Pensions?

[Ashley]

Whilst I respect this has been posted on Facebook anyone in the know care to explain?

Also I am looking at setting up a Pension now best one to pay into or do I enter my works scheme.

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PLEASE PASS THIS AROUND, UNTIL EVERY ONE HAS HAD THE OPPORTUNITY TO READ IT... THIS IS SURELY SOMETHING WE ALL NEED TO THINK ABOUT!!!!

THE ONLY THING WRONG WITH THE GOVERNMENT'S CALCULATION OF AVAILABLE PENSION IS THAT THEY FORGOT TO FIGURE IN ALL THE PEOPLE WHO DIED BEFORE THEY EVER COLLECTED OLD AGE PENSION.

WHERE DID ALL THAT MONEY GO?

Remember, not only did you and I contribute to our Pension, our employer did, too. It totalled 15% of your income before taxes.

If you averaged only £15 000 over your working life, that's close to £220,500. Read that again. Did you see anywhere that the Government paid in one single penny?

We are talking about the money you and your employer put in a Government bank to ensure that you and I would have a

retirement pension from the money we put in, it was not money that the Government had any right to spend elsewhere.

Now they've started to call the money we paid in an

'entitlement' when we reach the age to take it back.

If you calculate the future invested value of £2500 per year

(yours & your employer's contribution) at a simple 5%

interest (that's less than what the govt. pays on the money that it borrows from overseas), after 49 years of working you'd have

£892,919.98.

If you took out only 3% per year, you'd receive £26,787.60 per

year and it would last better than 30 years (that means until you're 95 if you retire at age 65) and that's with no interest paid on that final amount on deposit!

If you bought an annuity with the money and it paid 4% per year, you'd have a lifetime income of £1976.40 per month.

THE CROOKS IN GOVERNMENT HAVE PULLED OFF A BIGGER ROBBERY THAN THE GREAT TRAIN ROBBERS EVER DID.

Entitlement!!??

My foot !! IT'S MY MONEY!! I paid IN cash for my pension.

Just because they borrowed the money to spend on other things, that doesn't make my pension some kind of charity or handout!!

Remember MP's benefits? ---

free healthcare,

outrageous retirement packages,

67 days paid holidays,

three weeks paid holidays,

unlimited paid sick days.

Now that really should be called welfare entitlements, yet they have the nerve to call my O A P retirement payments entitlements?

We're "broke" and the government can't help our own OAPs, our ex-service personnel, our orphans or our homeless

Yet in the past few years we have provided aid to Haiti, Chile, Turkey, India, Pakistan, etc., etc., etc. Literally, BILLIONS of Pounds !!!

But they can't help our own citizens!

Our retired seniors living on a 'fixed old age pension have to beg social services to receive additional aid, while our government and religious organizations pour hundreds of billions of £££ tons of food to foreign countries!

They call the old age pension an entitlement even though most of us have been paying for it all our working lives, and now, when it's time for us to collect, the government is running out of money.

Why did the government borrow from it in the first place?

It was supposed to be in a securely locked box, not to be used as part of the Government's general funds.

Sad, isn't it, that some people won't have the guts to forward

this. I'm in the category with guts enough to do it - - - and I just did.

I hope some of you will do the same.

[Larry_LCFC]

I pay 13%ish a month. Takes such a huge chunk of my pay. Times that by 37 years I have to work, it will cost me a fortune - wonder how much I'll ever actually get back.

[Sol thewall Bamba]

I pay 13%ish a month. Takes such a huge chunk of my pay. Times that by 37 years I have to work, it will cost me a fortune - wonder how much I'll ever actually get back.

13%!? Isn't workplace pension minimum contribution 1% at the moment until 2017? 

[Larry_LCFC]

13%!? Isn't workplace pension minimum contribution 1% at the moment until 2017? 

Don't confuse me with your cleverness. All I know is its around that mark

[Frank to be]

I don't know what that message us on about really. Maybe some older pension set up. These days most pensions are much more transparent. You can manage it yourself just like you would an ISA, choose your own investments and see exactly how much is in it and what you're projected to get back. It's worth doing up to the point your employer matches your contribution because it's effectively a pay rise.

[Wymsey]

Put most work savings underneath your patio/basement etc, out of sight.

So the taxman can't find and take it.

...

[Bellend Sebastian]

If there's one thing I've learned about life is that as soon as someone uses more than one exclamation mark when making a statement, it's bollocks.

Like a lot of this weird uncredited stuff on Facebook (which I'd never get to see if my daft old relatives weren't sharing it) it's either from another country, or completely made up, or both.

I work in financial services and I've not a clue what they're going on about. I don't recognise the terminology or the numbers. It's probably just one of these bits of shite that someone throws out there to see how far it travels.

There's a state pension that you're entitled to if you've paid sufficient National Insurance contributions, which is unlikely to be enough to live on if it even exists by the time we retire, and there are occupational and private pensions that you get tax relief on the payments in that you make as an employee, although the income that you receive from it is taxable when you retire.

There's pensions in a nutshell.

Should you pay into one? Yes you should, because there's not really any practical way of building up funds for retirement that is more tax efficient.

I'm going to sleep now, now that I've rendered you all unconscious

[Captain...]

It seems to be confusing state pension, which the government is trying to cut and your private pension which the government can't touch, your employer makes no contribution to your state pension as far as I'm aware.

The rate is 12% but it is not solely pension contributions it is also covers job seekers, disability, sickness, maternity and paternity leave. So to say you pay 12% of your salary towards your state pension is also wrong.

[Rincewind]

I thought state pension was paid through NI which the employer pays a part. Its going to be a worry for young ones in a few years. Many cannot find permanent full time jobs and cannot aford a private pension on low wages.

I looked up info about my official state pension due next year. My income wont change so it will be £115 plus my private one. As I am not extravigant  with my money I will be OK.

If your NI contributions are short you are able to top them up. I checked and do not need to as I have paid in since I was 15I dont know how it works for those with long term illnesses  or unemployment. They wont be able to claim JSA if retired and their pension will be reduced. But that is not my worry. I was never in a job where I could afford to pay a great deal for a PP but if a person  is then do it but be wary that there  may be times when your income could be reduced so your contributions are eating into your evey day living expenses.

[Monk]

Put most work savings underneath your patio/basement etc, out of sight.

So the taxman can't find and take it.

...

You mean, money you've already paid tax on? Why on earth would you do that?!

[Monk]

I assume OP is talking about the relationship between NI contributions and the state pension? The state pension is and always has been unfunded, so the argument is completely invalid.

[DB11]

Sounds confusing. All I know is I have to pay like a lot

[Ross-Kemp]

I pay in 6% of my salary, my company pays in 12%.

I've done it since I started working at this company (about 2 1/2 years ago now) so I've never seen this cash in my wages which means I don't miss it.

I'm 24, I'm not daft, I know there won't be a state pension when I get to retirement age (that's if there is one).

My job has massive scope for increased pay and promotions are a plenty if you get your head down and graft, I imagine if I stick at this job until I'm about 70 (it's a fairly easy role with no physical demands), then I'll have a decent chunk.

[Rincewind]

When I looked up info on reiring and state pension it said changes will make it even more complicated and people will need advisers to explain it all. I wonder if any of the ones who thought it up are independant pension advisers?

[Ashley]

Anyone on here in a private one and any advice welcome would be appriciated. I seen someone post this on facebook and wondered what the cracks was that is all.

[Soar Fox]

Think mines with Scottish widow my work sorted it out for me. I pay £80 a month in and my company match it.

Started paying into it 7 years ago now and you don't miss it from your wages.

[jonthefox]

I found out the other day ,that for me to receive a pension similar to what i earn now, i would need a pension pot of almost £400k. 

[jonthefox]

Anyone on here in a private one and any advice welcome would be appriciated. I seen someone post this on facebook and wondered what the cracks was that is all.

 

 

Decent website to set you off. 

 

https://boringmoney.co.uk/

[Jon the Hat]

Anyone on here in a private one and any advice welcome would be appriciated. I seen someone post this on facebook and wondered what the cracks was that is all.

Generally speaking if your employer pays in to work pension you would mad not to start with that. They are all private anyway.

[Nalis]

I found out the other day ,that for me to receive a pension similar to what i earn now, i would need a pension pot of almost £400k.

You can factor in that you might not have a mortgage by then too, if you're lucky enough to have it paid off that is.

[jonthefox]

You can factor in that you might not have a mortgage by then too, if you're lucky enough to have it paid off that is.

 

I took out a mortgage recently and was offered a maximum of a 23 year term ( which would take me to 65 ). I'm not sure if it's a legal ruling or not.

[Babylon]

You can factor in that you might not have a mortgage by then too, if you're lucky enough to have it paid off that is.

I focused on paying mine off rather than a pension, now mortgage free (whoop). Most of my pay now gets saved in pension, ISA and Shares.

[fuchsntf]

I pay in 6% of my salary, my company pays in 12%.

I've done it since I started working at this company (about 2 1/2 years ago now) so I've never seen this cash in my wages which means I don't miss it.

I'm 24, I'm not daft, I know there won't be a state pension when I get to retirement age (that's if there is one).

My job has massive scope for increased pay and promotions are a plenty if you get your head down and graft, I imagine if I stick at this job until I'm about 70 (it's a fairly easy role with no physical demands), then I'll have a decent chunk.

Not against any of your thoughts, but like many your age you still have 46 years to work, believe me in those 46 years, there will be many twists and turns in your progress through life, on the employment front, and within your present company.

Dont make the mistake of thinking your future wont change, depend on yourself, not on how you believe life will pan out.

I am now in Early retirement, travelled the world, with various so called top companies, dropped out a few times,to travel. Seen many drastic changes, thought I could retire at 45, technical Branch in Engineering, and IT always seemed to be solid career path.

Even good hard willing workers, jobs with a scope, find their positions and career paths , changing quicker than they are prepared for. Management everywhere have different agendas, and play percentages with their experienced staff.

I have no chips, nor am I lookingback looking for excuses, or on a blame everybody else path.I have a reasonable life, seen most things in life, good and bad. Have 3 careers behind me.

Just giving out some worldly friendly advice, your generation is going have to show more flexability, and carry employment extremes, more than those who have gone before you.

[fleckneymike]

Anyone on here in a private one and any advice welcome would be appriciated. I seen someone post this on facebook and wondered what the cracks was that is all.

 

I worked briefly in pensions

 

If your employer offers a pension, join. Invariably your employer will pay double the rate of you contribution, many schemes allow for different contribution rates from the employer, pay in as much as you can afford. Remember pension contributions are taken before tax so you're saving money.

 

If your employer offers a final salary scheme, never leave that company.

 

Many pension schemes also provide life assurance too.

 

Basically, get yourself a workplace pension.

[Bettsj2]

I bought 2 properties and let them out. The rent pays the mortgage and in 15 years they'll both be paid off.

The rent will then go into a savings account untouched (except for repairs and maintenance to the properties) until I retire.

When I do, the rental income along with the money saved should give me around £2k a month.

Much better return than a pension in my opinion.