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Retirement

bernardhepworth said:
I'm in my mid 50's and I'm not planning to stop working until I keel over. There are a couple of reasons for this. One is financial. The DWP have calculated that you live comfortably in your retirement you need an income of £22k a year. How many people who are coming up to retirement are near to that figure?

My moto is good work is good for you!
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I've worked out that even as a couple, and even if the whole house was paid off mortgage wise, the remaining bills would be at least £2k pm (assuming we still run a car but excluding any spare for holidays). I should sit down and work out where we could cut back (food and wine probably) - and undoubtedly a smaller house would cost less in Council Tax and heating. We have very basic TV package and mobile phone tariffs so not much extravagance there. No spare for hifi purchases! Plus you need a bit set aside for things that go wrong (boiler etc)

Are others on here who are already retired managing fairly comfortably on £22kpa gross? If so, what are you cutting back on? How do you afford holidays - or do you not bother? I would like to travel overseas on retirement
 
£22k a year sounds quite tight even for a cheapskate like me.

My holidays are sitting in front of this wonderful sounding system and listening to music
:)

My basic TV is Freeview plus the boss's insistence she has Amazon Prime. Don't have a mobile
Do more miles on the bike than in my 1996 Saab

Not enough for hifi would be painful
 
We are on around 22k, partners state does not kick in for a couple of years.

No mortgage, no vehicle credit/loan (car, and a van which will probably go this time next year)
mobiles on basic, credit cards all paid up, Freeview, food non processed and batch cooked where feesible.

Fortunately we have a lump sum which we use to top up, but this will stop soon as wish to keep this for new car, kids
inheritance and not for day to day expenses.

So, 22k alone may be tight for us, but if that was all we received I think life would still be very sweet indeed.

Bloss
 
ex brickie said:
I've worked out that even as a couple, and even if the whole house was paid off mortgage wise, the remaining bills would be at least £2k pm (assuming we still run a car but excluding any spare for holidays). I should sit down and work out where we could cut back (food and wine probably)
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£2k a month sounds a lot. We usually spend around half that including food and wine, although we don't run a car.
 
I don't understand council tax , my mum's tiny little flat is band c , and it's small and not worth much and yet it's the same band as a 4 bed worth 3 times as much here. Crazy system. Council tax varies widely in UK, very expensive in devon
 
Joe Hutch said:
£2k a month sounds a lot. We usually spend around half that including food and wine, although we don't run a car.
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Exactly. Even if you only eat out (and modestly) very rarely, £1k pm is easily gone on food etc. then add council tax, running a car (no loan), house insurance, fuel, utilities,..... There's no spare for hifi or holidays on £22k...
 
Just worked out that with me on SP plus a similar level of Employment pension, + Mrs Mull on basic SP, we are a bit over the 22k figure before tax. House paid for, few savings, old cars, few holidays. (A choice, not an imposition). I really do not feel deprived and couldn't give a toss about having a new car on the drive. Just one that works. I have around £10k hi-fi and no trouble buying music on whatever format I choose. We eat well and can go out as and when we feel like it. In practice we don't eat out often.. but again... that's a choice. I'm currently managing to save a bit each month.

Maybe years of near bankruptcy under the worst of Thatcherism etc., has made us learn to live within our means. I am convinced that many of the people living around me are in hock up to the eyeballs.
 
Mullardman said:
Maybe years of near bankruptcy under the worst of Thatcherism etc., has made us learn to live within our means. I am convinced that many of the people living around me are in hock up to the eyeballs.
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Although slightly off topic, I suspect its our populations lack of financial prudence that will help tip the country over the fiscal edge when/if we stumble out of the EU.
 
wylton said:
In one of the earlier posts, somebody mentioned having £2k/month for a retirement budget; plenty of people don't have that as a total income for the household during the whole of their working life!
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Do you mean globally, or have I misunderstood again?


Bloss
 
I did a quick back of a fag packet calculation and reckon that we can just about manage on one 9K state pension, that's all essentials paid but no allowance for cars, holidays, eating out or clothes ie just the essential household bills.

On that basis I assumed when my SP becomes available in 2 years that we could live fairly comfortably and only use our private pensions for the luxuries in life
 
andy831 said:
I did a quick back of a fag packet calculation and reckon that we can just about manage on one 9K state pension, that's all essentials paid but no allowance for cars, holidays, eating out or clothes ie just the essential household bills.

On that basis I assumed when my SP becomes available in 2 years that we could live fairly comfortably and only use our private pensions for the luxuries in life
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Don’t forget that if at anytime you were opted out of SERPS or S2P you won’t get the full State pension.
 
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