It's time to start digging up those Squirrelled Nuts!!!!

quirkydeptless

Sea_Shell said:

I guess our pot is going to get its “stress test” over the next couple of years.  

 

https://www.youtube.com/watch?v=1_zYeDs0VQ4

michaels

Sea_Shell said:

Half yearly update.

Well investments, as we all know, have taken a hammering these last couple of weeks (months?), and ours are no exception.  Our Rathbones has been hardest hit, down 27% from the November high.  However, the long view (back) doesn’t look too bad.  We will continue to sit on our hands and do nothing, other than move our cash element around for better rates.

 

We’re averaging about 1.9% interest on all our cash, in various places, including some locked away for 6mths, some for a year, and a good chunk still instant access.

 

It’s been almost 3 years since we had the last wage hit our accounts, and we started this journey with a pot of £536,000.   During that time we’ve spent £41,000.   So really, any current pot over £495,000 is a bonus!!

 

Well, the figures are in and the current pot stands at £572,000.   Not too shabby, even if that is down by £56k from this time last year.

 

Untouched pensions - £291.7k

S&S ISAs - £190k

DD pension - £36.8k (being drawn at £1150 per month)

Cash - £53.5k

 

I guess our pot is going to get its “stress test” over the next couple of years.  

 

So far this year, we’ve spent £6500.   Including 3 UK short breaks.   The second half of the year is backloaded though, with insurances, car service etc all due later on.   Hope to have another 3 short breaks in Sept/October.

Thanks for your update, just checked the CPI data and your £572k pot is worth £511k in 2019 pounds so a bit (5%) down form the £536k you had at the start. 

To fund a 50 year retirement you would by definition want 2% pa real terms reduction. 

However as you have other pension entitlement kicking in in future you don't need to just extrapolate 50 years from this pot I think?

Sea_Shell

michaels said:

Sea_Shell said:

Half yearly update.

Well investments, as we all know, have taken a hammering these last couple of weeks (months?), and ours are no exception.  Our Rathbones has been hardest hit, down 27% from the November high.  However, the long view (back) doesn’t look too bad.  We will continue to sit on our hands and do nothing, other than move our cash element around for better rates.

 

We’re averaging about 1.9% interest on all our cash, in various places, including some locked away for 6mths, some for a year, and a good chunk still instant access.

 

It’s been almost 3 years since we had the last wage hit our accounts, and we started this journey with a pot of £536,000.   During that time we’ve spent £41,000.   So really, any current pot over £495,000 is a bonus!!

 

Well, the figures are in and the current pot stands at £572,000.   Not too shabby, even if that is down by £56k from this time last year.

 

Untouched pensions - £291.7k

S&S ISAs - £190k

DD pension - £36.8k (being drawn at £1150 per month)

Cash - £53.5k

 

I guess our pot is going to get its “stress test” over the next couple of years.  

 

So far this year, we’ve spent £6500.   Including 3 UK short breaks.   The second half of the year is backloaded though, with insurances, car service etc all due later on.   Hope to have another 3 short breaks in Sept/October.

Thanks for your update, just checked the CPI data and your £572k pot is worth £511k in 2019 pounds so a bit (5%) down form the £536k you had at the start. 

To fund a 50 year retirement you would by definition want 2% pa real terms reduction. 

However as you have other pension entitlement kicking in in future you don't need to just extrapolate 50 years from this pot I think?

I'm not quite sure what you're saying?  Inflation skewing the figures?

Looking back and extrapolating what's been is of limited use, admittedly.

Maybe a "day 1" viewpoint from now is more appropriate?   

Yes, this pot only has to last 9 years, before DB pensions do the heavy lifting 😉

We'd rather not blow through it mind!! 😂

Audaxer

Sea_Shell said:

michaels said:

Sea_Shell said:

Half yearly update.

Well investments, as we all know, have taken a hammering these last couple of weeks (months?), and ours are no exception.  Our Rathbones has been hardest hit, down 27% from the November high.  However, the long view (back) doesn’t look too bad.  We will continue to sit on our hands and do nothing, other than move our cash element around for better rates.

 

We’re averaging about 1.9% interest on all our cash, in various places, including some locked away for 6mths, some for a year, and a good chunk still instant access.

 

It’s been almost 3 years since we had the last wage hit our accounts, and we started this journey with a pot of £536,000.   During that time we’ve spent £41,000.   So really, any current pot over £495,000 is a bonus!!

 

Well, the figures are in and the current pot stands at £572,000.   Not too shabby, even if that is down by £56k from this time last year.

 

Untouched pensions - £291.7k

S&S ISAs - £190k

DD pension - £36.8k (being drawn at £1150 per month)

Cash - £53.5k

 

I guess our pot is going to get its “stress test” over the next couple of years.  

 

So far this year, we’ve spent £6500.   Including 3 UK short breaks.   The second half of the year is backloaded though, with insurances, car service etc all due later on.   Hope to have another 3 short breaks in Sept/October.

Thanks for your update, just checked the CPI data and your £572k pot is worth £511k in 2019 pounds so a bit (5%) down form the £536k you had at the start. 

To fund a 50 year retirement you would by definition want 2% pa real terms reduction. 

However as you have other pension entitlement kicking in in future you don't need to just extrapolate 50 years from this pot I think?

I'm not quite sure what you're saying?  Inflation skewing the figures?

Looking back and extrapolating what's been is of limited use, admittedly.

Maybe a "day 1" viewpoint from now is more appropriate?   

Yes, this pot only has to last 9 years, before DB pensions do the heavy lifting 😉

We'd rather not blow through it mind!! 😂

My pot has fallen in actual value by 9.2% this year. It would look worse than that on my investments spreadsheet if I reduced it by another 10% for inflation as well  .

So although I just look at the actual value of my investments, I'm obviously concerned about inflation, and if I spent an extra 10% this year that would be reflected on my spend side of my spreadsheet and forecast future spend. While my spending on things like energy will obviously increase, I'm fairly sure my overall spend will increase by less than 10% this year.

@Sea-Shell, I'm sure you will be okay anyway, but I would guess your spending is also likely to increase by less than inflation?

michaels

Sea_Shell said:

michaels said:

Sea_Shell said:

Half yearly update.

Well investments, as we all know, have taken a hammering these last couple of weeks (months?), and ours are no exception.  Our Rathbones has been hardest hit, down 27% from the November high.  However, the long view (back) doesn’t look too bad.  We will continue to sit on our hands and do nothing, other than move our cash element around for better rates.

 

We’re averaging about 1.9% interest on all our cash, in various places, including some locked away for 6mths, some for a year, and a good chunk still instant access.

 

It’s been almost 3 years since we had the last wage hit our accounts, and we started this journey with a pot of £536,000.   During that time we’ve spent £41,000.   So really, any current pot over £495,000 is a bonus!!

 

Well, the figures are in and the current pot stands at £572,000.   Not too shabby, even if that is down by £56k from this time last year.

 

Untouched pensions - £291.7k

S&S ISAs - £190k

DD pension - £36.8k (being drawn at £1150 per month)

Cash - £53.5k

 

I guess our pot is going to get its “stress test” over the next couple of years.  

 

So far this year, we’ve spent £6500.   Including 3 UK short breaks.   The second half of the year is backloaded though, with insurances, car service etc all due later on.   Hope to have another 3 short breaks in Sept/October.

Thanks for your update, just checked the CPI data and your £572k pot is worth £511k in 2019 pounds so a bit (5%) down form the £536k you had at the start. 

To fund a 50 year retirement you would by definition want 2% pa real terms reduction. 

However as you have other pension entitlement kicking in in future you don't need to just extrapolate 50 years from this pot I think?

I'm not quite sure what you're saying?  Inflation skewing the figures?

Looking back and extrapolating what's been is of limited use, admittedly.

Maybe a "day 1" viewpoint from now is more appropriate?   

Yes, this pot only has to last 9 years, before DB pensions do the heavy lifting 😉

We'd rather not blow through it mind!! 😂

Looking at it in today's money, the 536k you had in 2019 could have bought the same as 600k can buy today.

So in today money terms your pot is down from 600k to 572k.

But you clearly have more than enough to last another 9 years

Audaxer

michaels said:

Sea_Shell said:

michaels said:

Sea_Shell said:

Half yearly update.

Well investments, as we all know, have taken a hammering these last couple of weeks (months?), and ours are no exception.  Our Rathbones has been hardest hit, down 27% from the November high.  However, the long view (back) doesn’t look too bad.  We will continue to sit on our hands and do nothing, other than move our cash element around for better rates.

 

We’re averaging about 1.9% interest on all our cash, in various places, including some locked away for 6mths, some for a year, and a good chunk still instant access.

 

It’s been almost 3 years since we had the last wage hit our accounts, and we started this journey with a pot of £536,000.   During that time we’ve spent £41,000.   So really, any current pot over £495,000 is a bonus!!

 

Well, the figures are in and the current pot stands at £572,000.   Not too shabby, even if that is down by £56k from this time last year.

 

Untouched pensions - £291.7k

S&S ISAs - £190k

DD pension - £36.8k (being drawn at £1150 per month)

Cash - £53.5k

 

I guess our pot is going to get its “stress test” over the next couple of years.  

 

So far this year, we’ve spent £6500.   Including 3 UK short breaks.   The second half of the year is backloaded though, with insurances, car service etc all due later on.   Hope to have another 3 short breaks in Sept/October.

Thanks for your update, just checked the CPI data and your £572k pot is worth £511k in 2019 pounds so a bit (5%) down form the £536k you had at the start. 

To fund a 50 year retirement you would by definition want 2% pa real terms reduction. 

However as you have other pension entitlement kicking in in future you don't need to just extrapolate 50 years from this pot I think?

I'm not quite sure what you're saying?  Inflation skewing the figures?

Looking back and extrapolating what's been is of limited use, admittedly.

Maybe a "day 1" viewpoint from now is more appropriate?   

Yes, this pot only has to last 9 years, before DB pensions do the heavy lifting 😉

We'd rather not blow through it mind!! 😂

Looking at it in today's money, the 536k you had in 2019 could have bought the same as 600k can buy today.

So in today money terms your pot is down from 600k to 572k.

But you clearly have more than enough to last another 9 years

I think the fact that her pot is now larger than it was in 2019 despite the recent falls in value, and after having drawn out £41,000 in spending over that time, shows a really good performance from her portfolio to date.

Alice_Holt

michaels said:

Sea_Shell said:

michaels said:

Sea_Shell said:

Half yearly update.

Well investments, as we all know, have taken a hammering these last couple of weeks (months?), and ours are no exception.  Our Rathbones has been hardest hit, down 27% from the November high.  However, the long view (back) doesn’t look too bad.  We will continue to sit on our hands and do nothing, other than move our cash element around for better rates.

 

We’re averaging about 1.9% interest on all our cash, in various places, including some locked away for 6mths, some for a year, and a good chunk still instant access.

 

It’s been almost 3 years since we had the last wage hit our accounts, and we started this journey with a pot of £536,000.   During that time we’ve spent £41,000.   So really, any current pot over £495,000 is a bonus!!

 

Well, the figures are in and the current pot stands at £572,000.   Not too shabby, even if that is down by £56k from this time last year.

 

Untouched pensions - £291.7k

S&S ISAs - £190k

DD pension - £36.8k (being drawn at £1150 per month)

Cash - £53.5k

 

I guess our pot is going to get its “stress test” over the next couple of years.  

 

So far this year, we’ve spent £6500.   Including 3 UK short breaks.   The second half of the year is backloaded though, with insurances, car service etc all due later on.   Hope to have another 3 short breaks in Sept/October.

Thanks for your update, just checked the CPI data and your £572k pot is worth £511k in 2019 pounds so a bit (5%) down form the £536k you had at the start. 

To fund a 50 year retirement you would by definition want 2% pa real terms reduction. 

However as you have other pension entitlement kicking in in future you don't need to just extrapolate 50 years from this pot I think?

I'm not quite sure what you're saying?  Inflation skewing the figures?

Looking back and extrapolating what's been is of limited use, admittedly.

Maybe a "day 1" viewpoint from now is more appropriate?   

Yes, this pot only has to last 9 years, before DB pensions do the heavy lifting 😉

We'd rather not blow through it mind!! 😂

Looking at it in today's money, the 536k you had in 2019 could have bought the same as 600k can buy today.

So in today money terms your pot is down from 600k to 572k.

    How have you accounted for the monies drawn from the pension account between 2019 and today?
   
      Your numbers look much too simplistic to me, can you build in the £41k drawn from the £536k pension for living expenses for the 3 years and then recalculate your equation, please?

Sea_Shell

Alice_Holt said:

michaels said:

Sea_Shell said:

michaels said:

Sea_Shell said:

Half yearly update.

Well investments, as we all know, have taken a hammering these last couple of weeks (months?), and ours are no exception.  Our Rathbones has been hardest hit, down 27% from the November high.  However, the long view (back) doesn’t look too bad.  We will continue to sit on our hands and do nothing, other than move our cash element around for better rates.

 

We’re averaging about 1.9% interest on all our cash, in various places, including some locked away for 6mths, some for a year, and a good chunk still instant access.

 

It’s been almost 3 years since we had the last wage hit our accounts, and we started this journey with a pot of £536,000.   During that time we’ve spent £41,000.   So really, any current pot over £495,000 is a bonus!!

 

Well, the figures are in and the current pot stands at £572,000.   Not too shabby, even if that is down by £56k from this time last year.

 

Untouched pensions - £291.7k

S&S ISAs - £190k

DD pension - £36.8k (being drawn at £1150 per month)

Cash - £53.5k

 

I guess our pot is going to get its “stress test” over the next couple of years.  

 

So far this year, we’ve spent £6500.   Including 3 UK short breaks.   The second half of the year is backloaded though, with insurances, car service etc all due later on.   Hope to have another 3 short breaks in Sept/October.

Thanks for your update, just checked the CPI data and your £572k pot is worth £511k in 2019 pounds so a bit (5%) down form the £536k you had at the start. 

To fund a 50 year retirement you would by definition want 2% pa real terms reduction. 

However as you have other pension entitlement kicking in in future you don't need to just extrapolate 50 years from this pot I think?

I'm not quite sure what you're saying?  Inflation skewing the figures?

Looking back and extrapolating what's been is of limited use, admittedly.

Maybe a "day 1" viewpoint from now is more appropriate?   

Yes, this pot only has to last 9 years, before DB pensions do the heavy lifting 😉

We'd rather not blow through it mind!! 😂

Looking at it in today's money, the 536k you had in 2019 could have bought the same as 600k can buy today.

So in today money terms your pot is down from 600k to 572k.

    How have you accounted for the monies drawn from the pension account between 2019 and today?
   
      Your numbers look much too simplistic to me, can you build in the £41k drawn from the £536k pension for living expenses for the 3 years and then recalculate your equation, please?

That's because we've only been in drawdown for 3 months!!!

DH has taken a smaller pension as a whole and 25% of this current (small) DD pension.  This has all been reinvested in our ISAs.

Effectively, the £41k of spends has come from our cash, which was substantially higher in 2019 (goes off to check...)

zagfles

Audaxer said:

michaels said:

Sea_Shell said:

michaels said:

Sea_Shell said:

Half yearly update.

Well investments, as we all know, have taken a hammering these last couple of weeks (months?), and ours are no exception.  Our Rathbones has been hardest hit, down 27% from the November high.  However, the long view (back) doesn’t look too bad.  We will continue to sit on our hands and do nothing, other than move our cash element around for better rates.

 

We’re averaging about 1.9% interest on all our cash, in various places, including some locked away for 6mths, some for a year, and a good chunk still instant access.

 

It’s been almost 3 years since we had the last wage hit our accounts, and we started this journey with a pot of £536,000.   During that time we’ve spent £41,000.   So really, any current pot over £495,000 is a bonus!!

 

Well, the figures are in and the current pot stands at £572,000.   Not too shabby, even if that is down by £56k from this time last year.

 

Untouched pensions - £291.7k

S&S ISAs - £190k

DD pension - £36.8k (being drawn at £1150 per month)

Cash - £53.5k

 

I guess our pot is going to get its “stress test” over the next couple of years.  

 

So far this year, we’ve spent £6500.   Including 3 UK short breaks.   The second half of the year is backloaded though, with insurances, car service etc all due later on.   Hope to have another 3 short breaks in Sept/October.

Thanks for your update, just checked the CPI data and your £572k pot is worth £511k in 2019 pounds so a bit (5%) down form the £536k you had at the start. 

To fund a 50 year retirement you would by definition want 2% pa real terms reduction. 

However as you have other pension entitlement kicking in in future you don't need to just extrapolate 50 years from this pot I think?

I'm not quite sure what you're saying?  Inflation skewing the figures?

Looking back and extrapolating what's been is of limited use, admittedly.

Maybe a "day 1" viewpoint from now is more appropriate?   

Yes, this pot only has to last 9 years, before DB pensions do the heavy lifting 😉

We'd rather not blow through it mind!! 😂

Looking at it in today's money, the 536k you had in 2019 could have bought the same as 600k can buy today.

So in today money terms your pot is down from 600k to 572k.

But you clearly have more than enough to last another 9 years

I think the fact that her pot is now larger than it was in 2019 despite the recent falls in value, and after having drawn out £41,000 in spending over that time, shows a really good performance from her portfolio to date.

The "recent falls in value" were after much bigger rises. Bog standard global index trackers eg VLS100, HSBC All World are up around 20% since 3 years ago, so it would be very poor performance if the fund wasn't higher than in 2019 even if around 8% of it was withdrawn. Not trying to rain on the parade, but just counter all this apparent short term panic and doom and gloom from a slight downturn in the market. The market is well up over 3 years, some people seem not to realise that!

Sea_Shell

As I thought, if you look at the OP, we started off with just shy of £100k cash.

We now have £53,500