1. Join Now

    AVForums.com uses cookies. By continuing to use this site, you are agreeing to our use of cookies. Learn More.

Work until you drop !

Discussion in 'General Chat' started by Nick_UK, Sep 23, 2005.

  1. Nick_UK

    Nick_UK
    Banned

    Joined:
    Nov 13, 2004
    Messages:
    9,748
    Products Owned:
    0
    Products Wanted:
    0
    Trophy Points:
    103
    Ratings:
    +270
    The good news - "A report by the National Association of Pension Funds (NAPF) said everyone should be eligible for a "citizen's pension" starting at £109 a week."

    The bad news - Britons may have to wait until the age of 69 to pick up their state pension, plans put to the government suggest.

    That'll save the government a few quid !

    http://news.bbc.co.uk/2/hi/business/4271942.stm
     
  2. Ed Selley

    Ed Selley
    AVF Reviewer

    Joined:
    Jun 26, 2003
    Messages:
    10,854
    Products Owned:
    0
    Products Wanted:
    2
    Trophy Points:
    166
    Ratings:
    +3,227
    As a 24 year old I expected nothing less. Live longer- consume more resources= eventual need to change the system.
     
  3. Setenza

    Setenza
    Well-known Member

    Joined:
    Jun 17, 2002
    Messages:
    3,345
    Products Owned:
    0
    Products Wanted:
    0
    Trophy Points:
    86
    Ratings:
    +226
    I just shove as much as I can spare each month into a private pension. I'm 37 and when I get to retirement age I expect **** and all from the state.
     
  4. stevegreen

    stevegreen
    Well-known Member

    Joined:
    May 14, 2001
    Messages:
    8,727
    Products Owned:
    0
    Products Wanted:
    0
    Trophy Points:
    136
    Location:
    in my Hymer
    Ratings:
    +984
    I would guess that many would have already realised that the state pension will be nowhere near whats needed to survive in the future, and with the possibility of the retirement age being slowly pushed up many, including myself, have already started planning for retirement, early if possible!
     
  5. SanPedro

    SanPedro
    Well-known Member

    Joined:
    Jan 11, 2001
    Messages:
    4,502
    Products Owned:
    0
    Products Wanted:
    0
    Trophy Points:
    136
    Ratings:
    +504
    The pensions 'timebomb' will be a real frightener for a lot of people. There's no way that a shrinking working population can support a thriving retired population.

    I personally think a lot of people will have a part-pension, part-work income as they pass beyond 65, assuming they are able to work and don't have enough in their pension pot. i read somewhere that you need to be putting something like £400 a month into a pot to have any chance of a decent pension. a £100,000 pension pot will give you a max payout of around £6200 a year as an annuity. So most are gonna need at least £300K (at todays rates) to get anything like a half decent pension.

    TBH it doesn't bother to think I'd have to work beyond 65 - always assuming it was something I enjoyed doing. But I guess that's the crux - imagine having to work in a dead-end job, as that's what it'll end up as.

    Seriously though... what do people imagine they will do when they are retired? The idea of sitting around all day doing nothing except reading the paper or putting a few quid on the horses (as my father-in-law did) does not fill me with relish.

    I'd rather carry on working part-time if it meant having a better standard of living.
     
  6. Tuddy

    Tuddy
    Active Member

    Joined:
    Aug 17, 2005
    Messages:
    759
    Products Owned:
    0
    Products Wanted:
    0
    Trophy Points:
    31
    Location:
    Bury St Edmunds
    Ratings:
    +37
    All very well making us work longer :thumbsdow even though some people never seem to work at all, :mad: but will our employers expect a 65+ person to be as efficient as someone 20 years younger?
     
  7. Ed Selley

    Ed Selley
    AVF Reviewer

    Joined:
    Jun 26, 2003
    Messages:
    10,854
    Products Owned:
    0
    Products Wanted:
    2
    Trophy Points:
    166
    Ratings:
    +3,227
    Depends on the job but if the skill set was the same, someone could realistically do my job irrespective of age.
     
  8. Ian J

    Ian J
    Banned

    Joined:
    Aug 6, 2001
    Messages:
    25,529
    Products Owned:
    0
    Products Wanted:
    0
    Trophy Points:
    166
    Ratings:
    +4,906
    Why not shove as much as you can spare each month into my direction and I'll also give you naff all when you retire :D
     
  9. SanPedro

    SanPedro
    Well-known Member

    Joined:
    Jan 11, 2001
    Messages:
    4,502
    Products Owned:
    0
    Products Wanted:
    0
    Trophy Points:
    136
    Ratings:
    +504
    You only have to look at the number of MDs, Chairmen, entrpreneurs etc. still at the top who are well past 65.

    I wouldn't mind being in that position - although my own business still has a fair way to go. Sigh.
     
  10. Steven

    Steven
    Senior Moderator

    Joined:
    Feb 1, 2005
    Messages:
    36,436
    Products Owned:
    0
    Products Wanted:
    0
    Trophy Points:
    166
    Ratings:
    +6,224
    Shame it appears to be get rich or die trying

    (Sorry if that offends anyone)
     
  11. Mr.D

    Mr.D
    Well-known Member

    Joined:
    Jul 14, 2000
    Messages:
    11,053
    Products Owned:
    0
    Products Wanted:
    0
    Trophy Points:
    133
    Ratings:
    +1,130
    Get rich retire at 45 ...drink malt whisky , smoke cigars . sail about the bahamas , get divorced a few times, die laughing like a maniac.
     
  12. Mr.D

    Mr.D
    Well-known Member

    Joined:
    Jul 14, 2000
    Messages:
    11,053
    Products Owned:
    0
    Products Wanted:
    0
    Trophy Points:
    133
    Ratings:
    +1,130
    Of course no-one in my family in recorded history has made it past 65.
     
  13. Nick_UK

    Nick_UK
    Banned

    Joined:
    Nov 13, 2004
    Messages:
    9,748
    Products Owned:
    0
    Products Wanted:
    0
    Trophy Points:
    103
    Ratings:
    +270
    By the time you get to 69, the retirement age will be 130 :rotfl:
     
  14. overkill

    overkill
    Well-known Member

    Joined:
    Nov 6, 2003
    Messages:
    11,778
    Products Owned:
    0
    Products Wanted:
    0
    Trophy Points:
    136
    Location:
    Murkeyside
    Ratings:
    +1,194
    Agree with the bulk of that Chris. I stopped paying into the private pension the sharks in the 80's convinced me to take out. I've paid a load into it and it's projected worth is this side of f-all.

    Guess it's work until the 70's then............ :)
     
  15. Mep

    Mep
    Well-known Member

    Joined:
    Dec 25, 2004
    Messages:
    9,532
    Products Owned:
    0
    Products Wanted:
    0
    Trophy Points:
    106
    Ratings:
    +468
    Look at a SIPP, i.e self invested personal pension, at least that way you are in control of it and you know exactly what it's worth at any given time. You can get your IFA to get the funds out of the pension you have already paid into. You just need to filll out a few consent forms for him.
     
  16. gringottsdirect

    gringottsdirect
    Active Member

    Joined:
    Jan 11, 2002
    Messages:
    2,896
    Products Owned:
    0
    Products Wanted:
    0
    Trophy Points:
    71
    Location:
    50 Rue St Georges, Paris.
    Ratings:
    +27
    I'm expecting next to nothing from private pensions industry excepting the comforting warmth knowing my contributions have helped pay for a whole generation of " advisors " and other financial services staff to drive around in shiny Audis A4s, BMW 330ds and VW Passat TDis.
    Doubtless there will be some enormous collapses in the pensions industry, Equitable Life multiplied by X. Coupled with further revaluations downwards ala Endowments, can't wait.
    Not to worry State Pension retiring at 96 is OK, why is it reported as 69 everywhere ? :D
     
  17. overkill

    overkill
    Well-known Member

    Joined:
    Nov 6, 2003
    Messages:
    11,778
    Products Owned:
    0
    Products Wanted:
    0
    Trophy Points:
    136
    Location:
    Murkeyside
    Ratings:
    +1,194
    Can't MEP. Hes no longer trading after being done by hundreds of clients over bad advice on pensions, endowments etc............. ;)

    When we can find a new one, who isn't a total sleazebag, I'll take your advice and check it out. Cheers.
     
  18. Mep

    Mep
    Well-known Member

    Joined:
    Dec 25, 2004
    Messages:
    9,532
    Products Owned:
    0
    Products Wanted:
    0
    Trophy Points:
    106
    Ratings:
    +468
    I agree it's a murky world, luckily mine is an old friend so I trust him... a bit :)
     
  19. Solomon Grundy

    Solomon Grundy
    Distinguished Member

    Joined:
    Nov 1, 2004
    Messages:
    12,928
    Products Owned:
    0
    Products Wanted:
    1
    Trophy Points:
    166
    Location:
    oop north.
    Ratings:
    +2,488
    Personal Pensions are a waste of money (obviously my opinion)...

    You pay into it for years and years then when you retire the insurance company takes what you have saved and pays you around 4% of that lump sum as a pension every year...plus when you die they keep all the money!

    Say you save a couple of hundred grand, that's a pension of around £8,000 a year...and it's taxable! Rubbish! And if you died a couple of months after retiring they could only have paid you a few hundred quid and be laughing all the way to the bank cos they have all your money...

    You have a wife? Want her to receive some kind of pension if you die first? That's fine...they just pay you a smaller % of your lump sum as a pension to take this into account!

    I am investing my money elsewhere...might even invest in a bit of land/property to provide my income when I retire.

    Personal Pensions... :thumbsdow
     
  20. Mep

    Mep
    Well-known Member

    Joined:
    Dec 25, 2004
    Messages:
    9,532
    Products Owned:
    0
    Products Wanted:
    0
    Trophy Points:
    106
    Ratings:
    +468
    don't forget you can draw down 25% of the fund on retirement though....and i also think that from next April when the rules change teh annual amount you can take out is increased.
     
  21. Jenn

    Jenn
    Well-known Member

    Joined:
    Apr 8, 2005
    Messages:
    6,894
    Products Owned:
    0
    Products Wanted:
    0
    Trophy Points:
    133
    Ratings:
    +1,260
    I wouldn't mind having to look after my own pension taking the state out of the equation but they won't let me keep the tax money they pretend would eventually pay for the state pension I'll never get.
     
  22. SanPedro

    SanPedro
    Well-known Member

    Joined:
    Jan 11, 2001
    Messages:
    4,502
    Products Owned:
    0
    Products Wanted:
    0
    Trophy Points:
    136
    Ratings:
    +504
    Done exactly that - through a SIPP. Me and my brother run a small business and both had pensions that we'd paid into for the last 18 years - which had a combined value of 50K. So not much to retire on!!

    We decided to buy a property that we have now converted into offices and rent out. We've ridden the property market pretty well and the building has doubled in value in the last 2.5 years. Plus the mortgage is being paid.

    It wasn't cheap to set up and we had to do work on the building, plus we have to pay £18K to our pension company (i.e. me) :D . But I think it's been worth it (will let you know for sure in 20 years).

    I believe you will soon be able to put residential property into a SIPP, which is great news for anyone doing buy-to-let as a business/sideline as there will be no nasty capital gains to pay when you retire and sell off any properties.
     
  23. Mep

    Mep
    Well-known Member

    Joined:
    Dec 25, 2004
    Messages:
    9,532
    Products Owned:
    0
    Products Wanted:
    0
    Trophy Points:
    106
    Ratings:
    +468
    yes you can do the residential property thing from next April........it needs looking at carefully and setting up correctly (you don't want expensive mortgages in your pension and properties need to be let out and maintained) but if you can afford to put some of your pension into property it should be a good move
     
  24. Solomon Grundy

    Solomon Grundy
    Distinguished Member

    Joined:
    Nov 1, 2004
    Messages:
    12,928
    Products Owned:
    0
    Products Wanted:
    1
    Trophy Points:
    166
    Location:
    oop north.
    Ratings:
    +2,488
    Yes you can but that leaves you an even lower income...I know that the tax relief you get on pension funds may look attractive and the investment is taxed at a lower rate than a normal investment but it used to be completely tax free until Gordon Brown changed the rules to stealthily rake in a bit more money!
     
  25. Mep

    Mep
    Well-known Member

    Joined:
    Dec 25, 2004
    Messages:
    9,532
    Products Owned:
    0
    Products Wanted:
    0
    Trophy Points:
    106
    Ratings:
    +468
    well it depends what you do with it mate, but I was just pointing out the rules and personally I agree with others that I'd rather control it myself and not be beholdent to the governement to tell me how much of MY money I can access at any given time.
     
  26. SanPedro

    SanPedro
    Well-known Member

    Joined:
    Jan 11, 2001
    Messages:
    4,502
    Products Owned:
    0
    Products Wanted:
    0
    Trophy Points:
    136
    Ratings:
    +504
    The removal of the dividend tax credit on pensions in 1998 took £5 billion a year out of the pensions system. :mad:

    This was a tax break afforded to companies for their staff pension schemes.
     

Share This Page

Loading...