Pensions

[denislawsbackheel]

Due my RAF pension in 13 months, did 12 years so be worth a couple of quid a month but not sure how much, if I'm still working I doubt it's going to be worth drawing it or the lump sum so wondering if anyone else has held back from drawing it and if so how much does it accumulate ....

Won't it increase the same whether you take it or not?

 

[DenisLawBackHeel74]

I'd be amazed too. Even if she does tinker with it you'd expect some lead time for providers to implement any changes and possible some protection similar to the Lifetime allowance protection before it was abolished. I suspect, like you, she might tinker with the tax relief.

I think they’ll need to be careful as you’ll have GP’s retiring early again…

 

[Eaststander1]

Pension I won’t be seeing that anytime soon,Mr Taxman is circulating like an hyena

Wait while they're delving into your bank account, which is gonna happen anytime soon .... they'll be syphoning half of it away whilst you're in the kitchen washin' the pots!

They've only held off so far because of the delay in getting permission to do it, but that's not gonna prove to be any obstacle !

 

[Corky]

I earned my State and Private pensions and also contributed substantial Additional Voluntary Contributions in case we need to pay for elderly care, thereby avoiding the burden our parents left us with, i.e. losing the first ten years of our retirement caring unpaid because they hadn’t made provision in their working years. So having saved the Government thousands, now they seem to be punishing us. Bastards!

How are you been punished? Unless reform get in you won't lose your state pension.

 

[69FACUPfinal]

How are you been punished? Unless reform get in you won't lose your state pension.

I'm not so sure of that. All of them are desperate to take away state pension imo from those who have a private pension.

Annoys the hell out of me. Work all my life pay my NI, happy to support previous pensioners, but now we are an ageing population and are being punished by havibg the audacity to live longer.

 

[Corky]

I'm not so sure of that. All of them are desperate to take away state pension imo from those who have a private pension.

Annoys the hell out of me. Work all my life pay my NI, happy to support previous pensioners, but now we are an ageing population and are being punished by havibg the audacity to live longer.

You mean the aging population has put it up 2 years in your lifetime?

The men's state pension age was set 1 year above the average male life expectancy in the 1950s, and is now 12 years above.

 

[denislawsbackheel]

I'm not so sure of that. All of them are desperate to take away state pension imo from those who have a private pension.

Annoys the hell out of me. Work all my life pay my NI, happy to support previous pensioners, but now we are an ageing population and are being punished by havibg the audacity to live longer.

Utter conspiracy bollocks.

 

[flook]

You mean the aging population has put it up 2 years in your lifetime?

The men's state pension age was set 1 year above the average male life expectancy in the 1950s, and is now 12 years above.

I'm sorry what? Are you saying average male life expectancy is 55???

 

[hampshireblue]

I'm sorry what? Are you saying average male life expectancy is 55???

I think the average life expectancy was 66,so one year after getting the pension, it is now 78 so 12 years after.

 

[Tommy_Catons_Perm]

I'm not so sure of that. All of them are desperate to take away state pension imo from those who have a private pension.

Annoys the hell out of me. Work all my life pay my NI, happy to support previous pensioners, but now we are an ageing population and are being punished by havibg the audacity to live longer.

I'm a pedant. But it annoys me, especially if a 90 year woman for example claims to have worked "all their life". Unless you started work at birth and never retired, you did not work all you life. A 90 year woman probably started work at 15 and retired at 60. So that is HALF of their life.

 

[roubaixtuesday]

I think the average life expectancy was 66,so one year after getting the pension, it is now 78 so 12 years after.

You're right, but it depends what you mean.

• Period life expectancy is the average number of additional years a person would expect to live if he or she experienced the mortality rates by age of the given area and time period for the rest of their life.
• Period life expectancy at birth in the UK in 2021 to 2023 was 78.8 years for males and 82.8 years for females, while period life expectancy at age 65 years was 18.5 years for males and 21.0 years for females.

So if you're born today, your life expectancy is 78.8, but if you're 65 now, your life expectancy is (65+18.5) = 83.5. So if you take a pension at 67, you'd expect to take it for 16.5 years.

National life tables – life expectancy in the UK - Office for National Statistics

Trends in period life expectancy, a measure of the average number of years people will live beyond their current age, analysed by age and sex for the UK and its constituent countries.

www.ons.gov.uk

 

[hampshireblue]

I earned my State and Private pensions and also contributed substantial Additional Voluntary Contributions in case we need to pay for elderly care, thereby avoiding the burden our parents left us with, i.e. losing the first ten years of our retirement caring unpaid because they hadn’t made provision in their working years. So having saved the Government thousands, now they seem to be punishing us. Bastards!

Well done for making provision. How are you being punished? Saving into a personal pension does cost the Government in terms of tax relief given. That relief is around £50bn per year, the majority of which goes to the higher paid.

 

[Tommy_Catons_Perm]

Im looking to retire next year but am keeping a close eye on the November budget to see how much she wants to siphon off. Might mean i take benefits earlier if she starts tinkering with the tax free lump sum and reduces it significantly. I work in pensions and have built up an healthy DC pot to use drawdown and a DB(career average) pension that kicks in at age 65. Wife doesn't work but I have been paying 240pm into her pension for several years.(300pm with tax relief). Like others on here, being an higher rate tax payer, I use salary sacrifice to pay into my DC pension which means I save 40% tax and 2% NI. Mortgage ended 8 years ago so i diverted those payments into the pension instead. I'm fortunate that my employer also pays 13% of my salary into the pension too. Will be on a much lower monthly wage but pretty sure i can make it last and enjoy my retirement. (Until at least age 67 when I will have both my career average pension and state pension - wife's state pension kicks in 2 years after me

Sounds eerily like my situation. I doubt there will be any significant changes to tax free pension in budget. I'll probably spend cash isa and savings before DC drawdown too.

 

[69FACUPfinal]

I'm a pedant. But it annoys me, especially if a 90 year woman for example claims to have worked "all their life". Unless you started work at birth and never retired, you did not work all you life. A 90 year woman probably started work at 15 and retired at 60. So that is HALF of their life.

Are you saying I'm 90??!!

I agree with you being pedantic, I will rephrase, I was in full employment, without claiming any state benefits until I retired.

 

[69FACUPfinal]

Utter conspiracy bollocks.

Let's wait and see. Time will be the judge on that particular issue.

 

[hampshireblue]

I'm not so sure of that. All of them are desperate to take away state pension imo from those who have a private pension.

Annoys the hell out of me. Work all my life pay my NI, happy to support previous pensioners, but now we are an ageing population and are being punished by havibg the audacity to live longer.

You haven't been punished-yet. In fact despite it still being low by international standards the state pension is actually higher now in real terms than ever before.
I've suggested beofre that there should be a "buy out" of the state pension available for those of us with decent personal pensions. This would reduce the long term liability for the state.

 

[cptaidan88]

I'm a pedant. But it annoys me, especially if a 90 year woman for example claims to have worked "all their life". Unless you started work at birth and never retired, you did not work all you life. A 90 year woman probably started work at 15 and retired at 60. So that is HALF of their life.

So would you ask the 90 year old woman to go back to work?

 

[M18CTID]

Let's wait and see. Time will be the judge on that particular issue.

I don't think there's a conspiracy by any party to get rid of the state pension but I do think that if life expectancy and percentage of the population reaching pensionable age keeps increasing, I can envisage a time in the future where the state pension doesn't exist. I'm talking 100 years or more in the future rather than a couple of decades though

 

[Eaststander1]

So would you ask the 90 year old woman to go back to work?

If you did you'd probably get laughed at and then totally ignored by her!

 

[mexico1970]

I don't think there's a conspiracy by any party to get rid of the state pension but I do think that if life expectancy and percentage of the population reaching pensionable age keeps increasing, I can envisage a time in the future where the state pension doesn't exist. I'm talking 100 years or more in the future rather than a couple of decades though

Isn't the discussion mainly about private pensions though? People with private pensions losing out on a state pension because they have a private one?