How much to live on

Organgrinder

Well today's "announcements" (hints) and other recent events show how fluid things are.

If us teachers get an above inflation rise it's a welcome boost ahead of retirement. 

But equally market jitters after the IT problems saw my investments drop 1%. Hopefully it was a one off and it'll recover quickly.

My exam marking proved fruitful too. Over £2300 gross sadly it's taxed at 40%. I'm pondering getting all the higher rate tax back via my pension contributions.

Just switched to Barclays for £175 too and will be stoozing another £8,000.

So considering a holiday to Dubai next year with the "profits".

daz378

I'm hoping to go in August 26...when I'm 60 and a few months...last year when I checked the gmpf...it said 11600 a year then...my  accrued total to date 10500....this year my accrued total is  12200 aprox... but my forecasted figure hasn't  moved still showing 11600 ..which is disapointing... how accurate  are these  forecasts...did post on pensions forum ..but no one answered,  must have  been a too obvious question...stressful job need to reduce hours  in a couple years

Organgrinder

Well the market jitters lasted a week or so. I find investing quite challenging in terms of the ups and downs. But so far so good.

My Barclays incentive got paid out, so decided to update my mobile phone.

Pearson have also been very quick paying out the exam marking payments this year so I've shifted more money into my cash ISA. So far this year it's sitting at £12k, £8k of which is stoozed. I've also budgeted to put extra money into my private pension to reclaim the 40% tax. 

Then of course we had the announcement on teachers pay. Of course this only applies to maintained schools in England, so it doesn't apply to anyone in Wales, Scotland or Northern Ireland or to academies/free schools who aren't using the Burgundy Book. So not sure what's happening there.

I've also accepted a short term promotion for a year so have booked next year's holiday.

All in all a positive month, albeit blighted by a bout of COVID which honestly was the worst I've ever felt. But in mse style, I at least saved money by being stuck at home!

trevjl

Well, 20 months later than planned it's done. Going on 6th September (62 in November).
Since I went to 3 days and a couple of slightly older guys retired it has not been the same. I feel like I have been sidelined and put upon at the the same time, so I pulled stumps this week when some 'elf & safety nonsense sent me over the edge.
Including a couple of expensive shares in horses my number is about £35K, wife will carry on as if we both retire one of us will be under the patio in about 6 weeks !!!
DC of about £280 and SS ISA about £100 + a DB at 65 of £25pa, + 2 stae pensions at 67 (assuming last that long) me thinks I wont spend it all in time.

Albermarle

 wife will carry on as if we both retire one of us will be under the patio in about 6 weeks !!!

She will have to retire sometime, and then maybe off to the races for you everyday then !

trevjl

Albermarle said:

 wife will carry on as if we both retire one of us will be under the patio in about 6 weeks !!!

She will have to retire sometime, and then maybe off to the races for you everyday then !

Yes indeed, a bit more worrying is that she has become interested in going to the races too !!
She loves her job looking after old people so no plans to retire for her. Only old person she refuses to look after is me !!

louby40

We finally exchanged and completed on the 22nd July. It happened whilst we were lying by the pool in Turkey. My son collected the keys.

So tomorrow we leave Turkey at 7.50pm, have one final night in my parents tiny bed and Sunday is the BIG move.

Whilst lying on my sunbed I was able to sort out the council tax, gas and electric (£44 earned through TopCashback) and the broadband (£81 and a £79 high street voucher) again through TCB.

I still have some decent equity in a high interest account which I will now move to an ISA. This is the beginning of the retirement plans. 

Exciting stuff!

Albermarle

louby40 said:

We finally exchanged and completed on the 22nd July. It happened whilst we were lying by the pool in Turkey. My son collected the keys.

So tomorrow we leave Turkey at 7.50pm, have one final night in my parents tiny bed and Sunday is the BIG move.

Whilst lying on my sunbed I was able to sort out the council tax, gas and electric (£44 earned through TopCashback) and the broadband (£81 and a £79 high street voucher) again through TCB.

I still have some decent equity in a high interest account which I will now move to an ISA. This is the beginning of the retirement plans. 

Exciting stuff!

Yes exciting but in the excitement do not forget you can only add £20K pa max to an ISA.

Organgrinder

Have just returned from 3 days camping at a festival, listening to music from the 80's and 90's. Camping is not really my thing, neither is paying £7 for a beer, but all good fun.

I budgeted a certain amount and stayed within it, without having to go without anything. And this sums up my approach to retirement and how much I have or will have to live on.

Maximising my income and minimising waste is, I think, a very important part of the process. Obviously I have to consider whether certain activities are worth it, but overall I think it's a worthwhile thing to share what can be achieved, particularly when we're in a cost of living crisis 

Bank switching for example has added over £1,200 to the pot in just a year. Changing energy supplier and mobile phone provider, another £300. Stoozing, another £2,000. I think, overall this last year I've been fortunate to add an unplanned £4,000 to my potential pot, most of which has, in effect, been "free".

This financial year has also seen me slip into the higher tax bracket. To be honest I was horrified, as I was facing a tax bill of roughly £1,000. Knowing I can avoid this by paying more into my personal pension is great.

I figure if I can continue in this vein, the likelihood is I won't have to touch my personal pension at all once I fully retire.

Since I started looking at the whole thing, my potential pots and what I think I will have to live on have changed quite considerably. Of course, everyone plans for their retirement in different ways. I'm just someone who likes squeezing as much out of my income as possible.

Organgrinder

Well this morning's announcement may have put a spanner in the works!

So I've done a little replanning on a scenario where you don't get higher rate tax relief on pension contributions.

Fortunately all is still good.

I just hope there no vat, income tax or NI changes too!