Can you live off your investments/savings?!

Living off investments is one thing. Living of savings is something completely different as the returns are just not there. To live of savings would you need far larger sums on the basis that it would need to last you for 'x' number of years, suffer capital erosion and inflation erosion with very little, if anything, being added to the pot.

Many retired people "live of the interest" on their savings avoiding using any of the capital, but it is not a good strategy.

Firstly it means your income goes up and down with interest rates. When the crash happened and interest rates fell many people who were living off large interest payments suddenly had to cope with less. A better strategy might be to take less out when they are high and more (i.e. capital too) when they are low.

Secondly inflation means you have less to spend each year, and it eats away at it surprisingly quickly. To counter this without eating into the capital (in real terms) you would have to add an amount equal to inflation each year. But since the interest rate is not likely to exceed inflation that makes the whole plan impractical.

Yes it can be done, but you need a fair chunk of money.

UK average wage is £26k, to get this from the FTSE100 as a natural dividend you'd need £600,000 in a tracker. If you want to be more secure and go overseas you'll need a tad more £900,000 will do the trick

Good news is that you won't pay any NI and won't have to get out of bed in the morning

I'll be living off savings and investments pretty much completely until we get SP at 66 (I am aged 61 and a half right now). We're spending it as we will be dead at some point and as yet there is no guaranteed way of taking it with you......