I'm 42, No pension, will I die in a puddle of my own S#it
Discussion
v15ben said:
Balmoral Green said:
I'll just liquidate whatever assets I have, buy a motorhome and pootle around all over Europe, wintering somewhere warm. Food & diesel will be my only overheads. I don't know what Mrs BG will be doing 
I like the sound of that plan, Warren. I'd probably go for buying a motorbike and staying at cheap hostels/volunteering in Asia then ship the bike to South America and carry on 
BG sounds like a good plan.
superlightr said:
v15ben said:
Balmoral Green said:
I'll just liquidate whatever assets I have, buy a motorhome and pootle around all over Europe, wintering somewhere warm. Food & diesel will be my only overheads. I don't know what Mrs BG will be doing
I like the sound of that plan, Warren. I'd probably go for buying a motorbike and staying at cheap hostels/volunteering in Asia then ship the bike to South America and carry on BG sounds like a good plan.
Motorhome somewhere a bit warmer Oct to whenever it's time to go mucking about in boats/boating about in muck again.
Bit of variety
Have I got this right?...
A friend of mine wrote up on facebook that he was pissed about the prospect of having to pay an extra 20k into his pension over his career in return for recieving a smaller pension than he assumed he would get when he started working for his current employer.
He is the same age as me (26), been to uni, done various things after uni and I guess recently (ie last 1-2 years) Has started working for the NHS in some kind of physio therapy role (this is based of him learning physio and sports massage). He admits, he is not essential medical staff. Given his short tenure I found it a little odd that he said he was going to go on strike because of this pension cut back.
Now, I assume that for a start, his pension would of been fairly cushy in comparison to a similar private sector role. Also assuming that with the proposed cut to the pension, its still going to be a fairly decent pension by comparison.
Given that, I can't see why he is moaning. £20k over his remaining career (lets say 40 years) works out at roughly 42 bob a month. f
k sake, people spend that on a mobile phone contract or a gym membership. Paying an extra 40 quid a month is not going to break the bank for someone with a half decent income. So moaning at that is, IMO, nonsense.
Whats more I dont think he quite understands why the cuts have to happen. This is my understanding of the situation, I hope some one can confirm whether I am right or wrong in my understanding:
Public sector workers pays £x into pension pot. Employer, (UK Gov), tops that up with £y. At the very least y = x, most likey y > x and in some cases y >> x.
This provision is also unfunded. I.E. there is no government owned/controlled pension fund that pays out into indivdual pensions. Instead the value £y, comes simply from collected tax revenue.
The tax revenue is really only genuinely supplied by private sector workers. For public sector its just money going round in a circle (ie it came from the tax pool and then ends up in the tax pool, where as in private... it comes from company revenue generated externally...could be wrong there though). So essentially it is us paying for him to have a nice pension.
Mr Government current spends more than it takes in tax so there is a shortfall. Therefore in order to fund the pensions it supplies it must either:
A) borrow yet more money
B) Hike up taxes, in which case my friend is essentially paying that extra money via proxy
C) Make their employees contribute a larger amount and/or cut the generous size of the pension
Now surely, no one would want them to do A. Thats plain daft. No one really wants B, but if it gets us out of the hole then so be it, only problem is it punishes everyone in the country to make up for the attitude of a minority. C is the only logical answer... I.E. if you want a nice pension pot, pay for it!!
A friend of mine wrote up on facebook that he was pissed about the prospect of having to pay an extra 20k into his pension over his career in return for recieving a smaller pension than he assumed he would get when he started working for his current employer.
He is the same age as me (26), been to uni, done various things after uni and I guess recently (ie last 1-2 years) Has started working for the NHS in some kind of physio therapy role (this is based of him learning physio and sports massage). He admits, he is not essential medical staff. Given his short tenure I found it a little odd that he said he was going to go on strike because of this pension cut back.
Now, I assume that for a start, his pension would of been fairly cushy in comparison to a similar private sector role. Also assuming that with the proposed cut to the pension, its still going to be a fairly decent pension by comparison.
Given that, I can't see why he is moaning. £20k over his remaining career (lets say 40 years) works out at roughly 42 bob a month. f
k sake, people spend that on a mobile phone contract or a gym membership. Paying an extra 40 quid a month is not going to break the bank for someone with a half decent income. So moaning at that is, IMO, nonsense.Whats more I dont think he quite understands why the cuts have to happen. This is my understanding of the situation, I hope some one can confirm whether I am right or wrong in my understanding:
Public sector workers pays £x into pension pot. Employer, (UK Gov), tops that up with £y. At the very least y = x, most likey y > x and in some cases y >> x.
This provision is also unfunded. I.E. there is no government owned/controlled pension fund that pays out into indivdual pensions. Instead the value £y, comes simply from collected tax revenue.
The tax revenue is really only genuinely supplied by private sector workers. For public sector its just money going round in a circle (ie it came from the tax pool and then ends up in the tax pool, where as in private... it comes from company revenue generated externally...could be wrong there though). So essentially it is us paying for him to have a nice pension.
Mr Government current spends more than it takes in tax so there is a shortfall. Therefore in order to fund the pensions it supplies it must either:
A) borrow yet more money
B) Hike up taxes, in which case my friend is essentially paying that extra money via proxy
C) Make their employees contribute a larger amount and/or cut the generous size of the pension
Now surely, no one would want them to do A. Thats plain daft. No one really wants B, but if it gets us out of the hole then so be it, only problem is it punishes everyone in the country to make up for the attitude of a minority. C is the only logical answer... I.E. if you want a nice pension pot, pay for it!!
Otispunkmeyer said:
42 bob a month.
A 'bob' is a shilling. You've used it to mean a pound.As to the crux of what you wrote, you're in the wrong thread. We've done that point a million times here: http://www.pistonheads.com/gassing/topic.asp?h=0&a...
Murph7355 said:
dontfollowme said:
Is there a way to transfer pensions paid into at a previous employer to one's current employer?
Depends on the provision, but typically it's possible but often not worth it IME.I believe you get what's called a redemption value, which will typically be much less than the notional paper value. You then transfer that into a new pension (which may also cost you).
Unless there's a lot in the pot, and/or the performance is dire, I'd bet you'll be better off just leaving it where it is.
dontfollowme said:
Is there a way to transfer pensions paid into at a previous employer to one's current employer?
That's really much too complex a question for internet forum. Relevant factors include,- Are the various pensions Defined Benefit (also known as final salary), Defined Contribution (also known as Money Purchase) or some of each?
- Will the current employer allow transfers in? If so, what will it let you buy in its scheme?
- What are the pension promises and other terms of each scheme?
- How do you see the rest of your career panning out? Job for life or more changes?
- How financially solvent/reliable are your various employers?
dontfollowme said:
So when I come to retire in say 40 years I'll have a load of different pensions from the various firms I have worked for?
Maybe. It all depends how your employers operate. As a rough guide my suggestion is always to make at least the level of employee contribution which draws the maximum available level of pension contribution (or benefit) from your employer. If they will pay that into a SIPP of your own than that's all well and good - more usually they will only pay towards your pension if you join their own scheme.Once you have changed job there's probably no reason why you can't combine money purchase pensions together in a SIPP of your own once you've left that employment. But it all needs careful thought. (SIPP = self invested personal pension)
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