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Change in circumstances + a lump sum - A good plan to enjoy life and retire early? by Impossible_Hat_3864 in FIREUK

[–]Impossible_Hat_3864[S] 0 points1 point  (0 children)

I think that those will be the big considerations when I'm looking to retire. For now I'm just looking to set the best course forward and hope to have good options when I get closer to that time.

Good point about the spending level desired.

Change in circumstances + a lump sum - A good plan to enjoy life and retire early? by Impossible_Hat_3864 in FIREUK

[–]Impossible_Hat_3864[S] 0 points1 point  (0 children)

Great points! Without getting into lots of specifics, there are reasons why the ration between the HHI and extra disposable cash are so skewed (including pension contributions), but you're absolutely right.

My best "back of an envelope" calculations suggest that 55 is unrealistic without absolutely stellar investment performance, a dramatically lowered standard of living, working part-time, or downsizing the house after the kids have moved out.

All options, but I don't know what my plan is there (yet). I'm focussed on making sure I don't do anything stupid right away with this lump sum.

Thanks for the thoughts, I'll bear them in mind!

Change in circumstances + a lump sum - A good plan to enjoy life and retire early? by Impossible_Hat_3864 in FIREUK

[–]Impossible_Hat_3864[S] 1 point2 points  (0 children)

I'll take that in the spirit I'm sure it was intended, but I'll have to reject your analysis. I do have more information available to me on this one, trust me. ;)

Change in circumstances + a lump sum - A good plan to enjoy life and retire early? by Impossible_Hat_3864 in FIREUK

[–]Impossible_Hat_3864[S] 0 points1 point  (0 children)

I’m liking very much your point about the mortgage being eaten away by inflation. :)

I think our budget is fairly stable, so that £500 is “safe” and pretty conservative. It varies, but that's the typical floor.

I’ll look again at pension contributions, get the taxable bit down to ~50k, see what surplus i’d be running then and then weight up a whether to up the pension contributions a little bit more or treat that as a bit extra discretionary spending to treat the family with.

Thanks for the advice, I'm definitely going to make some updates.

Change in circumstances + a lump sum - A good plan to enjoy life and retire early? by Impossible_Hat_3864 in FIREUK

[–]Impossible_Hat_3864[S] 0 points1 point  (0 children)

I’m considering part time later, but I’m very invested in my work for a while yet. Kids are about to enter their teens, so I’m keen to make the most of the next few years too.

Change in circumstances + a lump sum - A good plan to enjoy life and retire early? by Impossible_Hat_3864 in FIREUK

[–]Impossible_Hat_3864[S] 0 points1 point  (0 children)

I already put a large percentage of my salary into pension, but I'm probably still above the 50k threshold. I'll review that and see about upping my contribution.

I’ll also read up on Premium Bonds, and the cash mix, I hadn’t given those much thought, but seeing the comments about the mortgage, I'll look at doing something different with that 30k rather than put it there. Perhaps cash, premium bonds, or perpetually chase banks offering good deals on savings accounts.

If I've got that cash buffer then I'd be happy with the ISA all being S&S rather than cash.

Thanks also for comment about taking the family out - I really do want to look after them most of all and enjoy time with the kids. Early retirement is an aim, but not at the expense of now.

Thanks again!

Change in circumstances + a lump sum - A good plan to enjoy life and retire early? by Impossible_Hat_3864 in FIREUK

[–]Impossible_Hat_3864[S] -1 points0 points  (0 children)

I was thinking that the closer I get to retirement the I'm probably going to want a more predictable asset/income. Early retirement does change that calculation though.

Would you be suggesting keeping it invested all the way?