The 25x rule is a good way to check whether you have enough money in your pension pot to retire at 60. This rule says that you need to save 25x your retirement expenses before you retire. So, if you spend £25,000 per year, you'll need £625,000 in pensions, investments and savings.

Retiring at 60 in the UK in 2026 requires meticulous planning because you cannot claim the State Pension until age 67. To bridge that 7-year gap, you must rely entirely on private or workplace pensions and personal savings. Under "Pension Freedom" rules, you can currently access your private/workplace pension from age 55 (rising to 57 in 2028). To retire comfortably at 60, experts recommend having a "pot" that provides at least 60–70% of your pre-retirement income. In 2026, many retirees use a "drawdown" strategy, taking their 25% tax-free lump sum to pay off a mortgage or debts, while keeping the rest invested to provide a monthly income. You must also factor in the cost of private healthcare or dental care if you don't want to rely solely on the NHS, and ensure you have enough National Insurance "qualifying years" (usually 35) to receive the full State Pension once you hit 67. Consulting a financial advisor to calculate your "burn rate" is essential before handing in your notice at 60.