I haven’t posted anything for such a long time as I didn’t feel I had much to say other than monthly dividend reports, new purchases etc.
Now however, Mrs FIUK and I will be stopping work this year and living off of our SIPP / ISA until our final salary pensions and state pensions kick in, so I thought that I would resume posting in the lead up to this exciting moment and report on how I have calculated that we can live without salaries. Once we are no longer working I will also be able to show what can (or can’t) be achieved with regard to leaving work early without a huge pension pot (I define huge as above £500,000 as this would provide £20,000 per year with a withdrawal rate of 4%).
Our current financial position is as follows:
Company Pension £64,495
I expect to save a further £10,000 between now and stopping work, which will bring the value of my “FIRE Engine” up to approximately £262,000.
In addition to the above, there is likely to be £22,000 in cash, plus approximately £18,000 from the shares I hold in my employing company which have to be sold when I leave.
So, all in all, around £300,000 is available to pay for me and Mrs FIUK to live until our pensions start to be paid (Mrs FIUK does have a company DC pension, but as that is only around £20,000 and cannot currently be accessed I am not including this in my calculations).
I look forward to posting my progress to Financial Independence over the next few months.