This is one of the most common – and most complex – questions people ask when thinking about retirement. The reality is that there’s no one-size-fits-all answer. The amount you need will depend entirely on your personal circumstances, lifestyle goals and financial commitments.

Retirement planning is about more than simply ensuring you don’t run out of money. It’s about maintaining your desired standard of living, preserving your choices and freedoms, and doing so in the most tax-efficient and sustainable way possible.

What do you want your retirement to look like?

Everyone’s vision for retirement is different. For some, it means frequent travel and new hobbies. For others, it may be about spending more time with family or simply enjoying a slower pace of life. Your retirement plan should reflect your personal goals and the lifestyle you want to maintain.

A helpful starting point is to distinguish between essential living expenses – such as housing, food, utilities and insurance – and lifestyle spending. Lifestyle costs might include holidays, memberships, dining out or supporting children and grandchildren. These costs are unique to you, and they should be factored into your financial plan accordingly.

Although retirement spending often changes over time, it’s not always a predictable decline. Some people spend more in the early years when they’re more active, while others may face higher costs later in life due to healthcare needs. It’s useful to be aware of this, but it doesn’t need to dominate your thinking.

What might the numbers look like?

To give some context, the Pensions and Lifetime Savings Association suggests that for couples in the UK:

  • A minimum retirement might require around £22,400 per year (close to two full state pensions)

  • A moderate retirement might cost £43,100 per year

  • A comfortable retirement could require £59,000 or more per year

These figures are indicative only. Your own requirements may be higher or lower, depending on your expectations and circumstances.

It’s also worth considering one-off or irregular costs, such as home renovations, significant holidays or gifts to family. These ‘bucket list’ items can have a meaningful impact on your financial needs and should be part of your long-term plan.

Why professional advice matters

Estimating how much money you’ll need is only the beginning. The next step is ensuring that your assets – whether in pensions, investments, property or business interests – are structured to support those needs. This includes managing investment risk, inflation, taxation and changes in legislation.

This is where professional advice becomes invaluable. A financial planner can help you build a personalised, sustainable plan that adapts over time. They can model different scenarios, structure your investments efficiently and give you clarity about what’s realistically achievable.

At Wealth Matters, we’ve worked closely with clients to create bespoke retirement strategies that reflect individual goals, values and priorities. We bring together investment expertise, tax planning and decades of experience to help you approach retirement with confidence.

If you would like to discuss your retirement plans, please contact us to speak with one of our financial planners.