What age do you plan to semi-retire?

[GhostofTarbera]

. It is understandable. Uni's doesn't have the latest skillset especially in IT. But I am so glad that they have understood that and sought outside help. What is the point of teaching something that is outdated, huh?

The uni in question was Birmingham University.

Teach them drive through MacDonald then

Apologies did not realise it was outside a red brick uni


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[vwdan]

My first instinct is LOL. But, to be honest, while I don't "live to work", I am an incredibly 'busy' person - I need projects, I need hobbies. The kind of steady retirement where I just mill around won't cut it so I dunno really, I'm unlikely to ever be able to fund the kind of retirement when I can go flying, or spend my time travelling the world.

On that basis and in very realistic terms, I'd be very happy if I could be out of IT by the time I'm 60. I'd happily work full time, but something like motorcycle or flying instruction - that would be pretty ideal for me.

But we'll see. It's weird, in many ways I'm exceptionally lucky in life but it feels like no matter how much I throw at my pension pot it'll never be enough.

[nomadd]

1. How much money do you need to live your chosen life each month. This should cover all costs, necessary and luxury and hobbies etc.
2. What age do you want to be free from the shackles of full time work.

1. £2k. My SIPP plus other investments bring in nearly double that (after tax) with an SWR of 3.5%.
2. I semi-retired at 50. I fully retired at 55. Loving every moment of it.

[sludgesurfer]

.... but it feels like no matter how much I throw at my pension pot it'll never be enough.

The lifetime allowance is a massive disincentive for this approach if you've started early. It's a perverse allowance in that it penalises good investment performance rather than contributions.

And, even at the current allowance of around £1,073,000 it probably buys an annuity of what - £50k?

[uk contractor]

Been semi retired a good few years now I ONLY take the odd lucrative investment banking contract but as those have dried up its slim pickings recently!

[rootsnall]

The lifetime allowance is a massive disincentive for this approach if you've started early. It's a perverse allowance in that it penalises good investment performance rather than contributions.

And, even at the current allowance of around £1,073,000 it probably buys an annuity of what - £50k?

It's a huge tax perk to encourage people to save for retirement, I think the people hitting that limit are not going to be a burden on the state so it's done it's job. I doubt many people with a full pot will be buying an annuity these days.

[NowPermOutsideUK]

This topic very much interests me because I have been thinking about this retirement thing as well

I notice chimpmaster you did not answer the question yourself

1. How much money do you need to live your chosen life each month. This should cover all costs, necessary and luxury and hobbies etc.
2. What age do you want to be free from the shackles of full time work.

My answer is

1) after tax 6K a month to cover a 3k mortgage and bills and expenditure of 3K a month
2) in the next year at age 40

My health has also gone up in smoke and I have been fortunate to save and invest a lot of the warchest in BTL which really does provide a good income if you do it right and self manage most of it

The risks to my plan are legistalive - Goverment increasing BTL tax rates or wealth tax - Thats what I worry about

I'll put this here because General would quickly go off track. There's been some talk here of monthly costs and people retiring etc. I've always found this to be an interesting topic because I firmly believe we're not born to just work and we need something beyond this to make life meaningful.

No matter what age you are now, do you have a plan for when you might want to call it a day with full-time work?

Assuming all other things are fine (health etc), you might need to consider 2 things:-

1. How much money do you need to live your chosen life each month. This should cover all costs, necessary and luxury and hobbies etc.
2. What age do you want to be free from the shackles of full time work.

When I was I 30, I thought I could survive off £1k/month and planned to semi-retire by 35. Then, getting married and having kids changed that to £5k/month and between 40 - 45 as my target age. Now I just don't know. I'm not sure what I would do if I wasn't working - sad isn't it. It isn't about the money any more. The middle class bracket is vast and I'm not going to be a multi-millionaire with a Ferrari and a mansion, but I don't need that and am not going to sacrifice the rest of my life to attain such things.

Technically I don't actually have to work any more. But if I wasn't working, I honestly don't know what else I would do. I've lost my childhood imagination, hopes and dreams. And that makes me a little sad.

[silent bob]

I'm 49 and have 7 years left on the mortgage, so that's my aim, retire in 7 years.
The missus has decided to go back to uni and retrain, so once she's qualified and back working again, and the mortgage has gone, and with my above average pension pot, i should be ok.
However, i too get bored very easily, and by the end of an odd 2-3 month gap between contracts, I'm usually climbing the walls. So that does play on my mind a bit.
I think it'll be golf and travel. But there is only so much travel that is possible, especially if the other half is still working.
I am noticing my enthusiasm for work starting to wain a little. However, I've had an incredibly busy year, without any time off since last Christmas, so maybe a week or 2 off will change that anyway....

[Lance]

I don't really plan to semi-retire. I am going to try and gear down in 5 years though. I am going to start a PhD around then I will switch into academia around 45 probably at some tulipty university where I can just coast for the rest of my working life.

My wife works in academia. She’s a lecture/assistant professor.
‘Coast’ is not a thing they do...I work less hard and have billed 300 days to two clients in 2020.

[ladymuck]

I'm 49 and have 7 years left on the mortgage, so that's my aim, retire in 7 years.
The missus has decided to go back to uni and retrain, so once she's qualified and back working again, and the mortgage has gone, and with my above average pension pot, i should be ok.
However, i too get bored very easily, and by the end of an odd 2-3 month gap between contracts, I'm usually climbing the walls. So that does play on my mind a bit.
I think it'll be golf and travel. But there is only so much travel that is possible, especially if the other half is still working.
I am noticing my enthusiasm for work starting to wain a little. However, I've had an incredibly busy year, without any time off since last Christmas, so maybe a week or 2 off will change that anyway....

My enthusiasm for work waned in about 1995, shockingly coincided with my first proper job