Joining the ranks of the Unemployed

[rjb]

After leaving the RN, I paid NI voluntarily as lump sums occasionally to the max required.

Again, the same question bugs me.
How much extra would I have paid for 20odd years in the RN had I not opted out of SERPS?

Me too but at one time you needed 40 years of ni contributions. I paid when requested for the extra years but then they reduced it to 35 years contributions. By now I had paid for 39 and you couldn't have a refund for the overpayment.

Just underlines the importance I mentioned upthread about getting a state pension forecast so you can check your NI record and make good any shortfall if necessary.

[Mick F]

I got a refund.

Mind you, I'd only just paid another lump sum when they changed the rules ............. and I didn't know, so they refunded me.

[Mick F]

PS
Mrs Mick F retired during the summer but she has to be 66 to receive her OAP. There's absolutely no way that she's paid anywhere near the full NI but they will credit her for the years we received Child Benefit.

She's a member of WASPI now. One of the issues, is that Child Benefit was never paid for the first child, so that means there'll be fewer years credited. Ladies of the 1950s are being hit by a double whammy .................... and they weren't told about this.

Our Tory MP isn't in the least bit sympathetic and she's got no chance of re-election next time. The Cornwall WASPI's are up in arms about her lack of interest or support.
https://en.wikipedia.org/wiki/Sheryll_Murray
http://www.waspi.co.uk

[NATURAL ANKLING]

Hi,
R2, you cant just blame the opposition for a problem that's been years in the making?
I remember an ex leader saying........"You have options you can invest in property" words to that effect.

They are all to blame for sure.

We did not know back then or maybe too naïve to think about our future, I can admit being naïve............

Problem is that if there was a reckoning like is being tickled at right now...how many will fight against diminished pensions so they can burden every tax payer and the ones not born yet with the cost?

I am not so misfortunate that I and my partner did not work for a firm with final salary pensions, but that was a private business.

BUT I see the only way forwards is to balance it so that every retired person retires with same basic....any bonus will be made up IF you over paid....along those lines.

Unless the books are balanced fairly then rising taxes and more cuts to services are abound.

I see the lectures are on strike for better pensions......................

Edited......oops............... its not fun not having any money speaking from experience, so think hard about it before you jump.

[tatanab]

I see the lectures are on strike for better pensions..

Under the new plans they say that some of them could lose upto £10k a year in pension. For perspective --- that £10k is more than all of my company pensions combined.

[reohn2]

Hi,
R2, you cant just blame the opposition for a problem that's been years in the making?
I remember an ex leader saying........"You have options you can invest in property" words to that effect.

They are all to blame for sure.

We did not know back then or maybe too naïve to think about our future, I can admit being naïve............

Problem is that if there was a reckoning like is being tickled at right now...how many will fight against diminished pensions so they can burden every tax payer and the ones not born yet with the cost?

I am not so misfortunate that I and my partner did not work for a firm with final salary pensions, but that was a private business.

BUT I see the only way forwards is to balance it so that every retired person retires with same basic....any bonus will be made up IF you over paid....along those lines.

Unless the books are balanced fairly then rising taxes and more cuts to services are abound.

I see the lectures are on strike for better pensions......................

Edited......oops............... its not fun not having any money speaking from experience, so think hard about it before you jump.

I'm sorry but I don't know what you're on about,nowhere have I blaimed the opposition(Blair=Tory in my book)I blaim the last foty years of government in hoodwinking the public with their double dealing and daylight robbery.
There's nothing wrong with striking to protect your pension and working conditions from being eroded to a point of workslave,it's the only real power a worker has against the likes of Thatcherism,which is still at large in the UK today!

TC has it right in his last post,the ordinary working man and woman have been blaimed for the deeds of unscrupulous bankers who ********* off with golden handshakes and £££££'s flapping out of their pockets when it all went mammary glands up,laughing all the way,whilst joe and joess public were left with the bill and the bankruptcy payments.
It can not be impressed enough as to how ths country has been run for the past 40 years by incompetents and shysters!

[pete75]

BUT I see the only way forwards is to balance it so that every retired person retires with same basic....any bonus will be made up IF you over paid....along those lines.

Unless the books are balanced fairly then rising taxes and more cuts to services are abound.

I see the lectures are on strike for better pensions......................

Edited......oops............... its not fun not having any money speaking from experience, so think hard about it before you jump.

The idea of the "new state pension" is that everyone does get the same basic amount.

The lecturers are not on strike for better pensions but to keep the pensions they already have.

[rjb]

The idea of the "new state pension" is that everyone does get the same basic amount.

This article by Martin Lewis shows that only about 50% of people eligible to receive the new state pension will actually get the full amount. Those who were contracted out will get a reduction. And he asks the question of whether contracting out was such a good idea at the time. It's so complicated even the experts don't understand it all so what hope for those politrickians who voted it in, let alone Jo public.
https://www.moneysavingexpert.com/savin ... e-pensions

[pete75]

The idea of the "new state pension" is that everyone does get the same basic amount.

This article by Martin Lewis shows that only about 50% of people eligible to receive the new state pension will actually get the full amount. Those who were contracted out will get a reduction. And he asks the question of whether contracting out was such a good idea at the time. It's so complicated even the experts don't understand it all so what hope for those politrickians who voted it in, let alone Jo public.
https://www.moneysavingexpert.com/savin ... e-pensions

Yes I know that and I'm not eligible for the full amount. Eventually everyone will get the full amount as contracting out has been ended.
Martin Lewis may question whether contracting out was a good idea but I certainly think it was - couldn't have joined our index linked final salary pension scheme without doing so and that will pay me over three times the new state pension amount along with a fairly substantial tax free lump sum. Don't think I'll be looking to Mr. Lewis for advice on pensions anytime soon.

[bigjim]

If you retired 4 years ago, as I did, your basic state pension is about £128 plus a bit extra related to how much you have paid in over the years. Later retirees basic state pension is about £155. A bit unfair IMO. if you have never worked you will receive the £155. Work for 50 years, as I did, you receive the lower amount. My wife due to child rearing did not have the full amount of years [30] for full pension but they transferred the excess off mine to make up the difference.

[Cyril Haearn]

Objection, thread drift! (I am often guilty of that, is it punishable?)

I want to know how people organise and plan retirement, especially the transition when one stops working

Besides, although I am younger than many here I find talking/writing about money embarrassing

[Tangled Metal]

The lecturers (and other University staff BTW, not all as well paid as lecturers and not all on permanent contracts) are striking for a change in the terms of their pension. I believe it's to do with a change to index linked (shares, etc.). I don't profess to know much about it but there's a lot of misinformation being put out by the unions. It's not exactly as they are saying.

Add in the fact these are going to be well paid individuals. Even lowly lecturer gets a good pay. I'm sure they could use some of that to make retirement better for themselves. However these people will be a lot better off in retirement than the majority of people who also work hard for a living even with the pension scheme their employers are trying to convert them to. BTW it's an affordable pension scheme. The current one is going to need taxpayers input to cover. I would love my company pension scheme to pay out more than the pot can cover with the gap paid for by those still working / paying tax.

I am not saying they're completely wrong to strike over it only that we should not pity them like they're going to be hard done to workers if they did have to live with the new pension arrangements.

BTW it's interesting to actually observe the strike and how it's going ahead. Certain departments are highly active in the strike. Others are not. Some strikers are just staying away, as in an extra day off (unpaid naturally). With the way you often get employees working from home anyway, you can't actually work out how successful the strike is by the number of empty seats / offices at the university. The university has to actually ask the strikers to inform them that they're going on strike or not so that the university can reduce their pay accordingly. It's actually a bit of a farce!

Not least because some strikers are taking the free time as an opportunity to catch up and get ahead with some of their work at home. If you're interested in your work (say the research side) then it's clear supporting the strike won't stop you doing a bit of work in the evenings if you're on the pickets or in the day if you're not manning them.

But the bottom line is striking employees earning £70,000+ is something only universities would manage to go through. I don't feel sorry for anyone earning £70,000! They've got enough earnings to create a really comfortable retirement for themselves!

[pwa]

£70k! Blimey. My Missus is head of her department in a secondary school and just clears £40k. On the very rare occasions she has been "on strike" she has just brought work home and got on with it. She hates not working.

[al_yrpal]

Objection, thread drift! (I am often guilty of that, is it punishable?)

I want to know how people organise and plan retirement, especially the transition when one stops working

Besides, although I am younger than many here I find talking/writing about money embarrassing

Long before I retired at 62 I created and constantly updated a spreadsheet to calculate essential outgoings and my potential income. I was lucky because all the big insurers were demutualising at tbat time which meant a succession of sizeable cheques kept arriving. I still retired 3 years before the State Pension arrived. I retired when I got bored and sold my business for a tidy sum to a business partner.
I also wrote a list of things that I wanted to do in retirement. 14 years on that original list is complete. Its simple really, plan things, set objectives and you wont regret it.
The transition can be hard because a whole raft of acquaintances disappears especially if you live far from your job. But, if you follow those things on your list new friends emerge. I found many new friends by volunteering for local charities which was fun too. Retirement is great!

Al

[tatanab]

Long before I retired at 62 I created and constantly updated a spreadsheet to calculate essential outgoings and my potential income................. I found many new friends by volunteering for local charities which was fun too. Retirement is great!

Exactly what I did.