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May 2022
3:00pm, 3 May 2022
6,993 posts
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Fizz :-)
There’s some links below with similar suggestions/values.
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May 2022
3:01pm, 3 May 2022
388 posts
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Sunbed Athlete
This being a huge thread & I’ve not got the time or inclination to read it all. What’s folk thoughts on how much a couple need to live on per month once retired? I had this discussion with a pal the other day & he thought £3k.
£3k is a lot of pennies, however depends on your current state of finance and obviously your plans when you do retire. Sitting about the house listening to Radio 2 and doing crosswords, then £3k isn’t exactly needed, but if you’re planning a few holidays in the year, then you’ll have plenty. Remember some people are just on minimum wage or just topping £1200-1500 per month. If you can live off what’s left from that ie all bills paid, then you’re doing good. Might not be eating at The Ivy or hitting LA every weekend, however happiness there then what else do you require?
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May 2022
3:02pm, 3 May 2022
8,792 posts
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Northern Exile
I would have thought that a net 3k per month is beyond the reach of most retired couples.
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May 2022
3:04pm, 3 May 2022
1,383 posts
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arbster
This being a huge thread & I’ve not got the time or inclination to read it all. What’s folk thoughts on how much a couple need to live on per month once retired? I had this discussion with a pal the other day & he thought £3k.
That's a question that varies significantly with personal circumstances. I know a lady who lives comfortably on less than £1k per month, and I've seen people working towards £100K/pa retirements, but my own budgeting forecasts that we'll need £3200 net (excluding holidays) in the early years of retirement. Research suggests that spending requirements are highest in the early years of retirement, dropping significantly over time (unless complex care needs arise). I'm a huge fan of personal budgeting, which is an invaluable tool for getting an accurate appreciation of your personal spending needs (and opportunities for increasing your savings rate).
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May 2022
3:05pm, 3 May 2022
413 posts
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shyfire
Purely 'hypothetical' question - if someone was thinking about retirement early 60s at latest with possibly another 10 years to go but had 2 new job offers, similar salary, one with reputedly market leading DC (role potentially more 'challenging') or other with generous DB (1/49th) which on paper could mean at least another 4k pa pension on same individual contributions (subject to market swings) could pension be enough to sway the decision?
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May 2022
3:05pm, 3 May 2022
1,819 posts
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Ally-C
I thought it was a tad high myself & don’t really know any just retired couples so just thought I’d ask😀
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May 2022
3:05pm, 3 May 2022
14,345 posts
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Mandymoo
In our circle of friends £2k a month seems to be the comfortable amount.
We still manage to save each month and have lump sums etc for anything extra needed
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May 2022
3:10pm, 3 May 2022
13,651 posts
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Sigh
If the couple in pension have both got full NI contributions, then their state pension entitlement (when of the right age) will be 1.6k net per month. So I'd start with that and then work out how much extra is needed to meet living cost.
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May 2022
3:10pm, 3 May 2022
13,652 posts
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Sigh
*in pension = in question
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May 2022
3:12pm, 3 May 2022
1,384 posts
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arbster
Purely 'hypothetical' question - if someone was thinking about retirement early 60s at latest with possibly another 10 years to go but had 2 new job offers, similar salary, one with reputedly market leading DC (role potentially more 'challenging') or other with generous DB (1/49th) which on paper could mean at least another 4k pa pension on same individual contributions (subject to market swings) could pension be enough to sway the decision?
I'd say that pension ought always be considered as part of the overall package when thinking about a job offer. Comparing DB and DC pensions is always tricky, although there are some rules of thumb that can be used. Bear in mind too that DB pensions receive slightly favourable treatment if the Lifetime Allowance is a factor.
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McGoohan 
Any pension experts out there?
Oct 2024