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I'm don't exactly love my job but I do wonder what I'd do with all that free time.
Most people I know do charity work. Much more rewarding and do the hours to suit.
My Two penn'oth:
A million in cash is not that life-changing these days. It's a bit like having another £50k a year income. That doesn't mean flying first class to Barbados and staying at Sandy Lane 2 or 3 times a year.
As far as State Pension entitlement goes, as long as you have a bit of self-employed income or property income (which wouldn't be out of the question if you organise your affairs right) then the NI contributions are tiny but still count as full years for the totting up.
Obviously it depends what your life expectations are, and how flash you expect to be but for most people if they're sensible £1m should be a completely life changing amount of money.
What it won't let you do is never work again, travel first class, drive supercars etc. But it is a pretty reliable 50k a year income (which could increasingly become tax free as you move it into ISAs assuming nothing changes). That should be enough for most people to be able to change to a job they really enjoy, or work part time and have a comfortable life without worrying much about money.
i retired at 55 on less than 100k. if i won a million i would give 900k away.
Its not difficult. I find this sad that folk ( and you are not alone) could not fill their days purposefully. I do ( apart from too much time on here) I am away visiting folk overnight most weeks, go away regularly on trips, ride my bike, go for walks. I do not know how I had time to work
I agree again.
Some people appear to have become blinkered to whats important in life. Whilst I understand there are a small number of people without family or friends to spend quality time with, and their work colleagues give them a false reality of this. But unless someone dies young, they will eventually have to retire, and within 3 months they are replaced and quickly forgotten. So once your kids have grown up or mortgage paid off, feathering your nest to retire (hopefully before 60) is the way to go - and £1 mil makes for a comfy nest.
When covid first kicked off there were some where I worked complaining about working from home - those same people are the ones kicking back at returning to the office. A couple of the older ones who returned, but then retired, also commented how being off during covid allowed them to take the blinkers off and question how they had time to work full time.
£1 mil at 60 yrs old with no mortgage etc is plenty. people mention living off the interest - but why? spend baby spend!!
Indeed those saying "£1m ain't a lot of you want champagne lifestyle" are right.
But personally I would settle for a warm, modest house in a lovely part of Scotland, a car I can run for 10 years or more (likely with a Toyota or Mazda badge on), a second hand bike every few years, and enough money to climb Munro's, ride my bike lots, a community to actively contribute to and benefit from, and enough so I can have a cuppa and cake at the local cafe or a pint on a weekend.....
I don't need or want a Ferrari or a mansion, I don't need much (any?) foreign / long haul travel, and as for C&H - I'm well past that....
i retired at 55 on less than 100k. if i won a million i would give 900k away.
LEGEND! 😎
Certainly I'm aiming to retire @ 55 and not really too concerned by how much I've managed to save... Will downsize to a smaller house without a mortgage and pick up small bits of work as and when I need them to pay for my lifestyle, but otherwise will be enjoying my remaining years on this planet like you are mate...
Life is short... We're a long time dead... You can't take it with you... No point in being the richest person in the graveyard etc etc etc... The "£1m isn't much" crowd need to give their heads a wobble... Between my GF and myself our household income is top 5% in the UK apparently (over £100k anyway), and even £100k cash right now would make a life changing difference (would pay enough mortgage off that would mean financial decisions would be eased around work etc.), paying off my mortgage would be a HUGE increase in quality of life, and £1m would change my life completely!
I'd suggest people look up the '4% rule' - some are saying it's outdated, and even too conservative, which is great -but it's the general concept that's really important for understanding and planning, rather than specific rigid figures.
It makes some assumptions, like you have no mortgage, a finite retirement pot, an assumption that you won't survive more then 30 years into retirement and you want to die with no money in the bank but without sacrificing your lifestyle/spending habits right up untill the day of death.
I won't try and explain it as I'm not confident I'd articulate it very well, but it really is a lightbulb moment when you grasp the underlying concept, as it's a great starting point/framework to work from, and tailor it you your situation, for example it doesn't take into account leaving any money for anyone to inherit from you - so if you have kids and you want to leave them some money as well as your house, you'll have to adjust your maths for that. if you want to retire at 50, you might want to assume youll live to 90, youll need to calulate what you need for a 40yr retirement, not 30yrs, etc.
I'd retire now instead of five years time when I'll have a lot less than a million. Loads of things to do and places to go to keep me busy. The big problem with rich people from my experience is they are incredibly boring to be around.
I guess we're all just dancing around the subject of 'what do you want from life', time, or stuff? I'm 46 and I've personally decided a lot of stuff these days just exists to distract you from the arse ache of paying for it. I've zero interest in White Range Rovers, Holiday to Dubai or any of that crap. I'd just rather spend my days riding my bike, walking, modest travel etc than be in work. Same stuff I do now, just 7 days a week, not 2.
If you're willing to work with it, and willing to take some risk then £1m is enough for anyone to get out of the rat race. You don't even need to be that inventive, just do what everyone else with excess money does.
It's enough for 8 nice, 2 bed flats in nice, popular areas near me. Rental income would be around £8k a month, or £96k a year. Be a decent human being, stay on top of maintenance and don't increase rents by 20% each year and they'll likely always be full. Take a £50k salary, pay your tax, leave enough in the business to make sure you can easily manage vacancies and breakdowns. The flats will out-pace inflation over any meaningful timescale. When you're getting older and don't want the hassle, hand the lot over to a management company.
Surely running an 8 property rental business would be just about a full time job ? Certainly not ‘retirement’ IMO. Unless the 46k left after your 50k salary is enough to pay for a person/people to do all the bookings, maintenance, and associated stuff, including costs.
Indeed, that sounds way worse than my job! Not a chance I'd be dumping my million into rental property.
If I won a million I'd find a way of making retirement work.
Yeah sod being a landlord... Far too much stress, cost and effort to do it properly when you could just invest the money instead, get the same or better returns for basically doing nothing if you are sensible about it.
Just how many of you are actual landlords ?
Me, have been since 1996. I that time I’ve only had a couple of tenants that caused me hassle. I’ve been very fortunate.
if I had £1m I certainly wouldn’t be setting myself up as a landlord for 8 properties.
Could I get by if I won £1m, most definitely. Mortgage paid on the house years ago, mortgage paid on the rental property. We have 2 new EV’s but would only need 1 if I wasn’t working. Wife has a great pension, I have 2-3 years to work before I retire with an okay pension pot. Could easily ‘get by’ comfortably on half that amount
£1m is enough for 8 nice, 2 bed flats in nice, popular areas near me. Rental income would be around £8k a month, or £96k a year.
Can you tell me where you can buy a 2 bed flat that will rent for £12k a year - as that’s a near 10% yield. Now maybe you’re talking about 250k flats with a 50% mortgage. Which is fine, but you’d have £40k of interest expenses
and what is a reasonable timeframe for outpacing inflation?
the last ten years aren’t great, and nor is the current outlook 
As someone who owned a decent flat in a nice place as a landlord for 10 years, stuff that for retirement. It did not rise in price enough to cover the capital of a new roof and ongoing repair/carpet/etc costs. It struggled to return 5% gross, minus tax, fees, the aforementioned maintenance, the one tenant who did me over and cost me £6k in lost rent, damage and court fees. You end up getting a call on the 2nd of January to sort a burst boiler, or at midnight from a neighbour as your tenant has come home drunk and is pissing on her front door, etc etc etc. And with current house price doom, the inexorable rise of property prices may be ending soon..
Just no.
Take the £1m and chuck it in savings or stocks and let someone else work for it.
My last employer in the UK is still 28 inc BH, and that's one of the better employers in the country.I think the UK average is still around 25 days paid holiday per year.28 including bank holidays is the legal minimum IIRC
Current place (not the uk) is 30 plus BH plus bridge days (Mondays or Fridays squeezed between a BH and a weekend) So this year i got 36, next year i'll get 39.
And with a million quid, i'd clear the mortgage/downsize, work to 55 and then go. I can get my company and private pensions at 62 (earliest and slightly reduced until i hit 67) and state at 67, a couple of (good) UK private pensions at 65 and about 47 pence a month from my 20 years of UK NI contributions so that's irrelevant...
My last employer in the UK is still 28 inc BH, and that's one of the better employers in the country.
Not better for holidays, that is crap.
I get 30 + 8 bank holidays
My last employer in the UK is still 28 inc BH, and that's one of the better employers in the country
are you sure?
48 days including BH to take whenever.
regardless. if someone dropped £1M in my bank account tonight, even at 49, I would not working for anyone ever again.
i retired at 55 on less than 100k. if i won a million i would give 900k away.
Who to? Just worried about your IHT exposure.
My last employer in the UK is still 28 inc BH, and that's one of the better employers in the country.
40 inc BH for my last job - that did include 5 long service days
I like that some are saying it's enough if you don't have expensive hobbies. Isn't that the one thing we all have in common 😅
35+4BH here and we are not known for perks....