CUK Pension Poll

[SueEllen]

Cash in bank(s) is safer than this.

But your money depreciates in value as the interest received is lower than inflation.

[SueEllen]

I sway between paranoia about being old and poor, and paranoia about putting wads of dosh aside only to croak when I'm 60. Currently putting £500 a month in - but no idea whether it's enough.

Pensions rely on a few people croaking before they reach retirement age.

Unfortunately not enough are and those who reach 65 live too long in retirement.

This was all worked out in the early 80s but no government would raise the retirement age as they knew it was a vote loser.

[AtW]

But your money depreciates in value as the interest received is lower than inflation.

At the moment - yes, but at times of crisis like this it's much smarter to stay liquid than put your money into some savings scheme that won't pay out before you are about to die.

[DimPrawn]

Has Labour really ransacked our pensions? | This is Money

Easy pickings for past, present and future govts.

[DimPrawn]

Very likely scenario for private pensions pots.

The latest plan to raid your pension - MoneyWeek

A future govt will take all pension pots and add the pension liability to the state. Massive free money for govt in exchange for a promise.

[AtW]

If Govt wanted people to save money why would not they remove income tax on interest received?

Or reduce capital gains tax on long term investments?

Or remove limit on ISAs?

Yet, they allow more or less unlimited tax free pension savings, how kind of them

They might continue to print money for next few decades, so any money put into pensions will be devalued anyway.

Pensions only make good sense for public servants like Lord Merv who had their pension pots topped up by ... taxpayers to the tune of many millions.

So basically, it makes sense if it's somebody elses money (taxpayer/firm) and you are pretty close to retirement anyway, as well as being in good health.

For everybody else it's complete and utter con.

P.S. You will remember what I said whilst waiting in a bread queue with a wheelbarrow full of banknotes...

[Paddy]

Considering I got less than I paid in for my Standard Life Policy, I would not recommend a pension plan

[DimPrawn]

Did the Supreme Court just write down your pension? - MoneyWeekMoneyWeek

I can’t believe what’s happening. One of the most important changes ever made to pension law has just gone down without anyone batting an eyelid. This is a disaster for millions in this country. But it’s barely been reported in the press!

The Supreme Court just ruled that if a company goes into liquidation, pension obligations won’t be considered priority creditors any longer. They’ll now rank with all the other flimsy unsecured creditors.

With the Detroit bankruptcy still fresh in my mind – you know, the one where pensioners stand to lose some 80% of their retirement pay – this decision means I’m going to change my pension arrangements.

This decision overturns 150 years of precedent law. It’s a massive win for the banks and the finance industry. It means bankers can now pump up businesses (as they have individuals) full of debt, knowing that those pesky pensioners won’t mess up the deal.

[lukemg]

Shocking level of financial ignorance being displayed on this thread.
Pension is simply deferred spending (just as a loan is spending in advance), the vehicle used is important but can be much more varied than chucking at a traditional pension co (bordering on madness).
You won't be able to work forever and you will hopefully need resources compunding up from now to finance your life.
SIPP is one weapon in the armoury but only after your ISA is used up.
No idea what to do ? Start with fool.co.uk.
Low cost indexes or simply a Vanguard 80:20 lifestyle fund, regular monthly investment (HL or other online broker).
Check out Lazy portfolios too if you have no interest.
FFS don't cough the lot at expensive funds or individual shares and defo not a financial advisor, all will scoop up the cream on top.
Sobering thought - estimates say you should be stashing half your age as a percent of income...

[DimPrawn]

Shocking level of financial ignorance being displayed on this thread.
Pension is simply deferred spending (just as a loan is spending in advance), the vehicle used is important but can be much more varied than chucking at a traditional pension co (bordering on madness).
You won't be able to work forever and you will hopefully need resources compunding up from now to finance your life.
SIPP is one weapon in the armoury but only after your ISA is used up.
No idea what to do ? Start with fool.co.uk.
Low cost indexes or simply a Vanguard 80:20 lifestyle fund, regular monthly investment (HL or other online broker).
Check out Lazy portfolios too if you have no interest.
FFS don't cough the lot at expensive funds or individual shares and defo not a financial advisor, all will scoop up the cream on top.
Sobering thought - estimates say you should be stashing half your age as a percent of income...

Agree with main points:

Pension is simply deferred spending/tax on income. It ain't as some people seem to think free money from the taxman.

Financial adviser =

Pension funds is a no no. Some other creams it all off.

ISA first THEN pension if you must.

Manage it yourself via SIPP.


BUT, why bother?

If you have spare money buy the biggest **** off house you can and borrow as much as they will lend at the lowest rate. Enjoy the money now, a lot of people will be dead/terminally ill, alone and infirm by the time they get their hands on the loot.