Preparing to Retire

[PaulSB]

This is how I see it:

You can either spend time reading the label and save 2 quid and do that for each item on your shopping list.

Or you can read the title, spend extra and save time. Depends how you roll. When I'm older I'll have less money and more time so I will change my ways.

This post elsewhere caught my eye. I'm older (61), preparing to retire and recently had three months off work following a heart attack. Retirement was planned before the cardiac event.

In that time I learnt how much I really want to retire and also given the time the real improvements one can make to lifestyle and finances.

The financial side of retirement concerns me but those three months suggest more time to shop carefully, take advantage of offers etc. means I perhaps shouldn't worry.

Some examples. I recently got a year's supply of dishwasher tablets for £12 in Poundland, branded Finish in Polish! On our local food market 28lbs of carrots £1.50, 3lbs tomatoes £3, 15 onions £1.50 makes an awful lot of carrot soup. Same with mushrooms at £2.50 for a huge box. Yesterday I got 28lbs potatoes for £5. All this food appeared not to meet supermarket specifications.

I'd be very interested to learn from others of the savings and preparations they made before and during retirement. I'm thinking principles or specific areas not shopping lists!!

 

[vernon]

Your dietary adjustment seems to be rather extreme.

Retirement is meant to be enjoyed not endured.

 

[vernon]

Crement de Loire is a good substitute for champagne.

 

[vernon]

Wombling is quite lucrative if you've got time on your hands.

http://www.latestfreestuff.co.uk/blog/save-money/wombling-an-interview-with-stuart-smith/

 

[Globalti]

Retirement has just popped up on my horizon and I'm beginning to quite like the idea as I need more time for cycling, ski touring, climbing and generally being outdoors. Gotta get the yoof through university first though.

 

[Arrowfoot]

This post elsewhere caught my eye. I'm older (61), preparing to retire and recently had three months off work following a heart attack. Retirement was planned before the cardiac event.

In that time I learnt how much I really want to retire and also given the time the real improvements one can make to lifestyle and finances.

The financial side of retirement concerns me but those three months suggest more time to shop carefully, take advantage of offers etc. means I perhaps shouldn't worry.

Some examples. I recently got a year's supply of dishwasher tablets for £12 in Poundland, branded Finish in Polish! On our local food market 28lbs of carrots £1.50, 3lbs tomatoes £3, 15 onions £1.50 makes an awful lot of carrot soup. Same with mushrooms at £2.50 for a huge box. Yesterday I got 28lbs potatoes for £5. All this food appeared not to meet supermarket specifications.

I'd be very interested to learn from others of the savings and preparations they made before and during retirement. I'm thinking principles or specific areas not shopping lists!!

You mentioned that the financial side post retirement worries you. If that is the case, you may need to rearrange your present lifestyle and spend habits. These however need not be all too consuming as you would have the time to plan and phase yourself in without being disruptive to your health both mentally and physically. The first thing you need to do is set yourself a single day each month to do the following (1) do the worrying (2) the planning and (3) the budget This means that you have up to 29 days each month to enjoy your retirement. Most people worry most of the time.

So what do you do on that single particular day of each month?

• Put the kettle on.
• Tackle your long term financial position if there is a need to do so. Can you downgrade to a smaller house and release some of the equity to alleviate your concern. Can you take up part-time employment to cover living expenses and also not to die of boredom.
• Tackle your monthly and annual budget. These include the groceries and utility bills. You should be in a position where you know what to buy for the month in terms of food and dispensables. That includes your dietary changes. Also draw a list of where to buy these items. Make sure that you set aside some expenses to treat yourself for that month.
• Promise yourself that you will not worry yourself for the next 29 days as you have plan of sorts which over the months will be more practical.

After a couple of months, you should arrive at a steady state and can than plan how to organise your recreational time and make the most of each day.

 

[Deleted member 1258]

I'm retired. I eat what I want and enjoy it, do what I want when I want and enjoy it.

 

[Globalti]

Can I come and stay at your house?

 

[PaulSB]

Your dietary adjustment seems to be rather extreme.

Retirement is meant to be enjoyed not endured.

I've always loved to cook and we won't live on carrots and mushrroms but I knew there was money to be saved. What I discovered in my three months rehab was two adults can eat a better and more varied diet with more interesting meals than when one is working. I probably knew this but was amazed at the very substantial difference. I have two large freezers and six months worth of soup!

Arrowfoot that's great advice Thanks. I'm not "worried" but do have concerns if that makes sense. we will have four years to go till the State Pension kicks in but till then we have to rely on just over 50% of our current net income.

 

[PaulSB]

Can I come and stay at your house?

Of course. I'm giving serious consideration to airbnb for cyclists. We are close to several Sustrans routes and two LEJOG routes. Plus we have a very secure double garage and know what to expect from tired cyclists.

 

[vernon]

I have had redundancy retirement forced upon me. In a post redundancy notice meeting, I was asked if I had any questions.

My first question was: "Will you send me on a retirement course?"

There are several courses specific to my profession which look at the financial management of assets and pension packages.

I don't envisage any major lifestyle changes as a result of the course though I do expect to have a different outlook on my finances.

 

[screenman]

I'm retired. I eat what I want and enjoy it, do what I want when I want and enjoy it.

You have a better pension than I am likely to get then, keep enjoying it.

 

[Flick of the Elbow]

You have a better pension than I am likely to get then, keep enjoying it.

Those were my thoughts too.

 

[annedonnelly]

There are lots of things you can do that don't cost anything. Lots of museums & art galleries are free. Visiting the beach, countryside by bike or on foot costs nothing. Will you have a bus pass? Lots of places you can visit & explore without it costing much.

There are lots of events that happen during the day on weekdays that people who are working don't get a chance to do.

Enjoy your retirement!

 

[vernon]

Really? I thought you were planning on retiring at 54.

His plans have been scuppered.

My problem is that I'm hearing rumours that my employer is considering changing the terms of their defined benefit scheme such that my plan to retire at 55, in 3.5 years time, is suddenly no longer viable and I'm going to have to keep working to at least 59. So that gives me 8.5 years to accumulate some further savings.
So my question is what savings options should I be looking at that would give a worthwhile return over such a short period ?
The only option I know anything about currently is to buy AVCs from my employer. The returns look pretty woeful but they are taken from salary before tax so if I was to buy say £500 of them a month that would be a significant reduction in my tax bill.
Further thoughts welcome please.