Pensions

[Grim O'Grady]

1 hour ago, energyzone said:

On another note, it's scary how many people my age (32) have never stated saving for a pension. Lots don't see it as a priority and just something they'll do nearer time.

Thatcherism coming home to roost mate. Her Govt was so anti-Union. When I was 30 (actually a lot younger) I didn't have to think about a pension, the union had already thought about it for me & done a good deal with my employers to sort out a pension for me. My missus is 45 she's worked over 20 years in a non Union place & has got no pension plan sorted, been telling her to get one, she's going to have f**k all by the time she hits state pension age & she's not going to be the only one. 

I'm going to building some massive institution on the edge of town in the next 10 years & call it the Poor House & get state funding to look after all the auld c***s with no pension. 

G-Bo(re)

 

[Sergeant Wilson]

17 minutes ago, Grim O'Grady said:

 

I'm going to building some massive institution on the edge of town in the next 10 years & call it the Poor House & get state funding to look after all the auld c***s with no pension. 

G-Bo(re)

 

Then burn it down?

[SlipperyP]

Then burn it down?

Tories would probably fund that idea.

[Grim O'Grady]

7 hours ago, Sergeant Wilson said:

Then burn it down?

 

7 hours ago, SlipperyP said:

 

Tories would probably fund that idea.

 

It's all I've got & an insurance policy etc etc. 

G-Bo(re)

[Sergeant Wilson]

Just now, Grim O'Grady said:

 

It's all I've got & an insurance policy etc etc. 

G-Bo(re)

If it's not broke don't fix it!

[throbber]

On another note, it's scary how many people my age (32) have never stated saving for a pension. Lots don't see it as a priority and just something they'll do nearer time.

Why is that scary for you? I haven't paid anything towards a pension myself but if I start at 30 then it's still a good 35 years of savings - £30 a week for 30 years will be £45k upon retirement so it's not that big a deal not paying towards it through your 20's. Especially when a good number of people in their 20's spend years travelling, studying, pissing about at work from job to job or saving up for a deposit for a place of their own then a pension won't top their financial priorities list.

[strichener]

1 minute ago, throbber said:

 

Why is that scary for you? I haven't paid anything towards a pension myself but if I start at 30 then it's still a good 35 years of savings - £30 a week for 30 years will be £45k upon retirement so it's not that big a deal not paying towards it through your 20's. Especially when a good number of people in their 20's spend years travelling, studying, pissing about at work from job to job or saving up for a deposit for a place of their own then a pension won't top their financial priorities list.

Cumulative performance is why should invest as early as you can.

[throbber]

Cumulative performance is why should invest as early as you can.

I agree - try telling that to your average 21 year old though.

[Ross.]

1 minute ago, throbber said:

 

Why is that scary for you? I haven't paid anything towards a pension myself but if I start at 30 then it's still a good 35 years of savings - £30 a week for 30 years will be £45k upon retirement so it's not that big a deal not paying towards it through your 20's. Especially when a good number of people in their 20's spend years travelling, studying, pissing about at work from job to job or saving up for a deposit for a place of their own then a pension won't top their financial priorities list.

Do you have a pension through your employer?

Based on retiring at 65, how long would you expect to live? Will £45k realistically fund that period of time?

I'm a bit of a hypocrite on the subject. I've spent large parts of my career selling pension products and have been through enough sales courses that ram all the numbers down your throat to know better, but it was only a couple of years ago I started considering it.

I have a few things I am now looking at for long term income, though my fall back plan is to move home and use the currency difference to my advantage if it comes to it.

[strichener]

Just now, throbber said:

 

I agree - try telling that to your average 21 year old though.

Purchasing an annuity (not a recommendation BTW) would see an income of around £1,200 to £2,600 per annum for a 45k fund if you choose to take the maximum tax free lump sum.  In terms of retirement, a 45k pension fund is the equivalent of going out at the weekend with a fiver.

[throbber]

Ross I don't have a pension through my employer - I'm graduating from uni in 2017 though so should hopefully get something sorted out then when I have a proper career plan. Was doing building work through my 20's and travelling and studying and never gave a pension much thought tbh.

[Ross.]

Just now, throbber said:

Ross I don't have a pension through my employer - I'm graduating from uni in 2017 though so should hopefully get something sorted out then when I have a proper career plan. Was doing building work through my 20's and travelling and studying and never gave a pension much thought tbh.

Most people don't. I was selling SIPPs and spent time most days talking to people about their pension plans but I didn't bother a f**k until I left Scotland. Only in the last couple of years I've started getting my shit together. Looking at the numbers I wish I had started 10 years earlier.

[die hard doonhamer]

I started contributing to my pension at 20. Next time I get a pay rise I'm going to bump up my contribution to the maximum that my employer will match (I'll put in 8% and they'll put in 14%).

[Honest Saints Fan]

I started at 22. I'd ideally like to retire before I'm 65 (years away) as someone will need to look after an old pish-stained Ruggy. 

I'm also lucky that whilst on maternity leave my employer has been contributing not only their share to my pension pot but also mine so I'm not missing out by being off work and it's also not coming off my SMP.

Most of my friends haven't even thought about retirement. I find that mental.

[Adam]

I started at 22. I'd ideally like to retire before I'm 65 (years away) as someone will need to look after an old pish-stained Ruggy. 

I'm also lucky that whilst on maternity leave my employer has been contributing not only their share to my pension pot but also mine so I'm not missing out by being off work and it's also not coming off my SMP.

Most of my friends haven't even thought about retirement. I find that mental.

There's plenty of folk in my work older than me that don't have anything to do with the pension (although I believe the new rules might mean that have to now, or in the future?).

I worked out the other week that my employer and I contribute a total of 14% of my salary to my pension a year. To retire on £10,000 a year I will need to work until I'm 69. I had upped it I'm June but due to a change in circumstances I've had to reduce it. I'm praying that the state pension is still about when I'm older to act as a top-up, but genuinely wouldn't be at all surprised if it becomes a thing of the past, or something for those who have been stupid enough to not pay into a private scheme.

Basically, we're all fucked.

[Blootoon87]

I'm not worrying about my pension yet. My employer pays in a certain percentage, can't remember how much though. I don't put anything away myself. Live fast, die young!

[hk blues]

I've not really thought about it since getting this letter about 12 years ago so not sure if it has changed.

Quick google -

You need 30 qualifying years of National Insurance contributions or credits to get the full basic State Pension. This means for 30 years at least one of the following applied to you:

you were working and paid National Insurance

you were getting National Insurance Credits, eg for unemployment, sickness or as a parent or carer

you were paying voluntary National Insurance contributions

If you have fewer than 30 years, your basic State Pension will be less than £119.30 per week but you might be able to top up by paying voluntary National Insurance contributions.

Think things changed from April 2016.

Not really clear but understand the number of years increased to 35 and the new max pension is £155 per week but think it only applies to retirees sometime in the future. Seems it will apply to me.

I was at the max as i paid voluntary contributions as i live overseas but now need to make up 8 more years to get the £155.

Didn't receive anything from DWP about this, had to do all the legwork myself. I guess a few guys living overseas will have missed this change.

[bob the tank]

Serious Q.

I've taken early retirement through a voluntary redundancy from work, what happens about my state pension, obvz not paying any stamp anymore, so will it be reduced when I hit state pension age?

Have any of you older c***s done anything similar & know the answer?

Thank you in advance. 

G-Bo(re) 

I'd find out when exactly you qualify for the state pension Grimbo. When I was between jobs, I was told I wouldn't get the pension until I was nearly 67, and my sister in law who is four months older than me was told she wouldn't get it until almost 68. No chance of getting a part time job with peoples pension provision ?

[Lambie's Pigeon Feed]

Anyone recommend some good reading on investing? I'm only doing it because regular savings and cash ISAs are a joke for rates, I can't top up a civil service pension and I don't want my money to diminish over time. I don't want the most boring safe funds ever but I'm not going to be monitoring it on a regular basis, seeking out emerging funds, etc so my time spent on it will be low.

And even though any returns aren't going to be above the tax free capital gains threshold I presume I still want to be doing it through a stocks and shares ISA?

[Suspect Device]

On ‎9‎/‎15‎/‎2016 at 12:09, Lambie's Pigeon Feed said:

Anyone recommend some good reading on investing? I'm only doing it because regular savings and cash ISAs are a joke for rates, I can't top up a civil service pension and I don't want my money to diminish over time. I don't want the most boring safe funds ever but I'm not going to be monitoring it on a regular basis, seeking out emerging funds, etc so my time spent on it will be low.

And even though any returns aren't going to be above the tax free capital gains threshold I presume I still want to be doing it through a stocks and shares ISA?

 

A fairly decent and simple read is The Naked Trader by Robbie Burns (no relation I guess). You can probably get a pdf copy online for free. I got one emailed to me by a mate.

http://nakedtrader.co.uk/

On a separate point, I noticed when I was online looking at my self assessment ta you can get an estimate of what your state pension would be.

https://www.tax.service.gov.uk/check-your-state-pension/account

Apparently I've made NICs of £35,947.32 over 33 years so if I manage another 2, I will be entitled to £8,943.93 (not accounting for inflation increase) from 23rd of January 2035.

If I'm still alive.

Edited October 10, 2016 by Suspect Device