[NWH]

Yeah I know how much that amounts to believe it or not,the thing is there are other ways to maybe secure you’re future.
How many people do you know that can put away 1-2000 a month for basically their whole working life and not miss out on holidays doing the house up etc,most people live from month to month with nothing left if Covid has taught me 1 thing it’s that tomorrow might not come.

[AuRavelling79]

Yeah I know how much that amounts to believe it or not,the thing is there are other ways to maybe secure you’re future.
How many people do you know that can put away 1-2000 a month for basically their whole working life and not miss out on holidays doing the house up etc,most people live from month to month with nothing left if Covid has taught me 1 thing it’s that tomorrow might not come.

You said £1K a month for 20 years - I just showed what that would do. I agree that few can do it. But if it was "only" £250 that would give you something useful.

[deeege]

Yeah I know how much that amounts to believe it or not,the thing is there are other ways to maybe secure you’re future.
How many people do you know that can put away 1-2000 a month for basically their whole working life and not miss out on holidays doing the house up etc,most people live from month to month with nothing left if Covid has taught me 1 thing it’s that tomorrow might not come.

You said £1K a month for 20 years - I just showed what that would do. I agree that few can do it. But if it was "only" £250 that would give you something useful.

I said £200 - £1000 a month and NWH quotes me and again exaggerates it to £1000-£2000 per month  Talks so much crap it’s ridiculous.

[dd]

If you have an investment pot of £250k (whether inside or outside of a pension) you should achieve an annual growing income of around £10k without having to draw on your capital.

It takes time to build up but given what most on here earn should be possible over time.

I have approx 200k invested mostly in ISA and my annual dividends are close to 8K, which are reinvested. The 200k figure includes investment growth and dividend reinvestment.

[NWH]

I wasn’t exaggerating that figure was in my head because that is the general figure people quote usually around the 200 odd K mark,nothing wrong with that fine but that’s not going to give you anywhere near enough to survive on really with any kind of luxury,ok it’ll pay a few bills and you shouldn’t have a mortgage but if someone’s 10 years in to something like that by the time 20 years comes it’ll be pittance and that’s if you get there.
For example a 1000 a month after a mortgage and all other bills is not achievable for a lot of people is what you get at the end of it going to be worth it.

[Stoots]

i think i could survive on the state pension easy. By that time no mortgage so not many bills and stomachs shrink as we get older so could probably manage on a pot noodle a day.

[dd]

If you have an investment pot of £250k (whether inside or outside of a pension) you should achieve an annual growing income of around £10k without having to draw on your capital.

It takes time to build up but given what most on here earn should be possible over time.

I have approx 200k invested mostly in ISA and my annual dividends are close to 8K, which are reinvested. The 200k figure includes investment growth and dividend reinvestment.

I have highlighted  a section in the hope that NWH can read the word "growing".

I am not suggesting everyone should live on £10k per year but it is a useful supplement to state pension or other income.

My personal goal is to retire in about 3 years (age 60). I will have ISA income, personal pension income and option to move to cheaper area and buy smaller house, thus freeing up some equity from the house. I should get by OK until the state pension kicks in age 67.

[AuRavelling79]

If you have an investment pot of £250k (whether inside or outside of a pension) you should achieve an annual growing income of around £10k without having to draw on your capital.

It takes time to build up but given what most on here earn should be possible over time.

I have approx 200k invested mostly in ISA and my annual dividends are close to 8K, which are reinvested. The 200k figure includes investment growth and dividend reinvestment.

I have highlighted  a section in the hope that NWH can read the word "growing".

I am not suggesting everyone should live on £10k per year but it is a useful supplement to state pension or other income.

My personal goal is to retire in about 3 years (age 60). I will have ISA income, personal pension income and option to move to cheaper area and buy smaller house, thus freeing up some equity from the house. I should get by OK until the state pension kicks in age 67.

Assuming your health holds would you keep a bit of cream work or sell the business? Or employ?

[dd]

If you have an investment pot of £250k (whether inside or outside of a pension) you should achieve an annual growing income of around £10k without having to draw on your capital.

It takes time to build up but given what most on here earn should be possible over time.

I have approx 200k invested mostly in ISA and my annual dividends are close to 8K, which are reinvested. The 200k figure includes investment growth and dividend reinvestment.

I have highlighted  a section in the hope that NWH can read the word "growing".

I am not suggesting everyone should live on £10k per year but it is a useful supplement to state pension or other income.

My personal goal is to retire in about 3 years (age 60). I will have ISA income, personal pension income and option to move to cheaper area and buy smaller house, thus freeing up some equity from the house. I should get by OK until the state pension kicks in age 67.

Assuming your health holds would you keep a bit of cream work or sell the business? Or employ?

Not sure. I plan to either retire completely and move to another part of the country (I would like to live near some mountains), or if I stay put would work less. Will probably go for first option.

I do not want the hassle of employing.

Like Stoots I do not want or need much, but being married definitely complicates things.

[NWH]

Looks like I’ll be selling up and moving up Yorkshire or Cumbria way then no need to get a pension just sell up buy a place up there and cash in 🤣🤣

[NWH]

If you have an annual growing income of 10k from that good luck to you most options will offer 6% with a minimum of 100k invested,if you own a fair
Sized home in a decent part of the south of England it’s a lot simpler you could generate that 250k 2 fold after you’ve bought in another part of the country without depriving yourself of living for 30 odd years.

[deeege]

If you have an annual growing income of 10k from that good luck to you most options will offer 6% with a minimum of 100k invested.

You clearly know nothing about pensions, investments or any form of retirement planning so why bother entering into these discussions. You just make yourself look daft.

[NWH]

When I want money I just ask the wife 😞

[dd]

If you have an annual growing income of 10k from that good luck to you most options will offer 6% withminimum of 100k  a invested,if you own a fair
Sized home in a decent part of the south of England it’s a lot simpler you could generate that 250k 2 fold after you’ve bought in another part of the country without depriving yourself of living for 30 odd years.

You are talking about an annuity. I have no intention of purchasing an annuity.

[NWH]

It doesn’t matter my point is yes it’s good to plan but not if it’s going to take so much of you’re income you will really miss out during your working life I’ve seen it a lot and heard the conversations,I was listening to someone that works for Iverde all he was going on about was his pension I’m getting a works pension blah blah basically not far off what he earns now as he’s worked for the council with the old regulations.
What he failed to mention was that he’s spent the last 30 odd years earning crap money and can’t wait get to 65 before he’ll have some,I personally can’t think of anything worse going short for decades before you can afford a few decent pleasures.

[Spruce]

Is your pension pot guaranteed?

You could be paying into a pot like those employees of BHS did. I'm sure there are numerous other Philip Greens about.

[Granny]

i think i could survive on the state pension easy. By that time no mortgage so not many bills and stomachs shrink as we get older so could probably manage on a pot noodle a day.

Dream on  Our state pension is one , if not the lowest in Europe and much of the world.
About £700 each 4 weeks.
Pensions are a rip off.
I have a stakeholder pension taken out because of the 20% tax relief but you can only take 25% tax free the other 75% is taxable.
And it's not a simple matter of just taking 25% cash you have to purchase another fund (with associated costs) with the remaining 75%.
Annuities to give you a regular income from it are at an all time low I know people who have lost thousands.
Since 2008/ 2009 financial "crisis" we have been screwed big time with all the money going to the top 5%.

[dazmond]

Is your pension pot guaranteed?

You could be paying into a pot like those employees of BHS did. I'm sure there are numerous other Philip Greens about.

You've got to be very careful where you invest your money these days.....very careful or it could all disappear in the blink of an eye.....

[NWH]

The shirt and tie is the new balaclava.

[Jonny 87]

Finance talk is interesting. I’m not big on it, but I think it’s wise to have savings.

So for those who think it’s pointless…….Stocks and shares ISA.

This is something I’ve only just started understanding, and is very good for savings as long as you know what your doing, and it’s also tax free!

I’ve never been big on pension schemes, the fact that they could collapse, or the fact that actually a company is just taking your money and using it to make money and then give you a fraction of that back. Plus you get taxed when you pay into the pension, then taxed again on the way out.

I’ve currently gained 20% over the last year, which I know will not continue, but based on historic average It should yield about 10% growth. Even through economic crashes the stock market has bounced back, and it’s how all the pension schemes make their billions anyway.

Here’s an example of “compound interest” for an average working man based on the figures of 10%.

Start at age 20 putting away £250 a month each and every month, a very affordable amount.

By age 50 you would have contributed £90,000 total into the tax free ISA account, the total value of the account? ……. Over £500,000.

That would mean each year at 50 year old you could take out £50,000 to live on,  pay zero tax on it, and the £500,000 stays there, never reducing because of the compound interest.

Why on earth is basic finance not taught at schools??? Instead we get to learn x over y in algebra or what the capital of Thailand is. 

To be fair though, finances can all disappear in the blink of an eye anyway, and health is wealth, but it is an interesting subject.