[Misc] Retirement

[Tim Over Whelmed]

I have about 70% high(ish) risk. I know that if I was more active (my IFA does tell me ) I could get better returns but I'm afraid my investment strategy is similar to my football supporting one, sit tight and hope for the best.

It's got me lower half premier, so not bad in both cases.

Yep, it's definitely 'taking the long view' like what you said

I have a superb IFA and after a long discussion we've set investments into short, medium and long term, the long term much higher risk and the short, obvs, low and the primary aim is building value whilst I spend my "now funds" pot over the next few years.

 

[mikeyjh]

I also quickly realised the eyewatering amount I was spending by simply going to and being at work - rail fare (couldn't take advantage of an annual ST so was either £130/week or £50/day), breakfast, lunch, multiple coffees, regular drinks/meals after work and loads of spending when away on business travel that wasn't 'claimable'.

Quite - It's worth considering the expense of work (both financially and for your wellbeing). Funny you mention business travel, that's something I kind of miss and kind of don't. I loved meeting different people, being in different places, was a bit of a buzz at times. Then I think about sat in a lounge at LHR on a Sunday night or whenever, having a beer on my own thinking WTF am I doing here.

I didn't realise so many people retired early.

My plan is still to work until 67, although when I get close to that, if a reasonable redundancy/early retirement incentive is offered then of course I'd take it.

I think it's ingrained in to our society, that's what you do.... For me, I watched my mum work hard, save hard, retire, get dementia then die in 2018. That definitely made me think about what we were doing and why.

 

[Weststander]

I didn't realise so many people retired early.

My plan is still to work until 67, although when I get close to that, if a reasonable redundancy/early retirement incentive is offered then of course I'd take it.

Other than ex business owners, I suspect many of the rest have defined benefit pensions (local authority, education, NHS, large companies before they stopped them for new entrants). Someone in my family retired last year in their 50’s, on an index linked > £50k per year headteachers pension).

 

[A mex eyecan]

Other than ex business owners, I suspect many of the rest have defined benefit pensions (local authority, education, NHS, large companies before they stopped them for new entrants). Someone in my family retired last year in their 50’s, on an index linked > £50k per year headteachers pension).

those poor people ….

 

[Seagull58]

I have about 70% high(ish) risk. I know that if I was more active (my IFA does tell me ) I could get better returns but I'm afraid my investment strategy is similar to my football supporting one, sit tight and hope for the best.

It's got me lower half premier, so not bad in both cases.

Yep, it's definitely 'taking the long view' like what you said

Exactly the same here. My IFA waved an Absolute Return fund under my nose a month ago and suggested bailing out of some of my other funds but I decided to sit tight. In all previous crashes its taken no more than a year for my portfolio to get back to where it was pre-crash. I may have done better if I was more nimble and listened to the advice but I cant bring myself to sell in a falling market.

 

[Seagull58]

Other than ex business owners, I suspect many of the rest have defined benefit pensions (local authority, education, NHS, large companies before they stopped them for new entrants). Someone in my family retired last year in their 50’s, on an index linked > £50k per year headteachers pension).

In my case, No to all of that. Simply, investing in a SIPP for 20+ years and moving various money purchase pension plans into the SIPP.

 

[£1.99]

Was feeling quite envious of everyone on here who have retired early!
But i needn't be, because for the last couple of years i have only been working 3 days a week so i guess i am retired if only semi.

 

[dazzer6666]

Quite - It's worth considering the expense of work (both financially and for your wellbeing). Funny you mention business travel, that's something I kind of miss and kind of don't. I loved meeting different people, being in different places, was a bit of a buzz at times. Then I think about sat in a lounge at LHR on a Sunday night or whenever, having a beer on my own thinking WTF am I doing here.



I think it's ingrained in to our society, that's what you do.... For me, I watched my mum work hard, save hard, retire, get dementia then die in 2018. That definitely made me think about what we were doing and why.

Exactly how I feel. Loved the locations, the hotels, the staff, the different culture, the business challenges etc………..but increasingly got to resent spending every other Saturday or Sunday afternoon at T5 (travel always went in peaks and troughs but had a 4 year spell in my last job of 25+ trips a year, almost all long haul) being constantly tired, missing stuff at home because I was away etc.

I do miss the Avios, gold card, first lounge and very regular upgrades though

 

[London Irish]

Great read this thread and a nice antidote to a frustrating afternoon.

Has the homeworking revolution affected anyone else? I was pondering early retirement in a few short years but having got rid of the London commute (around 15 hours a week back), it just makes sense me carrying on longer as I still like the job, so could do another 10 years, or more likely 5 and have a think

 

[dazzer6666]

Other than ex business owners, I suspect many of the rest have defined benefit pensions (local authority, education, NHS, large companies before they stopped them for new entrants). Someone in my family retired last year in their 50’s, on an index linked > £50k per year headteachers pension).

Not me. Three DC pots (one in a SIPP and two still in the employer’s scheme) from various employers and some savings. I was incredibly lucky in that my last job pid reasonable (from a back office perspective) bonuses that I didn’t need, so they are basically funding my early escape.

I’ve got some ex-police pals that retired at 50 on fantastic pensions ……

 

[Weststander]

Not me. Three DC pots (one in a SIPP and two still in the employer’s scheme) from various employers and some savings. I was incredibly lucky in that my last job pid reasonable (from a back office perspective) bonuses that I didn’t need, so they are basically funding my early escape.

I’ve got some ex-police pals that retired at 50 on fantastic pensions ……

Didn’t you work for a well known bank first job?

 

[Tom Hark Preston Park]

Timely gentle nag to trace all your old pensions, ones you maybe never even knew you had. Don't pay a company to do it on your behalf, use the free hmgov pension tracing service. It just might provide you with a surprising large windfall. What's to lose?

https://www.gov.uk/find-pension-contact-details

 

[Publius Ovidius]

My company announced last week they are insolvent and in administration. They are a world leading DR and data centre company and increased power costs have ****ed the UK business

So after 21 years I am about to be laid off. Have to get any redundancy and notice from the government direct as we are totally empty.

Still I am 64 this year and hope I have enough in my pension pots to have a good retirement.

 

[Weststander]

Exactly the same here. My IFA waved an Absolute Return fund under my nose a month ago and suggested bailing out of some of my other funds but I decided to sit tight. In all previous crashes its taken no more than a year for my portfolio to get back to where it was pre-crash. I may have done better if I was more nimble and listened to the advice but I cant bring myself to sell in a falling market.

The clever clogs I know bailed out of high-risk before the crashes, one using the nous of Cazenove.

The rest of us ‘enjoy’ Wall Street type tech stocks (or funds based on) with exponential rises year after year, and just can’t see that there might be a colossal downwards correction.

 

[Eric the meek]

Other than ex business owners, I suspect many of the rest have defined benefit pensions (local authority, education, NHS, large companies before they stopped them for new entrants). Someone in my family retired last year in their 50’s, on an index linked > £50k per year headteachers pension).

[MENTION=21158]Weststander[/MENTION], I'm afraid you've got another one here who doesn't fit your bill. Defined benefit pensions are becoming rare these days.

I've never had a DB pension, but saved into DC (defined contribution or money purchase schemes) all my working life, and transferred them into a SIPP in 2010, which I manage myself. I'm 62, retired six years ago, and you can't see the join between employment and retirement. My standard of living hasn't changed at all. If anything, it's improved. I just planned ahead, that's all.

 

[dazzer6666]

Didn’t you work for a well known bank first job?

First, second, third and fourth jobs. All of them, in fact

 

[Mr Bridger]

Always had an eye on retiring early from my twenties after taking out two private pensions and having them mature at 55.
When I reached 50 I wanted to have more days off than I worked, so started taking Mondays and Friday off and condensing my work into the 3 days midweek and having a long weekend. Sometimes this didn’t work out, but I was working at not working full time.
Im 57 now, and have slipped from plumbing into doing ‘trace & access’ work (leak detection) for insurance companies and pays really well, so lucky enough to narrow my work down to 1-2 days a week, when I choose. I’m not going to put a final date on when I’m going to retire, I think it’s best to ease into it, or practice retirement if you like, so you don’t hit the wall.
Paid off my mortgage last year, which was a massive relief, and have left the pensions alone while I tick over, so at the moment I’m working when I want to and in control of my work/ life balance, which regardless of what you have in the bank, I think is the most important thing.

 

[Weststander]

[MENTION=21158]Weststander[/MENTION], I'm afraid you've got another one here who doesn't fit your bill. Defined benefit pensions are becoming rare these days.

I've never had a DB pension, but saved into DC (defined contribution or money purchase schemes) all my working life, and transferred them into a SIPP in 2010, which I manage myself. I'm 62, retired six years ago, and you can't see the join between employment and retirement. My standard of living hasn't changed at all. If anything, it's improved. I just planned ahead, that's all.

18m working folk are still in DB schemes, not to mention the army of retired teachers, NHS, government and local authority staff living on them.

Genuinely well done to you. My Dad, still with us, did the same as you. He ploughed contributions into private DC pension schemes from the 60’s to 1997 in the good years. Sitting pretty.

 

[Weststander]

First, second, third and fourth jobs. All of them, in fact

Didn’t they have mandatory DB pension schemes?

My friends who started work in the mid 80’s with the likes of Lombard, life assurance companies and banks accrued great pension rights.

 

[dazzer6666]

Didn’t they have mandatory DB pension schemes?

My friends who started work in the mid 80’s with the likes of Lombard, life assurance companies and banks accrued great pension rights.

Lloyds Bank 1984 - Good DB scheme (40/60ths). Got several pals who did the full term, but in more recent times it’s been heavily capped
Citibank 2000 - DC - ok. Transferred it to Barclays when I moved for ease of admin
Barclays 2003 - DC - good but adjusted if accessed before 60 (so I won’t)
HSBC 2014 - DC. Opted out after a couple of years as hit by the tax tapering and took the cash difference as income so doesn’t amount to much