RS: Topic moved to "FIRE" from "Pensions"
Hi,
Old timer from around 97 or 98 vintage on the other place, first post here and looking for some feedback.
So, I am 50 and at the age of 49 I was made redundant and after almost a year of looking for work I have decided that I should take stock and accept that I may never get back on the horse. I cannot take my pensions until 55 at the earliest and am waiting for updated quotes including the at 55 value but I reckon I could have a modest retirement if that's the way things play out but I'd like your thoughts.
I have
£220k of accessible investments
$530k of DB fund.
$9k of final salary if taken at 60.
$9k of state pension available from 67 (although this may raise to 68).
My thoughts are to consider the investments as one pot of $750 although I can only draw from the accessible funds at the moment and draw down at the rate of 3% of the value of those funds per annum (so income will fluctuate). Given the starting age of 50 and that I am fit and well is that sustainable?
I have young children so want to leave as much as possible while still enjoying a decent life. Not the retirement I planned at 60 but still okay.
My wife's finances are separate but she will get an NHS pension and I am mortgage free. She is a decade younger than me. Life sucks
![Laughing :lol:](./images/smilies/icon_lol.gif)
My problem with my approach is that my income will take two steps up at 60 and 67 and I'd probably rather live more evenly. I may take my final salary at 55 reducing it by an estimated quarter. TBC. I will start drawing from my pension at this time and start incurring income tax.
Current forecast rough income:
50-59 £22.6k
60 £32k
67 £41k
Would taking a larger but reducing percentage earlier incur greater risk of running out of money? Is my 3% of the funds value at the time of withdrawal approach balanced?
I am willing to accept some volatility and can live on a take home of £1.2k per month plus say £5k for an annual holiday.
Thanks for your view,
Awol.