How many years do you factor for retirement?

Albermarle

Millyonare said:

Albermarle said:

Millyonare said:

masonic said:

Millyonare said:

The only stat that really matters is healthy life expectancy (HLE).

HLE is the stat that enables you to "do stuff" in your retirement.

HLE in the UK is, on average, just 63yo...

The problem is that you still need to budget for the potential unhealthy years that will follow. These could be the most expensive years of your retirement if you want them to be comfortable.

Of course. But personal spending during the unhealthy years drops off a cliff, as much as -80% in some cases. The need for cash is much less (or the state picks up the bill).

Not if you elect to go private for your healthcare, to make your unhealthy years more comfortable.
Out of interest where did that statistic about HLE being only 63 come from? Not saying it is wrong, but have never seen a figure put on it before .

Around 85-95% of UK retirees use the NHS. Very few use only private healthcare.

The average UK retirement stats make for sobering reading. We all think we're going to be rollerblading on a cruise ship at 80yo. But most people are effectively "done" by their 60s. Spending (and the need for cash) typically collapses in the 70s.

* Healthy working life expectancy (HWL) = 59yo
* Healthy life expectancy (HLE) = 63yo
* Healthy adjusted life expectancy (HALE) = 70yo
* Total life expectancy (TLE) = 82yo

Yes, they are averages. Yes, some are subjective. Yes, there are spreads -- a male factory worker in Blackpool will have a different HLE to a female office worker in Orkney (55yo vs. 75yo). But they're generally accepted worldwide as reliable average benchmarks for UK morbidity.

Key takeaway = retire as early as possible, and frontload the bucket list.

Dyor, etc.

Thanks for the link . Problem is that as a previous poster pointed out, it is based on very subjective 'facts' gleaned from asking people how healthy they felt.
I can imagine one 65 year old with a couple of the usual age related problems ( like creaky Knees etc ) just accepting them and saying they were healthy . Another one could say they were not healthy because their knees hurt a bit. 

Spending (and the need for cash) typically collapses in the 70s. Not during the next couple of years.........

Millyonare

Albermarle said:

Millyonare said:

Albermarle said:

Millyonare said:

masonic said:

Millyonare said:

The only stat that really matters is healthy life expectancy (HLE).

HLE is the stat that enables you to "do stuff" in your retirement.

HLE in the UK is, on average, just 63yo...

The problem is that you still need to budget for the potential unhealthy years that will follow. These could be the most expensive years of your retirement if you want them to be comfortable.

Of course. But personal spending during the unhealthy years drops off a cliff, as much as -80% in some cases. The need for cash is much less (or the state picks up the bill).

Not if you elect to go private for your healthcare, to make your unhealthy years more comfortable.
Out of interest where did that statistic about HLE being only 63 come from? Not saying it is wrong, but have never seen a figure put on it before .

Around 85-95% of UK retirees use the NHS. Very few use only private healthcare.

The average UK retirement stats make for sobering reading. We all think we're going to be rollerblading on a cruise ship at 80yo. But most people are effectively "done" by their 60s. Spending (and the need for cash) typically collapses in the 70s.

* Healthy working life expectancy (HWL) = 59yo
* Healthy life expectancy (HLE) = 63yo
* Healthy adjusted life expectancy (HALE) = 70yo
* Total life expectancy (TLE) = 82yo

Yes, they are averages. Yes, some are subjective. Yes, there are spreads -- a male factory worker in Blackpool will have a different HLE to a female office worker in Orkney (55yo vs. 75yo). But they're generally accepted worldwide as reliable average benchmarks for UK morbidity.

Key takeaway = retire as early as possible, and frontload the bucket list.

Dyor, etc.

Thanks for the link . Problem is that as a previous poster pointed out, it is based on very subjective 'facts' gleaned from asking people how healthy they felt.
I can imagine one 65 year old with a couple of the usual age related problems ( like creaky Knees etc ) just accepting them and saying they were healthy . Another one could say they were not healthy because their knees hurt a bit. 

Spending (and the need for cash) typically collapses in the 70s. Not during the next couple of years.........

As above, they are the best stats today the global and UK healthcare industries have, and they are widely accepted as govt and industry benchmarks.

The optimal retirement age is the 40s or 50s, not the 60s, and defo not the 70s or 80s.

Tougher times ahead, but the UK govt is almost certainly going to step in and give ~£100b of free cash to the poorest and oldest this winter, so it's probably not going to be as bad as we think.

B0bbyEwing

Millyonare said:

Around 85-95% of UK retirees use the NHS. Very few use only private healthcare.

The average UK retirement stats make for sobering reading. We all think we're going to be rollerblading on a cruise ship at 80yo. But most people are effectively "done" by their 60s. Spending (and the need for cash) typically collapses in the 70s.

* Healthy working life expectancy (HWL) = 59yo
* Healthy life expectancy (HLE) = 63yo
* Healthy adjusted life expectancy (HALE) = 70yo
* Total life expectancy (TLE) = 82yo

Yes, they are averages. Yes, some are subjective. Yes, there are spreads -- a male factory worker in Blackpool will have a different HLE to a female office worker in Orkney (55yo vs. 75yo). But they're generally accepted worldwide as reliable average benchmarks for UK morbidity.

Key takeaway = retire as early as possible, and frontload the bucket list.

Dyor, etc.

I have pretty strong views & opinions and generally stand by them until I'm actually proved wrong and will then hold my hands up but until that moment I stand by what I say.

But I can totally accept your post there. I'd say that sounds about right to me without arguing the toss over the odd year or so. That sounds about right in line with what I'd expect. 

None of that expected to live to your mid 90s talk as earlier in the thread. Don't believe that for a second.

B0bbyEwing

Millyonare said:

The optimal retirement age is the 40s or 50s, not the 60s, and defo not the 70s or 80s.

Tougher times ahead, but the UK govt is almost certainly going to step in and give ~£100b of free cash to the poorest and oldest this winter, so it's probably not going to be as bad as we think.

This is probably where I'll be called out for pessimism again but in my opinion you don't get something for nothing, and not from the government. One way or another that cash is coming back to them. May be after we're long since dead but there's not much totally for free in my view.

With you on the retire ASAP front. Ideally speaking I'd go now or certainly 50s. 

On my wage and with what I currently have, that's just never going to happen. I started too late (late 20s) which didn't help and I contributed too little (due to pumping everything in to a house purchase) for too long.

Without looking to get the exact number, my SIPP is at 30k-35k. My workplace pension is at 10k +/- and my LISA is at 6k-8k which isn't nearly enough. To factor in my wife as well, basically take those figures and go x2 on each. 

But that's also part reason why we're looking to proper budget (see other thread I made). We realise rising prices is going to harm the #1 goal (retirement) in a huge way and our current freestyling approach to saving, while it's generally worked to a degree so far, it wont continue to work. So a proper action plan needs putting in place.

TadleyBaggie

I once read (so may be rubbish), that the first person who will live to 200 is already alive.

B0bbyEwing

TadleyBaggie said:

I once read (so may be rubbish), that the first person who will live to 200 is already alive.

Comic book fantasy.

Though purely my opinion. I have no evidence otherwise