FIREside Chats

powerspowers

That certainly does sound interesting Becky!! Keep us posted or come here to mull your options

edinburgher

I don't know how much faith people have in such things, but I'm pleased to note that we've now passed the Which? retirement income target for a "comfortable" retirement (well, assuming another 5-6 years of NI contributions, which we'll be making bar a lottery win). It's all relative though, as even the "luxurious" figures are for less than we earn at the moment). Still, not bad for 19 years to go (maybe less)?

Suffolk_lass

edinburgher said:

I don't know how much faith people have in such things, but I'm pleased to note that we've now passed the Which? retirement income target for a "comfortable" retirement (well, assuming another 5-6 years of NI contributions, which we'll be making bar a lottery win). It's all relative though, as even the "luxurious" figures are for less than we earn at the moment). Still, not bad for 19 years to go (maybe less)?

If that isn't part of a paid subscription, lease could you post a link (or if it is, a bit of a summary)?

hugheskevi

There are two popular retirement income standards - Which and PLSA standards. The PLSA details are below (Which ones are linked above).

edinburgher

Like all things, we probably spend far more on some categories and far less on others 

powerspowers

Interesting! Does it assume your own your own home outright? 

edinburgher

@powerspowers - I hope not, we're £220k off that!

Retireinten

We're officially aiming for £36k (net) a year for a couple with a lump sum contingency but we're on target to achieve closer to £40k, so somewhere between comfortable and luxury for a couple.


Although I suspect our spending will follow a different pattern to that in the table

savingholmes

The Which one assumes you own your own home I think. I've accrued enough already at 51 to be between moderate and comfortable at 67 - but because of DB reductions - would need to accrue a lot more - to have the be at the same level if I want to retire earlier. Currently unless I drastically downsize or manage to transfer a DB pension - I think I will hit moderate by 64 even with the reduction but the figures only work if I have found a way to clear my mortgage.

Great news Becky - that you now have choices. 

CCW007

Spent some time yesterday having a quick look at OH's pension pots.  Need to do some work to understand what we need and what they could provide.  Not as much in the, as we had hoped but he has more potential for growth due to higher income / contributions so I am glad we are reviewing this now.

One oddity is that his employer don't appear to pay into his pension - he contributes 10% as salary sacrifice but it comes from a "benefits fund" which he can use for all sorts of benefits (or take as salary) so I guess they are leaving it to employees to decide if they want to use any / all of the fund for pension contributions and that the employer contribution (3% I believe?) is included in that fund. 

So effectively he is choosing to take their 3% as contributions and then add another 7% but it shows as him contributing 10%.