To wonder if I’m completely fucked for retirement?

[thisishoiedoit]

So I would appreciate realistic opinions from all walks of life…

Am 47, recently divorced. Never really planned properly for retirement, many years as SAHM.

My financial situation currently is:
mortgaged house (with 300k equity)
defined benefit pension worth estimated 800 per month (upon retirement)
state pension record up to date
13k in private pension that I pay circa 500 per month into via my self employed income
workplace pension of of of around 200 per month contributions (part time job due to aforementioned self employment also)

Have I completely fucked my retirement? Would I be better off sacrificing the employed job with crappy pension in place of higher remunerated (but equally much more unstable) self employment?

If you're planning on retiring at or near to state pension age and you plan to keep banging £700 per month into your DC pensions between now and then you'll be absolutely fine. 20 years is ample time to build up a very decent pot on top of what you've already got. Re your DC pensions the usual advice applies: find out what your investment options are, get out of the default fund and if you can then put it all in a global equity tracker with low fees.

You are in a better position than lots of us, OP. I have no occupational pensions as I was a SAHM & never worked anywhere long enough before or after that to accrue anything, I have a small SIPP (less than £60k in the pot), maximum state pension, and other invested funds from the sale of property. I live on slightly over the personal tax threshold of £12,570 (or so) pa. No husband, no mortgage, no car, no longer in London but somewhere cheaper, so I bought my house outright.

Guess what? I manage fine. I don't feel poor. But I do have an IFA who probably worries more about my finances than I do!

I find the thread title a bit disingenuous tbh.
OP must know she’s not completely fucked for retirement🤔

If I understand correctly, you've got a DB pension that'll give you £800 a month in today's money. You ae contributing £700 a month a month into pensions (does that include the tax relief?), which again in today's money and assuming no growth is the best part of £180k in 20 years (including the £13k you already have), conservatively giving another £7k a year/ £600 a month in income. And I assume you will also be entitled to the state pension of just under £1k a month.

So you are likely to have an income of around £30k a year / £2.5k a month before tax, and a mortgage free home. Not a life of luxury, but nowhere near completely fucked, IMO

I have £0 pension. You’ll be fine

Does your ex husband have a pension? Do you have a pension sharing order?

Off topic but the fact that five years at a quango can provide a risk-free pension worth north of £150k shows just how spectacularly generous public sector pensions are

You’re not “completely doomed.” You’re 47, not 97, and you already have far more in place than many people who sleep soundly at night. The catastrophizing is understandable after a divorce, but your numbers actually leave you with options.

You’re not in trouble—you just need a solid plan. At 47, with pensions, equity, ongoing contributions, and earning power, you’re well ahead of the “doomed for retirement” crowd.

Ruined for retirement? Definitely not. Here’s a snapshot of your outlook: State Pension around £11k, a DB Pension of roughly £9.6k (£800/month), private pensions that could easily reach £150–300k+ by the time you retire if you keep contributing, and over £300k in house equity to tap into if needed. That’s far from a disaster—it’s a position many would be thrilled to have.

PS: I really hope this thread doesn’t become just another space where people enjoy criticizing and tearing down SAHMs.

Blimey. I wish I, and probably thousands of others,was that fucked!

You'll be fine.

Agree. It seems astonishingly tone deaf (and I say that as someone with a decent pension but very aware of my own privilege)

And yet I always struggle to recruit because our headline salaries are lower even if the overall package is better.

It’s insane, isn’t it? I didn’t even really understand it at the time.

Government should really offer its people the option of 20% higher salary in exchange for a legal minimum DC pension. I bet take up would be huge.

What’s quango, how do I get in an where do I sign?

Something similar happened to my DH, he worked at a company with a final salary pension for 6 years and left about 18 years ago. He sold that pension for just under 650k. It’s totally bonkers and pure good luck.

😂

You'll be living in a mortgage free house worth about 800k, with a grand a month pension.

I think you might just pull through!

Unless Waitrose runs out of that naice ham!

Then you may struggle emotionally.

What kind of retirement lifestyle do you want and what age do you hope to retire at?

It really sounds fine.

You have 20 more years, from the figures you have given you will be fine. You aren’t likely to be able to retire early though. Remember once your house is paid off you can save extra too

It makes sense though for the government to ensure it's employees are well provided for in retirement and won't be reliant on benefits.

I'd like to see other employers do similar

She says £300k equity

Op what more would you be expecting on top of that ?

This and the future doesn't come with a guarantee

DB pensions turned out to be non-viable in the private sector because the liabilities are volatile and they don’t allow for company shrinkage. Many well known companies (including BA) were nearly driven into bankruptcy by their pension schemes in the zero interest rate era. They are only possible in the public sector because the government has unlimited powers of taxation and, in extremis, money printing.

I'm not at all suggesting we go back to final salary pensions etc. just bigger employer contributions