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Mental Health and arranging what to do with Pensions

I know Martin Lewis wrote a brilliant booklet all about Mental Health and Debt, but does a similar kind of thing exist to help people with Mental Health issues and planning Pensions?  My mental health rather than causing me to overspend or splurge, causes me to underspend and panic I dont have enough salted away.  I'm now 56 and will soon need to organise/plan my future with the various pensions and saved money - everytime I read about anything Pension related I end up believing I havent enough and will be in massive money pain, but my Sister believes I am worrying far too much and actually already have enough put together for my needs.

I've tried using an online planner but the amounts it thinks I need for a future is way more than my lifestyle and bills require.

So has anyone heard of a Pension and Mental Health guide I can use or read so I stop this cycle of worrying.

Comments

  • SkyFae
    SkyFae Posts: 8 Forumite
    Fifth Anniversary First Post
    Alternatively maybe someone like Martin could do a tiny piece on his show about where it is Safe for people like me to get advice
  • elsien
    elsien Posts: 34,339 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Photogenic
    All shall be well, and all shall be well, and all manner of things shall be well.

    Pedant alert - it's could have, not could of.
  • RetSol
    RetSol Posts: 553 Forumite
    500 Posts Fourth Anniversary Photogenic Name Dropper
    The folk on https://forums.moneysavingexpert.com/discussion/6228191/how-much-to-live-on?utm_campaign=mse_topics#latest are understanding and gentle. They tend not to be the £1million+ pension pot crowd and it's therefore less intimidating on there than on the pensions board. You could discuss your numbers on there and seek a sanity check. That might help to ground you and introduce you to folk in a similar position to your own.

    I have a tendency towards anxiety and, four years into retirement, I suspect that I will always worry about money whether I need to or not. I am probably underspending for that reason.  The shift from accumulation to decumulation is a difficult one for some people and I am one of them! 

    You sound as though you are managing the anxiety well enough as you are squaring up to the future rather than burying your head in the sand.

    If you feel that anxiety is getting in the way of your decision making, counselling may be of help to you. 

    I am exploring the idea that my anxiety about money is really not about money but about something else. In other words, money is simply the proxy. But that exploration is a work in progress! 


  • Albermarle
    Albermarle Posts: 24,468 Forumite
    10,000 Posts Sixth Anniversary Name Dropper
    RetSol said:
    The folk on https://forums.moneysavingexpert.com/discussion/6228191/how-much-to-live-on?utm_campaign=mse_topics#latest are understanding and gentle. They tend not to be the £1million+ pension pot crowd and it's therefore less intimidating on there than on the pensions board. You could discuss your numbers on there and seek a sanity check. That might help to ground you and introduce you to folk in a similar position to your own.

    I have a tendency towards anxiety and, four years into retirement, I suspect that I will always worry about money whether I need to or not. I am probably underspending for that reason.  The shift from accumulation to decumulation is a difficult one for some people and I am one of them! 

    You sound as though you are managing the anxiety well enough as you are squaring up to the future rather than burying your head in the sand.

    If you feel that anxiety is getting in the way of your decision making, counselling may be of help to you. 

    I am exploring the idea that my anxiety about money is really not about money but about something else. In other words, money is simply the proxy. But that exploration is a work in progress! 


    Regarding the comments in bold. On the pensions board Pensions, annuities & retirement planning — MoneySavingExpert Forum, there are some posters who have large pension pots, but for sure many new posters with much smaller pots who are often also anxious about their situation. In general these posters are handled with a helpful soft touch, and many appreciate the expert advice. 
    By the way 'underspending' is a common problem, especially amongst people who have been savers all their life. In fact the pensions forum is full of these underspending/overaccumulating types !

    The problems on that forum sometimes come from some  regular posters having a dig at each other, sometimes aided by the trolls that appear in many forums

    Anyway OP, there was a recent thread on that forum on a very similar topic, so should make interesting reading.
    Retirement - Actual vs Expectation — MoneySavingExpert Forum

    Obviously I do not know exactly what your mental health situation is but I can say that many people who would not consider themselves as having a mental health issue, are nevertheless anxious about retirement finances and confused by pensions is general. So you are probably in the majority rather than the minority !
  • tacpot12
    tacpot12 Posts: 8,653 Forumite
    Eighth Anniversary 1,000 Posts Name Dropper
    There isn't a booklet about Mental Health and Pensions, but perhaps there should be. However, the challenges for those with Mental Health problems are quite similar to the challenges we all face. What changes is your response to the difficulties.

    Your response is to underspend and panic. Others will overspend in the belif that there is nothing they can do to avoid a problem in future; they think "What's the point in being careful?"

    Managing your retirement money is a scary business. Few of us have ever had to manage such large amounts of money, but there UK is well set up to support people with the process. We have the services and the products that are needed, even if the sellers of such products sometimes do a pood job of explaining them!

    Fundamentally, you need to gain confidence that you know what your living costs are and that you have a good plan as to how to meet these costs. It may help to consider whether you are worried about one or both of these. 

    If you are worried about whether you understand your living costs, you might engage your sister to help you make a budget that you are happy includes EVERYTHING you need or want to spend money on. 

    Your budget should broken down into essential spending, and discretionary spending (i.e. spending you want to be able to do but don't have to do to survive). Discretionary spending might include holidays, birthdays, Christmas, meals out, etc. 

    I save for every eventuality - I have pots for holidays, birthdays & Christmas, car repairs, regular car bills (Tax, MOT, Insurance), car replacement, appliance and funiture replacement, vets bills, etc. 

    Inflation is a risk in retirement, but your plan on how to meet your retirement needs should factor in some increase in your costs. This basically means spending a bit less now, so that you can leave some money invested so that you will have more money in later life. The tricky bit is deciding much to keep back. The amount will depend on your age, and whether you have pension provisions that kick in in later life, e.g. any state pension entitlement or any personal/occuptional pensions.

    I would recommend trying to get really comfortable with knowing what your living expenses are, and only once you are really happy, move on to develop the plan. If you are prepared to post some more details about your financial situation, there are many on MSE that can help you develop a good plan that you have confidence in. Some of that confidence will come from knowing that your plan has some flexibility in it to respond to situations that might occur through your live. It can take a while to develop a good plan and get confidence in it. I would say that it has taken me 5 years of retirement to see that my plan really is working out ok. So don't be in a rush. Enjoy the process of creating and tweaking your plan. 


    The comments I post are my personal opinion. While I try to check everything is correct before posting, I can and do make mistakes, so always try to check official information sources before relying on my posts.
  • RetSol
    RetSol Posts: 553 Forumite
    500 Posts Fourth Anniversary Photogenic Name Dropper
    edited 16 May at 11:43AM
    I very much endorse what @tacpot12 has said above, particularly about regarding planning (and retirement itself) as a process. Also, you are entering a new stage of life and it is natural to have anxiety about it. As @Albermarle says, you are probably in the majority. It is how you manage the anxiety which makes the difference. 

    I am still feeling my way 4 years into retirement and my situation continues to evolve. Things have not turned out how I expected. That is not the result of having too little cash (or more than I expected) but rather of me finding out what really matters to me. 

    Another important thing to remember is that everyone is different. For example, I still have a mortgage in retirement. That would terrify some people but I feel that it works for me at the moment.

    What feels right to your sister may not feel right to you. It sounds as though it doesn't.

    It's your retirement. Plan it and view it in your own way!  
  • GunJack
    GunJack Posts: 11,706 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Photogenic
    Another possibility would be buying an annuity if you are so worried about managing a DC pension...it would at least give you certainty throughout your retirement. Note I'm not saying this is a 100% certainty to suit you, but it sounds like it could be a distinct possibility...
    ......Gettin' There, Wherever There is......

    I have a dodgy "i" key, so ignore spelling errors due to "i" issues, ...I blame Apple :D
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