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Jeremy Clarkson and hot air: how to live it up in retirement

From luxuries to long-term care, we look at later life issues and longevity.

Life of luxury

Take a hot air balloon ride! Rides cost between £70 and £300 per person, depending on the type of trip, but ‘flights’ are normally scheduled in the early morning or late evening for the spectacular sunrises/sunsets, and the still air.

The Bristol International Balloon Fiesta will be held between 7 and 10 August.

Life of luxury

Take a hot air balloon ride! Rides cost between £70 and £300 per person, depending on the type of trip, but ‘flights’ are normally scheduled in the early morning or late evening for the spectacular sunrises/sunsets, and the still air.

The Bristol International Balloon Fiesta will be held between 7 and 10 August.

Individual protection

For anyone wishing to keep building their pension for a bit before withdrawal, and to a value higher than the new £1.25 million lifetime allowance, a regime exists called individual protection 2014. It allows savers to make up for market falls by topping up their pension fund. Individuals can apply for individual protection from August 2014, and it will fix the value of their pension as at 6 April 2014, up to a maximum of £1.5 million.

Prudent purchases

Private medical insurance (PMI) helps you jump the queue and, for those who can afford it, it could be money well spent.

PMI will not guarantee a better quality of treatment than offered by the NHS but it will certainly get you treated quicker, which could be particularly important for older people who are less resilient or want to stay active. There are many policies to choose from but premiums tend to rise with inflation.

Family fortunes

Rules governing what happens to a person’s assets if they die without having made a will are to change from 1 October and enact recommendations made in 2011.

Currently, for example, where there are no children, surviving spouses only receive a fixed £450,000, plus half the estate. The balance is given to other family members.

Under the new rules, the surviving spouse will receive the full estate.

What the future holds

Born this year?

1960. Jeremy Clarkson was born this year. ‘Jezza’, stalwart of Top Gear and tabloid columnist, once had a chat show and among his guests was, amazingly, pensions guru Steve Bee.

In the episode from the 1990s, not long after Robert Maxwell used pension funds to prop up the Mirror Group, Clarkson recommended: ‘Always spend 10% more than you earn, aim to die in debt.’

Bee said that was ‘an extreme retirement strategy’ given that most people are likely to live longer than they think.

Later life

While the UK population is growing it is still aging.

The number of people aged 65 and over reached 11.1 million in mid-2013, representing 17.4% of the UK population, up by 290,800 from mid-2012.

The Office for National Statistics figures revealed the number of people in this age group has increased by 17.3% since 2003.

Overall, the UK population grew by 400,000 last year, up by 0.63% to 64.1 million.

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