The Senior Wonder Years!

mark55man

So - I am looking at DB of 20K in 2026 or a bit less if I take it earlier.  Then add in my OH TPS of 4K (already in payment) and £10K state pension each in 2030 - so £45K for OH and I once we both get to SPA and half that before then,  My income requirements between now and SPA will be met by DC (money pot) from which I will draw what I need from money invested cautiously.  Until end 2026 this will include Mortgage.  Our estimate joint non-mortgage spend will be £30K for UK based stuff - excess will be saved towards more exotic holidays.  Without morbid details these are robust should there only be one of us for a while.

[Deleted User]

Those figures are looking good @mark55man. I think you have underestimated the amount of state pension though, unless you are not expecting to receive the full ‘new’ state pension’.

mark55man

Thanks Baron - I've been using 10k for ages in my "big picture" planning (most of my detailed planning has been about getting to SPA!!) - I am due full SP and my OH is her final year short (she is only £2/wk below the max and we have 5 years to decide what to do if anything about that). 

You are entirely correct though I have just looked up the current annual estimate for SP and it is £11.5K - so that is a nice increase.  And may actually help me decide to take my DB in 25 rather than 26.  My plans are based around trying to cover all the essentials with DB/SP leaving the more volatile investment based SIPP pension for comfort, travel and legacy

[Deleted User]

An update from myself.

My first partial state pension payment arrived in my bank account on July 31st. The first full payment is due on August 28th. So all running smoothly!

The tax code on my teacher’s pension has been adjusted to take account of my state pension payment. My new net figure is exactly as I had calculated 

My surgery is now in September. It was cancelled the evening before it was due to occur as the theatre was needed for an emergency operation. I had no problem with that at all. I am top of the list and if any cancellations occur they will contact me straight away. August is a clear month for me anyway.

My car has also been written off after an accident. Again unfortunate, but nobody was hurt and it was only a machine! Once I know what the  payout will be I can move forward securing a replacement vehicle. So without a car for the first time in about 40 years but I will cope.

I have closed my S&S ISA . I will Now keep my long term savings only in my Cash ISA. I have decided from now on to keep things simple. I don‘t care if my methods are not MSE ones or do not maximise the financial outcome. As long as I have enough to live my lifestyle happily. This is all that matters from now on. 

I have also been considering selling my Premium Bonds. I have  £10000 worth and in recent years they have made about £200. Probably better to put the money into a savings account or my cash ISA. Again keeping it simple. Do I really need that elusive big win to be happy? Probably not!

I wandered over to the ‘How much to live on’ thread. I used to really enjoy reading and contributing there, but in my opinion its character has changed. There seems to be more discussion about maximising returns and some of the newer contributors have higher than average incomes or potential pension income. Each to his own though. I just preferred it when those with more typical incomes discussed how they managed, saying things like, this is what I get and this is how I spend it!

Remember in life good and bad things happen. It is how you deal with good and bad things that really matters not the events themselves.

SuzeQStan

Sorry to hear about the car accident and the cancelled op - but glad to hear you were not
injured and the op wait isn’t causing you issues.

Sounds like a good idea to move the premium bonds - I’ve got a 10k EF that is getting just under £500 interest a year - there were better interest rates out there for me but it was a convenient account. So do understand when you value simplicity and convenience above maximum return.

Remember in life good and bad things happen. It is how you deal with good and bad things that really matters not the events themselves

I like this - wise words 😊👍🏻

Farway

[Deleted User] said:

An update from myself.

I have closed my S&S ISA . I will Now keep my long term savings only in my Cash ISA. I have decided from now on to keep things simple. I don‘t care if my methods are not MSE ones or do not maximise the financial outcome. As long as I have enough to live my lifestyle happily. This is all that matters from now on. 

I have also been considering selling my Premium Bonds. I have  £10000 worth and in recent years they have made about £200. Probably better to put the money into a savings account or my cash ISA. Again keeping it simple. Do I really need that elusive big win to be happy? Probably not!

Thanks for the update, on these subjects we seem to think alike at least.

My S & S ISA is my only S & S holding now, I gradually sold shares held outside of ISA once Capital gains tax became a target a few budgets back

Although my SS ISA is just a holding, I no longer trade, it stops me having to think or worry about declaring dividends, rights issues etc. 

Massive income or huge gains are not really likely with what I hold, utilities etc, so, with ever more creaking joints selling up and moving into cash ISA was getting to be more of a tidying up option

Likewise, my PB holdings, also £10K, no winnings lately and with interest rates as they are perhaps fixing while up could be my next move

mark55man

that's an eventful month BaronD - finding a car is always a mixture of excitement and dread.  Also a chance to research for a new option, although I normally stick to more of the same - not quite "bangernomics", but definitely over 5years old and under £5K if possible

Your attitude to the operation is commendable - stoic yet understanding the needs of others

I agree with your point about some long running threads moving in different directions - not necessarily to your preference - I plan to reread them as I become more fully retired as I am a little less focussed than I should be on making the pennies work hard for me.  Rather I am carrying the convenience spending of my working life into my sabbatical which is not a good sign

Savvy_Sue

No car is a good time to experiment with buses! 

I know it depends where you are, but there are several local destinations for us where it's easier to use the bus than attempt to park the car! And that's with an erratic bus service!

[Deleted User]

Time for an update!

The S&S ISA has been closed and the money mainly put in my Cash ISA.

I have decided to keep my holding of Premium Bonds.

I have replaced my written off car. I have purchased a very comfortable car with extras! As this may be the last car I purchase, I decided to have what I want rather than need!  Some orthodox MSE Forum members collapse in horror!  

What's more I took out a personal loan to cover the purchase in addition to a generous insurance pay-out! More MSE Forum members collapse with shock lol!

The loan is over 3 years but will be paid back within 12 months. I will probably end up paying about £300 interest overall, which isn't bad at all. I could pay it back over a shorter period of time  but decided to pace myself. Overpayments have already been made.

I decided against PCP, Car Leasing or finance from the dealer. The interest rate on the personal loan is very competitive too!

My first full 4 weekly SP payment is due in 11 days. I have created an updated budget to take into account my increased pension income. So for the time being net monthly income will be about £2440 a month with the exception of one month a year when I will receive two SP Payments. Then it will be over £3000!  So I should be ok.

Organgrinder

I would say more than ok. The average for a single person in retirement was under £14,000 in 2023. I found this quite shocking when I read it. As I repeatedly say, I am very fortunate to have a good retirement income forecasted.

Yours is almost £30,000 after tax which is almost identical to my own forecast. I know you keep saying my figures are greater than yours but they aren't that dissimilar overall.

In any event, MSE isn't about getting the cheapest of everything. It's about getting the best value for your circumstances. As long as everyone is happy with their choices, that is all that really matters.

My car for example was 4 months old when bought. It gives me everything I need. It's a Dacia, haha. But it has climate control, sat nav, heated seats etc. And omg, a private plate bought last year. It's not the most basic I need for my 8 mile commute!

Probably the only thing I'd have done differently (unless your loan deal has a rate below your ISA rate), is use savings to pay for the car and then replenish. But..... Sometimes loans make perfect sense when you know you may need quick access to capital.

But, enjoy the car. Life's pleasures should be enjoyed!