Have I got enough to retire at 60?

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I’m 60 and in a well paid job. Husband is 67 and retired with small private pension of 12k. We own our own home outright and have 200k savings. It’s my salary that keeps everything funded. I feel very responsible for my DH and grown up DD.

Ive been offered redundancy and would get a retirement pension of 35k per annum. I’m wondering if taking it is the right decision. Is it better to get years to enjoy retirement on less funds or keep working for the bigger income but possibly lose out on quality health years to have fun? I feel like retiring is somehow me failing.

Anyone any advice? What would you do?

If you can get £35k now at 60 I would bite their hand off! That will give you an income of £59k with both your DH’s private and state pensions, and in 7 years that will go up to £71K (before tax). You also have healthy savings. You’re a long time dead!

Pretty sure nobody gets to their death bed and wishes they had worked more.

I'm a similar age to you, OP, and I think that's plenty.

Assuming it’s defined benefit (35k a year) then generally surviving spouse only entitled to a percentage.
in the public sector that tends to be about a third?

use it or lose it!

I would be delighted if I had an annual pension income of 12k on top of state pension, that doesn't sound like a little to me at all.

I find this a useful guide to retirement and whether you can afford to: https://www.retirementlivingstandards.org.uk/

I do feel £35k pa is enough to retire on. What does your husband think@? Be nice to spend your days together.

Yeah I thought that after I posted, but it’s low by HER measure.
plus we don’t know if that’s on top or including state pension yet.

No way, not at that age unless there are compelling reasons why you have to go.

I suppose you have to ask yourself what would you do with the extra income if you stay working. That's the key question here I think. So will you save it, holidays, home improvements, children's education/bank of mum and dad, fritter it away, what? So will you survive without it if you don't have any special need for the extra income? Yes you will.

If it's any help, I took redundancy and pension at 58. There was a sweetener whereby the pension was not actuarially reduced even though I didn't have the full number of contribution years. I snapped their hand off and I haven't regretted it for one single minute. Not one. Similar amount to you, although it is indexed linked and together with State Pension now I'm quids in.

My DH also took early retirement, but he was a few years older at the time. We are loving it. Never bored, no financial worries and happy that if the worst happened well, at least we enjoyed (are enjoying) the mature years while still fit and well.

Do it. Fear is stopping you but you will be fine.

Your pension alone is more that I earn full time at 63 and you have plenty of savings. Definitely retire if you want to.

work would not see me for dust in your position.

Ha ha ha. Take the money and run!!

Bloody hell l'd be out of there like a rat up a drainpipe!!

Another thought. If you carried on working you could easily find yourself in the higher 40% tax bracket when you add your £12k state pension. To me it’s a no brainer, retire now!!

Definitely!

I earn that and have rent to pay and a single parent.

If you’ve got no rent/ mortgage and no dependant DCs you’ll be absolutely fine.

Go for it!

This again

Where are your savings? Are they invested and making a good %?

If you are happy with your husband go now and enjoy yourselves. Time is finite.

Wrong thread 😄

£35k pension a year, or an equivalent pot of around £1.25m, is higher than what 98% of UK retirees have, so barring some abnormally high expenses you should definitely be able to live on it.

It all depends what you want to do in retirement, long holidays, cruises etc you don't have enough income. If your projected income will easily cover your current outgoings plus a bit, go for it. My experience is that I live fairly cheaply, i don't need to lots of luxury items or a new car every couple of years,if anything I'm reducing the amount of stuff I have and I did the travelling bit when I was younger, luckily I live in a newish house, that is cheap to run and won't need expensive maintenance for years. I will say that you need to consider the practicalities of where you are living earlier rather than later, rural living is great when you are able to drive but not so good when there are no local shops and the bus (if it exists at all) is a 3 hour service

If you’re a bit concerned could you look into going PT or doing something SE

Yes, that’s a lot, he’ll get he state pension on top as will you in due course. We have similar amounts and life is great

I would retire if that £35k is index linked and covers your expected expenses. The savings should see you both through major expenses in future. Your husband should have plenty too whether or not you survive him and whether or not he inherits any of your pension.

If you don't want full-time retirement, you can always work more as and when, so pick up work say in the winter months.

If it doesn't cover your expenses and the redundancy payment is reasonable I would take the redundancy and find part-time work. Otherwise I would keep working where you are. However, I would love the freedom of retirement, so would value that far more highly than a higher pension.