Earmarking her summer earnings for holidays leaves nothing for living costs. Meanwhile, she cannot commit to another employer. She should keep her options open, and place the capital in an instant access account . If Val finds a job, she will not need to draw her pensions nor take income from her investments, so can invest for growth with the option of income if finding a job is difficult. Her income is 9,500 a year, whereas she needs 12,000 net.
Interest makes up the shortfall.
Pensions could add another 2,000 gross. Val does not have the option of investing the pension funds into HSBC's High Income Plan. She has too little for income drawdown or phased retirement, so she must buy an annuity, now or later, depending on whether she finds a job. I do not advise tying up more capital in property. Although the returns look attractive, property is illiquid and income depends on a constant supply of good tenants.