I focus more on long term needs/reality to break the psychological hold money has on me. For example , I ask myself,”Do I have enough to pay ten years rent where I am now?”
Yes?
Ok, if I can pay rent I can eat.
What do my dividends bring in per year?
Ok, that much, and that will only grow as I reinvest.
I watch the market daily and I’d like to not do that— so it’s not like the psychological factor about not being a good provider doesn’t entirely go away, even when you’re set for the next decade or two.
I honestly try not to live in too much comfort, as you never know what life at 80 will look like. When my SS and my teachers pension kick in, maybe less worry then.
I guess a better way to phrase it is I’m wondering how people’s financial plans / expectations matched reality in retirement, at what percentages of pre/post retirement income.
I never figured it out that way. Just eyeballed it. I have more than I ever thought I would have and probably more than I will ever need. I know my spending habits and have no desire to see the entire world before I die. Just not caught up in the percentages. That level of attention to detail would result in hair loss.
Psychologically, IMO, the thing that gets people is to retire and then live in the same way they have been living without change. Everything changes, especially your mindset. Changing my behavior and mindset before I retired was more important than knowing percentages as what I wanted has little to do with money.
Being retired sounds great, being able to do all the things one wants without the time pressure of work…
However, I have retired twice already, and after 1 year the first time and just 6 months the second time, I have started up a new company
Reason is that a hobby, for example Golf, is really funny to play when planning the opportunities to play, but less fun when one can go out every day Golf is just an example of a hobby.
So think not only about money, but also what is your goal? What do you want to achieve when you have retired? Being a scratch golf player? Learning to speak French? A goal(s) in life is important
And sorry, coming back to your money question, things always turns out more expensive than planned, so ensure to take your full money planning and then add on a hefty safety margin, just in case as you don’t want to spend the retirement to worry about cash, if you could have avoided it by working in the salt mine for just one more year before retiring
Just my 2 cents, sharing some of my experiences, but all experiences are different so maybe not useful to others
Semi-retirement is a useful step if it can be worked out with work etc.
I am sorry you have no way of knowing this without knowing the specifics of the person retiring and what they expect to be burning (i.e. spending) in the upcoming years.
Inheritance one day, four public sector pensions one day, gold bars bought when gold was much cheaper, and some tax free investments. And real estate. I work in my late 40s because I like to shape/influence policy. And probably will until my 70s. Mother works in her mid 70s for a few hours a day and makes more than I do.
The mind is a terrible thing to waste, and I think retirement, unless you are really driven, leads to poorer health overall. Briefing cabinet members in Canada—always a high.
Class 2 - but only if you worked in the UK immediately before leaving, and you’ve previously lived in the UK for at least 3 years in a row or paid at least 3 years of contributions
Living abroad but not working
Class 3 - but only if at some point you’ve lived in the UK for at least 3 years in a row or paid at least 3 years of contributions
Golf is just an example of a hobby.