Retirement move
#16
Re: Retirement move
I think I'll look into the pension side of things and see how it works. This new lump sum pension payments scheme we've had here since April are confusing. How does the health care system work? I take it we need private medical insurance as we won't be working. What's the best way to arrange that?
Thanks for all your replies.
FRED.UK
Thanks for all your replies.
FRED.UK
#17
Re: Retirement move
The prescription charge is 10% of what the medication costs but I do not know if there is an upper limit to what you pay as I only have two very cheap ones.
Rosemary
Rosemary
#18
Forum Regular
Joined: Aug 2005
Location: El Cotin, Chiclana
Posts: 297
Re: Retirement move
These two UK government websites will give you loads of helpful info.
Living in Spain
Healthcare in Spain
Living in Spain
Healthcare in Spain
#19
BE Enthusiast
Joined: Apr 2014
Posts: 635
Re: Retirement move
Hi Fred,
I believe that if you have enough money to live in the UK, then you have enough money to live in Spain, and in fact, you're highly likely to have more disposable income in Spain.
Probably one of the biggest issues for people retiring to Spain is that they don't get free state healthcare if they are retiring early. You will need to have some kind of private cover (or buy into the state system, which is possible in some regions) to fill the years between your actual retirement and reaching the official retirement age.
The move will be of most financial benefit to you if you do it on the basis of permanent living in Spain. Being a "swallow", as those who go back and forth are often called, is fine, but you have to maintain properties in two places and bear the costs that come with doing so.
There are a couple of other issues that can arise. Integration with your fellow expats and locals is not as easy if you're back and forth all the time. My wife joins classes and clubs and then misses attendance, and sometimes doesn't bother getting involved as a result. Your choice of property might also be impacted. You might not feel comfortable leaving a villa unoccupied for several months of the year and will feel forced to go the route of a lock-up-and-leave apartment. You might then feel uncomfortable leaving the UK house (if you keep one) unoccupied and have to make some changes there too.
These are all things that we've come up against so there's a chance you will too.
I believe that if you have enough money to live in the UK, then you have enough money to live in Spain, and in fact, you're highly likely to have more disposable income in Spain.
Probably one of the biggest issues for people retiring to Spain is that they don't get free state healthcare if they are retiring early. You will need to have some kind of private cover (or buy into the state system, which is possible in some regions) to fill the years between your actual retirement and reaching the official retirement age.
The move will be of most financial benefit to you if you do it on the basis of permanent living in Spain. Being a "swallow", as those who go back and forth are often called, is fine, but you have to maintain properties in two places and bear the costs that come with doing so.
There are a couple of other issues that can arise. Integration with your fellow expats and locals is not as easy if you're back and forth all the time. My wife joins classes and clubs and then misses attendance, and sometimes doesn't bother getting involved as a result. Your choice of property might also be impacted. You might not feel comfortable leaving a villa unoccupied for several months of the year and will feel forced to go the route of a lock-up-and-leave apartment. You might then feel uncomfortable leaving the UK house (if you keep one) unoccupied and have to make some changes there too.
These are all things that we've come up against so there's a chance you will too.
#20
Re: Retirement move
Thanks for clearing up the pension issue. That's good to know. We would have to use our savings to live on with our UK pension as we'd have no other regular income. Our £150,000 would not be worth as much in euros and we don't want to live frugally. Calculating the cost of our retirement in Spain is going to be the most challenging thing to calculate.
Thanks Mike
Thanks Mike
#21
Just Joined
Thread Starter
Joined: Nov 2015
Posts: 7
Re: Retirement move
I'm pleased to be getting lots of positive feedback. Our move is going to be permanent so all these tips are appreciated.