Pension Pot | Mumsnet

Whenwillitmakesense · 2021-05-16T15:48:05+00:00

How much do you think you will have in your pension pot when you retire. Trying to round up all the pensions I have paid into and work out how much I will have and it it‘s going to be enough

TacoSunday · 16/05/2021 16:53

I’m not sure. I’m part time atm so it depends if I go back to full time. I am hoping for about £160k which along with my state pension I am hoping will be enough to live on.

MightNeedABiggerGlass · 16/05/2021 17:32

I was part time when I had the DCs now full time and this is purely to up my pension.

I hate my job, hate working full time but I'm so worried about being pension poor - I've told myself in 5 years time I can reassess!

movingonanx · 16/05/2021 19:26

I'm 37 nearly 38 and have around £95,000 now
Paying in £2050 pcm but city job isn't likely to last until beyond 50 (and that's if in lucky).

Financial advisor said average person needs £500,000 k per person to retire early 60s. With no pay rises and stopping work at 50 I'd have £400k. Hoping this plans ourt.

Who knows life is so uncertain anything can happen, my employer may not be around in 5yr..!!

Stuffin · 16/05/2021 20:23

How much you need is personal to your needs.

Some people live frugally, others wait until retirement to travel which will cost more.

What I did was work out how much my bills would be, added a buffer for unexpected bills and something for holidays each year. This gave me a figure for income in retirement.

Admittedly I went to an IFA but I think there are tools online to help work out what pension would be needed to produce a certain amount of income each year but again that is going to depend on type of pension and how you plan to take it.

Original poster

Whenwillitmakesense · 17/05/2021 06:48

Thanks.

I had a career break but think it should work out. Who knows these days though.

OP posts:

WaterBottle123 · 17/05/2021 06:59

If I do my current job or similar until I retire then about a million which gives an annual income of 39k including state pension. I don't see this happening- more likely post 50 I will earn less but perhaps but a greater percentage in to hit this target...I'm 40 and have about 70k at present, I've massively neglected my pension until now due to being young and stupid and then a lone parent.

SwimBaby · 17/05/2021 09:10

My DH and I have just retired, we’re 52 and 55. We have pots worth 1.3 million in total and hope this will allow for about 50k a year income. My DH has full state pension contributions and I have 29/35 at the moment.

Darbs76 · 17/05/2021 20:50

I have a civil service pension which is around 2/3 of salary, so very generous. I should have a large lump sum and monthly payment but you can play around with the lump sum, taking less and higher monthly. I’d probably take the lump sum and have lower monthly

LemonRoses · 17/05/2021 20:59

We’ve reasonable pension pots (his better than mine) and expect to not take a significant reduction in income when we retire because we’ve not relied solely on pensions and have built other income streams and assets.

We haven’t been able to add more into our pensions for a good few years because we’d end up paying a lot of tax, as it’s over the threshold.

Beenaboutabit · 17/05/2021 21:22

What you need depends on what you spend.

There’s a rule of thumb that you can live off 4% of the pension pot (so £10k pa from a pot of £250k) + your state pension.

If you have a good idea of what you’re likely to spend, you can have a good stab at judging how much you need in a pension pot. It’s worth checking your pension contributions with HMRC to get your current and projected state pension calculations - mine were lower than expected because of a workplace pension that impacted previous NI contributions.

OH & I need £250k to have a frugal retirement or double that to have a lot more financial freedom.

GingerAndTheBiscuits · 17/05/2021 21:26

No idea about the pot but judging by my annual statements if I work another 30 years at my current salary I should have about 35k pa I think. Problem is DH has a much less stable work history and will have a greatly reduced pension with no inheritance on the horizon. Fortunately we don’t live very extravagantly!

OopsUp · 17/05/2021 21:34

Including state pension I should get about 33k a year. Plus any PIP or attendance allowance.

poundoflard · 17/05/2021 21:39

I'm in my 50's and have a grand total of £405 . Yes thats it in quid not k. I'll live for about a week I reckon.

Never had a job that paid a pension, wasnt working or was S/E on minimum and paid the lowest NI.

I'm fucking doomed.

Original poster

Whenwillitmakesense · 19/05/2021 18:38

Sorry to hear that @poundoflard. What do you think you will do?

OP posts:

poundoflard · 19/05/2021 19:16

@whenwillitmakesense

I dont know! I have nightmares about it.

I found out DH despite being an awesome business man and worker he hasn't got one either. Hes s.employed too and didnt bother. I was just a single mum or part time worker for years so only have state pension which is pfftttthhh.

Its depressing to say the least. I've never felt so old and depressed as I do now. I've only had a pension since I started work in lockdown, whic is crazy.

Atalantea · 19/05/2021 19:33

@WaterBottle123

If I do my current job or similar until I retire then about a million which gives an annual income of 39k including state pension. I don't see this happening- more likely post 50 I will earn less but perhaps but a greater percentage in to hit this target...I'm 40 and have about 70k at present, I've massively neglected my pension until now due to being young and stupid and then a lone parent.

How on earth will your pot grow so much over xx years from 70k now at 40?

Zenithbear · 19/05/2021 19:38

Not enough for a 'life'
Fingers crossed the pensions we have between us will pay the basic bills.
Hence rental properties and premium bonds.

SazzyB100 · 19/05/2021 19:57

Planned to retire at 50 but actually changed job. Working part-time. Have c£1m in investments/pension, and will get state pension at 67, and own half our house. I currently spend c£20k pa so will hopefully have a comfortable retirement.

WaterBottle123 · 19/05/2021 20:34

@Atalantea

1650 contributions total a month from me and employer until age 68 gives 546000 in contributions plus current 70k. Rest is compound growth. Use the Aviva pension tool!

But that assumes contributions til 68...

What I'd like to do increase contributions to 2.5k once childcare drops off and cut at least 5 years off that,

I'm lucky, I earn well and employer scheme is generous

Atalantea · 19/05/2021 21:04

@WaterBottle123 wow - you're lucky to be able to put that much in to your pension

WaterBottle123 · 19/05/2021 22:03

@Atalantea Yes, will made up for years of neglecting it

Whitewinespritzer · 19/05/2021 23:24

@poundoflard

I'm in my 50's and have a grand total of £405 . Yes thats it in quid not k. I'll live for about a week I reckon.

Never had a job that paid a pension, wasnt working or was S/E on minimum and paid the lowest NI.

I'm fucking doomed.

You're not alone, I'm mid 40's and have £1,020 in a pension. I'm hoping that working till I drop as we just can't afford a pension.

Whitewinespritzer · 19/05/2021 23:28

That should have said I'm hoping working till I drop will keep my brain active but I think it might already have given up

EachandEveryone · 19/05/2021 23:43

Im a nurse and after 25 years it will be 250,000 but i will only be 55. Its not enough really about £1,100 a month. My boss told me we have to do 40 years to get the maximum back. I dont think I can face it 🙂

Dangermouse80 · 19/05/2021 23:51

Probably around £15k a year each. Both in our 40's. It prob isn't enough - we don't own our house. However always enjoyed life and pretty sure we will work till late. Have good life insurance so the kids will be fine. No point stressing about the what if's. Make the most of what you have.