£1k left per month in retirement after all bills paid

[Lm1981]

I know every persons requirement is different but generally speaking if you had home all paid off and in retirement you had all your monthly bills covered with £1k left over to do whatever with is that an ok position to be in?
(person in question isn’t to bothered about foreign holidays as done all that in their working years , mainly a few day trips out , meal here and there etc)

Is the person in question you, OP? If so, work out what you spend on your current lifestyle for just disposable income and estimate accordingly.

If the person in question isn’t you, tell them to do the above exercise.

If the £1000 spending money is to cover a couple not an individual, then the answers will be different.

If the £100K is being spent as drawdown at a rate of £12K a year, rather than invested, then the answers will be different.

Ultimately, if that’s what you/they have got at retirement and there’s no chance of improving it (they’re close to retirement age) then it is what it is. They’ll cut their cloth according to their means.

But if you/they are calculating what you’ll have and you’re younger and still have time to boost your retirement pot then do that and have more to spend.

Thank you for replies , no it’s not me I have a another 25 years work before retirement minimum

I just get the feeling OP you have come on here to gloat - why question it if you have 100k in savings?
I’m retiring myself in a couple of years and will have roughly around the same amount as you but I wouldn’t be gloating about it or questioning ‘is it enough’ -
Only you know your lifestyle. If you’ve got so much why don’t you go on holidays or once in a life time experiences?
or maybe dish out the inheritance early……

Not only have you not read the full thread, you haven't even read the previous post in which OP reiterated that she is not referring to herself!!

Depends, doesn't it. Lots of people don't want to touch savings so their kids can have inheritance etc. My grandma was like that.
1000 for 2 is doable but not that many luxuries in imho. Depends what it is they wante to do in retirement . If they chill, sometimes go somewhere, it's plenty. If they had grander plans, it's not that plenty

I doubt many working people have £1.000 pm left after bills. This must be a stealth boost.

Poor thing! They will starve. Read the room

Do you mean 1 has no private pension or no pension at all (inc state)? Are they in UK? It’s always important to think through what happens, esp to the weaker party, in the usual worst case scenarios of death, divorce, deceit (sorry these people are probably your parents)

Both have full state pension which covers all their bills month to month.
the 1 who has a private pension has £1k left after tax.
house is worth about 500k so could down size if they needed to release more equity however have 100k in savings

OP I would ask this on the MoneySavingExpert pension forum. There are far more people on there who are actually retired/close to it and who will give you a practical financial answer. There are also various threads from people on what they actually spend.

There are some more details that would be helpful, especially if you are going to post there. It sounds as if the private pension is a defined benefit pension, is that right? Does it have decent inflation protection and would it pay out to the 2nd person (presumably at a reduced rate) if the first were to die first? It'd also be sensible to say what stage of life they are at (e.g. the picture looks very different if they are in their 50s and deciding whether to take early retirement vs in their 80s and scared to spend).

So the £1,000 per month is actually for a couple? I.e. £500 per person per month?

Yes pretty much. I have confirmed with them they rather not touch equity in house as would like to leave that to children one day. So it’s pretty much the savings and pensions to live off

Have a look at this this article that gives a ‘comfortable’ retirement for a couple as £28,000 income jointly.

If they’re both in receipt of the state pension that’s £18,000, and the private pension of £12,000 a year puts them above that.

This thread helped prompt a further chat to DH and the crux is when he eventually retires and we are trying to decide when that will be our income takes a hit. We will still be totally fine but we will be down 30k per annum. It’s a lot to lose so it’s what gap are we ok with to retire early, the years while we wait for state pension.We have got so used to being savers and having zero money issues. That’s probably why they are fretting, so thing similar. I can see why that would really annoy many people as a worry but it’s a circumstance change.

It's a question no one can answer apart from you as it all boils down to spending habits (as your £1k is pure disposable income).

If you want to eat out at nice resteraunts every night of the week, no it's not ok.
But if you want to live a nice comfortable life then yes, it will be good

Yep that sounds plenty!

thank you everyone for feedback. I can totally understand how the circumstance change can play on peoples minds. It’s easy while working to think this is the normal and then suddenly you retire and it must be a big change.
also kind of highlights the importance of doing things while you are young / healthy.

I'm a pensioner and if I had £1,000 a month left after bills I would assume I had died and gone to (non-existent) heaven.