The Pensions and Lifetime Savings Association (PLSA) have developed the Retirement Living Standards to help us to picture what kind of lifestyle we could have in retirement. The standards show you what life in retirement looks like at the three different levels, and what a range of common goods and services would cost for each level.
Explore them below:
Required annual pension income:
£14,400 – £31,299
In summary:
A ‘minimum’ lifestyle covers all your needs, with some left over for fun and social occasions. You could holiday in the UK, eat out about once a month and do some affordable leisure activities about twice a week.
Average monthly spend: £1,201
DIY £100 a year to maintain condition of your property.
Average monthly spend: £422
Around £50 a week on groceries, £25 a month on food out of the home, £15 per fortnight on takeaways.
Average monthly spend: £305
No car, £10 per week on taxis, £100 per year on rail fares.
Average monthly spend: £56
A week long UK holiday. Basic TV and broadband plus a streaming service.
Average monthly spend: £173
Up to £630 for clothing and footwear each year.
Average monthly spend: £195
£20 for each gift and £50 a year charity donation.
Average monthly spend: £50
Required annual pension income:
£31,300 – £43,099
In summary:
A ‘moderate’ lifestyle provides more financial security and more flexibility. You could have one foreign holiday a year and eat out a few times a month. You’d have the opportunity to do more of the things you want to do.
Average monthly spend: £2,638
Some help with maintenance and decorating each year.
Average monthly spend: £776
Around £55 a week on groceries, £30 a week on food out of the home, £10 a week on takeaways, £100 a month to take others out for a monthly meal.
Average monthly spend: £570
3 year old small car, replaced every 7 years, £20 a month on taxis, £100 per year on rail fares.
Average monthly spend: £376
A fortnight 3* all inclusive holiday in the Med and a long weekend break in the UK. Basic TV and broadband plus two streaming services.
Average monthly spend: £409
Up to £1,500 for clothing and footwear each year.
Average monthly spend: £347
£30 for each gift, £200 a year charity donation, £1,000 for supporting family members e.g. paying for grandchildren activities.
Average monthly spend: £160
Required annual pension income:
£43,100 +
In summary:
A lifestyle that allows you to be more spontaneous with your money. You could have a subscription to a streaming service, regular beauty treatments, a foreign holiday and several UK minibreaks a year.
Average monthly spend: £3,635
Some help with maintenance and decorating each year.
Average monthly spend: £1,015
Around £55 a week on groceries, £30 a week on food out of the home, £10 a week on takeaways, £100 a month to take others out for a monthly meal.
Average monthly spend: £750
3 year old small car, replaced every 7 years, £20 a month on taxis, £100 per year on rail fares.
Average monthly spend: £440
A fortnight 3* all inclusive holiday in the Med and a long weekend break in the UK. Basic TV and broadband plus two streaming services.
Average monthly spend: £910
Up to £1,500 for clothing and footwear each year.
Average monthly spend: £370
£30 for each gift, £200 a year charity donation, £1,000 for supporting family members e.g. paying for grandchildren activities.
Average monthly spend: £150
