My very ambitious way to get £60k in 48 months…

Contro1

Aceace said:

Contro1 said:

so I used a retirement planner and got some better figures for my pension.  I’ve used the calculator in my PensionBee app to give me an idea of everything.

So if I put in £200/month I should be on course to retire at 68, with around £202k in savings. Taking around 18k per year.

Are you sure that you've understood your pension forecast correctly? Current annuity rates wouldn't give you anywhere near £18k per year from a £202k pot, unless you're assuming some very life limiting problems at the time of retirement. 

If you want a joint life annuity (you mentioned that you had a partner) and a yearly increase of around 3%, you'd be looking at around £10k per annum. Even a single life with no increases would be less that £15k per annum. 

I’m assuming retirement age is 67.
they have put in the calculation that it’ll grow 5% or the lowest chance of 3%. 

If anyone has a pension bee account please go to the retirement planner and see what it says 

as I might be making a mistake 

I already have £27,229 already.

Ryan_Holden

Morning,

Both 3% and 5% are going to be optimistic growth for a pension, and I would bet my bottom dollar they also rely on your pensionable salary increasing year on year by a similar 3%-5% until retirement.

I really recommend you have a conversation with a pension adviser because I agree with Aceace, it seems optimistic from that sized pot.

Contro1

Ryan_Holden said:

Morning,

Both 3% and 5% are going to be optimistic growth for a pension, and I would bet my bottom dollar they also rely on your pensionable salary increasing year on year by a similar 3%-5% until retirement.

I really recommend you have a conversation with a pension adviser because I agree with Aceace, it seems optimistic from that sized pot.

Yup, going to have a meeting this week with someone. I can’t for the life of me work it out. I believe I’m wrong. 

Regardless, it is what it is. 

Aceace

Contro1 said:

Ryan_Holden said:

Morning,

Both 3% and 5% are going to be optimistic growth for a pension, and I would bet my bottom dollar they also rely on your pensionable salary increasing year on year by a similar 3%-5% until retirement.

I really recommend you have a conversation with a pension adviser because I agree with Aceace, it seems optimistic from that sized pot.

Yup, going to have a meeting this week with someone. I can’t for the life of me work it out. I believe I’m wrong. 

Regardless, it is what it is. 

Perhaps your forecast of £18k is for a drawdown arrangement where the pot will be exhausted at a certain age (e.g. 85), rather than a guaranteed annuity for life.

It's essential that you fully understand the basis of the forecast. 

Contro1

https://forums.moneysavingexpert.com/discussion/comment/80026393#Comment_80026393

Ah yes, it says it'll last me until I'm 98.

Contro1

Hi!

so my weeks been good. I’ve finished college now which I’m happy with. I’m about to start another training course in the next few months in true MSE fashion I’ll be saving up for it but there are payment terms but I’m not looking to spread it over 3 months at £660/month. 

Anyways. Been a good week again although I’ve caught up with a lot of paper work now; I’ve well rested. Met a really nice plumber who is just a don of the trade.

i am a spark and attempted to do some plumbing. Successfully swapped over the inlet water valve in my toilet. (It’s been leaking for a while the main seal) so I did that; no problem but the main seal gave up. Called him up. He said come with me on Wednesday and we’ll call it quits. 

Doing that I’ve now got work for absolute months now all by breaking the main seal! 

Anyways; I’ve done a bit of a money shuffle 

I think I’ve made a mistake here on one calculation but this is what I have on hand. Crypto is the worst performer so far, I’m not in a Bitcoin trade.

Atom: £42,000 - matures 23rd June at £695.
Pension: £27,293. Although it’s “switching plans” 
S&S: £937.28 (about £90 waiting to go in). 
Forex:£701.60 - have still got money in trades and have won 2 this week.
bitcoin: £534.99. 

Tonight my friend Sarah should be paying me £40 towards her loan. (It was this time last month) so that will be going straight into my S&S.

so money in pots and in hand is:
£44,871.87 in accounts currently, does not feel like I’m making much of a dent in this but I’m still happy with my very small progress. I’m not counting my pension because I cannot get access to it. 

So my pot has increased as on the 10th April I had 

£44,265 excluding pension pot.

This means from the 10th April I have increased my lot by 1.36%

MoneyWorry

Like others I think your pension plan is overly optimistic. This is coming from someone who retired last year with a personal pension. My original forecast in the 1980’s was a £100k pot at 60 which would give me £11.75k pa. I ended up at 62 with a £200k pot which has given me £9.3k pa. 

Also, if I had 38 years to go, I would be working on the following assumptions:

A state pension that is completely different from the one we have currently. Most people I know of your age think it will cease to exist and don’t feature it in their planning. I think it will always be there, but except for the poorest in society, it will probably be means tested. 

That being said I think you should work on state pension age being 70 and the age at which you can access your private pension maybe also rising to 60. 

I also think that at some point in the future, pensioners will have to pay NI, but maybe at a reduced rate. 

Hope this helps. 

Contro1

MoneyWorry said:

Like others I think your pension plan is overly optimistic. This is coming from someone who retired last year with a personal pension. My original forecast in the 1980’s was a £100k pot at 60 which would give me £11.75k pa. I ended up at 62 with a £200k pot which has given me £9.3k pa. 

Also, if I had 38 years to go, I would be working on the following assumptions:

A state pension that is completely different from the one we have currently. Most people I know of your age think it will cease to exist and don’t feature it in their planning. I think it will always be there, but except for the poorest in society, it will probably be means tested. 

That being said I think you should work on state pension age being 70 and the age at which you can access your private pension maybe also rising to 60. 

I also think that at some point in the future, pensioners will have to pay NI, but maybe at a reduced rate. 

Hope this helps. 

Thanks for that. Very sound. Yeah I don’t particularly believe in the sort of figures there throwing out at me. And going by your example I probably won’t believe it.

if things change a bit here and there and I get into rental that’ll be the way I’ll go for over pension but my dad sorted this out years ago and just been handed down to me to continue now and that’s what I plan to do.

Ryan_Holden

I must admit to be entirely lost. If you're going to update this regularly, you should stick to the same metrics. I've no idea if you're net gaining or losing at the moment. 

And please, please go and see a pension advisor.

mooneysaver

Are we able to get an update this week please?