Older Ages, "Retirement Planning" & Death (don't read if sensitive issues)

[Moshe Gariani]

I am 48 years old and it has started to cross my mind occasionally what age I might be when I retire from work (or make some kind of semi-retirement change), what the following years will have in store and what my final allocation might be from the great scorer in the sky...?? (I think there might be a name for this state of mind...)

What are the different approaches to this rather tricky issue?

FWIW my own first thoughts have usually been about working until around 67 to maximise income and pension benefits - while also building/retaining as much in the way of savings or accumulated "capital" during those working years - and then to enjoy a long and relatively comfortable retirement...

Is this completely barmy...? So many RIP threads on here of blokes in their late 60s and early 70s. One could easily follow the above approach and have almost NO years of "relatively comfortable retirement"...

But as a reasonably healthy 48 year old (albeit one who has enjoyed in the past some less healthy lifestyle options) can you really work on the premise that retirement years could well be quite few? If I did work until 67 how many years of retirement should be my best guess for which to budget? 5? 10? 15? 20?

Is it a better idea to try and find a way of retiring significantly earlier but obviously with less money? Or perhaps to keep working but spend more and accumulate less? Does it matter? Is the sensible approach to "not worry about it - what will be will be - everyone in the same boat - some sort of compromise around 65 seems about right for you"...?

Anyone with thoughts or personal experience?

 

[Change at Barnham]

Live a prudent lifestyle and reduce your workload earlier than planned.
If you're not spending loads you won't need loads of income.

 

[happypig]

Don't think in terms of "when" but about "how much".
Work out how much you need/want to live on. Consider how much savings you are going to need.
Once you have those figures, then you can work out how long it will take you to get there.

 

[Vicar!]

Lifestyle change is the way forward. Going part time at 58 and draw pensions early.
Plan to retire at 63?

 

[WATFORD zero]

Be aware that you might have some changes of mind and it's best not to set things in stone.

I had always said i wanted to retire at 50 and worked hard to pay off my mortgage early and then invest heavily in pensions. Got to 50 and knocked it on the head. 18 months later I had done everything around the house and garden and was bored s***less. I needed to do something so started doing part time work with what i believe Ben Elton called 'young adults'.

6 years on, i'm now close on full time, and have had to set up another company, but am still enjoying the work. For me, what i needed was a change from a very highly stressed (although well paid) job to something i enjoy doing. I may cut back on my hours again, but can see me doing this for at least the next 10 years, probably longer.

 

[Thunder Bolt]

I got to 60 (the then retirement age) and carried on working full time for two years. I started to feel the strain a bit (I was already having health issues) so dropped to a 3 day week) I collected my state pension as I didn't see the benefit of deferring it. I stopped work at almost 66 (just two weeks off) but now cannot do all the things I wanted to do as my health isn't as good. I'm not going to shuffle off this mortal coil at anytime soon, but I am restricted in what I can do.

 

[Herr Tubthumper]

Be aware that you might have some changes of mind and it's best not to set things in stone.

I had always said i wanted to retire at 50 and worked hard to pay off my mortgage early and then invest heavily in pensions. Got to 50 and knocked it on the head. 18 months later I had done everything around the house and garden and was bored s***less. I needed to do something so started doing part time work with what i believe Ben Elton called 'young adults'.

6 years on, i'm now close on full time, and have had to set up another company, but am still enjoying the work. For me, what i needed was a change from a very highly stressed (although well paid) job to something i enjoy doing. I may cut back on my hours again, but can see me doing this for at least the next 10 years, probably longer.

I agree. The idea of rattling around the house all day doing nothing worries me ......and absolutely terrifies the wife.

 

[Two Professors]

Retired at 59 after a final redundancy,all debts including mortgage paid.If I could have retired sooner,I would have.Most days I manage to keep busy but doss when I feel I need to!Physical health is the most important thing the older you get,so don't ignore those health check-up reminders,and 'GET SOME EXERCISE'.

 

[fat old seagull]

I've never really retired from work, well through my 70's now. Don't get paid for any of it, but have to do something other than watch 'Homes under the Hammer', 'Flog it' and various quiz shows. So run other wrinklies about, when I'm not on family duties.

 

[Boroseagull]

I decided at an early age in my working career to retire early. Mostly this was the reaction to my fathers early sudden death at the age of 64. He was born in Southover St area of Brighton, schooled at St. Lukes, worked locally, never had a car, did his time in the RAF during the war period ending up fighting the Japanese in India/Burma. He always kept his head above water money wise but as a building society clerk and rent collector was far from well off. I was 26 when he died suddenly, our daughter was just 6 months old so 1973 was a year of very mixed emotions but I decided then I would do whatever I could [legally] to retire early.

All the planning worked and I retired at the target age of 60, downsized the house and enacted the plan to live in Spain and indulge in what I love best [next to the Albion of course!], birdwatching. Having been a birder most of my life, it was Mr. Packham at Patcham junior School in the 50's who started it. I now, 10 years after retirement, have my life filled watching and writing about birds [I'm editor of the Andalucian Bird Society magazine] and looking after several fruit trees. I love it and do not for one moment regret any of the decisions I made.

The secret? There isn't one really, you make a decision and you stick with it, but we're all different so what suits one doesn't suit another - whatever you do good luck!

 

[Rugrat]

Anyone with thoughts or personal experience?

Planning is pretty well impossible .. I tried it but the three variables I found complete f**k up any potential to plan

1. How long you live?
2. What investment returns you get (or don't get)?
3. What kind of 'care' are you going to need when you reach bed wetting age?

Sods law says you plan for one thing and the complete opposite happens.

My approach was provide an OK income (personal pension drawdown + any other investment drawing + state pension when I get there) leave some behind for the care bit. Have a house to fall back on just in case. Made an assumption that investment return is zero so not relying on it. Worked out what a typical year of spending would look like and added 5%p.a for inflation (way too much obv) then took away fast cars and women when I reached 90 (LOL). Had spreadsheets coming out of my ears!

Decided I had enough to do that and hung up the boots at 58, and thrilled that I have

Good luck!

 

[Deleted member 2719]

Had spreadsheets coming out of my ears!

I like spreadsheets.

Give us a clue on how you set it up, did you get a template from somewhere?

Is there a column for the Albion

Oh i so feel the need to knock one up right now.

 

[Garry Nelson's teacher]

Retired from my 'full-time' contract one week after 60th birthday and went on to a 0.4 contract; then a 0.2 contract the week after my 61st birthday. Plan to stay on this for a bit; keeps my hand in and defers the day when I draw down the occupational pension. This 'tapering' approach seems to work for me - but I'm lucky that I can do this with my job. As I was commuting via train when I was full time, I feel that the timing has been fortunate. I suspect the Southern rail issue will make a shed-load of people re-visit their pension/retirement plans.

 

[Seagull]

These life expectancy calculators could come in handy!
https://www.confused.com/life-insurance/life-expectancy-calculator
https://www.death-clock.org/

 

[Rugrat]

I like spreadsheets.

Give us a clue on how you set it up, did you get a template from somewhere?

Is there a column for the Albion

Oh i so feel the need to knock one up right now.

Ha Ha ... yes there is one for the Albion ... my 8th biggest expenditure!

Has 7 or 8 tabs and it's evolved over 3/4 years, I'm a total nerd with it now . I do a bit of consulting for a pretty big IFA and they give a stripped down version to their clients ... should be on a royalty!!

 

[Jack Straw]

How many people on their death-bed have said "I wish I'd worked longer."? When someone said this to me, I thought it made total sense. I retired last summer aged 60.

 

[Deleted member 2719]

Ha Ha ... yes there is one for the Albion ... my 8th biggest expenditure!

Has 7 or 8 tabs and it's evolved over 3/4 years, I'm a total nerd with it now . I do a bit of consulting for a pretty big IFA and they give a stripped down version to their clients ... should be on a royalty!!

8th biggest expenditure I wonder where BHA are on TB spreadsheet!

Do you put in cash sales, like an Albion Programme or am i getting silly now.

 

[jakarta]

It is very difficult if you are in a fulltime job as an PAYE employee.

Luckily although theoretically an employee, I'm also the boss. I'm already not working as hard as I used to (knocked the North Sea work on the head a few years back) and I'm starting to detach myself from bad payers and otherwise pain in the arse Clients with a view to pretty well finishing before 60 when the mortgage is paid off.

As I also do work as a Visiting Lecturer at a London University on Distance Learning Courses which I could service from anywhere at all in the World this has smoothed out a dodgy pension situation. Of course while we all need a roof over our heads money isn't everything. Mrs J is now suffering from Cancer and this has rather recalibrated my life.

 

[Rugrat]

8th biggest expenditure I wonder where BHA are on TB spreadsheet!

Do you put in cash sales, like an Albion Programme or am i getting silly now.

Ha Ha ... guaranteed it's number 1 on TB expenditure

No ... I have a line for Misc which is where I shove all cash, but then since doing this I use less cash and lots of debit/credit. So my Misc line has all the incidentals and comes in not a lot more than BHA!! (But BHA includes all travel to away games and any booze/grub associated with it) LOL ... #analfukka

Since starting 4 years ago and having tracked all income/expenditure bottom line is that I can now afford to live till I'm 97 instead of 92 .... the prospect is so thrilling I'm planning on spending a load more next year

 

[Diablo]

Doctor told me rather glumly the other day I had a 20% chance of stroke or heart attack in next ten years (I`m 60 and overweight ) . However I`m an optimist and told him I`ve an 80% chance of not having one in next ten years.