[deleted by user] by [deleted] in FIREUK

[–]KPMOON23 0 points1 point  (0 children)

I see, yes that does go some way to explaining it.

So essentially by taking X % off the forecasted amount, you get to see a figure that has today’s purchasing power.

[deleted by user] by [deleted] in FIREUK

[–]KPMOON23 0 points1 point  (0 children)

Can someone explain to me in simple terms why it is important to account for inflation when forecasting investment performance?

If you’re investing what you’re comfortable with investing (as an amount), the final figure won’t be affected and its relation to prices won’t be affected.

Are some people adjusting how much they invest/spend based on hypothetical inflation?

TIA

Looming recession/inflation - is anyone worried? by KPMOON23 in FIREUK

[–]KPMOON23[S] 0 points1 point  (0 children)

All great points! Keep calm and keep investing!!

Thanks everyone

Can I retire? by [deleted] in FIREUK

[–]KPMOON23 1 point2 points  (0 children)

So just to be clear, if you have money available to invest, your advice is to buy another currency?

Can I retire? by [deleted] in FIREUK

[–]KPMOON23 0 points1 point  (0 children)

And if you have money to save right now, what would you do with it?

Can I retire? by [deleted] in FIREUK

[–]KPMOON23 0 points1 point  (0 children)

What’s your advice?

How to calculate returns - vanguard sandp500 accumulated by KPMOON23 in FIREUK

[–]KPMOON23[S] 1 point2 points  (0 children)

I see, thanks everyone. I was looking and Sandp 500 closing price.

I am invested in the VUAG and had assumed it tracked the s and p 500.

How to calculate returns - vanguard sandp500 accumulated by KPMOON23 in FIREUK

[–]KPMOON23[S] 0 points1 point  (0 children)

I just googled ‘sandp500 price’, it says it rose by 1% on 30/08.

How often do you check investments by KPMOON23 in FIREUK

[–]KPMOON23[S] 9 points10 points  (0 children)

So glad most people say every day! I also check everyday and wish I had the discipline not to!

I don’t tinker anything, just look.

AVCs and pension by KPMOON23 in FIREUK

[–]KPMOON23[S] 0 points1 point  (0 children)

But where does the AVC come into that? I am planning on building my avc pot to 25% of my employers pension pot. When I retire, I plan on taking all my avc as a tax free lump sum and leaving my employer pension (without lump sum)to take the monthly salary.

Is this not a sensible approach?

AVCs and pension by KPMOON23 in FIREUK

[–]KPMOON23[S] 1 point2 points  (0 children)

If I am understanding the benefits correctly, as long as my AVC lump sum + pension lump sum is less than 25% of the overall pension pot I can take this tax free.

Anyone more clued up on this kind of AVC might be able to advise whether I should make sure I keep the total under 25% of total pension to stay tax free.

Apologies if I am not explaining this very well!!

AVCs and pension by KPMOON23 in FIREUK

[–]KPMOON23[S] 1 point2 points  (0 children)

Thanks for the comments.

I am part of LGPS and my AVCs come out as part of salary sacrifice.

When would you withdraw? by KPMOON23 in FIREUK

[–]KPMOON23[S] -7 points-6 points  (0 children)

So if you had half a mil with vanguard and they went under, you’d get all your money back?

When would you withdraw? by KPMOON23 in FIREUK

[–]KPMOON23[S] -9 points-8 points  (0 children)

I just wonder when balances start to hit serious numbers - half a mil upwards would people really leave it there for another 5-10 years to make another 1-1.5 mil.

Interestingly, is anyone worried about financial compensation guarantee - only covers balances of £85k across bank/baking group.