We're aware that some users are experiencing technical issues which the team are working to resolve. See the Community Noticeboard for more info. Thank you for your patience.
📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!

How much to live on

Options
1105106108110111304

Comments

  • Kim1965
    Kim1965 Posts: 550 Forumite
    500 Posts Second Anniversary Name Dropper
    I have made the decision and will leave full time work a week before my 62nd birthday.  A combination of savings and personal pension will give me £1295 a month from then to 65 and £1395 per month from 65 to state pension age.  I'm sure to some that doesn't seem much. but currently I only take home £1575 a month for working 38 hours a week so the adjustment will not be that great.  The outline plan is to do either part time or bits and pieces of temp work to get me back up to around my current full time salary.  I am getting excited and just can't wait.
    Good luck.
    Can i ask if you are mortgagd free and what your fixed essential montbly costs are? 
  • Thanks Baron Dale, good to see your update and hope all goes well for you.  I've found your posts very beneficial.  Know what you mean about the "what ifs" though !
  • BooJewels
    BooJewels Posts: 3,006 Forumite
    Part of the Furniture 1,000 Posts Photogenic Name Dropper
    edited 19 September 2024 at 9:54AM
    All the best @[Deleted User] you sound to be in a good place and well organised.

    I do however envy you - as you at least have a plan and even though life sometimes deflects us off course, it's better if you already know where you're aiming to be and at least set off in the right direction.

    Since my husband passed away, this is something I don't seem able to do so well.  I struggle enough with planning my dinner for later in the day, let alone anything longer term. I have some money and conventional wisdom says that I should invest in something that beats inflation - or at least addresses it, as cash in savings doesn't come close.  But there's a big chunk of me, having never had any money before, wants to keep it where I can see it and control it. I'm nervous about relinquishing it somewhere where I can't easily get at it.  Naive I know, but for now, that's how I feel, so I'm in no rush to change anything. 

    But I really could do with making a better plan.  Well, any plan would be an improvement really. 
  • Albermarle
    Albermarle Posts: 27,843 Forumite
    10,000 Posts Seventh Anniversary Name Dropper
    But there's a big chunk of me, having never had any money before, wants to keep it where I can see it and control it. I'm nervous about relinquishing it somewhere where I can't easily get at it. 

    For most normal investments, you hold them on an investment platform nowadays. Or an investment supermarket as they were once called. On line access means you can check on them day and night and sell them and withdraw the money immediately. ( if you want.) The only real restrictions are

    1) Investments will usually give better results if left alone for the long term. Often it is recommended not to keep looking how they are doing.

    2) If investing via a Pension, you can not withdraw until you reach your mid to late Fifties.

    So of course ' Investments go down as well as up' but actually accessing them easily is not an issue with the wonders of the internet.

  • BooJewels
    BooJewels Posts: 3,006 Forumite
    Part of the Furniture 1,000 Posts Photogenic Name Dropper
    Thanks @Albermarle - what you suggest makes sense, but you'd need to know what you're doing to manage it yourself - or even start the process. I don't, nor do I especially want to learn either. I don't need the stress.

    My own thinking is that I'd rather put energy into earning more pennies now, so that I don't have to dib into my funds as much. But that's my choice, not financial advice.
  • Kim1965
    Kim1965 Posts: 550 Forumite
    500 Posts Second Anniversary Name Dropper
    BooJewels said:
    Thanks @Albermarle - what you suggest makes sense, but you'd need to know what you're doing to manage it yourself - or even start the process. I don't, nor do I especially want to learn either. I don't need the stress.

    My own thinking is that I'd rather put energy into earning more pennies now, so that I don't have to dib into my funds as much. But that's my choice, not financial advice.
    Luckily my brother does my dc pots, one for passive income, one for growth. 
    However I understand there are many "off the shelf product", pick your risk profile and away you go. Just got to make sure the fees are reasonable.
     The point about final salary schemes is made well, if your not financially savvy then gaureteed income is the best and helps a person sleep well at night. 
     Like you i feel the need to work a bit longer during the present turmoil. 
     With annuity rates climbing they become more attractive, especially if inheritance is not a consideration and inflation settles down. 
     
Meet your Ambassadors

🚀 Getting Started

Hi new member!

Our Getting Started Guide will help you get the most out of the Forum

Categories

  • All Categories
  • 351K Banking & Borrowing
  • 253.1K Reduce Debt & Boost Income
  • 453.6K Spending & Discounts
  • 244K Work, Benefits & Business
  • 598.8K Mortgages, Homes & Bills
  • 176.9K Life & Family
  • 257.3K Travel & Transport
  • 1.5M Hobbies & Leisure
  • 16.1K Discuss & Feedback
  • 37.6K Read-Only Boards

Is this how you want to be seen?

We see you are using a default avatar. It takes only a few seconds to pick a picture.