Is anyone thinking about voting

[noahrab]

3-6 mths ago

Has it not always been part of the benefits system?

[Returnofrros]

Has it not always been part of the benefits system?

No really.

But the language has changed so they can justify changing it.

[BCram]

No really.

But the language has changed so they can justify changing it.

Exactly this. They made the decision decades ago not to fund the basic state pension because once everyone lived long enough to collect it, it was obvious that the cost of paying it out of a special dedicated fund was impossible.
Payment is made out of general taxation. Final salary schemes are funded in the private sector which is why, because of the expense, there are few schemes still available.
This change in perception allows politicians to claim that the state pension is a taxable benefit.
I wonder if final salary pension scheme beneficiaries might be excluded from the state pension if they were given tax relief on their payments into their pension pot.
There is something deeply worrying about our country just now. Two tier justice, youth service costs in conflict with pensioner service costs and a political system that is being manipulated by pressure to give up first past the post voting.
We're dooooomed!

[Dode craigie]

I don’t usually reply on the politics posts, but a can’t get my head around why anyone would vote green, to me the way the world is battling around oil. We need to drill drill drill , and greens would have us paying a fortune for foreign energy

[Returnofrros]

Exactly this. They made the decision decades ago not to fund the basic state pension because once everyone lived long enough to collect it, it was obvious that the cost of paying it out of a special dedicated fund was impossible.
Payment is made out of general taxation. Final salary schemes are funded in the private sector which is why, because of the expense, there are few schemes still available.
This change in perception allows politicians to claim that the state pension is a taxable benefit.
I wonder if final salary pension scheme beneficiaries might be excluded from the state pension if they were given tax relief on their payments into their pension pot.
There is something deeply worrying about our country just now. Two tier justice, youth service costs in conflict with pensioner service costs and a political system that is being manipulated by pressure to give up first past the post voting.
We're dooooomed!

Despite my stance that pensioners get far too many concessions I honestly believe anyone who has done their 30 years deserves whats been promised.....their state pension.

Any financial planning for retirement starts with the questions around state pension entitlement.

People have been planning their retirement around the amount they will receive from state pension.

If people think the so called waspi women kicked up a stink for having selective memory and not watching the news for ten years I can assure you that would pale into insignificance if they means test or worse deny folk their state pension.

I would think 95% of people need their state pension in retirement to either survive or have a reasonably comfortable retirement.....very few can do without it.

I consider myself to be relatively well off but having to find another £24 k a year idex linked for Mrs sunshine and I would be fairly difficult if not impossible.

State pension is the first brick in financial retirement planning, take that brick away the whole house of cards collapses.

[eric_sinclair]

For the first time in decades I doubt I will vote,the country is well ****ed and the choices we have for gov are scary,every single one.

[BCram]

Despite my stance that pensioners get far too many concessions I honestly believe anyone who has done their 30 years deserves whats been promised.....their state pension.

Any financial planning for retirement starts with the questions around state pension entitlement.

People have been planning their retirement around the amount they will receive from state pension.

If people think the so called waspi women kicked up a stink for having selective memory and not watching the news for ten years I can assure you that would pale into insignificance if they means test or worse deny folk their state pension.

I would think 95% of people need their state pension in retirement to either survive or have a reasonably comfortable retirement.....very few can do without it.

I consider myself to be relatively well off but having to find another £24 k a year idex linked for Mrs sunshine and I would be fairly difficult if not impossible.

State pension is the first brick in financial retirement planning, take that brick away the whole house of cards collapses.

Thanks Rross. I was trying to find a way of means testing state pension. I wonder what the really wealthy get from their final salary schemes. If you retire on 2/3rds final salary based on ?150k final salary you would get ?100k. How much of a fund would you need to earn that if you had to build it up, yourself? Also how much would you need to buy an annuity? Sorry for the questions, but I dont think the problems of pension funds is being properly addressed.

[Returnofrros]

Thanks Rross. I was trying to find a way of means testing state pension. I wonder what the really wealthy get from their final salary schemes. If you retire on 2/3rds final salary based on ?150k final salary you would get ?100k. How much of a fund would you need to earn that if you had to build it up, yourself? Also how much would you need to buy an annuity? Sorry for the questions, but I dont think the problems of pension funds is being properly addressed.

Single life annuity about 7.8% if in good health......but you can get from 8% to 20% if on deaths door.

So a fund of 1 million gets you £78k gross.....roughly

Drawdown you ain't really recommend to take more than 4.5% from fund but to be honest most people do.

The best thing they can do is reduce employers element in public service pensions but that would involve taking on council, teachers, police, fire service and NHS unions.

[Returnofrros]

Thanks Rross. I was trying to find a way of means testing state pension. I wonder what the really wealthy get from their final salary schemes. If you retire on 2/3rds final salary based on ?150k final salary you would get ?100k. How much of a fund would you need to earn that if you had to build it up, yourself? Also how much would you need to buy an annuity? Sorry for the questions, but I dont think the problems of pension funds is being properly addressed.

Most would take tax fee lump sum reducing the monthly pension.......more and more are moving to drawdown now but fairly significant tax differences and treatment of any residual monies on death.

[The AuldYin]

Depends how long you live and who gets it after you're gone (private pensions)

[noahrab]

Thanks Rross. I was trying to find a way of means testing state pension. I wonder what the really wealthy get from their final salary schemes. If you retire on 2/3rds final salary based on ?150k final salary you would get ?100k. How much of a fund would you need to earn that if you had to build it up, yourself? Also how much would you need to buy an annuity? Sorry for the questions, but I dont think the problems of pension funds is being properly addressed.

Pensioners are like farmers, never met a poor one.

[BCram]

Single life annuity about 7.8% if in good health......but you can get from 8% to 20% if on deaths door.

So a fund of 1 million gets you £78k gross.....roughly

Drawdown you ain't really recommend to take more than 4.5% from fund but to be honest most people do.

The best thing they can do is reduce employers element in public service pensions but that would involve taking on council, teachers, police, fire service and NHS unions.

New starts get a less good deal? It would take a generation or two but it would be relatively pain free.

[Returnofrros]

£230,000 puts you in top 10% savings/investments....excluding pensions

£440,000 puts you in top 10% property.

31 % of people own no property.

[Returnofrros]

Pensioners are like farmers, never met a poor one.

There are far less than 70s and 80s but there are still a few......generally widowed and on old state pension.

I give our political class a wee bit of credit for lifting so many pensioners up and out of poverty.

Office for national statistics wealth calculator is a cracking wee tool.

[Returnofrros]

70k per year disposable household income puts you in top 10%

Gross wage less council tax.

Ken nurses that use food banks on that. 🙄