Early Retirement - (nearly) one year on

JoeEngland

jim8888 wrote: »

Great post, highlighting some of the less obvious retirement challenges. I convinced myself I was retired at 50 when I was made redundant at work, but after a year I decided to go back to the career I'd pretty much enjoyed. Some of my observations:
1) Sitting at a desk is a killer. I hadn't noticed for 25 years previously, but when I returned to work it was scary, the physical change. (I'd been a regular visitor to the gym on my year out, still am, but I was much more out and about when not working.)
2) Your point about earning v spending is a major psychological challenge. For me, it felt like going from bringing in 2k a month to spending 2k a month instead which, in my book, felt like a 4k a month disparity! Dealing with that, despite spreadsheets telling me I needn't worry, was a worry!
3) Work can be really fulfilling in a way that, say, voluntary work just wasn't. I find it hard to explain why. It was a combination of things for me - money, social, teamwork....plus, I always enjoyed the job I was in, which I know isn't the case for everyone.
4) Having a structure to your day is really important, with defined things to do, people to see, places to go. Otherwise the days just drift, and you find yourself classifying going to the shops to buy some biscuits as a major goal/achievement.
5) Fifty was too young to retire. None of your peers (or none of mine) were in the same position. My wife, part time and enjoying her job, had no interest in giving her job up either, even although she could have. Maybe she was worried of being stuck 24/7 with me (which is only a slight jest).
6) Maybe I didn't stick at being retired long enough. You have to commit to the lifestyle, which can be fantastic. But I just couldn't see myself as retired and fought against it.
7) I chose to go back to work. It's a lot different choosing to work than feeling you have to, and knowing you can leave tomorrow.

Before I was made redundant I was a big fan of the FIRE movement and was making plans along those lines toward that objective. In the end, however, I found I couldn't be a champion for retiring early, but I absolutely would be a cheerleader for ensuring you're Financially Independent.

When do you plan to retire properly, and will anything have changed to make it more bearable for you?

I semi-retired at 49 when a new job didn't work out and I lost confidence in myself to get another FT job. The good thing is it forced me to check my finances thoroughly and it turned out that I had more in pension pots than I thought. Because I'd never taken much notice of their value I just assumed I'd be working till 60 to afford to retire. Having so much free time was great, although I probably didn't make the most of it. Sadly the finances weren't quite ready even with a PT job 1 day a week, but I applied for a FT job as a punt and was pleasantly surprised to get it. Doing that for 2.5yrs (salary and new pension pot) and getting a small redundancy has helped massively, so that less than a year in my new job should be sufficient for me to give up FT work forever. A lot of luck has helped, between me and DW we've had well over 100k from windfalls of various sorts in the last 5-6 years.

Anonymous101

bugslet wrote: »

Water, metered 26.00
Gas and electricity 56.00 British gas dual fuel so would get a better desk but CBA
Rates 79.00(12 months)

Three bed semi

Maybe it’s cheaper in the NW?
We’re in a 4 bed detached and pay.
Gas and lecci £66
Water metered £22
Council tax £150 over the 12 months

MallyGirl

Council tax is £290, water £30, winter fuel £274. Draughty, single glazed, detached Victorian house - the only warm rooms have under floor heating and the rest have radiators (set to frost protection only if not used much) which can't cope. 10 foot high ceilings probably mean it is toasty up there. I work from home so heat & power my office all day, but not the rest of the house.

thriftytracey

JoeEngland wrote: »

I can sympathise with brain fog and how that makes work harder than it has to be. About 20yrs ago I took medication for anxiety and when I came off it a couple of years later it seemed to have permanently affected my memory. And for the last 10yrs I've been on medication for neuralgia which has an advrrse side-effect on memory and cognitive ability. These days I find work much harder because of this but I'm reluctant to tell my manager about it, especially as I'm in the probation period of a new job. Sometimes people probably think I'm an idiot asking certain things even though it's mainly due to the medication wrecking my brain.

Keep hanging in there!

Oooh errr, I too have been on anti-anxiety medication for many years which overall I found very helpful at work. I hope I haven't permanently damaged my memory/cognitive abilities!

thriftytracey

MallyGirl wrote: »

Council tax is £290, water £30, winter fuel £274. Draughty, single glazed, detached Victorian house - the only warm rooms have under floor heating and the rest have radiators (set to frost protection only if not used much) which can't cope. 10 foot high ceilings probably mean it is toasty up there. I work from home so heat & power my office all day, but not the rest of the house.

Since we got a wood burning stove we don't have the CH on unless it is really, really cold (and when we have visitors!). Have saved a lot of money on heating costs. The suppliers were questioning the gas meter readings as if I were lying at one point.... I also WFH 2 days a week and use a Halogen heater in the kitchen which is efficient and cheap to run.


Please - no posts about my carbon pollution LOL.

jamesperrett

Anonymous101 wrote: »

Do you think that if you had a very time consuming hobby, which came with its own social circle and offered structure to your days, say 2-3 days a week, that you might have felt differently about your retirement?

I took early retirement nearly 18 months ago age 55 so that I could look after our young son and build up a music related business. Despite a couple of setbacks in my personal life, I feel that I did the right thing. While I go to bed fairly late and I'm not great at early rising, I find that I sleep much better now. No more waking up at 4am and not getting back to sleep until half an hour before the alarm goes off. I'm lucky in having a DB pension but, if I want to keep to the living standard I had before retirement, I need to bring in a little money from the business but 1 day a week is enough for that to happen. I find I meet all kinds of people through the business and also meeting other parents through my son.

akh43

I am looking to retire in 5 weeks when I reach 60 so reading this and other threads on this forum to try and pick up some useful information and tips.

I will be getting a DB pension of approx £1,070 a month as I am taking the full lump sum of approx £85k (£48k of this is AVC's I have been paying into for past 4 years) these figures are from July 18 quote and have had wage increase since then so new figures will be a little higher. As I have been paying AVC's of £1k a month for past few years I am used to living on approx £200 less than my monthly pension will be and have saved money on that income so I am sure I will manage fine on my pension.

My outgoings are quite low just over £300 a month + food and any extras, but I am sure I will spend more once retired. I don't think my outgoings will drop much when I stop working as main money spent is petrol to get to work I spend very little when there. I also get £200 a month from DS who lives with me as his contribution to household. I have no mortgage, car paid off and no debts and approx £90k savings.

Once I retire my intention is to do some much needed decorating and other work in the house and possibly some holidays and learn to relax more. I like my job and enjoy it but the last few years I just seem to be tired all the time and feel now is the right time for me to retire.

I also have a pension from when I opted out in the late 80's for a few years of approx £25k which I am currently deciding what to do with as not happy where it is.

crv1963

Unfortunately I'm in the same boat as MallyGirl! 600pa water bill, so 50 pm (but we pay every six months), 200 pm gas, 90 pm electric and 120 pm council tax (in reality 100 pm as we then get 2 months no payment).

1920s Art Deco 3 bed bungalow at the top of a hill on it's own in the middle of one of the highest towns in England on the back of the northern pennines. So cold area + 9.5 foot ceilings.

The woodburner is planned- nice UK model with a 95% efficiency rating as long as it has kiln dried wood.

JoeEngland

akh43 wrote: »

I am looking to retire in 5 weeks when I reach 60 so reading this and other threads on this forum to try and pick up some useful information and tips.

I will be getting a DB pension of approx £1,070 a month as I am taking the full lump sum of approx £85k (£48k of this is AVC's I have been paying into for past 4 years) these figures are from July 18 quote and have had wage increase since then so new figures will be a little higher. As I have been paying AVC's of £1k a month for past few years I am used to living on approx £200 less than my monthly pension will be and have saved money on that income so I am sure I will manage fine on my pension.

My outgoings are quite low just over £300 a month + food and any extras, but I am sure I will spend more once retired. I don't think my outgoings will drop much when I stop working as main money spent is petrol to get to work I spend very little when there. I also get £200 a month from DS who lives with me as his contribution to household. I have no mortgage, car paid off and no debts and approx £90k savings.

Once I retire my intention is to do some much needed decorating and other work in the house and possibly some holidays and learn to relax more. I like my job and enjoy it but the last few years I just seem to be tired all the time and feel now is the right time for me to retire.

I also have a pension from when I opted out in the late 80's for a few years of approx £25k which I am currently deciding what to do with as not happy where it is.

That's interesting what you say about being tired all the time. I'm 52 and have noticed in the last couple of years that I feel more tired. Is this something many people in their 50s and working FT experience? In my case it doesn't help that my body clock is late to bed and late to rise, so the weekday alarm has always been a major thorn in my side!

swindiff

All of you guys that mention high levels of stress in your previous employment which caused health issues. Were you particularly well paid and was it worth it at the time? Did high earnings enable you to retire 10 years earlier than would have otherwise been possible? I dont earn a fortune, but not on the poverty line either at just over £40k with a decent DB pension, but my job causes me no stress whatsoever.