$300,00 in the bank

[EternalOptimist]

my age on CV is different from that on the birth certificate

I have this friend who is 50 and who plans to mostly retire at 60 with about £300k.

At 5% this will give him about £275 pw
plus £40 pw from previous sh!te occupational pension
plus £110 pw state pension
plus odd job money

outgoing

£100 to wife
£50 beer
£10 kebabs

leaves over 200 pw spare.


my friend manages on less than £100 spare at the moment

[Francko]

[..] Property is a market that is about to crash BIG TIME, I dont trust any financial advisor, the stock market looks a bit on the high side already, gold is at an all time high and the banks pay crap rates on savings.

Well, you have the choice of either buying a studio flat in a council estate block somewhere in zone 5-6 or have 9-10 years of rent paid. What are you going for?

Either way I wouldn't open too many bottles of champagne to celebrate. :-)

[eternalnomad]

You may want to look at South African governement bonds or stock exchange or even savings accoutn in a bank there.

If you do the math, if you had bought ZAR in 2001 say 100K and about 20 to 1, you would have just about doubled your money in £ terms(FX is now about 11 to 1) ans well as earning approximately double the amount of interest in a fixed savings account there.

I am no economist but it appears that the strength of the dollar dictates the relative strength of the Rand, so short and medium term I would imagine that the exchange rate will hover at about 10.5 11 to £1 if not imporve further.

Somthing to look at, DYOR

Thanks for the recommendation I may take a look at South African governement bonds.

[wendigo100]

I have this friend who is 50 and who plans to mostly retire at 60 with about £300k.

At 5% this will give him about £275 pw
plus £40 pw from previous sh!te occupational pension
plus £110 pw state pension
plus odd job money

outgoing

£100 to wife
£50 beer
£10 kebabs

leaves over 200 pw spare.

my friend manages on less than £100 spare at the moment

Does the wife pay council tax and water rates out of the £100?

[wendigo100]

Thanks for the recommendation I may take a look at South African governement bonds.

Be careful.

Would you invest in Zim government bonds? I am certain that South Africa will go the same way.

[EternalOptimist]

she does indeed


does it seem a bit low to you Wendigo ? We settled on a figure of £60 pw a few years ago, but I spend less time in hotels these days so I upped it.

[eternalnomad]

Be careful.

Would you invest in Zim government bonds? I am certain that South Africa will go the same way.

Anyone else got any other suggestions on decent "investment opportunities" ?

I am only looking for relatively low risk (and yes I do realise this will mean lower returns) but there must be ways of safely getting more than the 4-5% the banks want to pay

[wendigo100]

oh dear,

no, you need about a million GBP or more,

keep going

Milan.

To be "comfortable", you are right milan.

Safely tucked into a bank, £1 million might earn you 50 grand a year before taxes, which are significant, and don't forget capital reinvestment. Inflation will make that million seem an awful lot less if it ever rises above 3%.

Furthermore, being retired, you will have a lot more time to spend money in, and as you become "less able" you might be paying for household and car repairs and servicing that you'd previously done yourself.

[Sergeant Apone]

Screw that, piss it up the wall while you can enjoy it. Your only reward for being frugal and responsible when you get infirm and/or lose your marbles will be for the state to seize your assets in order to pay some Eastern European teenager to abuse you and steal your belongings in the local council "care" home.

[wendigo100]

Screw that, piss it up the wall while you can enjoy it. Your only reward for being frugal and responsible when you get infirm and/or lose your marbles will be for the state to seize your assets in order to pay some Eastern European teenager to abuse you and steal your belongings in the local council "care" home.

And if I don't get infirm or lose my marbles the instant I retire? I'd rather have some money to avoid a cold, dark, lonely and boring existence until I do.

My only consolation would be knowing that my friends in New Labour will be well looked after, following their years of selfless service to the nation.