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how to retire at 60 with no money

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by

Wojciech
in
Wojciech

Wojciech

Diploma for Financial Advisers
Diploma in Accounting
Member of London Institute of Banking and Finance

Retiring at 60 can feel overwhelming, especially if you haven’t planned for it. How to retire at 60 with no money is a daunting question, but there are government programs and local resources designed to help individuals in this situation. By taking advantage of available support, you can create a secure and sustainable retirement even with limited funds.

1. Claim State Benefits

The UK government provides a range of benefits to support individuals with little to no income. These can form the backbone of your retirement plan if you have no savings.

State Pension

Although the State Pension age is currently 66 in the UK (rising to 67 by 2028), you can start planning now. If you’ve made National Insurance (NI) contributions for at least 10 years, you’re entitled to some level of State Pension. For the full amount, you’ll need 35 years of NI contributions.

  • What to Do: Check your State Pension forecast online to see how much you’ll receive and when you can claim it.

Pension Credit

If your income is below the minimum threshold (£218.15 per week for single people in 2024), you may qualify for Pension Credit. This benefit tops up your income and provides additional perks, such as free TV licences for those over 75.

  • What to Do: Apply through the Pension Credit helpline or online. Ensure you provide details about your income and savings.

Universal Credit

If you’re below the State Pension age but unable to work, Universal Credit can provide financial support. It also helps with housing costs if you rent your home.

  • What to Do: Submit an application online, detailing your financial circumstances and housing situation.

2. Explore Housing Support

Housing is often the biggest expense in retirement. Several schemes can ease this burden:

Social Housing

If you’re struggling to afford rent, apply for social housing through your local council. Social housing rents are typically much lower than private rents.

  • What to Do: Visit your local council’s website and complete a housing application.

Housing Benefit

If you rent your home and have no savings, you may qualify for Housing Benefit to cover some or all of your rent.

  • What to Do: Apply through your local council or as part of a Universal Credit application.

3. Access Local Community Support

Many local organisations and charities offer help to individuals in financial need. These resources can make a significant difference when retiring with no money.

Food Banks

Food banks provide free groceries to individuals and families in need. Most operate through referrals from organisations like Citizens Advice or your GP.

  • What to Do: Contact Citizens Advice to get a referral and locate the nearest food bank.

Free or Subsidised Transport

Many councils offer free bus passes or subsidised travel for those over 60. This can help you stay mobile without increasing your expenses.

  • What to Do: Check with your local council to see if you qualify for a free bus pass.

Warm Spaces and Energy Support

During colder months, community centres and libraries often provide warm spaces and free activities to help reduce heating costs.

  • What to Do: Search online or ask your local council about warm space initiatives near you.

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4. Seek Advice from Citizens Advice

Citizens Advice is a free service that provides guidance on managing finances, accessing benefits, and finding local support. They can help you navigate complex applications and maximise your entitlements.

  • What to Do: Visit your nearest Citizens Advice office or use their online tools to get personalised advice.

5. Apply for Health Benefits

If you’re on a low income, you might qualify for free prescriptions, dental care, and eye tests through the NHS Low Income Scheme.

  • What to Do: Complete an HC1 form online or request a paper version from your GP or pharmacy.

6. Join Local Social Groups for Support

Isolation can make financial struggles feel harder. Joining local social groups or organisations for retirees can provide companionship and access to shared resources like communal meals or group activities.

  • What to Do: Look for local groups through community centres, libraries, or online platforms like Meetup.

7. Emergency Assistance Grants

If you’re facing immediate financial hardship, some councils and charities offer one-off emergency grants to help with essentials like food, clothing, and utility bills.

  • What to Do: Contact your local council or charities such as Turn2us or The Trussell Trust to apply for emergency assistance.

Final Thoughts

Retiring at 60 with no money is challenging, but it’s not impossible. By leveraging government benefits, local council support, and community resources, you can create a retirement that’s both sustainable and fulfilling. Take proactive steps today to explore these options and build a secure future.

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