If you are retired and have a good life, can I ask how much pension you draw?

[User5512]

I tried some calculators and they all gave me vastly different numbers.

I’d like to know (roughly) how much money does a couple need to have a good life in retirement.

If you are retired, would you be kind enough to give me a rough idea of your lifestyle and how much pension you get?

thanks :)

The state pension various. People who were in ‘opted-out’ public sector jobs receive less. My DH gets £7800 per annum. My will be equivalent when I receive it. I’m a WASPI women. The date of my pension was put back 6 years (we were informed by cartoon dogs talking to each other about it in Newpapers so we couldn’t plan for the shortfall if we didn’t see it 😡).

Also, I believe 40% tax kicks in at earnings of £50,271. The tax brackets for pensions are the same as earnings. Surely the recommended £59k is before that. They don’t make that clear though do they?

Talking about costs - Basics are Council tax 217 a month, Internet 38 a month, Sky 48 a month, Pet insurance 50 a month, Utilities 140 a month , House insurance 25 a month, Boiler plan 17 a month, Appliance care 20 a month , Car insurance 41 a month so 596 for just this. That doesn't include groceries or petrol. I know each week the online grocery bill is approximately 100 or more so we are touching 1000. There is nothing exciting here. No hair, holidays. eating out, days out, visiting relatives. I haven't included our car as it is on subscription - it is a monthly amount we pay. It was our choice to do this and bank the money we made from selling a previous owned car. Realise I have forgotten about TV licence and mobile monthly ( we own our phones). Life is expensive even for just the basics.

I’ve got £853 in mine so it’s not going to go far…

@AnnieSnap £12,570.00 is your tax-free amount.

@ZsaZsaTheCat , the house is a biggish 3 bed detached but very insulated, one of the preparations we did for retirement was to change all bulbs to energy efficient ones. The house is generally at 20 degrees so we don’t skimp on heating. Now there’s just two of us with no work clothes there’s less washing, tumble drying and ironing to do. If my energy bill was 300 I’d have to cut back!

After taxes, health insurance etc it's about $56000, take home, a year. Haven't even touched savings/retirement funds yet.

Not that bonkers. We spend that (shockingly). We are vegetarian, so we tons of fruit and veg. In the interests of animal welfare, we buy vegan spread at £4.60 per 250g (the others are disgusting), organic milk and organic bio yoghurt (so at least the cows can graze). We don’t buy alcohol.

Forgot to put, house is paid for. Get Government annuity and social security. I order groceries delivered and sometimes food delivered if I don't feel like cooking. It's just me, widow. Car paid for. If I see something I want I can buy it. I don't owe anything. Have $600,000.00 + in savings/retirement fund. I'll have to start drawing something on retirement fund at age 70 because that is law. Look forward to traveling again when my BFF is free to go with me.
I'm 67.

I'd like to know how anyone gets this kind of pension pot. It looks like I'll have to work until I drop.

that still doesn't add up to 130 for just 2 people. we eat loads of fruit and veg and spend 125 for 4.

I started working at 16 at fast food then restaurants. Had my own checking account and bought my own car. One of the customers was going overseas and I justnl took over payments. At 19 joined the Army for 3 years. Spent most of time in Germany. Left Army and worked for Government for 37 years, so total Government 40 years. Great 401k with me contributing and Government contributions. Husband died in 2006. Insurance paid off house, his truck and new windows and flooring. That was about it. I made most of my money with savings/retirement funds and job promotions. With social security, I was working at 13-15 with newspaper delivery before fast food, etc. I retired at 63.

And that is the same as earnings yes?

Well, that’s what our shopping costs 🤷‍♀️

I'm guessing you buy some other expensive items? I think its still bonkers to describe 'comfortable' as 130 for when clearly that's way more than comfortable.

Yes I am ,and no you can't

It includes household cleaning products etc and cat food!

Good job, contributing as soon as you start to work (compound interest), promotions so contribute more. Very little time out of the job market, no divorce. All of a sudden, 40 years later you have a decent pot. These are the lucky people.

Started pension from first job, was made redundant, took a new job but pay cut however job offered final salary pension so I sucked it up cos I knew taking a hit now for a better retirement would be worth it. So done to choices for me. Making sure my mortgage is paid off y time I'm 50 so I have a good 15yrs to save up and do all the big jobs around the house like new kitchen and bathroom.

Yes

owlsinthedaylight · Today 18:43

NewYear24 · Yesterday 22:37

My DH and I draw down 70k per year from our pots. We retired at 52 and 55 and have a very good life. Approximately half the income is spent on holidays and pension pots are 1.5 million plus we’ll get state pensions in just over 10 years years time.
Not doubting you - genuine question - but how do you draw down 70k per year from age 52 on a 1.5M pension pot? Surely it runs out by age 75?

We’re doing the 4% rule with a bit extra for these early years for our travelling and before we get our state pensions.

We also have a large house in the South East which we will downsize in about 5 years plus one and a half flats.

We live well on state pension, which we only just started. Our living expenses are circa £10kpa and covers all the basics like food, council tax, insurances, utilities and basic car running expenses. That leaves £10k between us for unaccounted for expenses, holidays etc. Then we can draw down circa £4k each from pension savings etc. So feel quite well off.
I will add that because the last 15 years of our working life was spent being either unemployed, and that was most of the time, or doing horrible petty jobs on low pay. We both lost our career jobs aged circa 50 years old. On account of this, we have learned to live very modestly indeed.

Fortunately our small house was just paid off
When we lost our jobs
We don't eat out unless on holiday, and would consider £15 each for a snak and coffee insane even if we were working. And we don't drink much if ever.

You can live well on far less.

Most people don't live "large" as you put it and most people spend most of their money on housing, food and utilities and children cost lots too. State pensions are part of that sum called Benefits. The very rich also get state pensions. People also have the right to live some of their lives in an enjoyable manner when they are young, contrary to what the Tory government and the overpaid tut tutting class believes most of us shouldn't do. They expect the working class in particular to live austere small lives and die on reaching pension age. The 7 million people waiting for medical treatment England alone is testament to this.

Bottom line is that private pensions of the future will look very different to some on this thread. No more final salary pensions, the NHS pension has changed from the gold standard it used to be as I’m sure others have.

No amount of hard work will get most people a final salary pension these days so we will all have to think differently about our retirement.

I am very fortunate to be benefitting from DH getting a really great pension after being in a final salary pension scheme most of his career and he didn’t leave the job in part because of that. Not as good as some on here but still very good.

I know that as a family we are lucky to have that, it has enabled DH to retire at 62, it means we can still save so I won’t have to work until I am 67! DH acknowledges he is very fortunate and it is not simply a case of work hard and anyone can get the same!

😂😂😂😂😂we don't even bring that home now, between us when we are both working.