Pension stuff, how's it all looking ? HAve you prepared ?

[weeksy]

Got my yearly statement yesterday.

Disappointing part.... 2019-2020 was down 9%

Good part .... 2020-2021 was up 28.8%

Pretty pleased with that i have to say... I don't think that'll help me retire earlier... but certainly won't do any harm.

[Mr. Dazzle]

Got my yearly statement yesterday.

Disappointing part.... 2019-2020 was down 9%

Yeah, there was like this whole thing. Surprised it wasn't on the news more TBH



P.S. my funds are currently taking a spanking - so much so that HL e-mailed me (with an auto generated one) to say "your investments may be a little risky". FFS it's not like I'm invested solely in Dogecoin and Gamestop shares, it's nearly all in funds with big reputable banks. It just dominated by equities and hence pretty volatile. They even tell you that it's gonna be short term volatile but hopefully long term stable when you sign up for it.

[Whysub]

Anyway, WTF do I know, I'm an electrician, I'm sure these experts running the show know what they're doing

I have rarely trusted experts. If they all have the same information, why don't they all come to the same conclusion? No matter if financial matters or climate change.

[Horse]

Anyway, WTF do I know, I'm an electrician, I'm sure these experts running the show know what they're doing

I have rarely trusted experts. If they all have the same information, why don't they all come to the same conclusion? No matter if financial matters or climate change.

Like racing tipsters. If they were any good, they'd keep the best knowledge to themselves.

[Potter]

Good part .... 2020-2021 was up 28.8%

Western governments seem intent on printing money and offering no interest, so people have more money and they are throwing it into things, hence your gain.

Some people are predicting a crash, with a scramble for liquidity and people losing a bundle on assets (physical and financial).
The way it's going I think it's a reset and assets will still be worth loads of money in a few years, but money will be worth a lot less because of inflation. Hyper inflation isn't a blanket thing yet, just on some assets, but inflation is definitely causing problems and it's only going one way with this type of strategy.

There is a reasonable chance that your pension will continue to grow and be worth loads, but you'll need loads to buy a loaf of bread.

[weeksy]

Good part .... 2020-2021 was up 28.8%

Western governments seem intent on printing money and offering no interest, so people have more money and they are throwing it into things, hence your gain.

Some people are predicting a crash, with a scramble for liquidity and people losing a bundle on assets (physical and financial).
The way it's going I think it's a reset and assets will still be worth loads of money in a few years, but money will be worth a lot less because of inflation. Hyper inflation isn't a blanket thing yet, just on some assets, but inflation is definitely causing problems and it's only going one way with this type of strategy.

There is a reasonable chance that your pension will continue to grow and be worth loads, but you'll need loads to buy a loaf of bread.

Aye, not a lot I can do about that. But if I can persuade the wife then we'll be out of the UK anyway and in France

[ZRX61]

Hoping mine gets a $515Million boost around 8pm today...

[weeksy]

Very very interesting thread over on STW to me, as i’m getting to 50 this year, plus clearly in 5 years i’ll be hitting the magic 55 where i can remove a chunk from my fund potentially.

I’m honestly not thinking of “i must have XYZ left” , my boy will get a ridiculous chunk of money when i’m out of here from the sale of the house (ok, ridiculous isn’t right, but lets just say it’s a reasonable chunk) so he’ll be fine and dandy.

So all i really need my money for is bills and day to day living, i don’t care if there’s £4.00 left on the day i croak it, i’d actually like that more than there being £500k in there that then ends up with my lad along with the house LOL. I’m kinda hoping by the time i go, he’s got his own house and job etc… Otherwise i’ve gone WAY early.

I’ve been fairly lucky with pension contributions from employer over the years, so i think i’ll do OK. But i do need to research into my options a LOT more in the coming years as when you guys talk about things like annuities, draw-down, SIPP, i have absolutely no idea what you’re on about and lets face it, i really ought to in the coming years.

I’ll likely in the next few years speak to an IFA about it all, currently it’s all in the works pension and ticking away nicely, so no rush.. but i’d like to be more informed.



https://www.which.co.uk/money/pensions- ... pj57u5134k

Using that calculator above it makes the assumption i'll spend all of the figures i put in and be skint by the time i hit 85... You know what, that's not all bad actually. If i'm 85 i'll also be getting the government pension (assuming it exists) and i'll have a bucket of equity in the house. That's all assuming a retirement age of 60

For Potter for the calculator.

[Cousin Jack]

Do the figures with an increasing income each year to cope with inflation. It makes a huge difference.

No-one knows what inflation will be in the future, but it WILL be there, and even a modest rate will bite over 20 years. I am lucky, I have an index-linked pension and the amount I get now is getting on for twice what I originally retired on. Since it was a company pension I have no idea of the actual size of the pot, but I strongly suspect it was a LOT more than your assumptions. If you retire at 60 and plan on living to 85 you need to get a fair wedge, and bear in mind that you might well get beyond 85. I am still riding at 75, and don't plan on giving up any time soon.

[Mr. Dazzle]

Do the figures with an increasing income each year to cope with inflation. It makes a huge difference.

They usually do, yes. The growth calculations assume a certain average annual growth rate and an average rate of inflation, then the good ones also consider inflation post retirement.

[Cousin Jack]

Do the figures with an increasing income each year to cope with inflation. It makes a huge difference.

They usually do, yes. The growth calculations assume a certain average annual growth rate and an average rate of inflation, then the good ones also consider inflation post retirement.

They certainly should do, and today's rules may insist they do, but I have seen such figure based on flat annuities, and flat drawdowns.

[Mr. Dazzle]

Well yeah, the headlines are all gonna be set to give you the best possible picture - which is to assume no post retirement inflation at all. But then again, there's only so much you can show in one little bullet point result I suppose.

[weeksy]

Do the figures with an increasing income each year to cope with inflation. It makes a huge difference.

Click on it.

Lol

You can add the inflation figures.

[Yorick]

Many folk overestimate how much they need annually to live on when retired.
No mortgage, kids etc. No need for multi cars etc.

I talk to many folk here who wish they'd retired much earlier instead of chasing the 5* pension.

One pal of mine retired at 63, after him and wifey working hard.
She died last year and he's got pension of £35,000 and nothing to spend it on. He's now 67.

[weeksy]

Many folk overestimate how much they need annually to live on when retired.
No mortgage, kids etc. No need for multi cars etc.

I talk to many folk here who wish they'd retired much earlier instead of chasing the 5* pension.

One pal of mine retired at 63, after him and wifey working hard.
She died last year and he's got pension of £35,000 and nothing to spend it on. He's now 67.

With luck I'm not planning on working by the time I'm 60

[Docca]

I’m hoping I’ll be working until I physically ( or mentally) can’t work anymore. So, Tuesday.

[Pirahna]

I sort of stopped at 54 but wifey wasn't ready so I started doing garden maintenance. That went tits up with covid so I was doing a part time job delivering shopping for Tesco. It took lockdown, working from home and redundancy package to make wifey realise there's more to life than commuting into London.

Now at 58 we're good to go. The house is sold and money banked, the pensions are being very well managed and as we don't need to touch them are growing at a decent amount too. The van conversion will be ready around the end of October, a few things to attend to and then we can travel and decide where we want to retire to. There's a reasonable chance it won't be the UK.

[Nordboy]

We've just changed pension providers and i've been able to log on and see my pension projections...

It's a bit bloody grim, I knew the government had shafted me, but it looks like they're using the biggest dildo they can find to do it!!!!!

I'm now not sure I can retire at 55 (and I would have still worked just part time etc) like I thought i'd be able to.

[slowsider]

Nobody planning to leave a beautiful corpse?

[Mussels]

Nobody planning to leave a beautiful corpse?

I think we're all well past that point.