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Retirement
- Thread starter Shieldsman
- Start date
This. They’ll use the statistics gathered to start a drip drip campaign against the entitled pensioners sucking the lifeblood out of the economy before targeting a raft of changes to counter the new bogeymen.
ir35
Striker
People kept voting for these c#nts.
Darlo1973
Striker
When my aunt died we had around 9 months of going backwards and forwards with the DWP and HMRC as they were investigating whether she had been overpaid pension credit. In the end we had to pay back about £90 but it held up the whole settlement of the estate. The cost of the investigation must have cost 10 times that.
DaveH
Striker
There is the very rich who can claim state pension but don't actually need it, but really as a percentage what is that? Less than 5%?
The big problem they would have with such a policy is that many people base their careers, mortgage and a lot of long term financial planning on the assumption there will also be a state pension, and we have been paying NI for it all these years. At 46, I have my eye very much on the end game. I'd be really pissed off if they pulled the rug out from under me and extended my career for many years. And so would the vast majority of people like me, middle aged, middle earners. That would be a massive vote loser.
The only way to really pull it off is to target those in their 20s now. But then it gets complicated. Do you say to them they have to project what they might earn so they can pay less NI and invest in a private pension more? Very few can map out their career at that age. And it would take 40-50 years to see the benefits.
The only way to equitably do that would be to stop taking NI off that demographic and tell them they have to exist off private pension only. Then you’ve pulled the biggest block out of the Jenga pyramid which is currently propping up the pension model.
safccfas
Winger
Imagine the lawsuit if they tried to take state pension off people like us who have paid NI for decades !!
That’s effectively what Aus did. Everyone has a private pension fund and employers have to pay 11% (rising to 15%) of employees salary into that.
The state pension here is a benefit, not a lot and is means tested.
Most people plan to draw down on their own pension pot in retirement and at some point the state pension kicks in.
Even though this kicked in around 25 years ago there are loads heading into retirement now who don’t have much in their pot (wives who didn’t work, people who work for cash or part time low paying jobs), so they will have to rely on the state pension
They could do that if they wanted. They change the age you’re eligible for it, they can change whether you get it at all. Legally it’s a discretionary benefit, iirc, there isn’t an account with your contributions in that you can draw down.
3.142
Striker
There are a hundred reasons for this other that means testing state benefits. Not impossible, not imminent, but certainly scaremongering.
safccfas
Winger
You don’t think there would be a legal challenge and people seeking compensation? I think it would be like PPI and people would what their money back !
42
Striker
There'll no doubt be a challenge like the WASPE lot, but it'll unlikely be successful. But if it affects the average joe, then it's pointless as it just disincentives saving for a pension.
DaveH
Striker
Then there is the other type of challenge. Means testing and reducing the state pension would affect huge amounts of the work force. There would be strikes, protests and ultimately a vote loser. One party stands up and promises to return it to how it was and that party wins the next election.
Hooky
Midfield
Does anyone pay for Financial advice? I'm in the fortunate position of having enough put away to pay the house off at 47, while still having some savings and both me and the missus earn decent money for the north east.
We are savy and use ISA allowances and try to find best savings accounts etc but feels at the minute we could probably do a little bit more to reduce tax or get the best out of the money we are now at the point where we can invest a couple of grand a month.
I’ve a mate who just pays for a catch all service where you just give the advisor the money and they invest it where they feel fit, now rightly or wrongly I’m a bit weary of going down that route as I don’t think you should have all your eggs in one basket. I could do someone who just does a financial review, explains where is best to put money but then I just do it myself but I don’t know if this service exists..
We are savy and use ISA allowances and try to find best savings accounts etc but feels at the minute we could probably do a little bit more to reduce tax or get the best out of the money we are now at the point where we can invest a couple of grand a month.
I’ve a mate who just pays for a catch all service where you just give the advisor the money and they invest it where they feel fit, now rightly or wrongly I’m a bit weary of going down that route as I don’t think you should have all your eggs in one basket. I could do someone who just does a financial review, explains where is best to put money but then I just do it myself but I don’t know if this service exists..
Compensation for what though? Where’s your specific pension contribution? There isn’t one.
It’s an informal social contract that you pay in and then they pay out - I’ve already had my pension put back from 65 to 68, what’s to stop them changing that to 75 or 80? Apart from it being electoral suicide…
Boris Bear
Striker
30 years ago there was only ever enough money in the pension fund to pay 9 weeks of state pension…probably less these days
42
Striker
Paying for advise is probably only worth it if you are on really good money & have quite a bit put away that youre likely to still be a higher rate tax payer in retirement. Are you maxing out pensions? Which will reduce tax liability.
Might be worth watching this blokes videos
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Tuono
Winger
I have a private pension and just hoyed a £5,000 lump sum in on Saturday, with the HMRC tax top up that takes it to £6250. Imagine my surprise when I checked today to see the overall value has dropped by about £4,000 since Saturday. I know it's a long term investment but it doesn't half knock your plug in seeing £4,000 disappear just like that when you've just hoyed it in.
Zidane
Striker
I might be in a small club if 1 on this but my belief is that when you start paying into NI/state pension at say 18, the terms and date of the payout should be contract agreed and guaranteed.
So if at the time of starting it was 60 years old, then you should start getting it at 60 at the end of your career, guaranteed.
If the government want to then up it to 70 then all of us on this board who have been paying for many years should still get it at 60, but the younguns today sign upto 70.
Its an absolute piss take from the government, a total disgrace in my opinion. Some people will die between 60 and 67 and not get a penny.
So if at the time of starting it was 60 years old, then you should start getting it at 60 at the end of your career, guaranteed.
If the government want to then up it to 70 then all of us on this board who have been paying for many years should still get it at 60, but the younguns today sign upto 70.
Its an absolute piss take from the government, a total disgrace in my opinion. Some people will die between 60 and 67 and not get a penny.
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