What's my status?

[Evangelion]

I currently do a very boring data entry job through an agency, at minimum wage. However I shall be leaving in about a month.

Reason is, I am about to sell the house I live in and move out of the area. The house is co-owned by myself and my brother, and half the selling price is insufficient to buy another place (even the smallest flat imaginable). Not a problem for my brother - he already owns a house - but it is for me, so I have decided to rent. (Part of the reason for moving is that rents are so much cheaper in the area I'm going to, that I could rent a house there, for £200 a month less than a flat would cost here.)

So here's my question: With (even after estate agents commission, removal costs, deposit etc.) over 100K in the bank, and less than 5 years until I reach retirement age, I'm not going to be in any hurry to look for another job - perhaps only part-time when I do. So, in the meantime, what's my status? What do I do about tax and NI? Do I need to go and sign on even though I'm not seeking employment and wouldn't qualify for JSA anyway? Can I get away with calling myself 'retired' then 'unretiring' later if someone offers me work?

[Cyberprog]

You wouldn't qualify for JSA due to your savings, but you may need to pay your NI stamp.

[Eric Mc]

Are you not sure about whether you are employed or self employed?

[Mattt]

I assume you have longer term plans to get you through retirement? £100k doesn't really go that far.

[Countdown]

Tax depends on how much interest your savings generate.
Voluntary NI depends on how many benefits you want to be entitled to and how much state pension you want.
You don't need to sign on.
You could call yourself retired, semi retired, whatever you like

[AlexC1981]

I'm ignoring your question completely, but rather than rent a house and lose the money over 5 years, I would be tempted look into buying a log cabin by the sea or something.

[Evangelion]

Eric Mc said:

Are you not sure about whether you are employed or self employed?

Can't be self-employed if I'm not doing anything shirley?

Matt said:

I assume you have longer term plans to get you through retirement? £100k doesn't really go that far.

Yes, go back to work eventually. I just intend to take my time to make sure I find something I enjoy that pays reasonably (hopefully both) rather than jump into the sort of crap job I have now. Actually, I always said that if I won the - now defunct - Lottery Daily Play (£30K at the time) I'd go back to driving instruction. £10K to buy the car, £10K for advertising, £10K to live on while the business builds up.

( I could of course, retrain for something else instead.)

[Eric Mc]

Evangelion said:

I currently do a very boring data entry job through an agency, at minimum wage. However I shall be leaving in about a month.

You haven't stopped yet.

So my question is still valid.

[Evangelion]

Eric Mc said:

Evangelion said:

I currently do a very boring data entry job through an agency, at minimum wage. However I shall be leaving in about a month.

You haven't stopped yet.

So my question is still valid.

At this present moment my status is, employed.

My question is, what will it be after I leave? (Even if I could stomach the job, a 200-mile commute is not an option!)

[Eric Mc]

If you aren't engaged in any sort of work - whether it is through an employment or through a business you run (sole trader, partnership or limited company), then you are technically unemployed.

You MAY be eligible for benefits and tax credits - depending on the facts behind your unemployed situation and other factors such as health and family situation.

[Evangelion]

On the other hand I don't want to fall foul of any "NO DSS" rule when I'm trying to rent a place.

[Countdown]

Evangelion said:

At this present moment my status is, employed.

My question is, what will it be after I leave? (Even if I could stomach the job, a 200-mile commute is not an option!)

I think you're worrying about nothing. You could say a multiple of things,

Taking a career break
Sabbatical
Resting

Nobody would care. And you wouldn't be DSS because (i) they don't exist and (ii) you're not claiming benefits.

[condor]

Are you resigning from your current job? If so that will mean you're not entitled to JSA for a period of time. With £100K you'd only be entitled to 6 months contribution based JSA.
I'd suggest you set up as self-employed, doing whatever job you would like to do.

[Evangelion]

I will be resigning.

I like your suggestion; I've always done my own maintenance on my guitars and have recently been amassing more tools and knowledge - teaching myself how to cut nuts, and level and profile frets for example. Refretting next. I'd like to expand into doing this professionally, particularly as it would allow me to work from home.

[condor]

In that case, concentrate on your guitar work and set up your own business.
5 years ago I went self employed aged 50 and set up my pet sitting/dog walking business. I had a modest amount of savings and owned my house outright so had few outgoings, but it's slowly built up to be a business I can continue way past retirement age. I also love it

[Evangelion]

That's a good point, I wouldn't mind being a dog walker, but my adverts would have to specify, "no tiny ratlike dogs, no yappy dogs, no huge dogs the size of Shetland ponies."

[UK345]

Drop the recruitment consultant a wee text telling them you wont be back. I done that once and the response was hilarious.