How do you gear up for 35 more years of work?

[MCGrindah]

I'm 33. If retirement age is still at 67 when I get there (as if), I should have another 34 years left at work. That means I should be looking at working longer than I've been alive so far.

This terrifies me.

That's 34 years of early mornings; commutes; getting home in the dark; being subject to the whims of employers, policies and governments. It's another 34 years of only having two down days per week which themselves get pretty filled up with life admin. It's 34 years with the only thing breaking it up is a couple of weeks annual leave per year.

Don't get me wrong, I like my job. I'm well paid, I have security, I have a lot of freedom. I'm aware that looking at 34 years working in low paid insecure work is much worse. I'm not looking to change job.

I'm planning on early retirement so I'm hoping I won't end up working for 34 years but I need to plan for the worst case scenario of course. I'm just wondering how on earth you get your head into the mindset of another 34 years on the same thing year-in, year-out without any breaks or downtime?

Amazing that capitalism has convinced us this is a good way to live a life!

llijkk

I totally agree, it's about trade offs. I've had several people on here not believe we have paid off two mortgages on very little income.
We have never bought into huge consumerism and our needs are few.
Ours is a bit more than 14k, but we lived on the equivalent of this for a long time.
I didn't want to work post dc, and dh enjoys his life's work and won't retire anyway. Our current income is about 17k and we have one dependant still at home.

Seriously? This is a ridiculous thread. Only in a privileged society could anyone lament working through much of their life. What do you think human kind has done for all time? Most people in the world have worked EVERY DAY. Not just 5 days a week. This is the worst first world privilege I have heard ever.

"I suspect we all know someone living dirt cheap not on money they inherited"

Yes we do.

And equally I have a neighbour working three jobs to get rent paid. He could move north but then he'd be away from his support network. It's hard. And some people don't have any luxuries to give up. I only mentioned it as op says she's like me, childfree and hoping to pay off mortgage soon, so IF she is spending in things like haircuts, she may well be able to save more. But not everyone has the option.

I don't see it's privilaged not to work, especially if you don't want luxuries. One person working is enough, especially if you have kids and want to be with them.
Not saying people shouldn't work, of course, but it's a choice depending on what kind of lifestyle you want.

I have a friend who is working overtime and pouring loads into her pension with a view of retiring early.

Others have suggested dropping to 3 days but working longer. While this sounds more appealing to me, can anybody tell me what impact this has on my pension.

Also, I carried on work after DC for a variety of reasons, including financial independence.

I'm in the 2015 scheme. If I retired at 55 my pension would be reduced by 47%. If I go at 60 it would be reduced by 34%. So yes technically I can go early, retirement where I need to do bank shifts to top up doesn't sound at all like retirement.

I'm in the same boat @FormerlyFrikadela01. I'm going to take the option of 'buying' 3 years back by increasing my pension contribution from next year, so that I can get my full NHS pension at 65 rather then 68 (or 3 years prior to state pension age, whatever that might be by then). Of course I won't get my state pension until three years later, assuming there is such a thing in 30-odd years time, so I'm still going to need a good cushion of savings too.

Unless I die at my desk of course, which is looking far more likely as the retirement age seems to get further and further away

I love my job. I'll happily work another 35 years of it.

"Others have suggested dropping to 3 days but working longer. While this sounds more appealing to me, can anybody tell me what impact this has on my pension"

If you post the details of your scheme on the Money Matters board, they're very helpful.

They just choose to have little trappings of material wealth.

Having a roof over your head isn’t a “trapping of wealth”, it’s a basic need. “Your” family have obviously been lucky enough to secure very low cost housing. That’s not available to most of us and if it was I guarantee one of the trade offs would be commuting costs of more than £5/year.

we have paid off two mortgages on very little income.

We have never bought into huge consumerism and our needs are few.

Ours is a bit more than 14k, but we lived on the equivalent of this for a long time.

The words “we” and “ours” are key here.

Luck has allowed you to be able to pool finances with another adult.

One person working is enough, especially if you have kids and want to be with them.

Not always. If it was I wouldn’t need top up benefits as a single parent and to pay for childcare too.

@HandsOffMyRights I'm in the Local Governemnt Pension Scheme (LGPS) and dropping down to 3 days would have a terrible impact on my pension, so I've decided to work full time while I can to accrue as much pension a possible.

OP wrote I'm well paid

I imagine that means well above median salary, tbh. Not someone who needs 3 jobs merely to scrape together the rent.

fwiw, I have FIVE jobs :). I am grateful to report that 4/5 pay at least median wage rate. The other one pays pennies, tbf. I don't plan to retire until age 75 anyway. One of those 5 jobs will still be fun to do until then.

Joxer
Luck has allowed you to be able to pool finances with another adult How can two people pool finances on one wage? Surely, it needs two wages to pool.

We are very lucky that we worked at our marriage, didn't have divorce, affairs and the cost of these.

Most private pensions have retirement ages of (0-65 (if they have them at all). Most of my older colleagues (admittedly professionals in the finance industry) have taken advantage of this - retired at 55, returned to university to study a tech subject related to their work, and come back to the same company within 1-3 years as consultants or to really senior roles.

I think you also have to invest rather than save. Yes stock markets can be volatile but you can manage the risk with regular monthly contributions and if you combine that into a stocks and shares ISA it will really help to boost your retirement savings.

How can two people pool finances on one wage? Surely, it needs two wages to pool.

I should’ve added “and resources”- one works- other does childcare.

We are very lucky that we worked at our marriage, didn't have divorce, affairs and the cost of these.

Youre lucky you met someone to marry in the first place.

Thanks Blue
I'm in that scheme too so you may well have answered my question!

Live as cheaply as possible. I earn 30k and save 50% of it every month. Worked out we could pay off a mortgage by 40. Don't have kids, don't buy any unneccessary things and then you can go PT or rent out your house and live somewhere else. Buy a 2nd property as an investment, rent it out and it pays for itself.

Do evening classes and find something you enjoy that you could do self employed - running a street food van, crafts, sewing, tutoring, teaching kids Drama etc.

You don't have to buy loads of crap and slave away till 70. I know people who moan about their jobs saying they're about to drop dead of hard work, yet get their kitchen re-done, go on loads of weekends away, buy fancy furniture. Don't fall into the trap of thinking that more material goods are a "treat" or will improve your life. Just focus on minimising the amount you'll have to work.

Joxer

I don't think we've had bad luck like a lot of people, but to just call it lucky doesn't really get the point.
Good management for your chosen lifestyle is the point.
The choice isn't important.
We'd have been worse off if we had both worked, paid for childcare, and other costs associated with both working. Especially if we'd chosen the life that some have due to working.

I don't think we've had bad luck like a lot of people, but to just call it lucky doesn't really get the point.

No, it’s acknowledging the part plain old good luck has played in your financial security. You’re lucky that you met a life partner early enough in life to allow go to have financial security in which to raise a family and have a decent enough future. Unless you actually made it concerted effort to get married primarily for financial security? Which I suppose plenty do, but if you didn’t, then, yes, it’s just pure good luck you found someone.

Of course, I totally agree, but the point is about OP managing finances and not working.
What we did when we managed to find the right person defined the life we lead today.
We made a conscious decision to live the way we do, because they were are values. We chose what we wanted and have stuck to this, without wavering.
I appreciate had I met someone else who didn't share my values life would have been different.
I could have met a man who wanted a wife to work post dc. He could have met someone career driven, who didn't want to be a sahm.