atush wrote: »

What has changed is many now have no tolerance for delayed gratification.

Aint that the truth!

Jerry

bugslet

marlot wrote: »

I qualify at the end of that baby boomer generation.

I planned to retire early, back when I was about 30 (53 now), and started saving towards it.

Every bonus I received went to my pension. Whenever I got a payrise, most of it went into my pension. When I paid off the mortgage, I increased my pension payments. For a couple of years at the peak, 65% of my gross pay was going into pension!

Then I was made redundant at 49. Fortunately, I'd built up a buffer of savings and was able to ride it out. I took a job that pays half of what I used to earn, and have dropped my pension savings back down. But I hugely appreciate the savings that I made in the good times.

I borrowed to buy a house - at interest rates that peaked at 15%. I worked through the crash that meant that first house that I bought for £60k was sold for £40k (when I was on an annual salry of £15k).

I've taken on two personal loans in my life. And both were cleared well ahead of schedule - I hate debt.

The more I save, the luckier I seem to get!

Slightly younger than you by a few months.

I started my first pension age 25 with a whole £25.00 a month - hey, I was really badly paid then and yes I went through the 15% mortgage rate.

But I had started one and that was the important bit for me.

Then I started my own business and I have no idea what happened to my 30s, it was only in my 40s that I could start to pay myself an average wage and really put in money to a pension. In a way I'm now playing catch up with pensions.

I'm only 8 years older than you, it's a path that was open to you and to people in their 20s.

k6chris

On the cusp of PD (Pension Deployment) and have been taking the opportunity to grill people about their recent retirement experiences. There is a common theme developing that some expenses rise (vs when they were employed), ranging from heating costs (makes sense) and latte / cake costs (makes sense to me too!!).

What other 'unexpected' costs (vs the planning spreadheets) have retirees experienced??

chucknorris

k6chris wrote: »

I have plenty of dull and unintersting things I want to do, like walking, cycling, running but very few of these activities would allow me to post exotic photos on Facebook..... The received wisdom is I will be bored if I retire early (with not enough to boast about)

I'm the same, in what I really like doing, doesn't happen to cost that much, like jogging, hiking, walking, (the last 3 usually with my dog), cycling, bowls, cinema and meeting up with friends, but I really don't care what others might think:

Crashy_Time wrote: »

People on benefits have more interesting days than you

As glamorous as it mean seem, I just can't get into trying new things like drinking buckfast and watching the Jeremy Kyle show (that was aimed at Crashy, not at people on benefits).

AnotherJoe

I see this thread is getting back on topic, I'm only 5 weeks into retirement and there aren't enough days in the week to get done what I want to do, so I won't have any time to be bored for the forseeable, indeeed I can see I will have to schedule days in when I'm not going to do anything in order to feel I've retired !

My main unexpected expense at the moment is enriching the likes of B&Q and Wickes as I catch up with a few years of neglect in the garden and round the house, nothing serious but stuff I didn't fancy doing when I oniy had a weekend of precious leisure. Now ironically I seem to have less what with the additional DIY, time for hobbies, and meeting old friends that was more difficult beforehand when I only had a weekend. But as some if them are far flung that takes up a fair bit of time.

Pllus more money on meals out since I didn't fancy cooking after spending a day chopping a tree down or painting fences and the shed etc ( meals out varying from restaurants to the local chippie) . I dare say this will even out the other side of xmas.

I've also joined a gym and will have to schedule that in as well. But that expense is covered because I won't be buying any suits or work shirts or posh shoes (a lot of those have gone to charity shops) so that's a wash. I also expect to be on first name terms with the people who run the local dump since another chores thats been put off a long time is sorting out garage and loft.

Also planning to go to one car instead of two, I'm just waiting for electric cars to hit the 250 mile range at my "affordability" level. Probably thats two years away. But that will likely be an overall larger cost to buy even if running expenses will drop.

And to answer the OPs question, am I regretting it, hello no I may have a bunch of stuff to do but I can do it when I want, not on someone else's schedule and if I don't fancy doing it, I won't, I can always do it another day.

But I would say, whilst there is always the danger of JOMY* syndrome, if that means you don't have to watch every penny or worry if you can afford to buy a new saw to help "prune" that overgrown tree, you just do it, it will be worth it for a many more carefree years once retired. And it also can give you a buffer so if the markets tank you aren't fretting every minute.

*Just don't overdo Just One More Year. Keep it to One if you think you are ready now but want that little bit of reassurance.

chucknorris

AnotherJoe wrote: »

I see this thread is getting back on topic, I'm only 5 weeks into retirement and there aren't enough days in the week to get done what I want to do, so I won't have any time to be bored for the forseeable, indeeed I can see I will have to schedule days in when I'm not going to do anything in order to feel I've retired !

My main unexpected expense at the moment is enriching the likes of B&Q and Wickes as I catch up with a few years of neglect in the garden and round the house, nothing serious but stuff I didn't fancy doing when I oniy had a weekend of precious leisure. Now ironically I seem to have less what with the additional DIY, time for hobbies, and meeting old friends that was more difficult beforehand when I only had a weekend. But as some if them are far flung that takes up a fair bit of time.

Pllus more money on meals out since I didn't fancy cooking after spending a day chopping a tree down or painting fences and the shed etc ( meals out varying from restaurants to the local chippie) . I dare say this will even out the other side of xmas.

I've also joined a gym and will have to schedule that in as well. But that expense is covered because I won't be buying any suits or work shirts or posh shoes (a lot of those have gone to charity shops) so that's a wash. I also expect to be on first name terms with the people who run the local dump since another chores thats been put off a long time is sorting out garage and loft.

Also planning to go to one car instead of two, I'm just waiting for electric cars to hit the 250 mile range at my "affordability" level. Probably thats two years away. But that will likely be an overall larger cost to buy even if running expenses will drop.

And to answer the OPs question, am I regretting it, hello no I may have a bunch of stuff to do but I can do it when I want, not on someone else's schedule and if I don't fancy doing it, I won't, I can always do it another day.

But I would say, whilst there is always the danger of JOMY* syndrome, if that means you don't have to watch every penny or worry if you can afford to buy a new saw to help "prune" that overgrown tree, you just do it, it will be worth it for a many more carefree years once retired. And it also can give you a buffer so if the markets tank you aren't fretting every minute.

*Just don't overdo Just One More Year. Keep it to One if you think you are ready now but want that little bit of reassurance.

I took a slightly different option, and dropped down to one day a week, which gives me an interest in work, but plenty of 'me time'.

AnotherJoe

chucknorris wrote: »

I took a slightly different option, and dropped down to one day a week, which gives me an interest in work, but plenty of 'me time'.

That would not have been an option in my job, though probably it is for many. I'm also uneasy at the thought that i couldn't just spontaneously decide to go away whenever i fancied, I'd always have to schedule it weeks or months in advance (unless its a very casual arrangement).

chucknorris

AnotherJoe wrote: »

That would not have been an option in my job, though probably it is for many. I'm also uneasy at the thought that i couldn't just spontaneously decide to go away whenever i fancied, I'd always have to schedule it weeks or months in advance (unless its a very casual arrangement).

To be honest I think that I will actually prefer working one day per week to full retirement, although it does mean that we can only spend 5 weeks in Spain/Algarve during the break between semester one and two. If we get to really like going there (this year will be the first longish winter break there), and we want to stay longer in future years, I will reluctantly retire.