Investment & Investing

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amey
I know there are multiple pension calculators out there that can calulate approx what you will accumulate as pension if contributed £XXXX monthly/annually etc

What I am struggling at is to figure out how much money I would need when I retire; still a n00b around this stuff but:
1. What is 'retirement'? When I decide to stop working freelance or PAYE and the next day I can access the funds given that I am above state retirement age?
2. Our current outgoings are going to go down as we grow older (at least thats the optimistic scenario), I can foresee childcare costs going down with quite a bit of detail in my head but what about rest? Will my mortgage finish in its term or before?
3. What sort of expenses go up as you grow older? Healthcare?
Basically I am happy to save for retirement but would be nice to 'understand' the goal.

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Drakien in reply to @amey

I'd class 'retirement' as when you stop working, and start withdrawing from your savings / investments / pension rather than contributing.

I think the rules on personal pensions are that you can start withdrawing 10 years before state pension age.

If you want to retire earlier than this you'll also need ISA investments to bridge the gap.

https://networthify.com/calculator/earlyretirement is a good calculator. I'm budgeting £35k / year in today's money to have a comfortable mortgage-free retirement. That comes out to £2.5k / month after tax, which is tons.

Assuming no illness, bad investments, societal collapse etc

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amey in reply to @Drakien

interesting thank you

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