living off your savings in retirement

I imagine most retired people are living off a mixture of savings, state and/or private pension.

Don't waste your energy on what other people are doing - you don't know their circumstances. They could have always worked but in low-paid, unskilled jobs and could never afford to save.

It really annoys me when i hear other people talking about how they get this and that from the state as they saved nothing or made no provison for later years

Do you not see the irony in this statement?

From what you say your family has been in receipt of sickness/unemployment state benefits for many years, plus if you are in council property you will have had state subsidized accommodation all these years. These benefits helped you to save 'quite a lot'.

Enjoy your retirement and forthcoming holiday.

If your savings are just over the amount that you are allowed to have without losing out on benefits you might be better off spending some more of the savings to qualify for the benefits. As others have said, you need advice from CAB or Help the Aged. Sometimes you just have to play the system!

Don't resent others for their lifestyle, you have got a good little nest egg, they haven't and despite what you may here, there is nothing luxurious about living a life on a state retirement pension topped up a little with pension credit. You are right though about having a great holiday, go for it, enjoy it while you are fit to do it.

Have you had a benefit check carried out by the CAB? Having savings doesn't automatically mean you can't get some help - it depends on the amount of the savings and the amount of income. You must be old enough for Pension Credit? CAB will check for that and help with rent, council tax, NHS costs etc.

This is the 'trap' that so many who have a small pension / some savings get caught in.
You don't say what advice you have received about managing your money. If you haven't, I definitely suggest getting advice from Help the Aged, maybe checking your entitlements on Turn2us.

I think this can be tackled from 2 points: one is making sure that you are maximising benefits and not missing any.

The other is the best way to manage the money you do have. I am wary of 'financial advisors' - I personally had poor experience (not fraudulent, just not that helpful) but I have friends who are very glad that they had an appointment.

Do you go over to Money Saving Expert? The forums there are full of people stretching money, sharing tips and bargains: from the best savings accounts, to up-to-date coupons and freebies.

I am not sure if I am teaching my grandmother to suck eggs, but I am always looking in the local council information, adverts, information at the library etc. for free / cheap activities, just as I did when my kids were small.

We live in an area with active groups and can attend a good many free or very cheap activities. A typical week:
Local health walk (set up so that people in wheelchairs / mobility scooters can join in) free, we usually join in having a coffee at the end
Craft group where we share advice, and take advantage of offers. Free apart from materials
Aquafit (which people with disabilities join in) is free as I pay £12 a month 'swimming membership' at our local leisure centre
Village coffee morning. Free, contributions welcome, money or cake. If there is an offer at the Co-op, I put in a jar of coffee.
We will pay £5 each this week for a hilarious night at our local amateur dramatic review, and will probably stretch to a glass of wine to accompany and a quid in the raffle. We will also use the car to get there, other activities are walking or by bus, using bus passes.

My apologies, travelsafar, if this doesn't sound as much fun to you as it does to me!