Retiring at 71

[Omadon2001]

A think tank has suggested that anyone born after April 1970 sound work until they are 71 to help fund pensions and not be a burden on society financially.
This fills me with dread. I'm hoping to retire at 60.

But, it got me thinking.

Would you rather retire at 60 and not punt (from now) for the rest of your life or retire at 71 and continue punting

[george r]

most heavy manual workers are worn out at 66 never mind 71 ?  these think tanks dont live in the real world

[daviemac]

Would you rather retire at 60 and not punt (from now) for the rest of your life or retire at 71 and continue punting

Why would you need to stop punting if you retire at 60, retire at whatever age you want and punt as normal. 

[RandomGuy99]

BBC News - Pension income needed to retire jumps as family costs rise
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It depends what your income in retirement is going to be like.

If you have £1M+ pension pot and a paid off mortgage then you should be fine to be punting in retirement.

It seems like most people don't have £1M+ pension pots.

[jackdaw]

Why would you need to stop punting if you retire at 60, retire at whatever age you want and punt as normal. 

I guess there was inference that retiring at 60 would put strain on finances and luxuries like punting would have to be forfeited.

I remember asking a mate years ago why he was soldiering on in a job he didn’t love. The answer was “I’d sooner work on, rather than sit at home worrying whether I could afford to have the heating on”.

[RandomGuy99]

I think you're allowed to put a maximum of £40,000 a year (£3,333 a month) into your pension but you olcan obviously save other money elsewhere.

If you're married then each of you could be stashing £40,000 a year, so you could retire early and maybe downsize your house to release some cash especially if you bought the house when prices were low.

[catweazle]

£60,000 this year

[jackdaw]

I think you're allowed to put a maximum of £40,000 a year (£3,333 a month) into your pension but you olcan obviously save other money elsewhere.

If you're married then each of you could be stashing £40,000 a year, so you could retire early and maybe downsize your house to release some cash especially if you bought the house when prices were low.

There are jobs that don’t generate enough income to stash money away, let alone 40 grand a year!

[RandomGuy99]

£60,000 this year

So a max of £5,000 a month.

If you're a couple and you can live off one salary then the other could be outting all their salary into their pension to build up a nice pension pot.

It's just how long you get to live to enjoy it after you retire.

[george r]

There are jobs that don’t generate enough income to stash money away, let alone 40 grand a year!

A lot of people earn less than £40 grand  a Yr so no chance of them saving??

[Adoniron]

So a max of £5,000 a month.

If you're a couple and you can live off one salary then the other could be outting all their salary into their pension to build up a nice pension pot.

It's just how long you get to live to enjoy it after you retire.

That's the issue isn't it? None of us know how long we have left before we check out. Financial planning would be much easier if we did.

However you will spend more in your 60s than in your 80s (if you make it that far) because you'll be less active in later life. Although average life expectancy is around 80, average healthy life expectancy is less than 70.

[jackdaw]

A lot of people earn less than £40 grand  a Yr so no chance of them saving??

Of course, you could save money on less than 40k year...but realistically not enough to fund a super comfortable early retirement.

[GreyDave]

I think you're allowed to put a maximum of £40,000 a year (£3,333 a month) into your pension but you olcan obviously save other money elsewhere.

If you're married then each of you could be stashing £40,000 a year, so you could retire early and maybe downsize your house to release some cash especially if you bought the house when prices were low.

There are previsos ... up to 40,000 or what ever you earn below it NO Investment income as this is unearned So landlords Traders Cripto players and property flips not allowed . The confusion is that its all income BUT Tax man considers UNEARNED not useable in pension....There must be a guy on here that can explain it better 

[sir wanksalot]

This hacks me off.

If they wanted more funds in the govt pot then there are other ways of doing it.

Tax dodgers and yes, that also includes Ebayers, Amazon sellers.

I used to live next door to an Asian guy who would buy houses on a residential mortgage, rent them out (illegally as you need to declare them as buy to let which also involves a higher rate BTL rate) and rinse and repeat.

Needless to say, none of the income was ever reported to HMRC.

[RandomGuy99]

That's the issue isn't it? None of us know how long we have left before we check out. Financial planning would be much easier if we did.

However you will spend more in your 60s than in your 80s (if you make it that far) because you'll be less active in later life. Although average life expectancy is around 80, average healthy life expectancy is less than 70.

So we need to move to the Logan's Run approach of you get bumped off when you reach x years.

You'd then be able to plan ahead and be able to make the most of your remaining years.

You could get a waiver to live longer if you could show the value to be gained.

[RedKettle]

This hacks me off.

If they wanted more funds in the govt pot then there are other ways of doing it.

Tax dodgers and yes, that also includes Ebayers, Amazon sellers.

I used to live next door to an Asian guy who would buy houses on a residential mortgage, rent them out (illegally as you need to declare them as buy to let which also involves a higher rate BTL rate) and rinse and repeat.

Needless to say, none of the income was ever reported to HMRC.

How do you know he did not declare to mortgage provider and that he was not taxed on profit?

[Thephoenix]

That's the issue isn't it? None of us know how long we have left before we check out. Financial planning would be much easier if we did.

However you will spend more in your 60s than in your 80s (if you make it that far) because you'll be less active in later life. Although average life expectancy is around 80, average healthy life expectancy is less than 70.

I'm in my 80s and probably spending about the same as I did in my 60s.
I'm not sure what healthy life expectancy means, but chuffed that I'm well passed my life expectancy.

Hope I'm not tempting fate saying that.

I think it's fine for folk to keep working until their 71.
Someone's got to pay for my pensions and punting benevolent fund.

[Adoniron]

I'm in my 80s and probably spending about the same as I did in my 60s.
I'm not sure what healthy life expectancy means, but chuffed that I'm well passed my life expectancy.

Hope I'm not tempting fate saying that.

I think it's fine for folk to keep working until their 71.
Someone's got to pay for my pensions and punting benevolent fund.

I congratulate you on your good health and vitality. When my parents were in their 60s (my father retired at 55) they were always going on holiday and out socialising. Now they are in their mid 80s they don't really go anywhere or do anything.

[Pillowtalk]

A think tank has suggested that anyone born after April 1970 sound work until they are 71 to help fund pensions and not be a burden on society financially.
This fills me with dread. I'm hoping to retire at 60.

But, it got me thinking.

Would you rather retire at 60 and not punt (from now) for the rest of your life or retire at 71 and continue punting

I hope to be still working when I'm 70/71. The thought of retiring fills me with absolute horror.

[Pillowtalk]

and I meant to say, surely it's no longer a binary choice between work or retirement. Most people I know do a little of both.

[Watts.E.Dunn]

Can understand an earlier commenr re hard physcial work people doing that will be knackered by the time they hit the present retirment age, but i should have retired some years ago but i still like working at what i do:)

However most all of the older relys i had retired and passed on around 2 - 3 years after their retirment ,as it seemed they had no reason to get up in the morning!...

[Thephoenix]

I congratulate you on your good health and vitality. When my parents were in their 60s (my father retired at 55) they were always going on holiday and out socialising. Now they are in their mid 80s they don't really go anywhere or do anything.

Thanks chum!
Don't know about the good health and vitality.
...but at least I'm still ticking over, which undoubtedly is better than the alternative.
 

[Ali Katt]

A lot of people I know have died well before retirement. Lots dropping dead in their 50s; I'm not talking about through accidents either. On the flip I've also known people in my family who retired at 60, but that was in the 80s. I think retiring at anything close to 65 is a pipe dream.

[Rick2468]

My aim is to retire or at the very least wind down a lot when I'm 50. I save more than I spend now in my ISA and pension fund. My Dad retired at 50 himself and my Mother died at 65. They had a very happy life in those 15 years and travelled a lot. Whilst my Dad worked he was much more stressed and my parents argued a lot but they were more in love than ever in the end. I think it would have been heart-breaking if Dad had worked to 65 and they had no retirement time together to really enjoy. Sadly this happens to so many people even with a retirement age of 65. Some people may live a couple of decades more after 65 but poor health might prevent them from living life to the full. Pension provision is super expensive so retiring young takes a lot of saving from an early age.

[PepeMAGA]

My dad is still working into his mid 70s, by choice, not because he needs the money. He likes the company and something to keep him occupied

[Pillowtalk]

My dad is still working into his mid 70s, by choice, not because he needs the money. He likes the company and something to keep him occupied

Good man - nothing wrong with that. We need to get away from a retirement mentality.

[Blackpool Rock]

I'm in my 80s and probably spending about the same as I did in my 60s.
I'm not sure what healthy life expectancy means, but chuffed that I'm well passed my life expectancy.

Hope I'm not tempting fate saying that.

I think it's fine for folk to keep working until their 71.
Someone's got to pay for my pensions and punting benevolent fund.

For years the focus was on getting the average life expectancy up and when it rose quite a lot post WW2 that was seen as a good thing, suddenly people who would have doed from XYZ ailment were now being saved by operations and medication etc.

Now the talk is about the fact that is it really worth living till 85 or 90 if you are in ill health from the age of 70, yes you have an extra 15 or 20 years but if they are shit due to ill heath then how good are they and do you actually want them 

The talk now is about increasing "Healthspan" rather than "Lifespan" so that people are healthy until 85 or 90 rather than giving them even more years of poor health that they don't enjoy

Personally i'd rather be fit and healthy then keel over one day aged 85 than to be ill from age 70 and live until i'm 90

[Blackpool Rock]

Good man - nothing wrong with that. We need to get away from a retirement mentality.

Why 

I can understand it if someone actually enjoys their job and the people they work with however for Millions of people work is a shitstorm and their colleagues are little more than a bunch of cunts 

Why do you think so many people have decided to retire early over the last few years 
When covid struck many people suddenly either didn't work due to being furloughed or worked less hours / worked from home etc and realised how much less stressful it was.
People reassessed their situations and realised their work / life balance wasn't good and was probably affecting their general health both physical and mental, they then made a conscious decision to downscale and perhaps go without so many material possessions in return for a better quality of life

IMO work is a clusterfuck which ruins your life, I always appreciated that i had to work to pay my own way as the world didn't owe me a living but what i've had to put up with was frankly unacceptable, it wasn't the work itself but more so the fucking wankers I had to deal with 

[PepeMAGA]

Why 

I can understand it if someone actually enjoys their job and the people they work with however for Millions of people work is a shitstorm and their colleagues are little more than a bunch of cunts 

Why do you think so many people have decided to retire early over the last few years 
When covid struck many people suddenly either didn't work due to being furloughed or worked less hours / worked from home etc and realised how much less stressful it was.
People reassessed their situations and realised their work / life balance wasn't good and was probably affecting their general health both physical and mental, they then made a conscious decision to downscale and perhaps go without so many material possessions in return for a better quality of life

IMO work is a clusterfuck which ruins your life, I always appreciated that i had to work to pay my own way as the world didn't owe me a living but what i've had to put up with was frankly unacceptable, it wasn't the work itself but more so the fucking wankers I had to deal with 

Yes you shouldn't be in a position where you're being worked to death, regardless of age, but particularly after a lifetime of it.

[lewisjones23]

have long worked on the assumption that the state pension would be taken away in age rises or being made means tested

encourage everyone to set up as many long term investments as possible and plan for their own retirement as you can pretty much guarantee that the government will try their hardest to do as little as possible

[Thephoenix]

Yes you shouldn't be in a position where you're being worked to death, regardless of age, but particularly after a lifetime of it.

Work to live, not live to work.

[ulstersubbie]

I can understand it if someone actually enjoys their job and the people they work with however for Millions of people work is a shitstorm and their colleagues are little more than a bunch of cunts 

I know exactly what you mean.

[Blackpool Rock]

have long worked on the assumption that the state pension would be taken away in age rises or being made means tested

encourage everyone to set up as many long term investments as possible and plan for their own retirement as you can pretty much guarantee that the government will try their hardest to do as little as possible

Some people do plan for their own future as they understand the concept of deferred gratification however for many they are living hand to mouth so would struggle to put aside anything or certainly anything meaningful.
There are also a lot of people who do earn good money but blow it all, for those people encouragement probably won't work so they need to be made to save / invest like with the automatic pension enrolment, ultimately the current 8% minimum needs to be gradually increased to a much larger amount

[FLYING BLUE]

I retired at 60 - life is too short etc

I still punt but no where near as often as I used to - partly to do with retirement (no more free travel etc)
FB

[RandomGuy99]

Now should you buy an annuity?

Or just draw down cash.

£1,000,000 at £35,000 a year would last you 28 years. You could use your state pension to pay your monthly bills.

[Blackpool Rock]

Now should you buy an annuity?

Or just draw down cash.

£1,000,000 at £35,000 a year would last you 28 years. You could use your state pension to pay your monthly bills.

Drawdown but you are missing one crucial point in that the £1 Million can remain invested and therefore go up in value so it should last way longer than 28 years

I believe the pension people use the rule of thumb that you should aim to withdraw no more than 4% of your pension fund each year to make sure it lasts well into retirement plus then part of the return you get on the investment also factors in the devaluation of the pot due to inflation

I've long thought that annuities are a rip off and their popularity dropped when the Govt changed the rules to say you could get your hands on the money from age 50 by doing drawdown etc (obviously now 55 and soon to rise to 57 or 58)

What always annoyed me was the fact that you could hand over your pension pot to them in exchange for an annuity on the Monday then drop down dead on Tuesday and they then keep the fucking lot 
Yes you can opt for a spouses pension but then the amount you get reduces considerably

The thing is that they take a pot of money then pay you what I consider to be an amount far smaller than what they should, they will be investing that money and getting a good return but paying you back less than the return on the investment and then keeping the pot of money when you die

Annuity rates are actually quite high at the moment compared to a few years ago due to high inflation etc but it's still not enough
Looking at the figures in the link and assuming a retirement age 60 for a single person pension (and this is the market leading rate so perhaps more than simply sticking with the people who your pension is invested with) they are giving you back less than 6.5% of your money, i'd expect to get a better return than that investing it myself

And that's all you will ever get so it doesn't go up with inflation etc, if you want one linked to RPI then you only get back 3.77% 

At least with drawdown when you peg it the pot of money is part of your estate and gets passed on

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[RandomGuy99]

I think I need to find a rich retired SP to spend my retirement with.

The vacancy is now open. Applications are welcome.

I'll give them foot rubs in return for room and board.

[nwluvit]

I hope to be still working when I'm 70/71. The thought of retiring fills me with absolute horror.

I thought like that, but in the last 2 years have lost 3 good friends in their early 60's (same as me!!) Got me thinking. I work for myself so can scale back a bit and may do so once I get to 65. Had no intention of slowing down, until my mates died. They were all pretty fit and active.

[Darren101]

I think you're allowed to put a maximum of £40,000 a year (£3,333 a month) into your pension but you olcan obviously save other money elsewhere.

If you're married then each of you could be stashing £40,000 a year, so you could retire early and maybe downsize your house to release some cash especially if you bought the house when prices were low.

lol.  nice if you can afford to stash that much away each year. If you could then you probalby got no money worries to begin with.

£41K is the average London salary before tax.  No one can put 100% of their wages in pensions....

The thinktanks are idiots and in their own world. Too much money is wasted on poor management and handouts.  Not everyone will be in good health at 71 either (nor live to that age). If it keeps going up, might as well forget the idea of retirement for most people.

[Pillowtalk]

I thought like that, but in the last 2 years have lost 3 good friends in their early 60's (same as me!!) Got me thinking. I work for myself so can scale back a bit and may do so once I get to 65. Had no intention of slowing down, until my mates died. They were all pretty fit and active.

That is sad to hear and certainly makes you think pretty hard about your own circumstances. I no longer work full time, but do about 3 days a week or so - sometimes a bit more and sometimes a good bit less. I run my own company and only do things that interest me and with people I like, so it's 'work' but it doesn't seem to onerous. I find continuing to work a bit, is good for my self esteem, keeps me in touch with several friends, I can still earn good money and the stress is minimal.
As I said earlier in this thread, I don't believe you need to think in terms of either working or being retired. I'm actively doing both and enjoying it.

[Stevelondon]

I packed up working (so to speak) in my mid fifties. But I’d already left my so called career behind years back and was making money doing other stuff (non criminal I might add)

I remember a couple of mates saying I would be bored.

Why the hell would I be bored. I’m great at doing fuck all 😂

[Blackpool Rock]

I packed up working (so to speak) in my mid fifties. But I’d already left my so called career behind years back and was making money doing other stuff (non criminal I might add)

I remember a couple of mates saying I would be bored.

Why the hell would I be bored. I’m great at doing fuck all 😂

The problem for some people is that they haven't worked out that they need some sort of hobby or interest to fill their time once they give up work.

Years ago people worked until they retired at 65 and then seemingly sat in a fucking chair staring at the walls all day, long drag that with nothing to challenge you mentally and they died within 2 or 3 years 

[8MillionDollarMan]

The problem for some people is that they haven't worked out that they need some sort of hobby or interest to fill their time once they give up work.

Years ago people worked until they retired at 65 and then seemingly sat in a fucking chair staring at the walls all day, long drag that with nothing to challenge you mentally and they died within 2 or 3 years 

I sort of semi retired when I was 42 I basically did 2 hrs work a day and found the days a bit long sometimes as a single man even though I had plenty of interests plus none of your mates are in the same situation.
Retired for good at 48 (now 55) and the dragging days are less I suspect because I'm older and more mellowed also more of my mates are retired now so there's more company.
Be careful what you wish for though as every £ I spend now is never coming back.

[RandomGuy99]

I sort of semi retired when I was 42 I basically did 2 hrs work a day and found the days a bit long sometimes as a single man even though I had plenty of interests plus none of your mates are in the same situation.
Retired for good at 48 (now 55) and the dragging days are less I suspect because I'm older and more mellowed also more of my mates are retired now so there's more company.
Be careful what you wish for though as every £ I spend now is never coming back.

But you can probably downgrade a body part as you're the 8 million dollar man. The noise that bionic eye makes must be annoying and that noise when you run must take a bit of getting used to.

[8MillionDollarMan]

But you can probably downgrade a body part as you're the 8 million dollar man. The noise that bionic eye makes must be annoying and that noise when you run must take a bit of getting used to.

  my body parts are downgrading anyway.

[Colston36]

Work to live, not live to work.

Confucius, who did not do much punting, said "Find something you like doing and you will never do a day's work in your life". I decided when very young that I wanted to be a writer, and have been ever since, besides starting a few businesses related to writing and making speeches.

So here I am at 87 still scribbling away, makng enough to invest the surplus on every kink I find entertaining. If you have talent, don't work for anyone else. I have had hair-raising moments but better that than work for twats.

Luck helps, though. Early on I was involved in the body-building business (with the man who was Darth Vader's body in Star Wars and have exercised ever since. I can't recommend it enough: makes a huge difference to how you feel and look yet takes only minutes a day.



   





 

[shagmore]

If you have £500K sitting around doing nothing, you could try to eak out a living on that, or you could buy 4 rental properties (in the East Midlands) and earn about £3.2K a month for that, ok you would have to pay tax and fee's but its still more than enough to live on if you have your mortgage paid off.
But alas not everyone has that amount
My real concern is that I have saved all my life, starting my own personal pension at a very early age, and have a decent amount in there, no debt, no mortgage and a hell of a lot of equity in my own property, retirement i sonly about 10 years away but no doubt the government will change the rules further down the line, for people who have their own saving they are more than likely to get penalised for saving etc, unlike the cunts who have never worked a day in their life, expect to be paid for doing fuck all and then wanting a pension to boot after not contributing one single pound into the pot

[RedKettle]

If you have £500K sitting around doing nothing, you could try to eak out a living on that, or you could buy 4 rental properties (in the East Midlands) and earn about £3.2K a month for that, ok you would have to pay tax and fee's but its still more than enough to live on if you have your mortgage paid off.
But alas not everyone has that amount
My real concern is that I have saved all my life, starting my own personal pension at a very early age, and have a decent amount in there, no debt, no mortgage and a hell of a lot of equity in my own property, retirement i sonly about 10 years away but no doubt the government will change the rules further down the line, for people who have their own saving they are more than likely to get penalised for saving etc, unlike the cunts who have never worked a day in their life, expect to be paid for doing fuck all and then wanting a pension to boot after not contributing one single pound into the pot

7.68% gross income yield on residential sounds optimistic.

[8MillionDollarMan]

7.68% gross income yield on residential sounds optimistic.

Everyone I know with residential rentals is getting shot of them.

[Andywb]

7.68% gross income yield on residential sounds optimistic.

Agree. That's about double the gross return I am getting on a residential let