Early retirement… who did it?
- Thread starter JTC
- Start date
Two retirement planning tools that might be of interest to those following this thread:
1. https://web.stanford.edu/~wfsharpe/RISMAT/
2. https://www.firecalc.com/
The second one has a US slant, but might well be useful to Europeans too, as market moves on both sides of the Atlantic have
shown correlation.
1. https://web.stanford.edu/~wfsharpe/RISMAT/
2. https://www.firecalc.com/
The second one has a US slant, but might well be useful to Europeans too, as market moves on both sides of the Atlantic have
shown correlation.
Of course, sensible retirement planning requires an estimate of life expectancy based on lifestyle, pre-existing medical conditions, family history etc. I’ve found these two estimators to be very helpful:
1. https://media.nmfn.com/tnetwork/lifespan/#8
2. https://www.livingto100.com/calculator
A few minutes on Google will show others. Not all will give the same answers, but one can look at results from different calculators to get a good sense of where one stands. It is illustrative to vary the inputs to these calculators and observe the effects of diet, exercise, weight, etc. on expected lifespan.
Again, both are geared towards US residents, but I see no reason why they cannot be used by others.
1. https://media.nmfn.com/tnetwork/lifespan/#8
2. https://www.livingto100.com/calculator
A few minutes on Google will show others. Not all will give the same answers, but one can look at results from different calculators to get a good sense of where one stands. It is illustrative to vary the inputs to these calculators and observe the effects of diet, exercise, weight, etc. on expected lifespan.
Again, both are geared towards US residents, but I see no reason why they cannot be used by others.
davidsrsb
pfm Member
It strikes me that some of you are planning 40 year retirements. My parents are into their 90s, so if I am able to keep going until 70, I will narrow my window my pension has to cover.
I get a lot of leave, so I cannot use working as an excuse to put things off.
A very different situation for Americans with tiny holiday allowance
I get a lot of leave, so I cannot use working as an excuse to put things off.
A very different situation for Americans with tiny holiday allowance
I'm 54, could retire tomorrow if I were prepared to sell the house etc. But I like working. I do it on my terms, I choose when and where, and I get recognition of my efforts and results. Mrs SC stopped this year at 56, she's happy. Both my parents, teachers, retired at similar age and said that they are glad they did and should maybe have gone a year or two earlier. So YMMV. I fancy another 5 years of so. Then we'll see.
Tony L
Administrator
That is one thing that drew me to contracting. My aim, though it seldom worked out exactly, was to do something like two months on, one off, or at least that ratio over a year. I never wanted to finish one contract and go straight to the next. I’ve always hated traditional/corporate work, it is never anything but a chore, so I always wanted something back beyond money I was far too tired or time-limited to spend. I loved much of my time contracting in That London as I made sure I had plenty of time to really explore and enjoy the place in the time between the dull grey office/server-room jobs. As a cyclist I got a much better perspective than most outsiders who never really get to think beyond the abstraction of the Tube network. I got to know my way around quite well. I liked it a lot. If the property prices weren’t so insane I’d have liked to live there permanently.
mjw
pfm Member
Daughter and SIL considering relocating to Tyneside now they no longer need to visit an office. Their 2-bed flat at Crystal Palace looks like selling for north of £450k. Plenty of choice up there with that money.
paulfromcamden
Baffled
That's the balance I've never quite managed. Doing IT in The City I was cash rich but time poor. Now working in education I have more time but a fraction of the cash. Though most days I'll happily choose the latter.
mandryka
pfm Member
I think that the real function of these things is to confuse the workforce, make them feel inadequate and insecure. A less confident workforce, one that constantly feels menaced by new ideas which they can’t quite follow, is meeker, easier to control.Ah yes, models - the favourite 'Training Day' treat:
A similar thing for long and useless meetings, it all helps to make the worker understand that he is dominated, that he must submit to that.
mandryka
pfm Member
Fck, I’m going to live to 98. I don't want it. I can’t afford it. I’d better start to take some drugs and eat more cake now!
Ponty
pfm Member
They should think very carefully about that in the long term. Things change (as we’ve seen). Once they sell up out of London / South East, history suggests it’s very difficult to buy back in. Other options could be to rent it out and either buy or rent another place elsewhere (I realise that’s not very tax efficient in the short term). When we moved to the sticks we kept a place in the SE and very glad we did.
Tony L
Administrator
It’s been my struggle with conventional work all my life. My very first job was as a trainee psych nurse and I rather liked that as you could get it done in some very long 12 hour shifts, IIRC a ‘week’ could be done as three 8-8 shifts, and one 8-12 half day, and then 4 or 5 days off. If you stuck two weeks together you could get all the ‘off’ in a block, so that’s how I tried to do it. Do a lot of work, then have a real break to do my own thing.
The conventional ‘wage slave’ week of 9-5, likely with an hour travel each way, is just a bloody nightmare. I don’t care what it pays, that’s just way, way too much of my life wasted. Get up too early, travel, do shit for someone else for 8 hours, travel, collapse exhausted, maybe play a record or two, go to sleep, and then do it all again the next day. Just a pointless waste of a life. Thankfully I managed to do all I needed to do of that in about 7 years total. Certainly once I’d bought a house there was no need to continue from my perspective as so many of the normal things people spend such vast amounts of money on just hold no interest to me. I suspect I’m exceptionally lucky in that I can usually turn a profit on the stuff that I enjoy and I actively avoid most of the things people spend the crazy money on (families, cars, holidays, fancy restaurants, regular drinking, drugs etc)!
Ponty
pfm Member
and no NHS…
Spike
pfm Member
It still is up until April 2022.
Spike
pfm Member
Not really saying much unless you know how many years she has been in the TPS. You can be a “senior teacher” (which is a meaningless term these days) and still only have a few years in the TPs. How many years does she have? If she has 40 years then it’s half salary and 3 times this as a tax fee lump sum. If she has only say 30 years the 30/80ths. Which will still be a reasonable pension. However, if she is taking it at 55-60 then this will be reduced at about 4% per year. tell her to look at:
It also surprises me how many teachers such as your friend have no idea until it’s too late. There are numerous ways that she could have boosted her pension over the years, and still can.
davidsrsb
pfm Member
I wonder if the SE price divide can continue to grow indefinitely. The last 6 months have shown that for many jobs, the only reason to go into the office was to justify the middle managers job
Spike
pfm Member
On a personal note, I’m 57 and plan on retiring from teaching in 3 years. This will give me 38/80ths and three times my annual pension as a tax free lump sum. I will have 2 1/2years on the new pension which kicks in April 2022. This will be reduced by about 27% if it take it at 60. I’ve calculated that overall this will give me approximately the same net monthly income, as I have now due to no NI, pension contributions, additional contributions etc. Plus not paying £300 per month for fuel. (My fault as I like my Audi S3). Thankfully no mortgage to pay. I will continue working for the Exam board and OFQUAL, which I thoroughly enjoy, so I will be much better off. I could be tempted to do a partial retirement and reduced maternity cover for a year. Some of my department are planning kids in a few years! When I reach 67 with my state pension I will definitely have the biggest disposable income I’ve ever had.
My parents and retired teachers and put aside a LOT of investment s in the 90s. One year they made more in their additional pensions etc than they did salary. They now have a very comfortable retirement. Good for them, it's bought and paid for and they gave up on flash cars etc to fund it.
Bob McC
Living the life of Riley
Certainly is true for me and my Mrs.
Spike
pfm Member
My wife is a retired head. She left at 52. For 7 years we lived on my salary, exam bird work, along with some savings and investments. This made us look at outgoings. We made a significant changes which actually meant we hardly noticed much difference, she would not give up her £120 haircut every six weeks! We cancelled many subscriptions, not a loss. Pointless having a membership of Kew when we live 320 miles away!
We still enjoy holidays and eating out etc. She now has her pension and we still live like we have for the last few years with the bonus that we save even more.
My colleagues have now started to write on a white board in our meeting room the number of terms they think I have left to work! (9)
We still enjoy holidays and eating out etc. She now has her pension and we still live like we have for the last few years with the bonus that we save even more.
My colleagues have now started to write on a white board in our meeting room the number of terms they think I have left to work! (9)