What would you do with a £1million pension?

What would you do with a £1million pension?

Author
Discussion

Tit For Tat

165 posts

81 months

Sunday 9th July 2017
quotequote all
BanzaiMan said:
This guy works for SJP - all very confusing!
Which surprises me......not in the slightest.


To be fair, and to risk treating people like braindrained as morons, as I and others have gently pointed out a few times SJP Partners do not understand SJP charges. Because they are not explained to them.

drainbrain

5,637 posts

110 months

Sunday 9th July 2017
quotequote all
Tit For Tat said:
drainbrain said:
quote "I'd love for hilarity to be triggered (to paraphrase you) but sadly, you're not quite doing it for me..." quote

now where have you heard that before.......

I'm telling you, you really want to stick with 'tit for tat' or else it'll end up 'twit for tt' everywhere.... wink

Edited by drainbrain on Sunday 9th July 20:40
Lol, more bks smile
Well, bks it may be, but it's bks from the one and only thread you've started which, if you were honest, you'd have to agree only became interesting once you'd been chased off it.

Remind me, what was the "twit-for-tt" thread again?

Tft. Tell me. Do you (like Sid) really believe it's everybody else who're the fools and that you've a mission to correct their misunderstandings?


sidicks

25,218 posts

220 months

Sunday 9th July 2017
quotequote all
drainbrain said:
Well, bks it may be, but it's bks from the one and only thread you've started which, if you were honest, you'd have to agree only became interesting once you'd been chased off it.

Remind me, what was the "twit-for-tt" thread again?

Tft. Tell me. Do you (like Sid) really believe it's everybody else who're the fools and that you've a mission to correct their misunderstandings?
More misrepresentation - a typical feature of your posts. How dull.

I don't think you're a fool, however for some reason you just seem to post about things that you don't understand.

drainbrain

5,637 posts

110 months

Sunday 9th July 2017
quotequote all
sidicks said:
More misrepresentation - a typical feature of your posts. How dull.

I don't think you're a fool, however for some reason you just seem to post about things that you don't understand.
Here. Read the post above. I think you need to work on your acolyte.

Anyway:

If people are going to be allowed to put the world to rights on a chatroom forum then I'm afraid there's some of it that you'll feel they don't understand.

See I employed a lot of people most of whom were on average or below wages (tho in fairness to myself above minimum wages) and I could see and was frequently told by them themselves how feckin' hard it was for them to balance the books. And God knows we worked and stressed in every way we could to boost their wages during some very tough times for the economy. So I really do understand Mr Average's position. But without that empathy all the technical know how in the world isn't going to move matters on one jot.

And now, having had your pointless little interlude, why don't you and wotsit get the thread back on topic??

Edited by drainbrain on Sunday 9th July 21:58

sidicks

25,218 posts

220 months

Sunday 9th July 2017
quotequote all
drainbrain said:
Here. Read the post above. I think you need to work on your acolyte.
No, read your post - you made claims about me which are not true.

And just because someone else thinks you can be a tt at times, does not make them my acolyte. HTH

drainbrain said:
Anyway:
If people are going to be allowed to put the world to rights on a chatroom forum then I'm afraid there's some of it that you'll feel they don't understand.
People can post what they want. However, there's plenty that you demonstrably don't understand where pensions are concerned.

drainbrain said:
See I employed a lot of people most of whom were on average or below wages (tho in fairness to myself above minimum wages) and I could see and was frequently told by them themselves how feckin' hard it was for them to balance the books. And God knows we worked and stressed in every way we could to boost their wages during some very tough times for the economy. So I really do understand Mr Average's position. But without that empathy all the technical know how in the world isn't going to move matters on one jot.
No idea what your point is, so I'll ignore it.

sidicks

25,218 posts

220 months

Sunday 9th July 2017
quotequote all
TurboTerrific9 said:
Great response.
In what way? Just a post full of his usual patronising tone and insults.

drainbrain

5,637 posts

110 months

Sunday 9th July 2017
quotequote all
TurboTerrific9 said:
Great response.
Gents -without wishing to embarrass him - we're honoured with the very rare presence of someone who really is worth listening to.

Please don't insult him.

sidicks

25,218 posts

220 months

Sunday 9th July 2017
quotequote all
drainbrain said:
Gents -without wishing to embarrass him - we're honoured with the very rare presence of someone who really is worth listening to.

Please don't insult him.
No insults, just a challenge to his opinion and a request for some justification!

Looks like he's now deleted his post!
rofl

Edited by sidicks on Sunday 9th July 22:12

drainbrain

5,637 posts

110 months

Sunday 9th July 2017
quotequote all
Oh well done!

Well fking done.

Y'know what? I'm gonna do the same.

byebye

sidicks

25,218 posts

220 months

Sunday 9th July 2017
quotequote all
TurboTerrific9 said:
I have no problem with you challanging my opinion at all. I deleted my previous response as I realised I'd used the 'quote all' function and left a half-a-page foot print that was unnecessary - when I went back to repost I saw that a bunch of replies had already been made.
No problem, no need to justify your choice to me (or anyone else!).

TurboTerrific9 said:
I felt the 'Tit For Tat' response to previous poster was unnecessarily harsh, sure the poster hadn't understood and yes, T4T had tried to point it out previously but I assume the poster doesn't have a financial background and anyone who does can understand their mistake.

'Simple enough, moron?' Is way too harsh. I'm lucky enough to know a good deal about finance but it's a wide a varied place and my knowledge doesn't cover extend to the world of pensions.
Perhaps, but when you see the multitude of patronising comments from drainbrain, it's no wonder that people respond in that way.

TurboTerrific9 said:
I have a mate of mine who is going through the exact same issue as the OP and needs to make a decision in the near future. I took an interest in this thread on that basis.

There does appear to be a good amount of wise advice in this thread, however there appears to be a bunch of points scoring too.
Unfortunately that's inevitable.

wisbech

2,939 posts

120 months

Monday 10th July 2017
quotequote all
To the OP. I would keep the pension.

Family history has a number of examples of losing everything due to unforeseen circumstances, and having to start again from pretty much a suitcase. Idi Amin in Uganda in the 1970's, and Mao Ze Dong in Shanghai in the 1940's, so that was two generations of things going tits up.


BanzaiMan

157 posts

146 months

Monday 10th July 2017
quotequote all
Tit For Tat said:
BanzaiMan said:
This guy works for SJP - all very confusing!
Which surprises me......not in the slightest.


To be fair, and to risk treating people like braindrained as morons, as I and others have gently pointed out a few times SJP Partners do not understand SJP charges. Because they are not explained to them.
Looks like they need to explain it to the website team as well.

https://www.sjp.co.uk/wealth-management/retirement...

"On the basis that your investments remain with us for 6 years, the effect of the above product and advice charges (excluding the charges for managing and maintaining underlying investments) combined is equivalent in total to a 1.5% annual management charge"

HarryW

15,150 posts

268 months

Monday 10th July 2017
quotequote all
BanzaiMan said:
Tit For Tat said:
BanzaiMan said:
This guy works for SJP - all very confusing!
Which surprises me......not in the slightest.


To be fair, and to risk treating people like braindrained as morons, as I and others have gently pointed out a few times SJP Partners do not understand SJP charges. Because they are not explained to them.
Looks like they need to explain it to the website team as well.

https://www.sjp.co.uk/wealth-management/retirement...

"On the basis that your investments remain with us for 6 years, the effect of the above product and advice charges (excluding the charges for managing and maintaining underlying investments) combined is equivalent in total to a 1.5% annual management charge"
Clear as mud then...

BanzaiMan

157 posts

146 months

Monday 10th July 2017
quotequote all
HarryW said:
BanzaiMan said:
Tit For Tat said:
BanzaiMan said:
This guy works for SJP - all very confusing!
Which surprises me......not in the slightest.


To be fair, and to risk treating people like braindrained as morons, as I and others have gently pointed out a few times SJP Partners do not understand SJP charges. Because they are not explained to them.
Looks like they need to explain it to the website team as well.

https://www.sjp.co.uk/wealth-management/retirement...

"On the basis that your investments remain with us for 6 years, the effect of the above product and advice charges (excluding the charges for managing and maintaining underlying investments) combined is equivalent in total to a 1.5% annual management charge"
Clear as mud then...
Agreed, but to me it indicates no initial charge, just exit if you chop it in before 6 years.

HarryW

15,150 posts

268 months

Monday 10th July 2017
quotequote all
BanzaiMan said:
HarryW said:
BanzaiMan said:
Tit For Tat said:
BanzaiMan said:
This guy works for SJP - all very confusing!
Which surprises me......not in the slightest.


To be fair, and to risk treating people like braindrained as morons, as I and others have gently pointed out a few times SJP Partners do not understand SJP charges. Because they are not explained to them.
Looks like they need to explain it to the website team as well.

https://www.sjp.co.uk/wealth-management/retirement...

"On the basis that your investments remain with us for 6 years, the effect of the above product and advice charges (excluding the charges for managing and maintaining underlying investments) combined is equivalent in total to a 1.5% annual management charge"
Clear as mud then...
Agreed, but to me it indicates no initial charge, just exit if you chop it in before 6 years.
No it's not that clear from reading....

James_B

12,642 posts

256 months

Monday 10th July 2017
quotequote all
Tit For Tat said:
Sorry to break this to you, but if you take £100K gross income from your pension, you will be taxed at 40% on it. And if Labour get in, then God help you.
We're a couple, so that changes things, but also not much of it is in an official pension scheme (I'm not allowed to fund more that £10k a year), so simply spending what I've formerly invested will likely not be taxed at all. I own the family home in London, for example, that will be sold when it finishes being needed, so will be tax free.

James_B

12,642 posts

256 months

Monday 10th July 2017
quotequote all
drainbrain said:
Well in reality, at today's calcs, you'd be taxed 40% on some of it.

Depending on whether or not you were still eligible for NI you'd be looking at £65.5 - £71k +/- pa

Living a decent London Life? Running some good cars ? Travelling extensively and in some style? All this on £65 - £70kpa?

Hmmm.
Well, I'll be hoping to live between the home in the North and one in France, so no London living costs, I'll have no mortgage, and as above, will likely pay little tax, so yes, £100k a year should buy a very nice retirement.

How much are you planning on then, if my plans seem too modest?

Ginge R

4,761 posts

218 months

Monday 10th July 2017
quotequote all
Tit For Tat said:
James_B said:
Gross would be fine, especially as I'll not be paying anything like the rate of tax then, I hope, but I'm not planning on retiring if and when I get there. If I hit it while still enjoying work then I'll probably keep working.
Sorry to break this to you, but if you take £100K gross income from your pension, you will be taxed at 40% on it. And if Labour get in, then God help you.
We're all certainly liable to tax at our marginal rate.

Ginge R

4,761 posts

218 months

Monday 10th July 2017
quotequote all
James_B said:
We're a couple, so that changes things, but also not much of it is in an official pension scheme (I'm not allowed to fund more that £10k a year), so simply spending what I've formerly invested will likely not be taxed at all. I own the family home in London, for example, that will be sold when it finishes being needed, so will be tax free.
Let's say, then, you're looking to generate £50,000 pa. Your Annual Personal Allowance is £11,500, thereafter the 'new' regime for dividend chasers allows you to earn £5,000 within their dividend allowance, tax-free. So, we're now at £16,500 worth of tax-exempt earnings.

Annual capital gains tax allowances can be used to release a further £11,300 tax-free growth, and provided that you have large enough ISA savings, additional tax-free income is possible. You might also consider the various merits and downsides too, of deferring tax via an investment bond. Structure it right at outset, and you won't get in such a jam later.

So consider too, feeding in tax free cash from your pension on a dripfeed drawdown basis and the possible merits, or otherwise, of taking more dividend income instead of other taxable income. Identify your objectives, strategies early, and then reverse engineer.. and don't forget the potential assistance to you of the annual personal savings allowance.

Consider fighting back by continuing to use your annual personal pension allowance of £2880 pa (net) and having that bumped up to £3600 pa via tax relief. You can still make contributions of that modest size, despite previously taking pension benefits. Every little helps. Gifting to partners is allowed too - would that help? It's not what you make, it's what you keep.

Take regulated advice, the stakes are too big to screw things up.

Hyena

88 posts

80 months

Tuesday 11th July 2017
quotequote all
HarryW said:
BanzaiMan said:
HarryW said:
BanzaiMan said:
Tit For Tat said:
BanzaiMan said:
This guy works for SJP - all very confusing!
Which surprises me......not in the slightest.


To be fair, and to risk treating people like braindrained as morons, as I and others have gently pointed out a few times SJP Partners do not understand SJP charges. Because they are not explained to them.
Looks like they need to explain it to the website team as well.

https://www.sjp.co.uk/wealth-management/retirement...

"On the basis that your investments remain with us for 6 years, the effect of the above product and advice charges (excluding the charges for managing and maintaining underlying investments) combined is equivalent in total to a 1.5% annual management charge"
Clear as mud then...
Agreed, but to me it indicates no initial charge, just exit if you chop it in before 6 years.
No it's not that clear from reading....
It's not at all clear. But you are trying to talk sense to an SJP fanboy smile