If you're an old parent, what are your financial plans to support the family as you approach retirement?

[Rainatnight]

I'm early 40s, DP is late 40s. We have one DD, 2, and the possibility of a second. (I say possibility cos DD is adopted and there is a chance we will be approached to take her as yet unborn sibling).

One of the things that worries us about being older parents are our finances, specifically, the kids being teenagers as we approach retirement. And perhaps not having enough money to help launch them in life.

I'm on a good salary, though it's taken a hit after going back part time. DP is on a very good salary, though again that might be up on the air if she takes time off with potential DC2.

We have ok, though not massive, pensions.

I'm really interested in what other people in the same situation are doing to plan for later life. We're very worried about it at the moment, though realise we're better off than lots of people. Thanks.

You might have to be more specific about this "launching'. If its about study - there are loans; if its about buying them a house. I dont see that as my responsibility.

One aspect of having kids late is grandparents are really old and there may be a possibility of some inheritance just about the time they ate starting out...

Were you planning on retiring early then OP? Your dd will be mid 20s by the time you reach state pension age. Perhaps you need to be thinking potentially of either downsizing to release capital when you get to retirement age or having them live with you for longer so that they can save or you can share bills?

We're old parents, but given that my family are utterly skint, we didn't actually manage to scrape together enough money to buy a house ourselves till almost forty, so we're more hoping to pay off the mortgage before retirement than trying to save up for a deposit for another one.

I'd like to start putting some savings away though, because even though it's unlikely to pay for college/house/etc, it still may help.

I'm assuming that DP may retire earlier (ill health, doesn't like job) and I'll probably aim to keep working into my seventies if I can manage it.

I would recommend you marry. If you are going part-time and your partner is full-time, she is automatically better off.

We had our last child in our late 30’s . There’s no magic answer other than to save save save as much as you can when you fit and healthy and able to work as much as you can . In your shoes I’d go back to work fulltime when your child starts school .

The other aspect to consider is that you are giving the siblings a chance of a family life together. Presumably they will get a much better start in life with you than they would otherwise have had. I would focus on that rather than the launching into adult life. Many children don't get that. I would though try to make sure you have some retirement plan for yourselves.

We had our children fairly late (late 30's). Our sons took the usual loans ad we toped up a bit when they were at uni. It would be good to ensure the had a bit of money to put towards a house deposit if possible. For us that will probably come from either any small amounts we inherit from our respective mothers (not likely to be more than a few thousand if that) or our pension lump sums. dh has a public sector pension and I have just a small one that I have funded myself, but we won't really need the lump sums as we will have cleared our mortgage and have other savings so I expect some of that will be used to help them out.

DP is 50 and I am 38 and we have a 2yo and 5yo. Basically I am the retirement plan- I'm a higher earner than him and have much more earning potential- he has taken the earnings and career hit of the kids.

He will also likely retire on time- I like work and plan to carry on- consulting possibly- as long as I can.

No inheritance can speak of coming our way but we should pay off our mortgage in about 10 years which will help.

We're screwed if I get sick though. He has an ok- civil service pension- but not amazing.

I've kept on my flat from my single days; the mortgage is almost paid off & it will either be a source of income or somewhere for DC to stay if they go to Uni.

The mortgage on our main residence is to run till retirement age (67) so I'll keep working as late as possible. Sadly, I will probably inherit too, as will DP.

We are late 30's parents too and now early 50's. Have decent civil service pensions which will be topped up by the state pension. Mortgage will be paid off by some of our pension lump sum (and will possibly inherit a fairly substantial sum but not banking on that). Have been paying CB into a child trust fund which we're hoping will help with uni fees/house deposit.

My retirement age is 67 and a lot of people's is older than that (not that I will retire as work for myself so hope to work until I am 80) so surely you will be well over the children phase by the time you are 67!

Also remember by law if you are an employee that you cannot now be forced out when older - the retirement age is just when the state pension kicks in - so just keep working

@HollowTalk how is the DD better off if her parents marry?

@moose23ishungry, if a person gives up their career in order to bring up children, she's in a very insecure position. It's all well and good if the relationship lasts, but if it doesn't, then she might be left with nothing and find it difficult to restart her career. We've seen it on the Relationships board tons of times.

It's likely that the person who gives up work/goes part-time will continue to be the main carer for a child in the case of a break up. She'll be entitled to child maintenance if the child belongs to both of them. If she isn't on the deeds she won't be entitled to any of the house value. She may well be effectively broke in the case of a break-up, in which case the child will suffer.