Regret retiring too early with not enough money?

Gers

I too 'jumped' at my 'previous SP age of 60 when my FS pension could be taken. .Took it. Moved 250 miles back to Scotland, took a fixed term contract for 18 months and then, in March 2015 finally finished full time work. Now I do part time (very) and casual work which keeps the gin stock up and my skill set fresh. My new SP date is 2019 so a way to go yet.

Best thing ever. Yes, budgeting is involved though it's fairly simple to do. I got advice here which said to try living on your reduced income for six months before jumping, which I did.

Take the chance when you can. My only sibling died aged 57 and one of my nephews died this year aged 34. Time won't wait for you.

Go...have a good time.

marlot

Yorkshirebornandbred wrote: »

It feels as though I need to achieve my number plus 20% to be sure.
...
I have to say I thought it would be easier to make the leap than it has proved to be. Thankfully I still enjoy my work.

Yes, its hard to judge what the impact of inflation will be - that's the main reason I didn't go a year ago. I have a smaller margin than you, but do have the benefit of half my income coming from DB pensions (so some measure of index linking/protection from the markets). I'm also assuming that after a few years, my annual spend will drop [though rise again if one of us needs care].

Yorkshirebornandbred

To me it feels like there are so many unknown variables to take into account, before deciding to retire, that it is likely to lead to "one more year syndrome". As well as inflation you have to consider:-

future investment returns
personal spending requirements for decades ahead
Personal health and family traumas

It is just easier to prevaricate and push the decision back a bit. However, you are losing time while you are gaining money that you may not need. Hey ho, it is still a nice position to be in and I am sure that we all have plenty of friends who have no choices available other than to keep working forever.

coyrls

chiefie wrote: »

Anyone got any stories of how much they or someone they know underestimated THEIR need in retirement - this is the scenario I need to avoid. Part of me thinks I'll spend less on bits and bobs but miss the big items

I retired a couple of years ago at 59, with only DC pensions. So far I’ve spent less than I budgeted for without consciously reducing my living standard. My defence against potential overspend or excessive drawdown is a mental list of discretionary spending which I know that I could easily cut out if required.

Like others, I’m not really interested in world cruises; my holiday project is completing the South West Coast path, something that I find much more rewarding than sitting in the sun.

Triumph13

coyrls wrote: »

Like others, I’m not really interested in world cruises; my holiday project is completing the South West Coast path, something that I find much more rewarding than sitting in the sun.

The path sounds wonderful. Unfortunately I have a dodgy foot that means my long distance footpath days are over.
I am planning several cruises such as the Norwegian Fjords, the Great Glen and various European rivers. I haven't quite decided on the degree of luxury yet though. Do I take a tent in the canoe or just a tarp? Decisions, decisions.

Xbigman

Not owning your own home and renting is an early retirement killer. To be honest its a general retirement killer too.
65, check.
State Pension, check.
Housing benefit forms, aaargh.

Seriously, its not just renting. My retirement plans must include enough for a new roof (house built in 1970) and a new boiler (last replaced in 2001). When you need to ring fence money the lump sum you need gets a lot bigger.
Currently I'm 54 in Feb and as of 1st Jan I'll be on 3 nights a week. I'm telling everyone its semi retirement. That usually gets a smile.



Darren

moneyistooshorttomention

Xbigman wrote: »

Not owning your own home and renting is an early retirement killer. To be honest its a general retirement killer too.
65, check.
State Pension, check.
Housing benefit forms, aaargh.

Seriously, its not just renting. My retirement plans must include enough for a new roof (house built in 1970) and a new boiler (last replaced in 2001). When you need to ring fence money the lump sum you need gets a lot bigger.
Currently I'm 54 in Feb and as of 1st Jan I'll be on 3 nights a week. I'm telling everyone its semi retirement. That usually gets a smile.



Darren

A very valid point re renting reduces the options drastically for retirement early - or even bang on time.

I'm surprised at your comment about ring-fencing money for a new roof though? I thought roofs were supposed to last around 100 years - and you say your house is a 1970 one (ie its only 46 years old):eek:.

My last house was a Victorian terrace house and, when I bought it in the 1980s, I could see that some of the nearby roofs had been done and some hadn't. In the event - my roof made it through until the 1990s - so was around 110 years old at the time it "gave up the ghost" and I had to have it replaced.

atush

I love a long haul holiday, i go home to America at least once per year.

But i'd never do a world cruise. More than a week on a cruise (maybe 10 days) and i'd probably be more than ready to get off.

I dont like staying in hotels for more than a week either. I find you eat more, eating out like that. Plus your clothes are dirty (hate sending the to hotel laundry as they get ruined). Just dont like it. 3-5 days is good to me.

nearlyrich

I left at the end of June 10 days before I was 55 (that was my goal) I have not a single day of boredom and I have spent less than I thought I would. Not had any major exotic trips yet but we have 2 planned for 2017 I haven't taken any money from my investments or from my pension funds yet still living on my running away fund and my tax refund..

Stubod

I always wanted to go "early"...but found it was always "one more year". However last week I did it and have now finished work. My concern was always "have we got "enough", particularly as I only have old frozen pensions that are not indexed linked. I have therefore based my financial plans on a minimum amount per year (£25k), assume ongoing inflation of 5% per annum, and 0% interest on savings and investments, (ie hopefully worst case(?). I have worked full time all my life and find it a real shock to the system to not have to think about work, but hopefully I will get used to it.!