Bold leap into retirement

Skylla2010

Mallorca for Road, Canaries for Gravel 🫡

Skylla2010

ps: and for Madeira, forget Road but ok for some enduro mtb.

Smudgeismydog

huw01 said:

huw01 said:

I am contemplating in August not renewing my contract and looking to retire and not really work again if I can. 
Currently 51, single, in good health, mortgage free. So many friends have been inflicted with health conditions in the last 5 years that it has changed my outook on life.

225k in cash savings
330k in General Investment Account
82k in S&S ISA

LGPS deferred pension which will pay 12k per annum if taken early at age 55 along with a 20k automatic lump sum
LGPS AVC worth about 10k
Scottish Widows Workplace DC Pension 62k present

My plan is for the first three and a half years is to live off savings, drawing down 1900 per month should be more than enough for me to live and also travel which I want to do.

At age 55 is to start taking the LGPS and alongside the automatic tax free lump sum and AVC as a tax tree lump sum - these would top up the savings. I have asked the LGPS scheme as I will be 55 before April 2028 and the answer seemed to be that as long as I had started to take the LGPS then the rule changes to 57 wouldn't affect me. So for 10 year live of the LGPS and topped up by savings. THE LGPS would take the heavy lifting away from the savings.

Age 65 is to take 25% of the SIPP as a tax free lump sum and then at some point in the future the remaining 75% as either UFPLS, drawdown or annuity. Then age 68 all topped up by the state pension. My state pension forecast is now nearly at the full state pension.

Each year move 20k from the GIA to the S&S ISA, then take chunks out of the ISA as and when I fancy a splurge on something.

That is my thinking at the moment, life seems to short and unpredictable to be sat down wasting my time on someone else's priorities. Health and time is the only commodities that now seem important

So 1 year 2 months on, I left employment at the end of June 2024 - how is it going. Well I've gained a year in age - now 52

Financially

225k in cash savings is now 213K
330k in General Investment Account is now 331K
82k in S&S ISA is now 111K

I need to put £2880 in the SIPP this year but that has also gone up from 62k to 64K (it also has been transfered from a Scottish Widows Workplace Pension to an Aviva SIPP)

So although my cash savings has gone down in value by 12k the overall combined value of cash savings, GIA and S&S ISA is up 18k. I haven't really been tight or careful, been living my life as I would. In the last year I've been abroad a total of 7 out of 52 weeks.

Work

Not missing it one bit, I was offered some consultancy work earlier on this year but I turned it down - the thought of opening a laptop and having to use Teams or write reports felt like another era, another time. No that is defo behind me. No stress now, gone are the days of thinking and worrying about deadlines and dealing with problems which really were not my problems but the company's problems.

Instead I have been doing some Supporting Actor / Extra work, fell into it by accident last Autumn by seeing a facebook post. It's brilliant fun, got to meet new interesting, creative people. I'm averaging around 2 or 3 days a month which is ideal really. Peppered here and there, I like the unpredictability of it, not knowing where exactly I am going until the day before. Does it pay ? Nah not really, it's like pocket money but I'm not in it for the money - for the experience.

I'm also swimming more regularly than I was before and also walking more. Done some family history.

The only downside I can think of is I now don't like going anywhere on a weekend, too many people around. The world is a lot nicer when they're all in work !!!!!!!!

Many thanks for coming back to let us know how you are getting on @huw01. I also avoid places on the weekend, instead preferring quieter weekday outings. 

Just over a year on for me, and like you, my asset values have all held up, and I don’t feel like I’ve been watching the pennies. It’s funny, as work was such a large part of my life for so long, I wouldn’t want to say it defined me, but it was certainly a part of my identity, and I honestly don’t think about it now. I’ve spoken to ex colleagues who are still in work, and unsurprisingly all the politics, stress and deadlines are still there, I’m so glad I no longer have to deal with it.

bjorn_toby_wilde

Skylla2010 said:

ps: and for Madeira, forget Road but ok for some enduro mtb.

Definitely! Having walked and driven the roads of Madeira they're darned steep. King of the Mountains territory for roadies.

bjorn_toby_wilde

Smudgeismydog said:

huw01 said:

huw01 said:

I am contemplating in August not renewing my contract and looking to retire and not really work again if I can. 
Currently 51, single, in good health, mortgage free. So many friends have been inflicted with health conditions in the last 5 years that it has changed my outook on life.

225k in cash savings
330k in General Investment Account
82k in S&S ISA

LGPS deferred pension which will pay 12k per annum if taken early at age 55 along with a 20k automatic lump sum
LGPS AVC worth about 10k
Scottish Widows Workplace DC Pension 62k present

My plan is for the first three and a half years is to live off savings, drawing down 1900 per month should be more than enough for me to live and also travel which I want to do.

At age 55 is to start taking the LGPS and alongside the automatic tax free lump sum and AVC as a tax tree lump sum - these would top up the savings. I have asked the LGPS scheme as I will be 55 before April 2028 and the answer seemed to be that as long as I had started to take the LGPS then the rule changes to 57 wouldn't affect me. So for 10 year live of the LGPS and topped up by savings. THE LGPS would take the heavy lifting away from the savings.

Age 65 is to take 25% of the SIPP as a tax free lump sum and then at some point in the future the remaining 75% as either UFPLS, drawdown or annuity. Then age 68 all topped up by the state pension. My state pension forecast is now nearly at the full state pension.

Each year move 20k from the GIA to the S&S ISA, then take chunks out of the ISA as and when I fancy a splurge on something.

That is my thinking at the moment, life seems to short and unpredictable to be sat down wasting my time on someone else's priorities. Health and time is the only commodities that now seem important

So 1 year 2 months on, I left employment at the end of June 2024 - how is it going. Well I've gained a year in age - now 52

Financially

225k in cash savings is now 213K
330k in General Investment Account is now 331K
82k in S&S ISA is now 111K

I need to put £2880 in the SIPP this year but that has also gone up from 62k to 64K (it also has been transfered from a Scottish Widows Workplace Pension to an Aviva SIPP)

So although my cash savings has gone down in value by 12k the overall combined value of cash savings, GIA and S&S ISA is up 18k. I haven't really been tight or careful, been living my life as I would. In the last year I've been abroad a total of 7 out of 52 weeks.

Work

Not missing it one bit, I was offered some consultancy work earlier on this year but I turned it down - the thought of opening a laptop and having to use Teams or write reports felt like another era, another time. No that is defo behind me. No stress now, gone are the days of thinking and worrying about deadlines and dealing with problems which really were not my problems but the company's problems.

Instead I have been doing some Supporting Actor / Extra work, fell into it by accident last Autumn by seeing a facebook post. It's brilliant fun, got to meet new interesting, creative people. I'm averaging around 2 or 3 days a month which is ideal really. Peppered here and there, I like the unpredictability of it, not knowing where exactly I am going until the day before. Does it pay ? Nah not really, it's like pocket money but I'm not in it for the money - for the experience.

I'm also swimming more regularly than I was before and also walking more. Done some family history.

The only downside I can think of is I now don't like going anywhere on a weekend, too many people around. The world is a lot nicer when they're all in work !!!!!!!!

Many thanks for coming back to let us know how you are getting on @huw01. I also avoid places on the weekend, instead preferring quieter weekday outings. 

Just over a year on for me, and like you, my asset values have all held up, and I don’t feel like I’ve been watching the pennies. It’s funny, as work was such a large part of my life for so long, I wouldn’t want to say it defined me, but it was certainly a part of my identity, and I honestly don’t think about it now. I’ve spoken to ex colleagues who are still in work, and unsurprisingly all the politics, stress and deadlines are still there, I’m so glad I no longer have to deal with it.

I’m with you on the weekday outings. We walk a lot and have had some great walks midweek in places that are often crowded at the weekend. Literally just got back from a nice day out in the Peak District. A few miles and a pub lunch.

We’re a little down on our values this year but not much, mainly because we’ve been booking a few long haul holidays. We have a list of far flung places that we want to see and we’d rather do it while we’re (relatively) young.

michaels

Smudgeismydog said:

huw01 said:

huw01 said:

I am contemplating in August not renewing my contract and looking to retire and not really work again if I can. 
Currently 51, single, in good health, mortgage free. So many friends have been inflicted with health conditions in the last 5 years that it has changed my outook on life.

225k in cash savings
330k in General Investment Account
82k in S&S ISA

LGPS deferred pension which will pay 12k per annum if taken early at age 55 along with a 20k automatic lump sum
LGPS AVC worth about 10k
Scottish Widows Workplace DC Pension 62k present

My plan is for the first three and a half years is to live off savings, drawing down 1900 per month should be more than enough for me to live and also travel which I want to do.

At age 55 is to start taking the LGPS and alongside the automatic tax free lump sum and AVC as a tax tree lump sum - these would top up the savings. I have asked the LGPS scheme as I will be 55 before April 2028 and the answer seemed to be that as long as I had started to take the LGPS then the rule changes to 57 wouldn't affect me. So for 10 year live of the LGPS and topped up by savings. THE LGPS would take the heavy lifting away from the savings.

Age 65 is to take 25% of the SIPP as a tax free lump sum and then at some point in the future the remaining 75% as either UFPLS, drawdown or annuity. Then age 68 all topped up by the state pension. My state pension forecast is now nearly at the full state pension.

Each year move 20k from the GIA to the S&S ISA, then take chunks out of the ISA as and when I fancy a splurge on something.

That is my thinking at the moment, life seems to short and unpredictable to be sat down wasting my time on someone else's priorities. Health and time is the only commodities that now seem important

So 1 year 2 months on, I left employment at the end of June 2024 - how is it going. Well I've gained a year in age - now 52

Financially

225k in cash savings is now 213K
330k in General Investment Account is now 331K
82k in S&S ISA is now 111K

I need to put £2880 in the SIPP this year but that has also gone up from 62k to 64K (it also has been transfered from a Scottish Widows Workplace Pension to an Aviva SIPP)

So although my cash savings has gone down in value by 12k the overall combined value of cash savings, GIA and S&S ISA is up 18k. I haven't really been tight or careful, been living my life as I would. In the last year I've been abroad a total of 7 out of 52 weeks.

Work

Not missing it one bit, I was offered some consultancy work earlier on this year but I turned it down - the thought of opening a laptop and having to use Teams or write reports felt like another era, another time. No that is defo behind me. No stress now, gone are the days of thinking and worrying about deadlines and dealing with problems which really were not my problems but the company's problems.

Instead I have been doing some Supporting Actor / Extra work, fell into it by accident last Autumn by seeing a facebook post. It's brilliant fun, got to meet new interesting, creative people. I'm averaging around 2 or 3 days a month which is ideal really. Peppered here and there, I like the unpredictability of it, not knowing where exactly I am going until the day before. Does it pay ? Nah not really, it's like pocket money but I'm not in it for the money - for the experience.

I'm also swimming more regularly than I was before and also walking more. Done some family history.

The only downside I can think of is I now don't like going anywhere on a weekend, too many people around. The world is a lot nicer when they're all in work !!!!!!!!

Many thanks for coming back to let us know how you are getting on @huw01. I also avoid places on the weekend, instead preferring quieter weekday outings. 

Just over a year on for me, and like you, my asset values have all held up, and I don’t feel like I’ve been watching the pennies. It’s funny, as work was such a large part of my life for so long, I wouldn’t want to say it defined me, but it was certainly a part of my identity, and I honestly don’t think about it now. I’ve spoken to ex colleagues who are still in work, and unsurprisingly all the politics, stress and deadlines are still there, I’m so glad I no longer have to deal with it.

With CPI of 3.8%, if you pot has 'held up' over the last 12 months you have spent about 3.8% in real terms which is a bit above the historic SWR for UK retirees.

Smudgeismydog

I’m not so worried about the SWR to be honest, as I have a dependents pension already in payment, and when I receive my state pension, this income combined will be more than sufficient to support my lifestyle. With the proposed inclusion of my SIPP into my estate for IHT purposes, my views have changed a little and I’m now working on breaking my saving habit to become more of a spender.

nicknameless

pterri said:

nicknameless said:

pterri said:

nicknameless said:

Does anybody else who has taken the retirement plunge, like me, not quite believe it is true?  I left work for the last time approx. 7 weeks ago and it is still somewhat surreal.  Is this usual?  Takes a little while to sink in?  54 at the end of the month and no work to do!  Not saying I am missing it in the slightest and wouldn't change a thing right now, but this is very strange indeed

It’s been four months for me (57). It’s been fine but is starting to feel different now that it’s well beyond a holiday period, I do wonder what the winter will be like. I deliberately avoided foreign breaks so I could seek out some warmth over winter and possibly pick up som last minute breaks.  I don’t regret it for a moment, I’m sleeping way better and no more work dread over the weekend. One downside, I’ve (ad to spend my own actual money on a laptop

We have booked virtually a break a month - sept in the UK, Germany October, cycling in Majorca in Nov and then trying some xc skiing in Jan.  Might throw a last minute sunshine deal in there somewhere - but possibly shouldn't lol.

where in majorca? i've got  a gravel bike, i like to get away from the tarmac. is majorca  good for that? also, ive spent a lot on my bike and id like to take it wirh me. hassle i know, the main thing stoping me is a decent bike box, they cost a fortune for a rigid one, not convinced by the soft ones. id rather do that then spend more for a 'premium' bike hire. hoping to find a used bon on ebay.

We're staying in port de pollenca but that's only because we are going with family who go there a lot and that's where they like.  It's our first time out so can't really comment about the cycling yet.  We're mountain bikers and have seen some guiding companies with hire, and will probably try a day on a road bike for something different.  Know what you're saying about taking bikes as we've hired a couple of places previously and it's never like having your own bikes, but we'll just slum it for convenience

Bianchiintenso

pterri said:

nicknameless said:

pterri said:

nicknameless said:

Does anybody else who has taken the retirement plunge, like me, not quite believe it is true?  I left work for the last time approx. 7 weeks ago and it is still somewhat surreal.  Is this usual?  Takes a little while to sink in?  54 at the end of the month and no work to do!  Not saying I am missing it in the slightest and wouldn't change a thing right now, but this is very strange indeed

It’s been four months for me (57). It’s been fine but is starting to feel different now that it’s well beyond a holiday period, I do wonder what the winter will be like. I deliberately avoided foreign breaks so I could seek out some warmth over winter and possibly pick up som last minute breaks.  I don’t regret it for a moment, I’m sleeping way better and no more work dread over the weekend. One downside, I’ve (ad to spend my own actual money on a laptop

We have booked virtually a break a month - sept in the UK, Germany October, cycling in Majorca in Nov and then trying some xc skiing in Jan.  Might throw a last minute sunshine deal in there somewhere - but possibly shouldn't lol.

where in majorca? i've got  a gravel bike, i like to get away from the tarmac. is majorca  good for that? also, ive spent a lot on my bike and id like to take it wirh me. hassle i know, the main thing stoping me is a decent bike box, they cost a fortune for a rigid one, not convinced by the soft ones. id rather do that then spend more for a 'premium' bike hire. hoping to find a used bon on ebay.

We're staying in port de pollenca but that's only because we are going with family who go there a lot and that's where they like.  It's our first time out so can't really comment about the cycling yet.  We're mountain bikers and have seen some guiding companies with hire, and will probably try a day on a road bike for something different.  Know what you're saying about taking bikes as we've hired a couple of places previously and it's never like having your own bikes, but we'll just slum it for convenience

Port de pollenca, is an excellent base for cycling, lots of bike hire shops and great rides from the doorstep, up to the lighthouse at formentor or head up the campanet valley, or a gentle meander down the cycle path to alcudia. Used to be a well known cycling restaurant called tolos when Bradley Wiggins’s had many of his tour bikes on the walls, not sure if they’re still there as tool retired and new owners took over. But all in all a great place for cycling.

Pat38493

I have just handed in my formal notice to finish employment as of 31st October after 35 years with the same employer (well it changed name and ownership and location quite a few times but I never left the company myself).

I had already informed my employer some months ago that this was my plan, but we agreed that I would not hand in my formal notice until they had identified a replacement.

I am on holiday from 16th October so my last actual working day will be 15th October.

Getting real now.  Contrary to all the advice about needing to have lots of new hobbies etc. already established and so on, I don't really have any specific plan other than travel a lot in the next couple of years, take full advantage of our touring caravan, get fit and lose a couple of stone - I did just join Slimming World which I have done from time to time and my wife is a member as well and has already lost 3 stone.

Also looking forward to spending more quality time with family members, especially those who might not be around that much longer.

I would not be surprised if I end up doing some paid work of some kind in future but I have no plans to take up any kind of full time role or rejoin the corporate ladder.

I am following a DIY approach to my retirement planning, for good or ill.  I have prepared a cash ladder with just over 2 years of cash (but more like 3.5 years if I eliminate some optional spend that could be done in a later year).  From 2036, ,more than 90% of our annual spend will be covered by guaranteed sources, so a lot of the planning is around making it to that year with a bit of money left over to cover much smaller withdrawals after that.  My spending is very front loaded with probably about 40% of the spend dropping away during the first 3 years, so I've had to deploy cash flow planning software, stress testing of the real plan, and not worry about "4% rule" this and that as it's not really applicable to my situation.

We have also recently downsized the house which allowed me to finish work a year or two earlier than otherwise.  A lot of extra cost in the first year on maintenance tasks on the new place but all within budget so far.

First important task - Seattle here we come!   Cruise to Miami via West Coast, Mexico, Panama!