About this episode
It's episode 600 of the podcast, not that we're doing much to mark that milestone! We have some excellent questions today, taking in retirement planning, getting a mortgage if you have a new business and how flexible ISAs work! Shownotes: https://meaningfulmoney.tv/QA35 02:43 Question 1 Hi Pete, I'm a single household, due to pay my mortgage off in my early 50's….I have very little savings and pensions are everywhere and been 'balanced fund choices' as I either do self employed work or fixed term contracts. I'm really concerned I won't have 'enough' to retire. Where do I start to know how much I need? I don't have an extreme fancy lifestyle but want to live comfortably with running a car, having a nice home and having a holiday every few years. I would also like to help my siblings out if possible when they need it. Also for your business…..have you thought of making it an 'employee owned trust' in the future? This could be a good option if you don't want it swallowed up by larger organisations and want to keep a people focussed culture. Thanks, Anna 12:57 Question 2 Hi Pete and Roger Recently discovered the podcast and it's been really helpful in getting my thoughts straight about future planning - thank you! My job gives me a DB pension that as it stands will give me £4617 per year at 67 - for every year I work that will go up by one 54th of my salary, (£57k) so £1055 annually if I stay at the same grade. Increased by cpi plus 1.5% annually at the moment; and by CPI only once in payment. I can exchange part of this for a lump sum when I take it but that's a decision for another day! I'm projected for full SP at 67 after another 2 years contributing. I have £30k in a pensionbee that I'm adding to £100 a month, and after listening to the podcast I have started an AJ Bell SIPP (vanguard lifestrategy 60% equity) which I'm adding £200 a month to. Also working on the cash ladder/emergency fund - currently just £5k in a cash ISA I am hoping to get this up as much as possible. After overpaying mortgage and contributing to PensionBee/SIPP I can save £200 in a good month. I am aiming to retire as soon as I possibly can after 60, when the kids will all be in their 20s. I am sure this seems impossible but might as well aim high!!! So my priority is to build for the years between 60 and 67. And leave something for the kids, eventually! So…my question!! I have an old tiny deferred DB pension that I can take at 60, £3461 lump plus £1153 per annum (no option to take either a smaller or larger lump sum). I can't trivially commute this due to the rules of the scheme. As it's deferred there are no other benefits eg death in service. Or, I can take this now (age 53) with a reduction for early payment so it would be worth £3076 lump and £869 per annum. The pension increases each year by CPI while deferred and also when it's in payment. Does it make sense to
