tag:blogger.com,1999:blog-2875915890415125655.post6369488590873305999..comments2023-05-18T10:37:34.608+01:00Comments on <a href="http://www.retirementinvestingtoday.com">Retirement Investing Today</a>: Managing Retirement DrawdownRetirementInvestingTodayhttp://www.blogger.com/profile/03088383743670046657noreply@blogger.comBlogger30125tag:blogger.com,1999:blog-2875915890415125655.post-68072990293523636812019-05-31T09:49:45.835+01:002019-05-31T09:49:45.835+01:00Hi RIT - how are you getting on ?Hi RIT - how are you getting on ?stringvestnoreply@blogger.comtag:blogger.com,1999:blog-2875915890415125655.post-43740384433631320332019-05-18T23:30:12.778+01:002019-05-18T23:30:12.778+01:00Over three months since you last posted. Hope this...Over three months since you last posted. Hope this means all is going wellAnonymousnoreply@blogger.comtag:blogger.com,1999:blog-2875915890415125655.post-41275730514354327692019-05-15T20:14:55.041+01:002019-05-15T20:14:55.041+01:00RIT where are you? Hope all's wellRIT where are you? Hope all's well The Running Manhttps://www.blogger.com/profile/17940066673971152403noreply@blogger.comtag:blogger.com,1999:blog-2875915890415125655.post-25727200389086480892019-04-23T12:48:31.623+01:002019-04-23T12:48:31.623+01:00Everything okay RIT? Haven't heard from you in...Everything okay RIT? Haven't heard from you in a while. Hope decompression isn't proving too stressful and you're settling okay?Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-2875915890415125655.post-14654891113534950672019-04-22T13:51:04.498+01:002019-04-22T13:51:04.498+01:00I think the author is finally in relaxation mode. ...I think the author is finally in relaxation mode. Wishing him all the best come what may.Jonezhttps://www.blogger.com/profile/14180682978475192367noreply@blogger.comtag:blogger.com,1999:blog-2875915890415125655.post-35686641807813650982019-03-25T09:30:16.689+00:002019-03-25T09:30:16.689+00:00Wow - this is some serious analysis. Being almost ...Wow - this is some serious analysis. Being almost 20 years younger than you, how long did it take you to pickup the 'know-how' to carry out this kind of analysis?<br /><br />CheersJasehttps://www.firelifestyle.co.uknoreply@blogger.comtag:blogger.com,1999:blog-2875915890415125655.post-45068308286955797742019-03-07T07:25:28.431+00:002019-03-07T07:25:28.431+00:0049 years old at retirement 49 years old at retirement Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-2875915890415125655.post-66816866349777913312019-02-19T18:54:06.780+00:002019-02-19T18:54:06.780+00:00As I understand it, you don't have to liquidat...As I understand it, you don't have to liquidate the ISA. You just can't add to it if you live outside the UK.<br /><br />I'd be interested to hear what tax assumptions RIT has made with a move to Cyprus. From what I've read, there are minimal/no income and capital gains taxes for retired UK expats. There are even exemptions to defence contributions for 17 years. After that, taxes CisforVnoreply@blogger.comtag:blogger.com,1999:blog-2875915890415125655.post-74233581105232593782019-02-13T13:22:02.604+00:002019-02-13T13:22:02.604+00:00The long existing advice about splitting your port...The long existing advice about splitting your portfolio ( equity : bond ratio ) based on your age has already been superceeded.<br /><br />An investors security is determined by so many factors that clearly those with various pots of wealth available to draw from are not needing to fine tune their withdrawal rate that precisely. Attitude to risk , peace of mind , age , state of health , family stringvestnoreply@blogger.comtag:blogger.com,1999:blog-2875915890415125655.post-5953212637585302942019-02-13T13:11:52.017+00:002019-02-13T13:11:52.017+00:00As far as equities are concerned clearly growth st...As far as equities are concerned clearly growth stocks /funds are the place to have been over the last 10/12 years . That situation may be shifting now more towards value stocks which will tend to yield more than growth stocks. Hopefully a 2.5% withdrawal rate will still see overrall portfolio value growth as you will not be drawing all the income your portfolio is earning.stringvestnoreply@blogger.comtag:blogger.com,1999:blog-2875915890415125655.post-85851054586281528002019-02-13T13:06:45.235+00:002019-02-13T13:06:45.235+00:00It might help to know how old you were when you re...It might help to know how old you were when you retired in 2007 .stringvestnoreply@blogger.comtag:blogger.com,1999:blog-2875915890415125655.post-13138361476001530412019-02-12T17:28:34.987+00:002019-02-12T17:28:34.987+00:00I am further down the line, retiring in late 2007 ...I am further down the line, retiring in late 2007 with an almost entirely Equity based portfolio... when we talk about sequence of returns .... I started with a portfolio throwing off a good level of dividends and based it on a 4% drawdown rate. <br /><br />Clearly the portfolio value fell alarmingly but I stayed the course and was able to to rejig the portfolio in 2009-2010 and made a lot of Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-2875915890415125655.post-80178930048821661552019-02-11T10:14:01.004+00:002019-02-11T10:14:01.004+00:00I'm also quite sceptical as to whether I will ...I'm also quite sceptical as to whether I will get any state pension. I'm only 42 so my chances are a lot worse. Plus living abroad I have to factor in currency risk on top of everything else. As with you, I consider it a cheap insurance policy.Steven Zetehttps://www.blogger.com/profile/16709741013479748928noreply@blogger.comtag:blogger.com,1999:blog-2875915890415125655.post-23276805468581850582019-02-10T22:46:13.554+00:002019-02-10T22:46:13.554+00:00On (3), honestly I don't know and anyone who s...On (3), honestly I don't know and anyone who says they do is deluded. I suspect the best one can hope for is to keep a very broad and balanced portfolio covering a mixture of growth & Income, Sectors and geographies plus a big chunk of cash (two years?) to ride the ripples.<br /><br />FWIW our portfolio is c. 30% in equities; 25% in bonds; 7% in property; 10% in peer to peer; 5% in EarlyRetireFreehttp://earlyretirefree.com/noreply@blogger.comtag:blogger.com,1999:blog-2875915890415125655.post-21076356865027629282019-02-10T17:35:38.639+00:002019-02-10T17:35:38.639+00:00"(1) US markets which have historically outp..."(1) US markets which have historically outperformed the rest of the world" - the last table I saw showed the US outperforming everyone but Australia and South Africa. So the US was indeed the best of the big ones. What the relevant period was I can't remember. <br /><br />"(2) Historical returns are not a good indicator in today's low interest rate environment."deariemenoreply@blogger.comtag:blogger.com,1999:blog-2875915890415125655.post-64158162476934520142019-02-10T17:27:10.057+00:002019-02-10T17:27:10.057+00:00Plus a spade and bog rolls. One must be practical...Plus a spade and bog rolls. One must be practical.deariemenoreply@blogger.comtag:blogger.com,1999:blog-2875915890415125655.post-47128589668005641492019-02-10T12:05:52.954+00:002019-02-10T12:05:52.954+00:00This is exactly what I do. I choose to take the ca...This is exactly what I do. I choose to take the cash around my birthday in January (earliest date I could do it on my 55th birthday last year) and have just taken £15,800 from one of my sipps, received a lower figure initially from the sipp provider, due to the 75% lump being taxable, and have, a few days later, received my tax refund from HMRC so now I now have the full £15,800 tax free. Now on Pinner Ramhttps://www.blogger.com/profile/16474667048842218198noreply@blogger.comtag:blogger.com,1999:blog-2875915890415125655.post-47470120074081231562019-02-09T22:18:35.940+00:002019-02-09T22:18:35.940+00:00You've certainly thought through in some detai...You've certainly thought through in some detail but I believe the model you are using is optimistic for reasons (1) As you've pointed out the cFiresim is based on US markets which have historically outperformed the rest of the world (2) Historical returns is not a good indicator in today's low interest rate environment. (3) The simulations assume a 50:50 split between bonds and EarlyRetireFreehttp://earlyretirefree.com/noreply@blogger.comtag:blogger.com,1999:blog-2875915890415125655.post-50568395915488831992019-02-09T16:30:45.397+00:002019-02-09T16:30:45.397+00:00One more thing - if you become tax resident in Cyp...One more thing - if you become tax resident in Cyprus, you possibly need to liquidate all the ISA assets which you expect to need whilst living there before you leave the UK, in order to avoid Cypriot capital-gains tax.<br /><br />You should also consider whether you need to liquidate GIA assets to fully exploit you UK capital-gains allowance before leaving.Unknownhttps://www.blogger.com/profile/06595968202543063397noreply@blogger.comtag:blogger.com,1999:blog-2875915890415125655.post-56039661977902353802019-02-09T16:21:31.118+00:002019-02-09T16:21:31.118+00:00One really mustn't simply add non-pension fund...One really mustn't simply add non-pension funds (ISA and GIA) to pension funds. The latter are pre-income-tax, so they're gross pounds, not nett.<br /><br />In the period where one has access to the personal pension (from 55), one really should draw the full personal income-tax amount from the (taxable) pension each tax year, in order not to waste that allowance.<br /><br />Once the Unknownhttps://www.blogger.com/profile/06595968202543063397noreply@blogger.comtag:blogger.com,1999:blog-2875915890415125655.post-55701306887266254262019-02-09T14:02:45.352+00:002019-02-09T14:02:45.352+00:00Hi Scott
Your DB pension certainly gives an addit...Hi Scott<br /><br />Your DB pension certainly gives an additional layer of security. The way I'd think about it is to answer the question can I live adequately with what remains of the DB pension if the company providing the DB pension blows up. I don't have a DB pension so don't know how Pension Protection Funds etc work in this instance. After all if we do have a serious black RetirementInvestingTodayhttps://www.blogger.com/profile/03088383743670046657noreply@blogger.comtag:blogger.com,1999:blog-2875915890415125655.post-26816179788108526852019-02-09T13:54:41.926+00:002019-02-09T13:54:41.926+00:00Wondering if to compare my withdrawal strategy wit...Wondering if to compare my withdrawal strategy with the State Pension if it's worth thinking about them both as an annuity whilst firstly acknowledging they're not for many reasons including risk. After all my drawdown strategy is saying I am willing to accept a 2.5% inflation linked yield on an initial pot of money. If I used the 4% rule then I'm willing to accept a 4% inflation RetirementInvestingTodayhttps://www.blogger.com/profile/03088383743670046657noreply@blogger.comtag:blogger.com,1999:blog-2875915890415125655.post-73556957619730322082019-02-09T10:25:10.620+00:002019-02-09T10:25:10.620+00:00What am I missing? 10 x £4.7 = £47pw = £2444pa ho...What am I missing? 10 x £4.7 = £47pw = £2444pa how does £7618 / £2444 = 20? For me this feels like good value for guaranteed income.Roberthttps://www.blogger.com/profile/15181068790927201034noreply@blogger.comtag:blogger.com,1999:blog-2875915890415125655.post-49864172723530274572019-02-09T06:39:16.568+00:002019-02-09T06:39:16.568+00:00NIC Class 3 is 14.65 now and 15.00 next tax year. ...NIC Class 3 is 14.65 now and 15.00 next tax year. From 2016 each year's payment accrues an extra 4.70 per week pension plus uplift. If the uplift is 2.5% per year the 4.70 becomes 6.0 over 10 years or 7.00 at 4% CPI. Say you were 10 years short of a full pension, to top up now would cost 14.65 x 52 x 10 = 7618 lump sum. You would need to live over 20 years to get your money back at 4% CPI. ItAnonymousnoreply@blogger.comtag:blogger.com,1999:blog-2875915890415125655.post-28705443960027746072019-02-08T23:41:37.770+00:002019-02-08T23:41:37.770+00:00The reason people are paying for voluntary NICs (c...The reason people are paying for voluntary NICs (class 3) now are that the price was fixed until April 2019. This was to allow people to fill in gaps following the change to the single tier state pension and increased number of qualifying years. <br /><br />The jump can be pretty big, potentially doubling (class 3 was about £8pw ten years ago, going up to £15pw from April 2019).<br /><br />That Youngfiguyhttp://youngfiguy.comnoreply@blogger.com