>A 40-year-old with a typical pension pot of £120,000 would need to put about £720 a month into their pension to retire with £630,000, assuming 5pc growth and 2pc inflation.
Thought that was a pretty fun point. Really makes a mockery of the recent moves to get rid of the LTA limits, shows what kind of income is required to even get up to the £1m level in the first place.
It is such a farce. The majority (me included) have no chance to get ahead. These schemes are sucking money out of workers pockets. It’s like we are literally being forced to play in the casino against our will, whilst being told by the Gov and the pension managers that this is the responsible option.
> A 40-year-old with a typical pension pot of £120,000 would need to put about £720 a month into their pension
Hands up anyone in their late twenties to late thirties who’s on track for that?
Assuming climate change doesn’t see us off by then this country is absolutely fucked when millennials get to the age they think they’re going to be able to retire
Ralph Wiggum: I’m in danger.
Without a mortgage, in most cases, why so much?
If still paying a mortgage or rent, OK maybe.
My retirement plan is to die. Im 46 and litterally have nothing.
Haven’t read the article but that headline is ridiculous. Assuming most pensioners would live mortgage free or in council property £37,500 is an outrageous amount for them to just live comfortably.
Again I haven’t read the article so the headline could well be fluff.
The millennial retirement crisis sure is going to be fun. See you there guys!
[removed]
Haven’t read the article, but my takeaway is that I don’t even earn that while working… and I’m mid-40s…
Fuck it, chances of living to actual retirement age seems to be reducing all the time anyway…
>Workers would need a pension pot of approximately £643,000 to buy an annuity that would provide an income of £26,700. Adding this to the £10,600 annual value of the state pension would be enough to retire comfortably.
Why tf are annuities paraded so much? Is this a sponsored article?
One I read elsewhere:
“My retirement plan is to die in the climate wars”
Do they really?
The wife and I are retired, mortgage paid off, and for the last two years we spent under £20k for each year. And we consider our lives to be comfortable.
Assume those figures are from industry bodies trying to hawk products. Without a mortgage you wouldn’t need anywhere near that amount to be comfortable.
This is frankly ridiculous. It is more than many people earn/year during their working life when they have expenses such as mortgage payments and saving for retirement to do. Yet for some reason the Telegraph thinks they will need to have more per year than they have now.
Auto enrollment needs expanding
The fact there’s no contributions on first £6k, and doesn’t start till 23, costs Brits £10,000’s in retirement
I mean, I’m 34, have a mortgage, and some debt, I’m on £35k a year. I’d like to be on £37k a year!
Don’t worry! Under the Tories this amount will be reduced, this is because we’ll all be working until we turn 80.
​
Thanksthe Tories!
Oh no…wait, that’s not right.
​
No..
​
**FUCK the Tories.** That’s it! That’s the one!
**Fuck, the fucking Tories.**
To the guys saying that 37k is a lot given the median salary in the UK, remember that you’re comparing 37k in like 25 years to 37k today. Inflation is real.
But an adult in full time work with rent to pay and potentially kids to raise only needs 21kpa.
That doesn’t match with the minimum wage that young people are trying to build a life
What about all of us working that earn massively less than that? Are we supposed to not be comfortable? I’m in my 40s forced to pay into a pension I’ll never benefit from and will be working til I die, this country is a Tory shithole of stagnant wages, pensioners get all the benefits they’re a leech on this country
For me it’s either pay mortgage + pension and live a very frugal working life, or just pay the mortgage and live somewhat comfortably during my working years. I chose the latter.
When the mortgage gets paid off I’ll probably start to opt-in a pension pot. Worse comes to worse I can just frugally live off state pension in my house.
What nonsense.
no NI to pay, no pension contributions to make, no longer needed to save, probably no mortgage or rent, no commute or work clothes to buy and children no longer dependent..
A lot of the reaction to this story is on the basis of “Comfortable”. Looking a the source I think “Well Off” would have been a better name for that category, it’s the top of their three and includes two foreign holidays a year.
What most people in this thread seem to be describing is “Minimum”, at £12,800 for “Covers your basic needs with some left over for fun”.
I call bullshit.
You can live on £800 a month if you don’t have a mortgage or rent, which will be the case for most retirees.
That’s £9,600 p.a.
Now you definitely want more than that so you can run a car, go on holidays, enjoy life etc but £37,300 sounds like utter shit.
Why would a retired person need more than the average wage
So, A full time nurse is on £30,000 per year
The pensioner she is treating will be on more money per month than her, *How the fuck is that right?*
Also, Gets everything paid for by the state and if you mention the word *means tested* you might as well be hung up from the nearest lamppost by the ‘That’s ageist’ squad…
Meanwhile on LBC earlier an elderly caller said under 25s should be barred from voting entirely.
A huge amount of non-retired people living on a lot less that 37k right now.
So what does a working person need to live ‘comfortably’?!
Hang on. Why can I live off £23k pa but they need £37k pa? They have fewer bills but need more money?
Cool, my retirement plan of killing myself is still on track then.
An inflation calculator puts £37,500 at as likely being valued as about £16,000 today (in 35 years), assuming an average inflation rate of 2.5% per year (here’s hoping).
So the equivalent of £16,000 sounds reasonable for a comfortable lifestyle, without being extravagant.
Now, who thinks they’re going have that much?
What makes me sick is that my dad retired at 57. He’s now almost 69. He never went to university, worked his way up a job in car leasing management, then left to get into IT sales. Became a director around 40, did that for a year then quit and went back to sales.
The whole time, he had jobs with sweet private pensions.
At 40, I’m on a decent wage, as is my wife, but I don’t get a “sweet private pension”. I have a degree because we were told to go to university to “have more disposable income”.
Regardless what happens, I get diddly squat. I can barely afford the workplace pension because I chose to have kids and get a mortgage. It’s fucking disgraceful.
The baby boom generation then fucked the system for us, and we’re expected to pay their state pensions.
It’s such bullshit.
Does anyone else take a step back and realise how futile this whole system is?
I mean, it simply never ends, student loan… mortgage… bills…. fees… insurance.. taxes… pension..
And once the Government has finished with you it discards you like a dead battery and taxes whatever you try to pass on to your kids.
Surely there has to be another way to live? Surely there has to be another SYSTEM we can invent?
35 comments
>A 40-year-old with a typical pension pot of £120,000 would need to put about £720 a month into their pension to retire with £630,000, assuming 5pc growth and 2pc inflation.
Thought that was a pretty fun point. Really makes a mockery of the recent moves to get rid of the LTA limits, shows what kind of income is required to even get up to the £1m level in the first place.
It is such a farce. The majority (me included) have no chance to get ahead. These schemes are sucking money out of workers pockets. It’s like we are literally being forced to play in the casino against our will, whilst being told by the Gov and the pension managers that this is the responsible option.
> A 40-year-old with a typical pension pot of £120,000 would need to put about £720 a month into their pension
Hands up anyone in their late twenties to late thirties who’s on track for that?
Assuming climate change doesn’t see us off by then this country is absolutely fucked when millennials get to the age they think they’re going to be able to retire
Ralph Wiggum: I’m in danger.
Without a mortgage, in most cases, why so much?
If still paying a mortgage or rent, OK maybe.
My retirement plan is to die. Im 46 and litterally have nothing.
Haven’t read the article but that headline is ridiculous. Assuming most pensioners would live mortgage free or in council property £37,500 is an outrageous amount for them to just live comfortably.
Again I haven’t read the article so the headline could well be fluff.
The millennial retirement crisis sure is going to be fun. See you there guys!
[removed]
Haven’t read the article, but my takeaway is that I don’t even earn that while working… and I’m mid-40s…
Fuck it, chances of living to actual retirement age seems to be reducing all the time anyway…
>Workers would need a pension pot of approximately £643,000 to buy an annuity that would provide an income of £26,700. Adding this to the £10,600 annual value of the state pension would be enough to retire comfortably.
Why tf are annuities paraded so much? Is this a sponsored article?
One I read elsewhere:
“My retirement plan is to die in the climate wars”
Do they really?
The wife and I are retired, mortgage paid off, and for the last two years we spent under £20k for each year. And we consider our lives to be comfortable.
Assume those figures are from industry bodies trying to hawk products. Without a mortgage you wouldn’t need anywhere near that amount to be comfortable.
This is frankly ridiculous. It is more than many people earn/year during their working life when they have expenses such as mortgage payments and saving for retirement to do. Yet for some reason the Telegraph thinks they will need to have more per year than they have now.
Auto enrollment needs expanding
The fact there’s no contributions on first £6k, and doesn’t start till 23, costs Brits £10,000’s in retirement
I mean, I’m 34, have a mortgage, and some debt, I’m on £35k a year. I’d like to be on £37k a year!
Don’t worry! Under the Tories this amount will be reduced, this is because we’ll all be working until we turn 80.
​
Thanksthe Tories!
Oh no…wait, that’s not right.
​
No..
​
**FUCK the Tories.** That’s it! That’s the one!
**Fuck, the fucking Tories.**
To the guys saying that 37k is a lot given the median salary in the UK, remember that you’re comparing 37k in like 25 years to 37k today. Inflation is real.
But an adult in full time work with rent to pay and potentially kids to raise only needs 21kpa.
That doesn’t match with the minimum wage that young people are trying to build a life
What about all of us working that earn massively less than that? Are we supposed to not be comfortable? I’m in my 40s forced to pay into a pension I’ll never benefit from and will be working til I die, this country is a Tory shithole of stagnant wages, pensioners get all the benefits they’re a leech on this country
For me it’s either pay mortgage + pension and live a very frugal working life, or just pay the mortgage and live somewhat comfortably during my working years. I chose the latter.
When the mortgage gets paid off I’ll probably start to opt-in a pension pot. Worse comes to worse I can just frugally live off state pension in my house.
What nonsense.
no NI to pay, no pension contributions to make, no longer needed to save, probably no mortgage or rent, no commute or work clothes to buy and children no longer dependent..
and 37000 is just enough?
…
The source is here: https://www.retirementlivingstandards.org.uk
A lot of the reaction to this story is on the basis of “Comfortable”. Looking a the source I think “Well Off” would have been a better name for that category, it’s the top of their three and includes two foreign holidays a year.
What most people in this thread seem to be describing is “Minimum”, at £12,800 for “Covers your basic needs with some left over for fun”.
I call bullshit.
You can live on £800 a month if you don’t have a mortgage or rent, which will be the case for most retirees.
That’s £9,600 p.a.
Now you definitely want more than that so you can run a car, go on holidays, enjoy life etc but £37,300 sounds like utter shit.
Why would a retired person need more than the average wage
So, A full time nurse is on £30,000 per year
The pensioner she is treating will be on more money per month than her, *How the fuck is that right?*
Also, Gets everything paid for by the state and if you mention the word *means tested* you might as well be hung up from the nearest lamppost by the ‘That’s ageist’ squad…
Meanwhile on LBC earlier an elderly caller said under 25s should be barred from voting entirely.
A huge amount of non-retired people living on a lot less that 37k right now.
So what does a working person need to live ‘comfortably’?!
Hang on. Why can I live off £23k pa but they need £37k pa? They have fewer bills but need more money?
Cool, my retirement plan of killing myself is still on track then.
An inflation calculator puts £37,500 at as likely being valued as about £16,000 today (in 35 years), assuming an average inflation rate of 2.5% per year (here’s hoping).
So the equivalent of £16,000 sounds reasonable for a comfortable lifestyle, without being extravagant.
Now, who thinks they’re going have that much?
What makes me sick is that my dad retired at 57. He’s now almost 69. He never went to university, worked his way up a job in car leasing management, then left to get into IT sales. Became a director around 40, did that for a year then quit and went back to sales.
The whole time, he had jobs with sweet private pensions.
At 40, I’m on a decent wage, as is my wife, but I don’t get a “sweet private pension”. I have a degree because we were told to go to university to “have more disposable income”.
Regardless what happens, I get diddly squat. I can barely afford the workplace pension because I chose to have kids and get a mortgage. It’s fucking disgraceful.
The baby boom generation then fucked the system for us, and we’re expected to pay their state pensions.
It’s such bullshit.
Does anyone else take a step back and realise how futile this whole system is?
I mean, it simply never ends, student loan… mortgage… bills…. fees… insurance.. taxes… pension..
And once the Government has finished with you it discards you like a dead battery and taxes whatever you try to pass on to your kids.
Surely there has to be another way to live? Surely there has to be another SYSTEM we can invent?