Should I work another year or two?

Albermarle

I'm looking to sense check my situation.  I have no sense of how my numbers rank against the average pot size for someone at  62

As already said, checking your numbers against some kind of average is not that productive. However as point of interest...
 What is average is quite hard to find figures on( or at least you see different figures)  also you have issues like that  public sector workers have no pension pot, but a guaranteed income.
However having £600K + state pension is clearly way above the average for a 62 year old.

or if I should continue working for another year or even 2 to boost my funds by a further £80k to provide extra peace of mind in these uncertain times.
Working one more year, also means that day to day expenses are covered for one more year out of salary, as well as any funds you can add to your pension. In my case I calculated that one more year at work, counted as two from a financial perspective.
Probably you have a choice. Work a bit longer, or trim the planned expenditure down a bit .

Alicante6

Thanks GunJack and Pat38493 (I'll message you when my first Blog or Vlog is ready!). Mumf such a powerful post I was left speechless. Thank you for taking the time to respond. Your input makes perfect sense to me after having a serious recent health scare. Thanks again.

Tucosalamanca

Personally, I'd retire now.
Travel until funds reach £250k, then perhaps reassess your situation.
At that point, you'll still be in a far better position than many.
If in old age you need to spend on care, at least you'll have the property and any left over pension to fund it.
As you say, no wish to leave anything behind.
What price can you put on time and health? Get out there and enjoy it, I don't think you have anything to worry about.

NedS

Alicante6 said:

Thanks Pat38493, that's a good point. £3k a month wouldn't be needed beyond say 72. I don't see myself travelling after reaching that age. So the drawdown could be set at £3k initially and adjusted down to allow for the State pension from 66 and stopping travelling at say 72. 

I'd work backwards and divide into pots:

Work out what you need at 72 onwards

Work out what you need 66-72 to top up SP

Anything left you can spend between 62-66 on travelling

Maybe you can combine the 62-72 period taking into account SP income from 66.

older_and_no_wiser

Run your numbers through the retirement planning tool at timeline.co. it's designed for financial advisors but free for use for up to 3 'clients' on an account.

I reckon your numbers are okay to retire now with the figures you give and an adequately invested portfolio. Enjoy yourself!

I'm in a similar position as you but 8 years younger. I found the timeline tool very reassuring that I'm on track. You may find out that if you're invested predominantly in equity rather than bonds, you could die a millionaire. Scary for those of us with no requirement to leave a legacy haha.

billy2shots

I'm not really a big fan of renting in retirement but in you circumstances you could raise £200k to invest/save from your property. 

Outside the UK and only back in the summer to rent something before disappearing again. 

Rent when too old to travel anymore. 

No heirs to inherit. 


I haven't ever ran the numbers as it's not something I would do but in your shoes it might be something to consider. 

older_and_no_wiser

Or even equity release when older if you really need to. Not a problem if you don't want to leave an inheritance.

bluenose1

My gut feeling is you could afford to go now, as you have enough assets to live on. 

I think sometimes the easiest thing is to carry on working just in case (says me who is doing that exact thing, though with much less assets than you.) I intend to go at 57 at latest and although healthy, go the gym, walk a lot, can feel my flexibility reducing etc. 
I like the sound of your travel plans and at 62 you may not have that many healthy years left to enjoy them. 
If I had your assets and no-one I wanted to leave them, to I would consider a will to charity or even close friends rather than the money go to the state. 

Good luck with your decision and slow travelling, sounds really interesting,

sgx2000

Time is your most valuable asset ...  Dont waste it working if you dont have to....
Im 62 and my pensions an income would  be less than 2/3 of yours.....

If you can afford to do the things you want to,  just do it.  You only live once

MACKEM99

Dont take life too seriously no one gets out alive.