Realistic Drawdown Amount

cfw1994

Albermarle wrote: »

It is a good point for the OP to think about but to reach LTA from £840K , the investments/markets would have to be booming - around 8% above inflation ( assuming LTA keeps rising with inflation.)
The figure you see most often mentioned for the next few years for a medium risk portfolio is around 2to 3 % above inflation so probably will be a few more years before hitting the LTA.
Of course if we have a few bad years it might not be an issue at all ……...

Indeed....if I was 3 years off and approaching LTA, I might wait a bit.

Actually I am pretty close to moving, & have crystallised just shy of 40% of my pot.....but am waiting to see how the next year pans out: it still feels like we are way overdue some form of crash.

Then again, what do I know: I've been saying that for about 18 months, and would have missed much growth if I'd shifted funds to cash back then :rotfl:

atush

MrDinosaur wrote: »

I do have a plan for it - I need around £50k once retired for a Car, 2 x new bathrooms, and other bits the rest as you say would be £40k per year and fund our ISAs with it for 4 years

Do the bathrooms before retiring, while you are earning. Perhaps replacing the car too.

smutput

atush wrote: »

Do the bathrooms before retiring, while you are earning. Perhaps replacing the car too.

I really haven't got the time or energy any more to be coping with the hassle of a bathroom replacement while I'm still working. So I'm another one who will be using a lump sum to fettle the house and buy a new car when I'm done. The diesel "motorway warrior" will be replaced with something entirely more suitable for retirement anyway.

MrDinosaur

smutput wrote: »

I really haven't got the time or energy any more to be coping with the hassle of a bathroom replacement while I'm still working. So I'm another one who will be using a lump sum to fettle the house and buy a new car when I'm done. The diesel "motorway warrior" will be replaced with something entirely more suitable for retirement anyway.

I just don't have the time, when you have only two days off and you have to cram everything in those days - The money is there and it will keep me occupied during the winter months.

Spreadsheetman

atush wrote: »

Do the bathrooms before retiring, while you are earning. Perhaps replacing the car too.

The earning bit isn't relevant IMO if the money is there to do the work when it is convenient. When I was working full-time the disruption of a large home project was very hard to handle, so a fund was built up to do all the work when it was more bearable. (ditto car, although I replaced my old car a year ago when it needed a large un-economic repair)