Member Info for Conger2

Moving counties, just replaces one set of problems with another I my experience.

Interest rates were always going up, as COVID/Brexit/Ukraine war all trashed our economy and value of the UKP, Liz Trust just speeded up the process, but she was not wrong we need meaningful growth (GDP per Capita), something this country has lacked for a very long time, and has been vilified ever since.

I am quite honestly astounded so many people dont understand this and continually spout Lis Trust trashed the economy, which is utter BS promoted by the mainstream press continually.

Is no one able to critically think anymore?

I will vote for who ever puts a triple lock on the price of gin tbh...

Just paid £35 for a bottle it is absolutely outrageous!

I never book flights on an app only on the PC normally via a comparison site, I might use the carriers website after finding the flights I want.

One exception I think is the easyJet website is pretty good.

The size of my pension pot very much depends on the IAG recovery, so it is relevant. If IAG recovers to 2.40 as it should be near now, but we are in a waiting game at the moment, with the share acting irrationally and currently heavily undervalued.

As for spelling, bad spelling does not reflect character, but pointing out someone spelling on line sure does.

Good news on the potential peace in Gaza.

I am only invested in IAG for my retirement as I think like the majority here are.

And it is useful to discuss in here, as the majority on this board will be

1. Saving for retirement

2. Finically savvy

3. Wealthy with income to invest

4. Older and approaching or newly retired with a SIPP.

2.

Hi all,

some very good comments in here, people being honest and open i am sure a lot reading this that have not commented are getting useful answers too.

I really get the what the point of £1m pot at 67 if your still working, that has strong resonance with me. I have looked all my budget and know what I need to live the life I want, I been making very good money the last few years, I have put more in my pension then I took in wages.

You can model your pot, use all the different methods suggested for sustained income 20 X or 25, 4.5%/5%, drawdown but fundamentally you just dont know how it will perform and how many healthy years you have on this earth.

I just know, in theory I have enough, but really no one knows and retirement is mostly a one way choice the nearer you get to 67 and longer you are retired the the harder finding work will be, never mind you might find the work itself my taxing.

So I think it is decision you end up flipflopping back and forth as the you get older and you pot is bigger.

For instance if you have £1.5m saved the decision would be easier than £1m, but the time for you do things is also shrinking. But also the tax system plays its part £1m saved could produce a growing £50k a year income anything over £50k a year is taxed at 40% so if you were in the fortunate position of having a £1m pot do you really want to bother to try and get over £1m, especially when you know you will get State pension added too it down the line.

There is just too many unknowns and i think it becomes a leap of faith in the end.

So the kitchen company will need paying immediate, so they will put you on finance through a finance company and the finance company will pay the kitchen company, say 80% of the price you paid.

So to cover this cost the kitchen companies list price is 20% higher. If you pay upfront they should give you a discount, but they lie and hide it, I know how it works as I have worked in finance. Nearly every time you buy something interest free like double glazing/kitchen/appliance etc it because the sales price is higher to take into the account of the cost of financing the interest free period.

@ianFM i used to think that but anything list as interest free means they have already added a premium to the price to cover extra cost. I know this as I have seen finance used to sell interest free 36 month sales costing 8%. I.e. The seller gets 92% of the sale value now from the finance company so they build the cost into the price in the first place.

I promise you cash is always better except in very exceptional situations.

I had real hardship as well in my life, I think very few have not, it teaches the importance of not taking things for granted and get out of and stay out of debt ASAP.

I avoid any long term contracts, so for instance I buy my phones outright and have 30 day mobile contacts always, if I cannot afford to buy something in cash I just dont buy it, as I think debt just makes you poorer.

We all have too take more responsibility and make better choices, it is not for the tax system to give pensioners a great retirement as that is tax paid by meddle income working families and funding a family is about the financially hardest time of life in my experience.

The average retirement pot size is a bit of red herring, as pensions are only one way people save retirement, many have second homes, or others have inheritances coming, or investment income, a business to sell, also I believe it is about £100k at the point of retirement, but it is never clear in the data is that average of people with pensions pots or the average of everyone?

https://www.pensionbee.com/pension-landscape

There are some investment trusts paying very high dividends that have been increasing the dividend payment every year for decades for instance so I think they are a pretty solid bet.

I should add, when the state pension comes in I would reduce my drawings by it.

And I have modelled this on Excel and you need a 5% return over all on your drawdown pot, 6% is quite possible which will mean you pot doubles in 25 years or so using my model.

I will mostly use some high dividend investments trusts in my ISA's and investment account for dividend income and not sure in my remaining drawdown pot after the annuity is bought if I go down that route or I could just buy Avia and L&G shares for a similar amount as the annuity and get similar income levels of £1500 a month... Which is more risky but I keep the capital funds.

So in talking to people the biggest thing you have in retirement is time, so you need money to do stuff or it can be pretty dire/boring.

I think you need about £1,000 a month to cover all the basics, with out a particularly lavish lifestyle. It covers Food/housing/utilities/insurance/fuel/council tax/gym membership/TV subs/broadband etc all this stuff you need every month. I would guess this pretty true for everyone and as a couple it be nearer £1500, this is with no rent or mortgage. You can do this for less, so this is a comfy figure. So state pension covers it but who wants or even can work until they are 67?

So the next question is how much discretionary spend do you need, so this is like Ford and others have said what do you want to do in retirement?

I work on a minim of £1,000 a month, this is for lunch with friends, clothes, theatre , Sunday roast down the pub repair bills, vet bills /insurance / gardening and all the like. This is mostly your discretionary spending money but what i think you need as minimum to have good life, it would be near double this for couple.

Then the next one is the big things you like things you can as you have time, and for me that is travel, for instance i have a Abarth 124 spider as a fun car, and want to go touring around Italy next spring, leaving the car there and flying back and forth over 3 months or so. I have just come back from Scuba diving in Bali. So to do this stuff i budget another £1000 a month.

This is how I get to £3000 a month as plenty for me to do everything I want.

Then you need that to grow every year, or always be getting poorer over 20 years that will make a big difference, factor in state pension at 67, have 6-12mths in cash savings just in case. Which takes me all the way back to the question.

So I think you need about £42,000 gross income from investments in pensions, ISAs, shares and interest which will give you around £3000 take home. It should grow by say 3% or so a year, and not run out before you die.

To get this, I think you need about £900k in investments or all types.

Which goes back to how much do you need to retire, well I think my answer is about £900k for a growing £3000 a month but am I right? Using drawdown, ISAs, an annuity, dividends and interest. I was thinking of using an flat rate annuity to cover the basics (say £1500 a month), even though I hate them, just because as I dont get state for 8-9 years or so and removes a lot of risk.

But it is a really is a big question, and I would really be interested how other people without giving way too much personal information come to the figures they do and is my about right?

Honestly was trying to not make this personal about me , but I know I failed, as I felt I needed to explain my budget.

Personally you need a bit more than £30k to retire IMHO, if you doing it early out of choice, I think £3000 a month take home about or £42,000 gross is a good minimum for retirement, if you live alone and own your own house.

Which equates to a £933,000 sustainable pension pot if you want 3% growth each year for it last indefinitely.

I was wondering, particularly aiming at the posters nearing or already retired, how much do you need to retire in comfort?

I think about 20 x the gross income your are after so £600k = £30k for instance.

I am planning to start drawing on my pension from next April, so I am hoping this gets back to £2.40 before then ... please. lol

Hoping this will find its potential this financial year and recover to pre-covid levels taking into account dilution ie around £2.40.

More pain lol O boy. :P

My valution has a plus X to it.... X is everything that everyone thinks adds value to it.

As an accountant, what i have done is work our the carry value of Cambay in the Balance sheet. If i was building a balance sheet for SYN i have two assets in it, one for $12.5m as a debtor from the JV partner and revalue the remaining 50% of Cambay to $12.5m, this would make SYN make a big profit this fincial year. So I am looking forward to thier next balance sheet report.

Also bare in mind i am looking for short term return, so i am not inrested in the longer term outcomes, in my calculations things like CCS are year away.

So nothing you havre said it worng, but i am tyring work using tanables with not risk, not what is forecast to be in the furture if this and this happens etc.....