UK State Pension

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mosssideblue

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Thread started to discuss all things pension related as it was being discussed in inappropriate threads.

For me, the State Pension is totally inadequate acknowledging that we are living longer and it is paid from current tax grabs

@Mods please transfer discussions from current Labour thread
 
FWIW the elephant in the room regarding pensions and benefits is what happens in 20 years time. Upto now, the majority of today's pensioners own their property and so the state pension doesn't have to really take into account mortgage/rental payments. In 20 years or a bit more, there will be a cohort that will not be in that position and so will have to rely on other means to keep a roof over their head. Indirectly, this will almost certainly be in the form of a significant increase in housing benefit claims. I don't know the answer but just thought I'd put it out there to highlight what's coming down the track.
 
hampshireblue said:
FWIW the elephant in the room regarding pensions and benefits is what happens in 20 years time. Upto now, the majority of today's pensioners own their property and so the state pension doesn't have to really take into account mortgage/rental payments. In 20 years or a bit more, there will be a cohort that will not be in that position and so will have to rely on other means to keep a roof over their head. Indirectly, this will almost certainly be in the form of a significant increase in housing benefit claims. I don't know the answer but just thought I'd put it out there to highlight what's coming down the track.
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For sure a different model is needed for future generations but even if a pensioner is mortgage/ rent free, cost of general living and repairs/ replacement of household items is a worry. Not to mention, a trip to the dentist could wipe out your monthly pension in one go.

Like you, I don’t know what the answer is, but something needs to change for pensioners today and for pensioners tomorrow
 
The Elephant in the room here is rent and the cost of housing in general, it costs a fortune and it shouldn't. We could free up cash for so many people if the government/s made this a priority but they wont because there's money to be made flogging basic essentials to people who can ill afford them.
 
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mexico1970 said:
The Elephant in the room here is rent and the cost of housing in general, it costs a fortune and it shouldn't. We could free up cash for so many people if the government/s made this a priority but they wont because there's money to be made flogging basic essentials to people who can ill afford them.
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So that's 2 elephants already!
 
hilts said:
Then what's the point of a state pension?
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Some people who have been fortunate enough to have a chance to put money away in a separate pension sneering on the people who have lived from hand to mouth, their reasoning? anyone can do it.

Now they are the stupid people.
 
denislawsbackheel said:
Only an utter cretin would expect to live on the state pension alone and not make some extra provision for a private pension.
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Sorry mate but that is ridiculous. Not everyone can afford to pay into alternative retirement income, particularly whilst trying to keep the devil from the door
 
mexico1970 said:
Some people who have been fortunate enough to have a chance to put money away in a separate pension sneering on the people who have lived from hand to mouth, their reasoning? anyone can do it.

Now they are the stupid people.
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They are fucking cretins and tbh very cuntish, what surprises me is how they want to advertise their stupidity by calling other people cretins on here.
 
denislawsbackheel said:
Only an utter cretin would expect to live on the state pension alone and not make some extra provision for a private pension.
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Is it really that simple? Certainly the stakeholder pensions have been a success in getting people to save for their future but unfortunately the levels of income they are likley to produce for someone on even average earnings are pretty poor. Throw in high rents, student loans, frozen tax thresholds and it becomes difficult for people to do anything but contribute the minimum, which will lead to a poor income. The government missed a real trick to even out the tax benefits of saving by keeping a differential between the tax relief. It should have been evened out at say. 25% so a benefit to those on lower salaries and at the same time a reduction, but not enough to become a disincentive, for higher earners. As it is, there will be a generation who will certainly have some small personal pension in place but well be disappointed and shocked as to just how little the returns may be.
 
hampshireblue said:
Is it really that simple? Certainly the stakeholder pensions have been a success in getting people to save for their future but unfortunately the levels of income they are likley to produce for someone on even average earnings are pretty poor. Throw in high rents, student loans, frozen tax thresholds and it becomes difficult for people to do anything but contribute the minimum, which will lead to a poor income. The government missed a real trick to even out the tax benefits of saving by keeping a differential between the tax relief. It should have been evened out at say. 25% so a benefit to those on lower salaries and at the same time a reduction, but not enough to become a disincentive, for higher earners. As it is, there will be a generation who will certainly have some small personal pension in place but well be disappointed and shocked as to just how little the returns may be.
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Absolutely. Costs an awful lot to buy money
 
hampshireblue said:
Is it really that simple? Certainly the stakeholder pensions have been a success in getting people to save for their future but unfortunately the levels of income they are likley to produce for someone on even average earnings are pretty poor. Throw in high rents, student loans, frozen tax thresholds and it becomes difficult for people to do anything but contribute the minimum, which will lead to a poor income. The government missed a real trick to even out the tax benefits of saving by keeping a differential between the tax relief. It should have been evened out at say. 25% so a benefit to those on lower salaries and at the same time a reduction, but not enough to become a disincentive, for higher earners. As it is, there will be a generation who will certainly have some small personal pension in place but well be disappointed and shocked as to just how little the returns may be.
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I agree and 25% flat rate pension relief is something I wholly support. But when less than 50% have any private pension provision you have to wonder what they think they will live on when they have an income of only £12K a year.
 
mosssideblue said:
Sorry mate but that is ridiculous. Not everyone can afford to pay into alternative retirement income, particularly whilst trying to keep the devil from the door
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Less than 50% of the working population have any extra provision.
Do you really think none of them can afford to save something in a pension?
 
denislawsbackheel said:
I agree and 25% flat rate pension relief is something I wholly support. But when less than 50% have any private pension provision you have to wonder what they think they will live on when they have an income of only £12K a year.
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You come across as if these people have a choice in being able to contribute to a private pension. Life is tough and many are simply glad to be able to pay the bills monthly. Not everyone can afford to pay into a private scheme
 
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