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Re: Retirement planning
Posted: Thu Oct 31, 2024 10:57 am
by Seasider4374
Roger Van Zant wrote: ↑Thu Oct 31, 2024 7:48 am
Man, imagine getting a full British pension worth, say, 1400 quid per month (I can retire from 2046) at an exchange rate of 286.21!
Would be living like a king here (for my lifestyle, anyways!).
Being 22 years away and, assuming the triple lock stays (and also assuming you're eligible for a full UK pension), I think your future £1400 looks light - I reckon closer to £1650 assuming the minimum 2.5% yearly uplift (over the past 10 years it's actually averaged at 4.04%...) Though always better to underestimate than over...
However regarding "King" status you'll need to think how much purchasing power your £1400/1650 (400,000/472,000yen @ the 286rate)) will have in 22 years' time from now due to inflation over that period. At 1% inflation (JP 10yr average) a 400,000yen future value, will only be equivalent to 320,000yen spending power in today's terms. If at 3% (UK 10yr average) this will drop to 210,000yen.
Re: Retirement planning
Posted: Thu Oct 31, 2024 12:18 pm
by Wales4rugbyWC23
Seasider4374 wrote: ↑Thu Oct 31, 2024 10:57 am
Roger Van Zant wrote: ↑Thu Oct 31, 2024 7:48 am
Man, imagine getting a full British pension worth, say, 1400 quid per month (I can retire from 2046) at an exchange rate of 286.21!
Would be living like a king here (for my lifestyle, anyways!).
Being 22 years away and, assuming the triple lock stays (and also assuming you're eligible for a full UK pension), I think your future £1400 looks light - I reckon closer to £1650 assuming the minimum 2.5% yearly uplift (over the past 10 years it's actually averaged at 4.04%...) Though always better to underestimate than over...
However regarding "King" status you'll need to think how much purchasing power your £1400/1650 (400,000/472,000yen @ the 286rate)) will have in 22 years' time from now due to inflation over that period. At 1% inflation (JP 10yr average) a 400,000yen future value, will only be equivalent to 320,000yen spending power in today's terms. If at 3% (UK 10yr average) this will drop to 210,000yen.
I bet the Japanese state pension won't be that much more than it is now.... How pensioners manage to live on 64,000 yen a month, I don't know.
Re: Retirement planning
Posted: Thu Oct 31, 2024 2:11 pm
by Bubblegun
Wales4rugbyWC23 wrote: ↑Thu Oct 31, 2024 12:18 pm
Seasider4374 wrote: ↑Thu Oct 31, 2024 10:57 am
Roger Van Zant wrote: ↑Thu Oct 31, 2024 7:48 am
Man, imagine getting a full British pension worth, say, 1400 quid per month (I can retire from 2046) at an exchange rate of 286.21!
Would be living like a king here (for my lifestyle, anyways!).
Being 22 years away and, assuming the triple lock stays (and also assuming you're eligible for a full UK pension), I think your future £1400 looks light - I reckon closer to £1650 assuming the minimum 2.5% yearly uplift (over the past 10 years it's actually averaged at 4.04%...) Though always better to underestimate than over...
However regarding "King" status you'll need to think how much purchasing power your £1400/1650 (400,000/472,000yen @ the 286rate)) will have in 22 years' time from now due to inflation over that period. At 1% inflation (JP 10yr average) a 400,000yen future value, will only be equivalent to 320,000yen spending power in today's terms. If at 3% (UK 10yr average) this will drop to 210,000yen.
I bet the Japanese state pension won't be that much more than it is now.... How pensioners manage to live on 64,000 yen a month, I don't know.
Quite disgusting isn't it? How pensioners put up with it is more of a mystery.I guess if most pensioners got pretty good company pensions, then I guess the majority drown out the minority, and everyone says SHOGANIA.
Even I won't get a full Japanese pension,(neither will many other non-Japanese) just gotta bend over and suck it up. I wonder if there is any Japanese version of the money-saving expert guy Martin Lewis campaigning for a better pensions for those poor pensioners. How do they pay for health insurance and meds on such a miserly pension? Bah Humbug “If they would rather die, “they had better do it, and decrease the surplus population.” No winter fuel allowance here I guess.
Re: Retirement planning
Posted: Thu Oct 31, 2024 2:42 pm
by Roger Van Zant
Wales4rugbyWC23 wrote: ↑Thu Oct 31, 2024 12:18 pm
Seasider4374 wrote: ↑Thu Oct 31, 2024 10:57 am
Roger Van Zant wrote: ↑Thu Oct 31, 2024 7:48 am
Man, imagine getting a full British pension worth, say, 1400 quid per month (I can retire from 2046) at an exchange rate of 286.21!
Would be living like a king here (for my lifestyle, anyways!).
Being 22 years away and, assuming the triple lock stays (and also assuming you're eligible for a full UK pension), I think your future £1400 looks light - I reckon closer to £1650 assuming the minimum 2.5% yearly uplift (over the past 10 years it's actually averaged at 4.04%...) Though always better to underestimate than over...
However regarding "King" status you'll need to think how much purchasing power your £1400/1650 (400,000/472,000yen @ the 286rate)) will have in 22 years' time from now due to inflation over that period. At 1% inflation (JP 10yr average) a 400,000yen future value, will only be equivalent to 320,000yen spending power in today's terms. If at 3% (UK 10yr average) this will drop to 210,000yen.
I bet the Japanese state pension won't be that much more than it is now.... How pensioners manage to live on 64,000 yen a month, I don't know.
I just looked online at my Japanese pension forecast.
117,000 yen per month. That'll be for thirty years paid in (kosei nenkin).
Scandalous.
Re: Retirement planning
Posted: Thu Oct 31, 2024 2:46 pm
by Roger Van Zant
Seasider4374 wrote: ↑Thu Oct 31, 2024 10:57 am
Roger Van Zant wrote: ↑Thu Oct 31, 2024 7:48 am
Man, imagine getting a full British pension worth, say, 1400 quid per month (I can retire from 2046) at an exchange rate of 286.21!
Would be living like a king here (for my lifestyle, anyways!).
Being 22 years away and, assuming the triple lock stays (and also assuming you're eligible for a full UK pension), I think your future £1400 looks light - I reckon closer to £1650 assuming the minimum 2.5% yearly uplift (over the past 10 years it's actually averaged at 4.04%...) Though always better to underestimate than over...
However regarding "King" status you'll need to think how much purchasing power your £1400/1650 (400,000/472,000yen @ the 286rate)) will have in 22 years' time from now due to inflation over that period. At 1% inflation (JP 10yr average) a 400,000yen future value, will only be equivalent to 320,000yen spending power in today's terms. If at 3% (UK 10yr average) this will drop to 210,000yen.
Either would be doable, though obviously 320,000 would be preferable!
My Japanese pension is forecast to be 117,000 per month.
Not luxury by any means, but doable....
I am on course for 34/35 years of my UK pension....
Re: Retirement planning
Posted: Fri Nov 01, 2024 1:54 am
by beanhead
Wales4rugbyWC23 wrote: ↑Thu Oct 31, 2024 12:18 pm
I bet the Japanese state pension won't be that much more than it is now.... How pensioners manage to live on 64,000 yen a month, I don't know.
Isn't the answer that most of them don't? Kosei nenkin is much more than that, so for the average salaryman they will get more like 150,000 - 200,000 per month. Plus, if married, their wife may pick up the 'free' kokumin nenkin as well, for that 700,000 or so a year extra.
For those who are self-employed or worked for a tiny company that didn't put them into kosei nenkin, of course your point about the pitiful size of the kokumin nenkin alone is a good one.
Re: Retirement planning
Posted: Fri Nov 01, 2024 3:23 am
by Tsumitate Wrestler
beanhead wrote: ↑Fri Nov 01, 2024 1:54 am
Wales4rugbyWC23 wrote: ↑Thu Oct 31, 2024 12:18 pm
I bet the Japanese state pension won't be that much more than it is now.... How pensioners manage to live on 64,000 yen a month, I don't know.
Isn't the answer that most of them don't? Kosei nenkin is much more than that, so for the average salaryman they will get more like 150,000 - 200,000 per month. Plus, if married, their wife may pick up the 'free' kokumin nenkin as well, for that 700,000 or so a year extra.
For those who are self-employed or worked for a tiny company that didn't put them into kosei nenkin, of course your point about the pitiful size of the kokumin nenkin alone is a good one.
Or IDeco at 68,000 a month instead of Kosei Nenkin.
A lot of the sadder stories are widowers, whose pensions dropped drastically after their spouses death.
This is one of the reasons I plan to take Nenkin at 65, but my wife will delay hers. She's likely to outlive me.
Re: Retirement planning
Posted: Fri Nov 01, 2024 5:21 am
by beanhead
Tsumitate Wrestler wrote: ↑Fri Nov 01, 2024 3:23 am
Or IDeco at 68,000 a month instead of Kosei Nenkin.
A lot of the sadder stories are widowers, whose pensions dropped drastically after their spouses death.
This is one of the reasons I plan to take Nenkin at 65, but my wife will delay hers. She's likely to outlive me.
Yes, agreed, but iDeCo is fairly recent. Not too many current pensioners will have paid anything or much into it.
For those of us with a few years until we reach 65, that iDeCo pile could be significant.
I also plan to take mine at 65. Mrs Head: not sure yet.
Re: Retirement planning
Posted: Fri Nov 01, 2024 6:35 am
by RetireJapan
beanhead wrote: ↑Fri Nov 01, 2024 5:21 am
For those of us with a few years until we reach 65, that iDeCo pile could be significant.
My wife's been paying in for a while now (since before it was called iDeCo) as a sole proprietor. Her iDeCo account is now over 20 million. Should be enough for a reasonable retirement just from that alone (I'm guessing it will be closer to 40m by the time she gets to 65).
Re: Retirement planning
Posted: Fri Nov 01, 2024 8:13 am
by Bubblegun
Roger Van Zant wrote: ↑Thu Oct 31, 2024 2:42 pm
Wales4rugbyWC23 wrote: ↑Thu Oct 31, 2024 12:18 pm
Seasider4374 wrote: ↑Thu Oct 31, 2024 10:57 am
Being 22 years away and, assuming the triple lock stays (and also assuming you're eligible for a full UK pension), I think your future £1400 looks light - I reckon closer to £1650 assuming the minimum 2.5% yearly uplift (over the past 10 years it's actually averaged at 4.04%...) Though always better to underestimate than over...
However regarding "King" status you'll need to think how much purchasing power your £1400/1650 (400,000/472,000yen @ the 286rate)) will have in 22 years' time from now due to inflation over that period. At 1% inflation (JP 10yr average) a 400,000yen future value, will only be equivalent to 320,000yen spending power in today's terms. If at 3% (UK 10yr average) this will drop to 210,000yen.
I bet the Japanese state pension won't be that much more than it is now.... How pensioners manage to live on 64,000 yen a month, I don't know.
I just looked online at my Japanese pension forecast.
117,000 yen per month. That'll be for thirty years paid in (kosei nenkin).
Scandalous.
I wonder how much that would be if you had just taken the money, and put it into the s&p500. Although you will never ever run out. I wonder what the break even point is.