Late Starter With Nothing Saved For Retirement? Do This
ฝัง
- เผยแพร่เมื่อ 29 พ.ค. 2024
- Are you in your 50s, and realising that you can’t work forever and now you’re freaking out that you might not ever be able to retire?
All is not lost - let me show you how to take small actions now that can make a huge difference in a surprisingly short time.
#retirementplanning #nottoolate #ukretirement
🔴 • The Ultimate Guide to ... - Click here to watch Ultimate Guide to Paying Off Debt
🔴 • The ULTIMATE GUIDE To ... - Click here to watch Ultimate Guide to Budgeting
The MeaningfulMoney Community (Facebook):
👉 meaningfulmoney.tv/community
🔗 Gov.uk Pension Tracing Service: www.gov.uk/find-pension-conta...
🔗Check your state pension: www.gov.uk/check-state-pension
👉 MeaningfulAcademy - Financial Foundations: meaningfulacademy.com/ff-1/
👉 MeaningfulAcademy - Build Wealth: meaningfulacademy.com/buildwe...
👉 MeaningfulAcademy - Retirement Planning: meaningfulacademy.com/retirem...
🏷️ Use PROMO Code "TH-cam" to save on any of the three courses.
Chapters:
00:00 Welcome
00:16 Intro
00:59 Get Organised
03:10 Get Focused
05:58 Get Going
09:35 Resolution
🎥 Budgeting: • The ULTIMATE GUIDE To ...
🎥 Paying Off Debt: • The Ultimate Guide to ...
🎥 Wealth Protection: • The Ultimate Guide To ...
🎥 Investing: • The Ultimate Guide To ...
🎥 Platforms, Pensions, ISAs: • The Ultimate Guide to ...
🎥 Risk: • The Ultimate Guide to ...
🎥 Retirement Investing: • The Ultimate Guide to ...
🎥 Pension Retirement Options: • The Ultimate Guide to ...
🎥 Estate Planning: • The Ultimate Guide to ...
🎥 Money & Life: • The Ultimate Guide to ...
📙 The MeaningfulMoney Handbook: petesbook.com
👉 Life Insurance with LifeSearch: meaningfulmoney.tv/lifesearch
👉 Farewill - Discount off your Will: meaningfulmoney.tv/resources/...
FOLLOW ME:
✔ Facebook: / meaningfulmoney
✔ Twitter: / meaningfulmoney
✔ Instagram: / meaningfulmoney.tv
✔ LinkedIn: / petematthew
✔ Website & Podcast: meaningfulmoney.tv
⚠️ IMPORTANT: Please be aware that MeaningfulMoney does NOT endorse or recommend ANY people or businesses claiming to be experts in crypto or other investments. We would never recommend you any investment strategies within the comments section. Please protect yourself against spam and misleading information from fake accounts and please do not share any private or sensitive information.
📫 Leave me a comment below - I read all of them and love hearing from you!
Check the description for the links to the sources I mentioned.
These might be useful too:
🔴 th-cam.com/video/lO2n9jO61cs/w-d-xo.html - Click here to watch Ultimate Guide to Paying Off Debt
🔴 th-cam.com/video/-Yf7hDZ4nXc/w-d-xo.html - Click here to watch Ultimate Guide to Budgeting
Question: If my state pension shows max, and Ive paid into it for the required amount of time to claim the maximum amount, can i retire/go off grid at 50 and still claim state when I am 68? or do I need to keep contributing to receive it? thanks
@@stevenerskine751 do what you want
if the idea is to build an income stream to use as complement for retirement, or at any given point if needed, then building a dividend growth portfolio always buying adding to it could be a good and peaceful path. On the long run consistency and perseverance could guaranty the desired income stream goal with little worries
the idea is to Look for stocks that have paid steady, increasing dividends for years (or decades), and have not cut their dividends even during recessions.
Well said, with the help of the an investment advi-sor, I diversified my 62K portfolio across many markets and in a matter of months, I was able to produce over 356K in net profit from high dividend yield equities, bonds, and exchange-traded funds (ETFs).
wow massive gains! my partner recently hinted on going same direction.. what did you invest in, and who is your investment advisr please, if you dont mind me asking? in dire need of asset allocation
Just research the name Angela Lynn Shilling. You’d find necessary details to work with a correspondence to set up an appointment.
I looked her up, and I have sent her an email. I hope she gets back to me soon. Thank you
Sadly I'm 60 and have nothing, but I'm an optimist and expect to die before retirement age.
Life’s a bitch and you’ll probably live to 100🎉
Not very optimistic 🤷♂️
Same here, I'm surprised I've hit 59 dying skint has allways been the plan
Made me laugh
Have you thought about saving a bit of money by your retirement, then move somewhere like the Philippines, buy or rent a property and live on your state pension? It might just be an alternative to dying skint 🤔
My father had his own home, great pension,private & state.He got dementia & had to go into a home, i had to sell his house to pay care fees & accommodation in excess of 50k p/year. He was the only one in the home that paid! Moral of the story is whatever u have they take ,so sometimes better off having just a few quid in the bank.
The moral of the story is put your home in a trust.
@@yoeddie2538 moral of the story is look after your health, dementia is entirely avoidable through proper diet
@@davestevenson9080 put your house in trust, it's obvious!!
@@polaris7122 No, I put all my time and attention into strength training and collecting weapons. I cba to do any system bulls***
@@davestevenson9080🥴
Thank you for this im 50 and started late, I wish financial education like this had been more readily available in my youth, keep up the good work!
Thank you so much! Fantastic advice! I’m 35 and have no pension yet. There is hope for me after all!
Pay off bad debts first - Credit cards, loans, etc
Current finances - Bank balances, Pensions, etc
How much to live on day to day - calculate for the year and add 10%
Get you state Pension when you retire - Guaranteed amounts
Remove the guaranteed pension from what you need and find a way to get the difference - target amount needed
Save if you can and or other sources of income - Rent part of your home or whole home (move somewhere cheaper)
Increase savings if you can by 10% each year - pay the money into work place pension - your employer will top up your pension (check with your employer if working) and if not working save in a higher interest account
Budget really hard to find more money to save - cut down unnecessary spending
Learn more about savings and investments and pensions - commit to learning more to improve your circumstances
You'd think this topic would be taught in school from a very young age, i wonder why it's not 🤔.
We all learnt about compound interest in school but we thought we had ages and then we forgot about it because we stopped doing maths. There should be a strong focus on "life skills"
Yeah exactly, trigonometry and algebra instead.
Because the government don't want you to prosper and want you in debt. That's a fact.
Totally agree. Two years ago I sorted my finances out as I saw 50 looming. At the same time I educated my kids. Got them into good habits with pocket money, ISAs and even their own pensions. It's not difficult to teach and I have no idea why the schools don't teach it. My two boys now focus on the excitement of seeing their bank balances grow instead of wanting to own the latest designer cr^p. It's been an amazing thing to watch. They now choose not to buy things more often than buying. It's a crime not to teach kids these skills.
I guess your statement makes it obvious who really should be teaching this. Our parents and family.
When I reached 66 last year I soon realised the state pension wasn't enough to live on, now I work to make ends meet, couldn't retire if I wanted to 🤦♂️
Thanks for this. I'm a late starter knocking on the door of 50. Other than a pension I had during my apprenticeship I told myself I'd never live to see pensionable age so why bother. My family has a history of male heart trouble and i started suffering from panic attacks at the age of 21, this is way before people had heard of them and the only thing my doctor told me was to get back to work, which i did and silently put up with them for over 20 years, everytime feeling like i was about to die. It''s only this last 5 years that I've stopped getting them regular. Only joined my company pension 10 years ago because of this fear. 18 months ago I started watching you tube investors like yourself and opened a stocks isa with vanguard, been putting £500 a month into a global index since. Now I'm worried I'll be to late, I still might not make pensionable age but I'm trying.
If you have offspring/wife/favourite charity then make sure your pensions list them in the beneficiaries section, so the pension is passed to them in case you die early.
Who lives at number 50? Why are you knocking on their door? Are you a postman? This video is about pensions, not delivering parcels.
Love this channel 💖 clear and concise delivery 🌟
Thanks for the optimism. Would love to see some illustrations.
I’m glad I’m watching this in my early thirties!
Very helpful and encouraging thanks
What wonderfully helpful advice this is. Even for those of us who are not in the UK! Thank you.
Thank you Radhika, and thank you for watching!
I think it is amazing that you find time and patience to answer to almost everybody. Your videos are very inspiring but sometimes you may be too optimistic. I constantly worry abour the future, can't afford finiacial adviser but when I ask people at work they don't seem to know much about pensions or to care. Most of them have no idea how much they have in their pension pot. At times I feel weird that I am researching this topic and saving (about 500 pounds monthly into my employer's pension) because most of my educated colleagues completely ignore this issue.
You’re not weird, you’re ahead of the game! And you’ll retire more effectively than your peers. Keep going, keep learning and enjoy the journey - your future self will thank you! 👍🏻👊🏻
You’re not weird, you’re ahead of the game! And you’ll retire more effectively than your peers. Keep going, keep learning and enjoy the journey - your future self will thank you! 👍🏻👊🏻
A lot of people don't get £20,000 even when working.
Thanks for this sound advice. So important to have no debts (inc mortgage) as soon as possible in life.
Good to see Gary Newbon looking well..👍
Fantastic video, so informative on Money and building wealth
Glad it was helpful!
Only just found you on here Pete, great vid very useful
Great Channel, I’ve Subscribed 👍🏼
Great to have you with us, Urwa!
Superb video Pete; there's hope for me yet!!! Thank you 🍻
There is indeed! Go for it Jon!
I found this channel today, and felt this was a decent place to start. I am lucky in that I do have a few pensions already that I have had for some time, I’ve no real debt but I don’t have a property which is something that I focus on. I wil go through the steps though as I don’t know what they are all worth and never worked out a budget so to speak on what we would need later in life, so ill get that done. Thanks for explaining in a clear way.
Glad it was helpful - good luck!
Thanks for another great video!
You make a good point about pensions but most people forget retirement planning involves not just pension money but other assets. Owning your own home is a massive plus and we often underestimate the monthly saving this translates to.
Totally agree Vinay!
Been sorting my pension out, been telling the family how important it is..but after watching you , will send them the link as you have explained it so well..cheers Pete 😊
Thanks for that, JC!
Of course, one of the big problems is that you can really scrimp now to save for your retirement but no-one knows when our last day on earth will arrive, and we only get one life. Would it be better to live a "good life" now and every day rather than risk having a paupers life now and then die 1 day after retiring? There's no second chance to live our lives again.
Start early enough and it's unlikely to be a paupers existence as a couple of hundred invested as a teen each month into a decent Global Tracker in a SIPP would bring in a decent amount later in life. Best to use a Workplace pension and get the Employer contribution on top though. Can't understand people not taking advantage of this extra money into your future.
@@Stupot2024What if you have a large pot of savings but no pension??
@@Bossman525 I'd say use your maximum ISA allowance to get your lump sum well invested. Pay into a SIPP too to get the tax enhancement. Use your spouses allowances too if you trust them enough. Bank accounts only allow you £1000 interest earnings or only £500 if high tax payer. I've got a wedge in premium bonds which although not ideal are tax free earnings and doing better than I would get in a bank so far.
@@Stupot2024 appreciate the advice
investing gives you more money
I really appreciate your videos. Always practical and encouraging.
And I appreciate your encouragement Christine - thank you x
Excellent video
We're not going to get to retire regardless the way the UK government is going.
People have been saying that for decades, if not longer. So we have to take things into our own hands…
Encouraging & wise words for the not-so-youthful.
Cheers Tony! 'Not-so-youthful' - I like that! (And I feel it!)
I’ve just discovered your channel. You explain finance in a very simplistic way and you’ve obviously seen more life than most of the young guns that have TH-cam platforms.
My question to you is this, I have a fair amount of savings but no pension Pot. What would your advice be in my case. Im late 30s.
I started a pension when I was 23 a tiny amount never noticed it going out of my account and now at 58 its worth 100k, I'm mortgage free have 150k savings I'm not in the best of health manual jobs all my life but I am going to stop work this year its anoth to live not like a king just live but without the stress of work.
Life is a gamble but give yourself a helping hand later in life it may pay off.
I wish you a long and healthy retirement!
Inspiring mate 😊
So you have a £250k pot including non-pension savings? At 58 I don't think it's enough. I suggest working another 5 years.
@@tancreddehauteville764 I think it does rather depend on your spending habits - for me, 12k a year would be enough to cover my needs, which only requires a 5% return from a pot of 250k
Move to south east Asia or anywhere where the pound will stretch a long way ….rent your property out and live on the monthly rental you receive ,along with your pension, you’ll be living the life of Riley….leave the UK .
You haven't allowed for inflation. With inflation that extra £10k needed could turn out to be nearer £15k to £20k meaning you would actually need a pot of around £400k-£500k.
In general you try to accommodate inflation by reducing the return by 3%-ish, so if a pension returns 10% on average (some years are good, others are bad), you calculate growth using 10-3=7%.
@@grahambriggs8338 So out guy here is talking about 6% average annual growth for 17 years. Are you saying the actual growth would be 9% and the 6% is a 'real terms' growth rate having allowed for inflation at 3%?
@@johnwitham5353 Yes, S&P500 returns 10% on average, FTSE World is 11% on average (shorter history though), and there are various risk profiles. So if you thought US Tech Stocks were still going to grow massively in the next decade you could get an S&P500 Tech ETF like IITU and get even more. At some point you switch from investment into speculation territory though, and it's down you how much risk you can stomach.
@@johnwitham5353 Obviously as you watch more of these videos you'll hear a lot about SIPPs, Stocks and Shares ISAs, and ETFs, and it turns out these are fairly simple to get into, and the risk is spread over lots of different companies. It's why a lot of people use SIPPs instead of pension companies, it reduces the fees (which I didn't mention).
I like this vid. Good insight.
Thank you! 🙏🏻
Very inspiring
Love this. There needs to be more of this kind of stuff for those that think there position is impossible. Good practical advice that shows there is hope for all of us
There is indeed, Trevor, and thank you 🙏🏻
Thanks Pete, I only started with investing/pension last year at age 48.. I'm doing my best to retire at 57 .. I only have a low level manual job wage, but am now on track as I invest at least 50% of my earnings..
Please keep doing videos like these, it gives hope :)
That’s the way, Celia! Great job - goes to show that anyone can make a difference to their future!
Blimey! I'm surprised you can survive on so little.
I started rebuilding an entire life at age 40 with a backpack of clothes and £12 in pocket, so stuff like this saying it's not impossible to still build upto a retirement is fantastically motivating!
How do you (me) go about finding an old pension from a workplace that no longer exists. So even if I had the address of that company at the time , there's no one to contact to find out who the pension provider was with and I have no payslips to look at. I have asked a few ex colleagues and they don't know either. Also on the government website I can't find the company.
I worked at coast stores ltd in the UK. Coast in name only does still exist, but it has entirely different owners.
Thank you for this useful video, I have a good pension I can start drwing into as I'm 69, but from my Govt Pension and a Tesco pension is taking me over the Yearly allowance threshold, I want an income of 22k per year, which I can by drawing from my private pensions, but that means paying tax on my other pension if I activate them, therefore your mentioning of Govt contributions when we Invest and now they will take that back as tax... Kindly advise. Am I missing a point? Will I pay tax for income beyond the 2023 personal allowance? Kind regards.
Thanks Pete. Starting two new jobs next month: tutoring and supply teaching and the main reason was to get back into a teachers pension so I can pay extra in. Am 55, clueless about all this and am in a housing association flat. Glad I found your channel as I’ve been really worried.
Great to have you with us, Kate. Anything you can do now will make the future brighter, so more power to you - go for it!
@@MeaningfulMoney binge watched some of your other videos and have already taken some action. NI record checked, emergency savings pots created along with car + Christmas ones. At 55 and in rented I’m not going to be ‘minted’ but I’m feeling very empowered by just giving myself the opportunity to learn some stuff. Gone my whole life being mindless about my money. First target is to whittle the debt down ( 14,000) and then pile into my teachers pension which I’m returning to next month from a local government one.
I am 55 years old with passive income and very little savings set aside for retirement at this point. I have always been curious about the stock market and have witnessed some people who played the game right and retired early because they used the stock market. When I ask them, most said that they invested very little to start with, but their portfolio grew. I do have a significant amount of capital that is required to start up but I have no idea what strategies and direction I need to approach to help me make decent returns.
@@saanvi848 Buy index funds if you wanna be safe, though you’d probably be better off just going to Vanguard or something for that
@@steffan683 Even with the right technique and assets some investors would still make more than others, as an investor, you should've known that by now, nothing beats experience and that's final, personally I had to reach out to a market analyst for guidance which is how I was able to grow my account close to a million, withdraw my profit right before the correction and now I'm buying again
I don't think there's anything wrong with seeing "retirement" as being a reduction, not necessarily a cessation of work. Who reading this who is working wouldn't like the idea of 2 or 3 days' working and a 4 or 5 day weekend? Might mean taking a different sort of job. Even a minimum wage job would give you about £7k a year for a 2 day a week job. Maybe just for just the first 3,4 or 5 years after getting to state pension age. Sure, it's not ideal but "ideal" would be winning the lottery 🙂 . It's about being realistic. Planning that could mean whatever you have in a pension pot has an extra few years to grow before you need touch it.
As this great video makes clear, just because you've done nothing to date, doesn't mean you can't start planning today!
Late reply to this comment but I agree that the idea of retirement being picking up a golden clock on the Friday and then stopping completely. Keeping active in old age means a better retirement and a bit of work 2 days a week sounds perfect!
I heard someone say recently "The key is to able to retire, but not want to". My dad and some of my friend's dads have all done a similar thing, they 'retire' in their mid 60s, but then take a part-time job at B&Q or whatever - my dad works a couple of days a week at a school, not because he desperately needs the money, but because he likes it. He gets to stroll down there of a morning, chat to the staff, chat to the kids, do a bit of work, and then be home again before my step-mum finishes work for the day. He told me he'd keep doing it if they stopped paying him.
Thanks for this, it has given me hope.
Would you recommend focusing on mortgage overpayments (to reduce the mortgage term) or paying extra into the work place pension? I can only realistically do one of these.
Can you not split the difference?
So what happens in this example if youve reached 60, finished work and only have a small DC pot, but also have other savings, and are paying into the dc pension the permitted £240 per month. Does there come a point when its better to forgo a dc pension and just put into an S&S isa? I'm thinking specifically when i come to drawdown the dc pension and taking the state pension which will use up most of the personal allowance. Is deferring the state pension for a few years (4-5?) an option in order to pay less tax on drawing down the DC pension beforehand?
If you `re in a position to pay in £250 per month from 50 to 67, the chances are highly likely you will already have a pension pot.
In the early part of the example, from 67 the bloke said an income for pensions (state and DB) of £12,000, ergo only £2k from the DB, that is exceptionally low. I was in a DB from 1987 to 91 and as a youngster was on low pay, probably from £7K to £14K in that four years and when I get to 65 may "Members Pension Payable from Normal Retirement Date" is £25,600pa. I cannot see how a DB in the example in the video can only be approx £2,000
Thanks! This video has really lit a fire underneath my butt, to take my future by the horns like I know I should have been for many years already!!
we’re pushing to get our mortgage done in the next couple of years, then hopefully push extra hard on saving for retirement (been saving some but not as much as possible). Question - woudl you put all/most into pension contributions as a high tax payer to get most out of tax relief, or split between pension and ISA (realise ISA is already net of tax from salary but may be more flexible when looking at income and minimising tax exposure there?)
If you've got a 3 bed house, ideally you should have paid it off by retirement. Split it into 2 and have a 2 bed flat on rent upstairs. Keep the downstairs as your UK base and emigrate. With the rental income and your state pension, you'll live very comfortably in a hot country and be able to get cheap housemaids, carers and other workers. That's what I'm planning for, the UK doesn't care about the elderly. They are just seen as cash cows by the government, hence the 40% inheritance tax and unfair interest rates on savings offered. These banks make double digit growth on your savings but offer you less than half of what they earn on your money.
After a load of false starts and bad work experiences after leaving university I finally started saving for a pension at age 29. Now I'm 55 and have saved up £690k in my fund. I'm hoping to retire at age 61 with a shade under the 55% tax threshold.
That’s a tidy pot. I’m 24 and I hope to end up with something like that one day. Spend it well, mate.
What 55% tax threshold. There's 20% basic rate, 40% higher rate and 45% maximum. You pay 40% on income above £50000 per annum and I think it's 45%, on income above £125000
Are you bragging ?
@@Me-ll4ig Not at all. Many are far richer than me.
I don't understand how you will pay 55%. Do you mean higher rate tax?
Call me old school but I've never had the trust in pensions and their volatility. Pay off your mortgage quicker by using your savings into an offset mortgage. Then use your savings to buy one 2 bed flat outright and put it on rent. This rental along with your state pension should give you a yearly income of c£20k. If you're on your own or with a partner and you live in a 3+ bed house, either downsize and have extra capital or, convert the upstairs into a 2 bed flat and put that on rent as well. Keep the downstairs as your own 2 bed flat and emigrate! Better still, if your figures add up, go to an all inclusive resort in Egypt, Morocco, Turkey etc and it will cost you c£1.5k per month with nothing else to pay for. No food , gas, electric, water, etc. Your state pension and rental from the 2 bed flat will easily cover this. The rental you'll get from your converted 2 bed flat upstairs will be added income just building up! This is my plan for retirement.
Im turning 40 and already starting to panic. I have a pension where employee doubles my contributions. currently paying in 9% in total. if you claim universal credits also these are calculated on take home after tax so you can get some of your contributions back. since watching your videos ive upped my contributions and split my pension into multiple funds. feel alot better saving now - thank you
For the "it's too late, there's no point now" people, I'm always reminded of my uncle, he reached the age of about 73, and had nothing, no assets, no pension, no savings, and had spent his life 'bumming around' (as my dad put it). His family lived in permanent fear of him turning up on their doorstep and saying "Hi! I've come to stay! (indefinitely)". One of the reasons I'm kicking myself that I left it so late, and am very keen to play catch-up now, is I'm desperate not to be 'that guy', who has nothing.
Loved this one Pete and your studio/office looks amazing.
Thanks bud - it’s taken a long time to get to this stage! Hope you’re well 👊🏻
@@MeaningfulMoney I am sat here wondering how on earth you present so well to camera without a single cut or stumble in your words.
Not a chance mate - it’s called an autocue!
And great editing by my comrade in arms£
Getting a lodger has made a big difference to me
Hi should we take the lump sum option or is it prohibitive, tax wise please?
Great content and a new sub, how about a video on picking the best personal pension?
Hiya - thanks for joining us! I have to be VERY careful talking about specific pension plans because to do so could constitute advice, and as I am a regulated adviser, that could get me into trouble! I can, however, talk about things to look for in a pension when choosing, so I’ll bear that in mind. Meanwhile, search the channel - there are hundreds of videos!
That's good advice for sure but I have been sleep walking into my pension years and I'm 62 without a plan or any assets. Is there anything I can do?
Thank you so much for this post , really appreciated this !!!
Glad it was helpful!
I worked in UK for a few years in the early 90s and want to buy NI contributions for years 2006 to 2016, with deadline looming. I have neither my NI number or the exact details of my addresses (employer moved us around every 6-12 months) so I can't get started. Any advice on how I might get my NI number from back then?
If someone did not even contribute for the state pension, that’s a real trouble. Feel bad for that people 😔
No good when you are 55 private renter have an employee pe sion thats been abused by employer ih and cannot forget the od and cc oh ang pl ,got no chance
One of the good guys.
Aw, shucks- thanks Winston! 👍🏻
50's...... i'm 38 and freaking out lol
I wish school would teach people real life economics. Some people die not even knowing what an index fund is.
Brilliant video Pete thanks, I'm 52 and anxious about the future,i have 2 small pension pots totalling 65k and 22k in my current workplace pension which I pay in £600 per month including Their Contributions, hopefully i will be debt free in 5 years,what is my out look for retirement at 67/68?
Thanks in advance
Regards
Shane
James shack(another equally good yt channel) cashflow planner is a spreadsheet that helps you work this sort of thing out, free to download etc videos to help use the spreadsheet. Very interesting to see what things may look like in the future and what small differences can make over many years
Regarding pension planning ?
My main concern is the losses my pension has made , my IFA and wrap sipp pension are taking fees out of my pot every year even though it has lost 5 k in 12 months. I don't trust my "new" advisor to do what's best for me ( they are a takeover "phoenixed" company) and my original IFA has disappeared under a new name. I refused to sign the forms they sent out due to my cynicism.
4 years ago it was worth 82k and now its only 75k.
I am uncomfortable paying any more into this haemorrhaging pot.
I am 57 , self employed and had this going since i was 20. Any guidance is appreciated,
Si
Find out WHY it is losing value, Si. Fees will be a part of it, but most important will be the underlying investments. Learn what’s in there and how it works. Plenty of videos on my channel about investment funds etc. Learn about investing - your future wealth is at stake. Good luck…
I went through a divorce in my 50's that severely hurt my retirement planning. I immediately began flipping houses to make up the difference. It sucked, but now I'm am flush again.
What do you mean flipping houses, how do you flip houses
You're like the UKs Dave Ramsey thanks for this
I’ll take that - thank you!
Thanks for the vid. Is 6% the average return for a pension?
I am in the NHS pension scheme and can retire in 2 years. Is it worth me increasing my NHS pension contributions out of my wages at this late date?
Off topic...but where did you find that Land Rover scale model in the back? Love it.
It’s the Lego Technic model. 12-hour build - absolute bliss. My Xmas pressie last year!
That made me laugh too. I have 4 friends (all middle aged, kids etc) and we all bought during lockdown without realising the others had too! It's awesome. Lego set 42110
@@MeaningfulMoney thank you!
Never too late, just do!
Hi Pete, great video!,
I earn 50k per year and am on the 20- 40%tax threshold. Is it worth my next pay rise of £5000 (for example), taking a salary sacrifice and asking my employer to put the full £5000 into a SIPP account of my choice?. Could I also then do an extra 3% and then get them to match the 3%?. How can I explain that this benefits them as well?.
Having to leave the country (uk)!
Rather than worrying about money, concentrate mainly on keeping physically fit. This will then enable you to collect a decent wood pile and carry tarpaulin, cardboard etc for reasonable distances. Whilst you are still able to look at youtube, take some time to look at how to build make-shift shelters in the woods, and trap rabbits etc.
I worked the first half of my working life in the construction industry, back then it was common to move from one employer to another, a lot of the companies I worked for don't exist anymore, is there a way to trace any pension paid into a scheme from years ago? can it be traced with your NI number for example?
Yes it should be - just because the employer doesn't exist anymore, the pension provider should. Check out the link in the description or just google the government's advice on finding your old pension pots.
Mate of mine 52 no pension. Sad
Literally me self employed too time to start bro
I'm 62 and this video gives me hope.
That’s all I wanted to do, Mohamed! Remember - it’s NEVER too late!
I have watched a lot of your videos and other similar ones. I am 41 and have a 60k pension pot. That I pay about £300 a month into. And yet my future forecast of pension, from my provider (Aviva) only says it expects my pot to reach a fund value of £180k by the time I retire, at 67. What am I doing wrong? I collected all my pension pots into one. And then selected a slightly higher risk fund. 6 out of 7, on the Aviva risk rating. What more can I do to help it perform better?
Ignore the forecasts. They are intentionally cautious because they are set by the regulator.
- Drawing down from pension is taxable income, what about National Insurance Contributions?
- I have a very small pension and won't get state pension, I've heard I can use previous years pension contribution allowances and put lump sum into my pension to boost it. Can I set up a SIPP and put all my future contributions into that?
- You don’t pay National Insurance (just another tax) on pension income.
- Yes.
@@MeaningfulMoney Thank you so much
Great video Pete and realistic advice on how to dig yourself out of a pension hole! I myself was in a similar position eleven years ago, in my late forties and after having to close my business after the 2008 credit crunch, and virtually no pension. Well through very hard saving and investing over the last eleven years, and doing pretty much what you describe, I now have a pension pot of £300K. So I am living proof that your approach does work. But two things I would add, you do need to earn a decent income to achieve it, and it will HURT somewhat. But when the pot starts to build up, these large sums don’t seem so unreachable anymore.
Well done Rob - just shows what can be done if you put your mind to it, but I absolutely accept it isn’t easy…
That's a lot to have saved up over 14 years but doable if you have a 'professional' income.
Noticed figure of £22,000. For me this would actually be more than I take home now after tax and I pay a mortgage, which will be paid off before I retire. Do you recommend that aim for take home less mortgage or a percentage of current take home.
If the mortgage will be paid off, then I’d work with what you need to spend and use that as your starting point. Note that in the video, I don’t factor in tax, to keep things simple, so you may need to think that through also. Good luck!
I paid into a work pension schem from the age of 40 to 61. I brought up two children on my own. I paid approximately £50 to begin with and gradually increased it to £ 100 per month. At 55 I had over £ 50, 000 but then this got hammeted because of Truss and the stockmarket going mad. I lost £ 13, 000 in one fell swoop. I have left my pension untouched and it jas increased by £3,000 but I am still £ 10,000 less than I had. I feel sick about this.
I’m sorry to read this. That would suggest your pension was heavily invested in bonds. They will recover, but it might be a bit slower than the time it took to lose. As interest rates start to come down bond prices should edge up. Sorry you have had a bad experience.
Take the money out and put it into Gold. I guarantee you in 5 years time you'll have trebled your money and in 10 years time you'll have x5 minimum, if not more. The other great thing is that it has intrinsic value. It can't just disappear because somebody decided to do a bad investment with your money
looking at that watch like...how long have i got to live...😂😂😂
I'm a beautician and it seems like your hair does have a mind of its own today 😁sorry ,I just felt like being silly...... thanks for the helpful information..
Ha! Thanks Carolyne- not sure WHAT was going on with it!
@@MeaningfulMoney 😁😁
Thankfully I retired at 50.
Can’t help but think you were testing us with the ‘20% of 20 thousand pounds’ calculation
i'm still too late 😫thanks anyway 👍
Hallo,Im foolish and now in mid 50,s with no pensions in place bar two small ones,with only around 25k in total,I want to start saving as you suggest but where is best to save too to build up a pot for say 15 years time ! could I reinvest a current pension I have .im very confused by what to do,do you have a video on this .thx :)
Hi Kurt. It’s not too late, but it isn’t going to be easy. Assuming you’re in the UK you can start a new pension or look at the ones you already have. I can’t make a recommendation here, sorry. You’ll need to budget hard, save as much as you can while still enjoying life a bit now, and if you’re employed, the right thing to do is join your workplace pension and save as much as you can. Good luck!
Hmm, scrimp now, be frugal, for something you may well never get the benefit on. I'm more trying to work out how I might live, but also spend all my assets and not leave anything behind.
Thanks for another great and informative video, i've shared with my work colleagues many of whom are significantly younger but figured the sooner they start, the less painful it's going to be. Unfortunately many of them joining the company far later in life than i are on a Dc pension whereas mine is part DC and part DB. Hopefully they will take the info on board.
Thanks for sharing, John. the more people hear this stuff the better, eh?! I appreciate your support...
My best friend planned for her retirement all her life, invested wisely and built up a huge pot. One month from retirement she learnt she had cancer and died the following year at 56, I stopped worrying after that. No plan ever works out how you think.
I’ve seen that happen too many times. It’s why you should prioritise today while not neglecting tomorrow completely.
One problem, high real inflation year on year
High inflation for the past two years. Average about 2.9% over the last ten years or so
When the nhs forced this hormone uids my mum suffered from this 20 years ago nhs stopped forcing this type and leave more choices. So being told its you not the device seems like a I make money off selling this type of attitude from a business.
I’ve just posted a link and wonder if you could give me your thoughts on it please
Hi Pete I started about 5 years ago now almost 59 still working I have managed to put away 2 cash ISA's and building up the next one. I have just started investing £260 per month with Vanguard FTSE Developed World EX UK equity fund SIPP. I have looked at my work pension it seems the DB pension I get is forecasted £6885. Is there anything else I can do to continue to improve my financial situation. My retirement date is 2032 I am so glad I have taken action the last few years. I was new to investing so I learnt about investing in a low cost global index fund. I dont know anymore than this about investing
You don’t really need to know any more than that, Louise! You could consider a personal pension alongside your work pension to get tax relief in your contributions, perhaps?
You can manage on 25,000 a year no problem if you have no mortgage or dept .easy if your not on high status life ..
Really nice video but the starting position of magically having a 5k per annum pension just sitting there doesn't seem reasonable ... and adding that magic income to the required pot of 250k really does make it harder
There are very many people with Defined Benefit pensions who may have guaranteed incomes. Plus, the full state pension is £9500 a year approx, so most people will have some kind of guaranteed income.
My pension is 9709 per annum after commuting a tax free lump sum. I started receiving it at 42 and it 55 it will increase by the annual CPI in the intervening years. Current rough estimation is it worth £13200 at the moment . I’m paying into a workplace pension £ 120 Pw .
Imagine if they taught this instead of algebra. 53 and still not used any algebra.