Back in February, a former care home manager returned to a Middlesborough retirement village during their weekly “knit and natter”. Having given up his role in care to become a Dreamboys stripper, Max Hunter treated a room full of pensioners to a striptease and, according to Sky News, the residents went “wild”.
In the same month, in a Derbyshire residential home, Hilda Jackson celebrated her 105th birthday. Despite being a self-professed fan of the jive, Hilda opted to commemorate the milestone with a rave, complete with Jägermeister and a festival-headlining drum’n’bass DJ.
The “ideal” retirement, then, looks different to everyone.
And while yours might be less risqué and more than a little quieter, it’s important to remember that your hard-earned retirement is there to be enjoyed and that you could be doing so for decades. So, is 105 the new 65?
Keep reading for more on this and what that increased longevity could mean for your retirement plans.
Perceptions of wealth are changing, and Gen Z lessons could help you enjoy your retirement
As financial planners, sometimes our job is to help you spend less and save more, helping to secure your dream future. At other times, though, your dream future might already be within your grasp.
On these occasions, our role is to provide reassurance that you can afford the things that will make you happy – a once-in-a-lifetime holiday, say, or the tuition fees for an expensive DJing course.
A recent HSBC report, ‘Your Money’s Worth: Defining Wealth in 2025’, looked at perceptions of wealth. It found that around a quarter of the UK general public believes that employing a cleaner marks someone as wealthy, while 10% think it’s having a kitchen island. Those earning over £100,000 are more likely to view investments as their top wealth signifier.
Interestingly, perceptions of wealth are changing, particularly among younger generations. Almost half (49%) of Gen Z view wealth in non-material terms, while one-third of 18–24-year-old high earners perceive “wealthy” as a good work-life balance.
According to financial psychotherapist, Vicky Reynal, the move to “valuing non-material possessions often comes as people discover that the material didn’t buy them happiness… As a result […] individuals decide to prioritise what truly enhances happiness: meaningful experiences with loved ones [and] quality time with family.”
Using your retirement wealth to fund experiences and make memories might require a shift in your perception of wealth, but we’re on hand to help.
We can offer reassurance that your plans are affordable and give you confidence as you spend your retirement living your best life – whatever that looks like for you.
The importance of factoring longevity into your plans
All the above being said, there are some important calculations and planning that need to go into long-term planning too – especially around longevity.
Essentially, “longevity” is your life expectancy and, in terms of your financial planning, how long your pension fund might need to last.
Let’s say Hilda Jackson gave up work at age 60. That means she’s now been retired for 40 years. Could your current pension fund sustain your desired retirement lifestyle for four decades?
With the right long-term plan in place, the answer should be “Yes”.
Your plan is aligned to your goals, timescales and attitude to risk. That means it’s based on your dream retirement, and already factors in the cost of that retirement, as well as contingencies.
It’s understood, for example, that your spending in retirement won’t be uniform. You might spend more in the early, active years of retirement – on world travel or house renovations, say – before your spending begins to drop off.
In later life, and especially much-later-life, it’s possible that you’ll need care and might even move into a residential care home. (Given some of the activities on offer, you might even choose to.)
Living your best retirement life doesn’t have to mean lowering the inheritance you leave
Your retirement fund is hard-earned. It has been built over a decades-long career and is designed to provide you with an income in your life after work but also to provide you with the lifestyle you want.
If you spend your retirement building wealth or strictly budgeting and then die a millionaire without having done the things you want to do, then we haven’t done our job properly.
Spending money on the things you love is what retirement is about and there’s no need to feel guilty. Enjoying retirement doesn’t mean you’re spending your children’s inheritance – it’s your money, after all – but leaving a legacy is likely important to you too.
While traditionally wealth was usually transferred on death, giving while living could be a tax-efficient option. Gifting wealth earlier in life increases your chances of “beating” the seven-year rule (surviving for this long after giving a gift renders it Inheritance Tax-free) but there are non-financial advantages too.
You’ll still be around to see the joy your money brings, and you might find that you’re providing an inheritance at a more crucial time in the life of your recipients. You might be able to gift to adult children raising a family or grandchildren looking to buy their first home, say. (Compare this with Hilda Jackson’s immediate heirs who could feasibly be in their 80s.)
The right financial plan for you will incorporate tax-efficient estate planning alongside contingencies for your later life, all while allowing you to make the most of your retirement now.
Get in touch
If you’re looking for an independent financial adviser in Milton Keynes or Olney, look no further. At Jane Smith Financial Planning, we’ve been helping clients for 30 years, so contact us at info@janesmithfinancial.com or call 01234 713131 to see what we can do for you.
Please note
This article is for general information only and does not constitute advice. The information is aimed at retail clients only.
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