Question for those already retired - how did your holiday and entertainment expenses evolve...?

Pat38493

Hi - I'm just wondering if I can get some feedback from those who are already retired on what you spent on items like:
- Holidays
- Entertainment (weekends away, shows, festivals, day outings etc).
- Eating out.

What I'm really hoping to get some feedback on is whether you ended up spending more, less, or roughly the same on these items after retiring.

This is one of my big ticket items - my spending on holidays for the last year was over £8K (and that's just "my half" of the spend).  Then there was nearly £3K on entertainment/outings and over 2.5K on "Food & Drink" which is a category mainly used for eating out as my wife pays for most of the household food.

My gut feel is that I should be able to reduce this budget after retirement because a) I can pick and choose more carefully bargain prices rather than having convenient dates drive my spend and b) Even the last year of spending included one holiday where we took the kids in school holiday time and c) This included a 3.5 week retirement holiday for my wife that cost over £8K on its own.

On the other hand, maybe you want to take more holidays when retired just because "I can".

I am interested to hear any real world experiences here of what you expected to happen and what really happened so far.

Simes122

Hmm same boat, finishing end July.  We’ve got some catching up to do because of pandemic and other illness.  So we’ve booked 2 cruises and a week in Portugal for second half this year and are already looking at 2024 options,  thus far spending is up but within headroom.  We definitely want to make the most in the earlier years and I’ve probably overprovisioned accordingly.

however you make an important point.  And it’s one we were mooting about 2024.  We like to travel full stop, doesn’t really matter where/when.  Thus are adapting to the freedom retirement will bring about being able to take advantages of deals, last minute options, undersold capacity, transit cruises and so on.  

Weekends away become more likely too but at least spend rates can match budgets there as you can be flexible and similarly go when stuff is cheap rather than peak.

my sense is we will do more - rather more travelling, but our cost profile won’t rise in direct proportion because we can choose wisely on dates, options etc.  but inflation counters that saving too.

tacpot12

It's a bit difficult to say. I've been retired for nearly 6 years, having retired at age 53, but 2 of these years were badly affected by Covid, and the recent inflation has meant that basic spending has certainly increased. My partner also retired at 53. 

My sense is that our expenditure on holidays and entertainment remained pretty much the same, apart from a 'holiday of a lifetime' that we are taking this year. We haven't taken much advantage of being free during the week as my partner hoped we would, but I think this is a result of having retired early; we don't feel under much pressure. Also neither of us had spectacular pensions, because we prioritised early retirement.

We still eat out with the same friends with the same frequency, but have cut down take-aways just due to the cost increase.

Nebulous2

Its two years since I retired and took a part-time job, and its probably a good time to reflect. 

The first year of that was still the post-pandemic recovery period where things were opening up and foreign travel was curtailed. We did a fair bit of caravanning in the UK in the first year. Our plan was to spend prolonged periods of the winter on the continent and the summer here. 

We haven't picked that up again, and haven't driven abroad since 2019, which is the longest gap in 35 years, since we've been to France. That, the post-Brexit regulations on travelling with dogs, and caring responsibilities at home, means that we may never enact our initial plan. 

We finally got abroad in January last year and have had 3 Canary / Spanish short-haul holidays since then. The first one was surprisingly cheap, as they were trying to get people back and were opening up again. Prices have risen dramatically since then, and we've been pricing another trip for October / November, but we're holding off because we think the price has risen too much. 

We're planning a month in the Antipodes early next year, which will be a relatively expensive holiday, probably £6-7k. 

So all-in-all it hasn't really settled down post-pandemic, and we haven't established a pattern yet, but it looks as though our retirement won't be as ambitious, nor as expensive as we had intended. Another 6 years will bring two full state pensions and I expect that we will continue to accumulate money then, rather than spend it. 

That's a typical pattern in retirement, despite reduced income, people often spend less than expected. 

I've discussed before caravanning in France and talking to people who winter or tour there for long periods. I met and talked to a lot of people about their over-wintering experience, with a lot of them having been doing that for 6, 7, 8 years. It suddenly struck me one day, it was extremely rare to meet anyone who had been wintering abroad for more than 10 years. I came to the conclusion that people lost confidence and narrowed their ambitions, often ahead of any physical / cognitive decline. 

CarolWHerts

We budgeted upwards of £10k pa for holidays and had envisaged lots of spontaneous travel but haven't been able to spend it.

Our retirements coincided with elderly parents moving into 'permacrisis' which meant getting away for more than a couple of days in the UK was challenging, as we were permanently 'on call'.

And then because we were effectively tied to home, we both agreed to take on some voluntary commitments which, while enjoyable and worthwhile, prove equally difficult to evade in order to take off on a trip.

The parents are now in a care home which is taking up some of the physical load (although we are all taking time to get used to who does what) but which has brought a whole new raft of responsibilities in sorting out house and finances. 

Clearly it won't be forever (although knowing my parents, they will have a good shot at it, hence I'm going for some immediate care needs annuities!), so I'm viewing the underspend as building a holiday fund for future use. 

Albermarle

I retired mid 2021, when Covid was still around/affecting foreign holidays/going out to some extent, so got off to a quiet start.
2022 and this year, I can say not a lot has changed from when I was working. This is partly because we have some family issues that restrict us going on elongated holidays. 
So no more spending on entertainment, eating out etc . Probably some more spent on holidays and weekends away. However I think that is more about getting more relaxed about money as I get older and the old ' can't take it with you' saying. This means we are staying in more expensive accommodation than we did 10, or even 5  years ago, which has pushed the cost up.

Sarahspangles

OH retired last Summer but we haven’t settled into a pattern yet as his mum passed away within a few months, so he has had caring and then executor responsibilities. I’m continuing to work from home.

OH needs to get out of the house for his sanity, he cycles with groups at least twice weekly, including a couple of camping weekends, and some of them went to the Canaries for a week in February. I think the cost of cycling as a hobby, including bikes, kit and trips, must be similar to taking up golf?

So far, we’ve had our usual holidays, which fit around my work busy periods. We’ve had a few more day trips but that relates to a hobby I’ve taken up and this isn’t expensive, other than my kit.

We’ve eaten out about the same amount. What has increased is pub trips - I wouldn’t have dreamed of drinking ‘on a school night’, but if OH hasn’t been out cycling that day and I’ve been glued to a laptop, the beer garden of our local is very tempting.

Linton

We took early retirement in 2005 and bought a narrowboat on which we go out about 2-3 months a year.  Other than boat trips our holidays have tended to be long haul trips (£10-£20K) every 3 years or so.  For shorter breaks we go out for 3-7 days in the UK several times each year.  We have started using AirBNBs rather than stay in hotels for the 1 week breaks as they are larger, more comfortable  and much better equipped and we dont like having to eat out every day.

However now that our pots are well above plan we hope to take a major holiday each year for the next 5 years.  What happens beyond that will depend on our health.

We only eat or drink out when home if we are meeting other people.  One of us having to drive is a problem and we rarely get any extra pleasure than from eating or drinking at home.

coyrls

I'm not going to be much help as you've chosen categories where our spending has varied wildly both pre- and post-retirement (to say nothing of the wildcard COVID years).  For planning purposes, I wouldn't factor in much of a change as the ability to save money is offset by the increased opportunities to spend money.  You can take comfort from the fact that these are discretionary categories and so you can adjust your spend as necessary.

arnoldy

Eating out down, but that's a continuation of a trend of the last few years. I dont get any pleasure in eating acceptable/mediocre food at pubs and restaurants that I could cook far better at home for the fraction of the cost. Throw in the driving., tip and the wine at £20/bottle for a £5 supermarket wine - no thanks.  

Holidays about the same, but at the moment the prices are high as the airlines and hotels replenish their coffers so I have a take it or leave it attitude.

jim8888

arnoldy said:

Eating out down, but that's a continuation of a trend of the last few years. I dont get any pleasure in eating acceptable/mediocre food at pubs and restaurants that I could cook far better at home for the fraction of the cost. Throw in the driving., tip and the wine at £20/bottle for a £5 supermarket wine - no thanks.  

Holidays about the same, but at the moment the prices are high as the airlines and hotels replenish their coffers so I have a take it or leave it attitude.

I feel exactly the same about eating out. Add in cramped seating and kids running around....I'd rather cook at home. As for holidays we haven't taken as many since we retired. When I was working I always felt I "needed" a break, but that's less important now when we can go any time, meaning we often don't bother.