DH retiring and how to sort money

[Moneyponders]

Posting here for traffic! My DH is going to retire at 55. I totally agree with this decision as his job is extremely stressful.

He will get a lump sum of £60k and £900pm.

I am self employed and he has said he will help me run my business. In my busy periods this will be a good thing. But not necessary as I’ve managed alone for 15 years!

I don’t know how to sort the money though? He currently sends me £1k a month which covers his half of the bills. When he retires (in 2 years) the bills will be lower because the mortgage will be finished. His half of the bills without food will be £300. With food probably £500/£600. I’d feel bad taking £500 of his £900 if he’s helping me. But a lot of the time I actually don’t need help and I’m going to be £1k a month down.

Can’t see the wood for the trees! What do you think? Should I just pay for everything?

How much free money do you? Wouldn’t pooling money and having same spends work

You need to work out what both of you need to contribute to the household and who will pay for cars etc.
if £900 is not enough they he needs to not retire or find paid employment until his state pension age.

I don’t really want to pool my earnings though. I earn about £3000 a month and I’m used to that being my money.

Why would you be £1k down if the mortgage is almost paid off?
If you split things right down the middle currently and that has never changed regardless of income then keep it the same, if he does anything for your business then it would need to be on a paid basis.

Not sure that £900 per month is enough to retire on. In reality I suspect he's going to be eating into that £60k pretty quickly. How is going to fund house repairs, holidays etc?

Surely at this stage of life you pool all your money, pay the bills and then split what’s left so you each have the same amount each month to spend? If it’s not enough then maybe he can’t retire so early, £900 income isn’t much.

How long until you retire? 55 is young, could he get another part time job to supplement until you join him in retirement?

So currently you get £2000 to yourself? What was he getting free before retirement?

Is he actually your husband? Just share all the money.

Then you’re not really ok with him retiring at 55 and he needs to work longer.

Can't he pay a proportion of your joint expenses based on the proportion of household income his pension will be?

He can’t afford to retire unless he thinks you’re funding it. Ask him

But you won't be £1,000 a month down really as you say the mortgage will be paid off by then, and he'll still be able to cover his half of the bills.

Will he be able to do what he wants to do with such a low pension? How is he going to spend his time? And helping you when you don't need or want his help, isn't an answer!

Would he consider taking on a lower stress, part time job? I know a few people who've done that after retirement. It give structure and purpose to their time - they found the novelty of retirement wore off quite quickly, especially if their spouse and/or friends were still working or otherwise busy.

So what are your retirement plans with the mortgage only just being paid off I assume there isn’t a big chunk of money already sat around? What sort of standard of living do you have and what are you prepared to potentially give up. We spent 28k last year with no mortgage with me retired and DH retired for the last 3 months. Plus will he have 35 years NI payments?

I would separate the money and the work.

Is the idea that you would make more money if he joins the business? Have you worked together before? Is he a bit nervous about retiring and how to structure his day? (I am). Would he be upset if you suggested he think about doing other things instead?

How much spending money would you have after paying the bills?

Ideally you would pool all your resources, but that only really works if you are happy to support him financially. If you're not, then realistically it's going to be difficult for him to retire now. It's fair enough if you don't want to support him - he is only 55. I hear that his job is stressful but maybe he needs to consider doing something else.

It doesn't sound like you want him to help with your business, so I wouldn't agree to that! If you do, I'd just pay him an hourly rate.

When do you plan to retire?

Yeah I worry about how he will fund holidays too. He is due to inherit approx £2 million (sorry I know that’s crass) but his parent has likely another 20 years left before that happens as they all live until 98/100 on his side 😂 So he will be in his 70’s by then!

He pays half of the bills, and you pay him (informally) at the going hourly rate for work he does for you. He only works for you when you actually need it.

Or you pool all money, pay bills, have a set amount of spends each, and everything else joins his £60K in joint savings/investments.

Our finances are completely separate just now. This is because we got together later in life. I had kids and property. He had neither.

I’m thinking maybe he gives me £300 for half the bills and the business pays for food/alcohol?

I wouldn't be happy funding a healthy 55 year old to retire!

I don't really understand why you are as it has such a detrimental effect on your income/lifestyle.

Don't you want to do stuff in your retirement? In your holidays? Especially as your mortgage is paid off...

“The business” can’t just pay for your domestic food and alcohol though …?

If you want to keep finances fully separate then don’t have him work for you if you aren’t prepared to pay him.

When he inherits £2 mil, will you expect him to support/pay for you?

Are you a partnership, or two separate people?

Why doesn’t he get a new job he likes? It doesn’t have to pay that well, just top up his pension.

I don’t want to be in the position whereby he no longer pays me his £1k a month AND then expects that we share the £3k a month that my business brings in, because he’s helping me, because then I am going to be significantly down!