While most readers enjoy pulling up a stool and listening to these FIRE-side chats, we do sometimes hear that a particular story is a bit unusual compared to the usual work-to-retirement path. So this time I’m pleased to talk to ‘WeeScot’, who is on a conventional route towards a comfortable early retirement – very much still an achievement, and something we might all aspire to!
A place by the FIRE
Morning! How do you feel about taking stock of your financial life today?
I’m feeling reflective, which is why I offered to do a FIRE-side Chat. I’ve been a regular Monevator reader for many years. However I rarely comment on posts.
Over the years I have learned a lot from the site and wanted to share some of my experiences with other readers in the hope that it would be helpful.
How old are you and your partner?
I’m 54 and my wife is 57. We have been happily married for 30 years.
Do you have any dependents?
We have one daughter who is 28. She is an NHS doctor – the first doctor in our family – working in the highlands of Scotland. She is doing very well and we are both immensely proud of her.
Whereabouts do you live and what’s it like there?
We live in Glasgow. It’s a beautiful city with friendly people. The only downside is the weather – Deacon Blue’s Raintown is very apt if you’re old enough to remember the iconic album cover.
Do you consider you’ve achieved Financial Independence and why?
I wouldn’t say I’m financially independent just yet. I’m getting closer, but not quite there.
My goal is to retire before 60, not to hit a specific number. For me, it’s more about having time to spend with friends and family, which feels far more valuable than chasing a bigger bank balance. At this stage in life, I’m choosing to prioritise time over money.
So you’re obviously not yet Retired Early…
No, I’m still working and I enjoy my current job in financial services.
My wife retired at 55 due to ill health and is no longer able to work. This has significantly influenced my approach to retirement. Rather than working longer to provide more financial security, it’s inspired me to retire before 60 so that we can spend more time together whilst we’re both fit and able to enjoy life together.
For me, time spent with your partner isn’t the shared hours. It’s the ordinary moments that become your favorite memories.
When do you think you’ll call it FIRE?
I’m hoping to retire in the next five years or so.
Assets: pensioned-up and mortgage-free
What’s your current net worth?
Our combined net worth is around £1.7m.
What makes up your net worth? Are there mortgages or other debts, too?
Our main assets are:
- £500,000 family home in Glasgow
- £300,000 flat in Edinburgh
- £100,000 in a stocks and shares ISA
- £800,000 in pensions from various employers
- We don’t have any mortgages or debts.
The Edinburgh flat was originally bought as both an investment and a lifestyle choice. It made sense at the time, as I was working in the city and wanted to avoid a long commute
Ironically, I changed jobs about a year later and wasn’t based there anymore –such is life!
Fortunately, the timing worked out well though, as our daughter ended up studying at Edinburgh University and used the flat during her degree. That saved on accommodation costs. After my daughter graduated we rented it out to a couple who are friends of hers, though they’re due to move out soon.
The Edinburgh property market has performed well over the past five to ten years. But I’d admit any increase in value has been more down to good luck than careful planning!
What’s your main residence like?
We live in a three-bedroom detached house in the leafy suburbs of Glasgow. After making overpayments for many years we now own it outright and have been mortgage free for ten years.
Glasgow on FIRE: a characterful city to work and retire in.
What was your thinking with the early repayments?
My initial strategy was to overpay by £50 per month. Over time increased this to circa £500 per month as my salary grew.
This approach wasn’t driven by a particular date but instead by a desire to reduce the overall term of the mortgage and associated interest payments as quickly as possible.
Over the years I believe that this approach has saved us thousands in interest payments. More importantly it did not materially impact our day-to-day quality of life, which is equally as important.
It might not have been the best financial decision, as the money could have been invested elsewhere. However it does let me sleep well at night. I think that is also an important factor.
Do you consider your home an asset, an investment, or something else?
My wife and I consider this a home not an asset or investment.
We chose it initially because of good schooling for our daughter, not to make money. Enjoying where you live for us is more important than making money.
Earning: it helps to enjoy work
What’s your job?
I work in a change and transformation role for a financial services company, leading large-scale business and tech projects to improve how we serve customers and advisers.
After more than 25 years in this industry, I’ve gained deep experience with Life and Pension products and regulatory changes, which I believe ties in closely with the FIRE journey.
It’s not often we get someone from the industry on Monevator…
While financial services often get a bad rap – especially when things go wrong – there are many moments that show the human side, too.
For instance I remember a time when we paid out a life insurance policy early so a critically-ill woman could marry her partner at short notice. Technically outside the rules – but absolutely the right thing to do.
Is navigating all the complexities easier for you from the inside?
As a DIY investor and employee, I still find the financial world full of jargon and complexity – even from the inside.
Also, digitisation has made services more accessible, but it also tempts people to tinker too much. As Steven Bartlett joked in a recent podcast, forgetting your investment account password might be the best thing you can do!
When it comes to FIRE, I’ve found that a slow and steady approach – regular investments in passive funds – offers the best chance of reaching your goals with confidence and less stress.
It might not be exciting, but it works.
What’s your annual income?
My annual income is around £100,000.
How did your career and salary progress over the years – and was pursuing financial independence part of your career plans?
When I graduated from University I started out in a software development role with a starting salary of £12,000. It felt like riches to a wide-eyed 21-year-old.
My career progressed quickly as I gained more experience in different technologies and software languages. However I soon learned that I was better at managing projects and people than programming. Since then I have been predominately in change and transformation, working for different financial services companies over the last 25 years, which I’ve enjoyed.
Did you have any advice about building a career and growing income? Perhaps something that you wished you’d known earlier?
My advice is ‘be comfortable in the uncomfortable’.
Moving jobs and roles either within a company or changing employer is the best way to learn new skills and experience. If your current role feels too comfy this can often be a sign that you are not developing or stretching yourself enough.
Secondly don’t chase money – chase opportunity.
If you’re excited about the opportunity you are more likely to do a great job. Your company will recognise this and the money will hopefully follow.
Do you have any sources of income besides your main job?
No. I work full-time, which is my only income.
My wife took early retirement due to ill-health and has a small pension.
Did pursuing FIRE get in the way of your career?
No – and I have enjoyed my career in financial services.
I only started regularly hearing the term FIRE in the UK around ten years ago and I don’t believe I’ve been actively pursuing FIRE. However regularly reading Monevator and other sites like Quietly Saving, I may have been doing it subconsciously without realising!
Saving and spending: Scottish virtues
What’s your annual spending? How has this changed over time?
My annual spending is probably around the £30,000 to £40,000 mark.
This is typically on basics like food, transport, utilities – plus one or two nice holidays a year.
Do you stick to a budget or otherwise structure your spending?
I don’t budget monthly, but my spending habits are pretty steady and I’m not one to splurge.
Growing up in a traditional Scottish family, I was taught not to buy what I couldn’t afford – and that mindset has stuck with me. I only make big purchases when I have the cash to pay in full.
I have a credit card that I rarely use, and I always clear the balance each month to avoid any fees.
How would you describe that traditional Scottish family mindset?
Both my parents retired in their 60s and live comfortably thanks to their hard work. They were great role models who passed on a strong work ethic.
That has served me well – and I’m proud to see the same values showing in my daughter, too.
I’ve always believed that money you earn yourself is far more meaningful than money that’s simply given.
What percentage of your gross income did you save over the years?
In my 20s, saving was tough. My wife and I bought our first flat at 25. A few years later we had our daughter, so family came first.
I did contribute to a pension, but only at the basic 3–5% level. Thankfully, working in financial services meant I benefited from generous employer contributions of around 10–13%.
In my 30s and 40s, I gradually increased my pension contributions to about 10%, but hitting 50 was a wake-up call.
I’d read that your total pension contributions (yours and your employer’s) should be around half your age. Digesting this rule-of-thumb pushed me into action.
Nowadays I contribute 27%, with my employer adding 13% for a total of 40%. It’s made a big impact on my pension growth.
The lifestyle adjustments have been minor – cutting back on extras like holidays and car upgrades – but worth it to stay on-track for retirement before 60.
In hindsight, starting earlier would have helped, but I’m glad to be making up ground now. A few sacrifices feel like a small price to avoid working extra years. It’s a trade-off I’m happy with.
What’s the secret to saving more money?
Saving is a habit. I put money away into a different account as soon as I get paid. I don’t touch this for day-to-day expenses. This allows me to enjoy the rest guilt-free.
Do you have any hints about spending less?
Don’t buy what you don’t need and be careful with day-to-day spending habits.
That daily coffee from Costa may be nice every morning. However it could be costing you £600-£700 per year, which could be used for something more productive – or indeed fun!
Do you have any passions or hobbies that eat up your income?
My wife and I love live music and regularly attend concerts in Scotland and travel across the UK – or even abroad – to see our favorite bands.
One highlight was Adele in Munich last year. That was truly an amazing experience both musically and visually with a 220-meter screen.
We are also football season ticket holders and have been for many years. This has been a rollercoaster – thanks to events both on and off the pitch – but we still love going to home games on a Saturday.
Investing: towards simplicity
What kind of investor are you?
Well, a former boss once told me, “I want my money to work as hard for me as I did to earn it,” and that mindset really stuck.
So I’ve always managed my own investments and never used a financial adviser.
Over time, my approach has shifted. I’ve gone from trying to beat the market with active investing to preferring a more passive strategy, which suits me better.
I’m fully invested in equities, and now have less than 10% in active funds.
Do you use any of your fellow professionals?
Recently I had a call with a financial adviser through a free service from my employer to see if I’m on track to retire in the next five years.
The adviser was great, and after doing some personalised retirement modelling, it was reassuring to learn I’m on the right path. It was validating – and honestly a relief – to hear that many of my investment choices aligned with his own. Particularly after being a DIY investor for 25-odd years.
To be honest this experience has also changed my perception on paying for financial advice. I’d now consider looking for a financial adviser to help me set-up a retirement plan once I get closer to FIRE.
What was your best investment?
Property has been our best investment. My wife and I bought our first Glasgow flat in our mid-20s and moved a few times as our family grew. Each move brought a good increase in property value, which helped us move up the ladder – though we’d say it was more luck than strategy.
We’ve never focused on renovating to sell, but instead chose homes based on location over style. Fortunately, the areas we picked became more desirable over time. That boosted their value.
We know we’ve been lucky – especially with how much harder it is now for younger people to get on the property ladder. Many of our friends’ adult children are still living at home. They have little chance of buying unless they get extra help.
Did you make any big mistakes on your investing journey?
Definitely! Managing your own investments means you make mistakes and when it’s your own money you learn fast.
A few hard-won lessons come to mind:
Chasing winners – I used to jump on whatever active fund was flying high that month — only to watch it crash the next. I’ve since learned slow and steady wins the race. (No pun intended on your namesake portfolio!)
Panic selling and meddling – I’ve trained myself to ignore big market swings (like the Q1 drop this year) and stick to the plan. Too many people I know panic and sell the moment their fund dips 10%. I’ve also stopped constantly switching funds. It only adds stress and fees.
Avoid what you don’t understand – I tried crypto a few times and realised it felt more like gambling. Seems to me the only consistent winners are the platforms, who earn fees regardless of whether you gain or lose.
Emotional investing – I’ve held onto losing funds hoping they’d bounce back, only to regret it. Sometimes you’ve just got to cut your losses and treat it as tuition fees for learning the ropes.
What’s been your overall return, as best you can tell?
On average, my pensions and stocks and shares ISAs see around 9% annual growth, depending on market conditions. My best investment so far has been the Legal & General Global Technology Index Trust, which has grown by over 50% – a great return over the years.
I’m mostly invested in US funds, which have done well over the past decade, but I also make sure to include other regions to stay diversified.
It might not be the perfect allocation, but it suits me and I’m happy with the results.
When I reach FIRE, my plan is to use income drawdown from my pensions rather than buy an annuity, as it offers more flexibility. I’ll keep my ISAs as a backup or for topping up income if needed.
How much have you been able to use your ISA and pension allowances?
At present, I’m putting around £40,000 to £50,000 (combined employee and employer contributions) annually in my pension. This consumes about 27% of my salary.
I typically also save £1,000 per month into my ISA as a regular habit and try to fill up to £20,000 each tax year, if I have money available. However this isn’t always possible.
To what extent did tax incentives and shelters influence you?
As a higher-rate tax payer in Scotland I’m keen to ensure that my investments are as tax-efficient as possible. So I save heavily in pensions to reduce tax.
But I also save into the ISAs to provide some financial flexibility and protect me in case the government decides to change pension or ISA rules in future.
How often do you check or tweak your portfolio?
I check my portfolio weekly and track performance in a big Excel spreadsheet I’ve built over the years.
It’s something I genuinely enjoy. It keeps me motivated and helps me maintain a growth mindset, whether I’m seeing gains or spotting opportunities during a dip.
That said, I don’t have a specific investment target. It’s more about using the data as feedback and staying engaged.
I know weekly tracking might be too frequent for some, but for me, it’s a positive habit that keeps me focused and doesn’t do any harm.
Over the years I have developed good self-discipline and I avoid tweaking my portfolio too frequently. I occasionally make changes – once or twice a year – to rebalance. However I’ve sometimes gone a year or two without making any changes at all.
Moving the majority of my portfolio into passive funds has also helped me avoid making too many tweaks or changes.
Wealth: enjoying working towards a rich life
We know how you made your money, but how did you keep it?
Big trees grow from little acorns and even now I still regularly save and invest regularly as a habit. One challenge I recognise though is should you change this habit when you move into de-accumulation?
It would be great to hear views and experiences from other Monevator readers on this topic. I expect this to be an issue for me, having been in the saving and investing mode for many years.
Which is more important, saving or investing, and why?
Both is the pragmatic answer. But if you pushed me to choose one I would say investing is more important. Where you put your money can make a huge difference in the financial returns, particularly over the longer term. At my stage in life I’m laser-focused on where I’m invested and the performance of my assets.
I appreciate that this is not the norm. When I speak with friends and family about pensions and what funds they are invested in, they typically look at me like I’m speaking a different language. So I recognise that I am an outlier.
Do your goals have a timeline?
My goal is to retire in five years’ time.
Has anything unexpected got in your way on the path to financial independence?
Over the years I’ve experienced many twists and turns, both in terms of unplanned career changes due to market forces and investment mistakes. But I’m pleased with how things have panned out to date.
The journey is as important as the destination. I’ve learned to enjoy the ride so I feel contented.
Do you have any other financial goals?
My key financial goal is to be able to do what I want when I retire and not be restricted – within reason – by money. Having the freedom to be able to go out for a good meal with friends or attend the theatre without having to check my bank balance first is important and a nice feeling.
For me financial goals are about having the freedom to do what you want when you want. We can always have more money but never buy back time.
What would you say to Monevator readers pursuing financial freedom?
A few friends and colleagues have already retired, and through our chats, one message keeps coming up: having a clear purpose in retirement really matters.
It needs to be more than just holidays or hobbies. It’s about finding something meaningful that keeps you motivated once the daily work routine stops.
One of my close friends has embraced this brilliantly, spending his time writing children’s books in winter and creating an award-worthy garden in summer – all purely for the joy of it.
After working most of my adult life, I’m really looking forward to the freedom retirement brings. I haven’t fully figured out my own purpose yet. But I’m excited to explore that as my FIRE date gets closer.
Tidying up
When did you first start thinking seriously about money and investing?
I started reasonably early. I even took out a personal pension in the early 1990s before the introduction of auto-enrolment.
Since then I have always been interested in money and investing, which I think is a good Scottish trait!
Did any particular individuals inspire you to become financially free?
The contributors to Monevator and the community that engages in the comments are my inspiration, particularly as Monevator is focused on a UK audience.
It’s a reminder that you’re not alone. Many of us are thinking and feeling the same things.
Can you recommend any other favourite resources for anyone pursuing the FIRE dream?
I’m a big follower of Steven Bartlett. I regularly listen to his Diary of the CEO podcast when travelling to and from work. Many of the guest speakers on investing and more recently Artificial Intelligence have been fantastic.
What is your attitude towards inheritance?
I will start to consider inheritance tax more closely once I FIRE – I want to ensure that my wife and daughter are looked after.
The recent inheritance tax changes are frustrating and feel counterproductive for someone who has worked their whole adult life. However let’s not get into politics…
What will your finances ideally look like towards the end of your life?
My view is simple. Enjoy your money while you can! Life’s short, so make the most of it with friends and family doing what makes you happy.
And on that note… I think it’s your round, The Investor!
Indeed – my thanks to WeeScot for taking the time to share his story with us. It’s a good reminder that you don’t need to start a side hustle or run a business or move to the mountains to achieve your goals (not that there’s anything wrong with those either…) and that conventional wisdom is wise for a reason. Questions and constructive feedback are both welcome, but anything bad-tempered or nasty will be deleted. WeeScot is a long-time Monevator reader, but he’s not a regular commenter – let alone a battle-scarred blogger like me. Be sure to read our other FIRE-side chats.
Stopped reading at “Teddy Bears”. Religious bigotry is a scourge on Scottish society. It’s the backdrop to so many of our social problems, so I have no time for supporters of sectarianism, no matter how much they may try and qualify their actions as ‘just banter’, ‘only a bigot for 90 mins’, etc.
@Scott — I am not an expert but I don’t understand your comment. Even this source on Sectarianism in Scotland (among others, and Gemini AI for what it’s worth) tells me Teddy Bears is “Affectionate name for Rangers Football Club used by fans of the club.”
I appreciate your underlying sentiment of course.
@all — Now I’ve presented the other side / my interviewee, I think it’s best we don’t litigate this one out in the comments here, we can all Google and reach our own conclusions.
I have also deleted the relevant five words from the interview. They were harmless I believe but I don’t want to detract from WeeScot’s life story.
To keep this conversation on track re: FIRE I’ll likely delete further references to this in these comments. But please do feel free to drop me an email via the Comment form on the website if you have a strong view either way that you want to express. Thanks!
Thanks for that. Mirrors my own approach of gradually getting there whilst not letting life get in the way too much. Our timelines are very similar – I view it as making sure I am in a position to go at around 55 if I choose to make that decision. As a fellow Glaswegian its great to see Scotland being represented on here too. Thanks WeeScot.
With annual expenditure of £30-40k and net assets of £1.2m, plus a paid off home, surely WeeScot is already financially independent and could retire in the morning, no?
As always a good read and extremely grateful for the openness that allows others a read across to their own situation. Just a question is 5 years a fixed target or would you go sooner? Does that answer relate to any SWR?
Why not stand up for what is right rather than jump to an edit? Take a stand against the ignorant agitator. Absolutely no bigotry or malice in the now-disappeared sentence.
Nice story, and good to see someone able to thrive and reach early retirement by following a traditional (successful) career path, while enjoying the journey. Property and equities seem to have been the main investments, but were there any bonds, gilts, commodities, etc., and/or any plans to become more conservative post-retirement. Interesting to read the feedback on the financial adviser, noting it was free. I assume as an experienced DIY investor you’d be looking at fee-only in future, perhaps to help with tax-efficient withdrawal and inheritance?
P.S. As a supporter of a different team, I can confirm the original wording was perfectly appropriate (and harmless).
Yes always interesting to see what others are doing. If I were you I’d have been gone a long time ago, £1.2m in assets at 54, you’ve done very well. And I think Glasgow would be a fantastic place to be retired.
I did the same thing of overpaying the mortgage, especially after the crash in 2008 when I took a big pay cut and my wife was made redundant. Luckily my side job enabled me to do that. It was great for peace of mind, that meant we were mortgage free by the time the kids went to uni, which is when the big bills come in, so we were able to pay their living expenses.
Can’t help being envious of hearing about employers who make pension contributions, never had that before auto enrolment in 2017.
I highly recommend also having an idea of how you’re going to spend at least some of your time when you do leave work.
@Al — I’ll leave your comment in to represent that point of view (since it’s true I did delete the sentence to keep everything on-track) but that really is it now please.
If Betrand Russell shows up from beyond the grave with another point to the debate, it’s getting deleted. It’s not that this stuff is irrelevant, it’s irrelevant for this story. Thanks all.
@WeeScot – thank you for a great story on your financial journey. Good to see that the traditional methods of reaching FI still work. I thought I might be part of the last group to do it without serious lifestyle hacking.
On retiring to spend time with your loved ones doing the things you want to do – I think you are absolutely right. Age sneaks up on us and, all of a sudden, we lack the capacity we used to have. My wife travelled extensively before University and again before children, spending three years in all corners of the world. Now she has hit 72 we have realised that we are probably never going to kayak up the Amazon, and travel will be less hard adventuring and more gentle and slow-paced exploration. Long Covid has not helped. So she is extremely glad she travelled when she did and advises all nephews and nieces to get on with it now, because you never know what is around the corner.
Thanks for sharing your story. If you looked at a funding ratio such as this: https://retirementresearcher.com/understanding-funded-ratio/ I think you’d find that you could retire now. Something to consider?
Great story and inspiring to see someone getting good returns from passive trackers. I wish I’d contributed at those levels when business was good.
I noticed that @weescot said he had no income other than salary. Did he forget his rental income or is it still only breaking even? An Edinburgh flat with no mortgage should be earning at least £1k month gross. (Hope he remembers to declare it, otherwise HMRC might be knocking on the door!)
WeeScot is FI, and could retire today. Get it done, mate.
Great to Read this!
The comments about what to retire into are important.
I have seen people the same age earning the same amount and put on the scrapheap after years of loyal service and they crumple up – over the hill and passed it.
At least Scot Free is FI right now, so no money worries, but money isn’t everything.
Really enjoyed reading this one – thanks WeeScot (and TI). As others have noted, it’s great to see that a relatively traditional career path can still lead to FI and that you don’t need to be working in London to do it. And a good counterweight to other recent comments elsewhere on Monevator that children don’t seem to be a feature of FI journeys.
Bravo!
Congrats on it all falling into place. I’d be intrigued to hear if there is a trigger for when a retirement point is reached, or whether it’s more a case of keeping up working while you still find it works for you? Mostly asking because like others everything looks pretty rosey financially, so it looks like you have a lot of freedom over what you do next.
Hi All, Thanks so much for all the kind comments—glad you enjoyed reading about my journey!
@Acc_CBA Totally agree: aiming for FIRE while still enjoying life is a big part of it. The Investor mentioned this was the first Fire Side chat from Scotland—hopefully not the last!
@SpudMurphy @CB @G @Gentlemans Family Finances You’re probably right. I’m still enjoying work (for now), but having the freedom to FIRE when I choose makes it more enjoyable.
@BBBobbins The five-year timeline is more of a guide than a target. In my adviser call, we modelled different SWR and retirement age scenarios, showing I’ve got some buffer to FIRE earlier. We also weighed annuities vs flexible drawdown—I’m leaning strongly toward the latter.
@j_ffs My asset growth came purely from equities and property. I’m comfortable DIY investing, but I’d happily pay one-off fees for solid tax and IHT advice—feels important at this stage, and it’s not my area of expertise.
@Larsen Great minds! I also made overpayments during that period for the same reasons. Writing this has made me reflect more on purpose—first step for me is getting back into long-distance running, which I used to love.
@old_eyes Really appreciate your wise words. Capacity and capability do shift with age, and I definitely don’t want to leave things too late.
“We also weighed annuities vs flexible drawdown—I’m leaning strongly toward the latter.”
It needn’t be either/or. And the annuity option needn’t be taken at one time with one company on one set of terms.
Thanks for sharing your journey @WeeScot, these articles are always interesting to read and compare to our own situations. It does sound like you have enough already to retire as others have said but you’re enjoying the job so the RE is optional.
I took a similar path to retirement just through regular employment. My last few years of employment were working part time from age 55 which was a good toe-in to retirement. My 2020 retirement plan was up-ended by a pandemic but in early 2021 a redundancy came along so I took the payout and finally retired! I was happy to be retiring late-ish 50s before my 60th year. The clock seems to tick faster in that decade of life!
After some pension consolidation I’ve been doing phased drawdown from a SIPP just taking dividend income from passive ETFs. It comes to a little under 3% of the SIPP. For now I find this relatively painless compared to selling down funds and rebalancing.
Earlier this year I still had a couple of personal pensions from the 1990s I hadn’t consolidated. I got an annuity quote for them which was a very favourable rate and converted these into guaranteed annuity income. So yes, you can definitely mix drawdown and annuity income as @dearieme has pointed out. It wasn’t something I’d originally considered as these retirement options had often been presented as being mutually exclusive.
Also Scotland-based and happy to see this FIRE side chat. Moved up from London to be closer to in-laws the day before Covid lockdown and still glad for it – despite the higher tax rates and the haar! The health effect of good air, water and ample space really cannot be underestimated.
+1 to @dearieme and @BillD re mix of annuities and flexi drawdown. All it takes is a mini stroke for one’s faculties to be struck down even temporarily. I’ve been self-managing my family’s investments all this time, and there’s something to be said about the pure simplicity of holding some part of one’s fortune in annuities.
I concur, great chat WeeScot, well done for building up your wealth.
I find it interesting how everyone is saying that he has plenty to retire on and get it done. I have no idea how much is enough for annual spending but I have a figure of £60-£80k in mind for a couple. This is to inflation proof things as well as allow for many foreign holidays.
I have 5 years to go as well, but the closer I get, the harder it is o stay engaged with work. Not long though.
The “you have enough, just retire now” perspective that seems to be the prevailing view in cases such as WeeScot’s frames it in quite a binary way and leaves a lot on the table in my humble opinion.
£100k gross income is 11% of the £900k liquid portfolio plus employer pension contributions. Work is still meaningfully moving the net worth needle, a lower withdrawal rate with all the peace of mind that comes with it is within relatively easy reach.
Much more pertinently than the numbers though is that the author says they are enjoying work still. When I read the story it speaks to me of a great stage of life where one’s accumulated skills and knowledge have a good market value, work remains to a certain extent rewarding in ways beyond the financial and one is largely immune from the stresses of employment. No need to engage with the politics, play the game or worry where the axe will fall. One can be emboldened to max out holidays, take additional unpaid leave, negotiate part time arrangements or sabbaticals. Set firmer boundaries than you sensibly could risk if you were still climbing the ladder. Not Coast fire or quiet quitting, just a transparent approach where you engage positively and do the job but with no tolerance for BS and taking every opportunity to tip the balance to the life side of the work/life equation, testing out new interests outside work in anticipation of full retirement and all the while the coffers continue to build towards deeper peace of mind and greater optionality to assist children etc if so desired.
I am reminded of an interview with Jonny Wilkinson about the 2003 world cup final and asked if the final whistle and winning was the best moment to which he replied no, he wished he could freeze time just after Mike Catt kicked the ball for touch right at the end of the game. The ball was in the air heading for touch, time was up and England were ahead. He wished he could just live in that moment, where the game was still going but he knew they were going to win, and there was nothing that could stop it
Must admit, I’d rather formed the view that the career of Steven Bartlett defines the term ‘social media grifter’.
Nice post.
FWIW, I also agree with @dearieme, @BillD, and @weereddot, especially if your household has no/little DB pension income*.
One thing I would add is that in some cases it is worth delaying an annuity purchase until after you have tried retirement for a bit – primarily to ensure you do not buy too much floor income***. However, there is a trade-off here vs how annuity rates may develop over time.
Go well!
*in due course, two full SP’s at BRT cover c. 50% of your foreseen upper retired spending**
**it is not unknown for people to get this estimate wrong (either way)
***how much flooring is very subjective and IMO tricky; but it is always worth considering both survivor scenarios
@Kerry Balenthiran #22
The how much will I want to spend question looms large I think for everyone. We know what we spend now, we know what studies like the RLS say, we know to build in some buffer for unexpected inflation/unseeen life events but we can only really take anecdotal evidence from those that have lived it as to how their desires change.
Hang around travel forums or even say motorhomes and you’ll see people seemingly in many lifestyle brackets above your own pupporting to live off what they represent as modest retirement assets. Then on the other side say on Monevator you’ll get people telling you how little they really need and how net wealth continues to grow in retirement.
In the end I guess we all have to leap at some point and accept that the plan will need adaption in flight.
Hi @WeeScott
Firstly, congratulations and well done on being FI!
Thanks for sharing and thanks for reading my blog!
It’s good to read about a traditional career journey to early retirement – even outliers have normal lives/jobs(!) – and interesting from the viewpoint of someone in the financial advice sector. Kind of scary however that from the inside, even you think it’s still full of jargon and complexity, what hope for the majority of the British population, whose brains switch off at the mere mention of ‘pension’!
All the best to you for the next 5 years!
As always a good read, and pleasing to see FIRE representation. Nothing life changing in this interview, which makes it clear that theres no ‘secret sauce’ for acheiving FI – just being concsious of your spending and investing sensibly. Congrats on a job well done!
One pet peeve, if you will allow me, is the common opinion of how hard it is to get on the property ladder nowadays. Im sure there are stats that prove this, but it was no walk in the park 25 eyars ago when i got my first place, and further back than that my mothers income was not even taken into account (despite earning more that my father).
Thank you for an interesting story. Good to hear how well you have done. Another Scotland based Monevator reader here (and know what you mean about the jargon and acronyms used in financial services – its like a foreign language at times!).
All the best for your future retirement. I suspect you can go sooner than you think, but you will know when you are ready.
The use of FIRE to mean retire throughout the article seemed a bit about of place to me. FIRE at 59 is probably just FIR.
@adam, tend to agree, for someone joining the world of work in 1993, retiring at 60 is pretty much the status quo. It’s pushing the FIRE acronym right up to the limit. If you enjoy work, particularly if it’s in the field of finance and pensions, then I think you’re extremely fortunate. There’s a reason why most people here get obsessed with retiring early, and it isn’t because they love their corporate jobs. I’d plunder that facet of your character for everything it’s worth.
I too very much enjoyed this candid Chat. It must take some guts to lay yourself bare like this and it is greatly appreciated as it gives hope to the rest of us.
I am of a similar age and much resonates with me, including the accumulation of wealth through property, careful saving and passive investment choices.
I also applaud working hard and smart to build a career but WeeScot’s annual salary of £100,000 is out of reach and beyond the dreams of most us. A quick Google search suggests the average annual salary in the UK is around £35K, and it would be very interesting to hear from someone earning a similar amount who is saving towards or has already managed to FIRE.
Thanks again WeeScot for a very engaging read and I hope you will soon be enjoying the fruits of your labour.
@BBB #26
It is that leap of faith that’s the problem. Once you pull the trigger you’re done. But you’re right in that we have to look to those who’ve done it but also be flexible to what the future brings.
Re FIRE vs FIR, FIRE people are like minded, frugal types who value growing their wealth. There isn’t a community for FIR types who have a job and save into their pension and plan to retire when they can, but earlier than 65. So we gravitate towards FIRE
As a fellow Glaswegian and runner (shame about your team, mind) it’s a good read, and bar the weather this is now a great city to retire to – green space, great food and friendly folk should be high on anyone’s list of must-haves for a leisurely early retirement. I can’t fathom why you’ve not hit the button already – you could sell the Edinburgh flat and live off the capital until state pension age while your capital elsewhere grows, never mind any other fancy strategies. You don’t want to be a very wealthy octogenarian with no ability or notion to spend your cash when you could have had any extra 5 years with your wife, travelling, keeping fit and the like when you were young and in good health.
@Tom Thanks—totally agree that mindful spending and early investing are key. Getting into the habit early and letting compounding work its magic is the real game-changer.
@AoI Loved the Jonny Wilkinson quote! Staying in the game is still enjoyable, especially when you’ve built the freedom to step back if you choose.
@dearieme and others Appreciate the thoughts. I’m fortunate to have a DB pension—rare these days! While I’m leaning toward income drawdown for my DC pot, I’m open to a mix-and-match strategy, possibly combining drawdown with annuity. Definitely something I’d consider getting professional advice on.
@Weenie You’re very welcome! I’ve been following your blog for years and really appreciate how open you are about your investment journey. Writing this article showed me how daunting it can be to share personal financial details—so hats off to you too. Keep up the great work!
@WS – ah, you have a DB pension? Roughly what’s that worth in terms of income per annum and does it kick in at 60? Thinking back on your property investments, getting in with leverage back in the mid 90s was possibly the perfect trade, brilliant timing. Anyone who did that one thing is probably pretty much sorted. I left it a decade too late at 2007 which was pretty sub optimal with hindsight.
@Rhino I’ve got one DB pension projected around £14k pa from 60. Totally agree—buying property in the mid-90s was a great move. My first flat was £47k and the value shot up faster than my salary. “D:Ream – Things Can Only Get Better” really was the soundtrack for this era!
@Rhino Just to clarify—the DB pension is part of the overall £800K pension pot, which is mostly DC apart from this one DB element.
Thanks, that’s useful additional detail. That is a very solid floor. So how did you value that 14k of DB income as part of the total 800k? And this 800k is combined, you and your wife, right? Sorry to hear of your wife’s ill health. Has that had a knock on effect on her state pension provision, i.e qualifying years?
When preparing for the adviser call I got transfer values for all the different pensions in my portfolio including the DB one. The £800K are all pensions in my name with Mrs WS as the nominated beneficiary for each one should anything happen to me. She does have a very small and separate DB pension herself which she took from 55 however did not include in the article to keep the numbers simple. Luckily she does have sufficient qualifying years so this did not impact her state pension provision.
@WS (#35):
Re: “I’m open to a mix-and-match strategy, possibly combining drawdown with annuity.”
FWIW, I now see no pressing need for this, as from SP age you are likely to be some 75% (net at BR) floored versus your current upper spending limit of £40k PA and c. 100% floored at the lower limit.
As always, love these fireside chats. Big thanks to WeeScot for sharing, congrats on winning the race!
A big thank you to WeeScot for sharing his success story. Given our similar age and professional background, I found many parts of his journey deeply relatable. Personally, I believe WeeScot could already consider himself financially independent, but I understand it’s not that simple… Saving and investing over a lifetime triggers very different psychological processes compared to the idea of “living off your investments.” I think he might need a bit more time to fully embrace that shift. As always, I really enjoy taking part in these conversations from another country (Italy, where I live) and seeing how many reflections are surprisingly universal, despite the specific differences in pension systems. Sending a big “Ciao!” from Venice and Italy to all of you! SirRik