Quick State Pension Question..
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billymadbiker
Posts: 249 Forumite
Hi,
I have just checked my state pension summary on the gov.uk website.
I need to contribute for another 20yrs then in 2046 I should get £160p/w.
(based on my previous contributions I will only get £69p/w)
Just wanted to check, I presume this £160p/w will be linked to inflation?
So, in 2046 I will still be able to buy what I can buy with £160 now?
Thanks!
I have just checked my state pension summary on the gov.uk website.
I need to contribute for another 20yrs then in 2046 I should get £160p/w.
(based on my previous contributions I will only get £69p/w)
Just wanted to check, I presume this £160p/w will be linked to inflation?
So, in 2046 I will still be able to buy what I can buy with £160 now?
Thanks!
0
Comments
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In theory yes, in practice it doesn't work like that.
eg. When I first started work I could buy 40 Mars bars for £1 and they were about 40% larger, now I can probably buy 2 smaller ones.I am not a cat (But my friend is)0 -
By current law new state pension rises are linked to the increase in income.
By current government policy, they are linked also to the CPI if greater and a floor of 2.5%.
What may happen between now and 2046 is anyone's guess.0 -
billymadbiker wrote: »Just wanted to check, I presume this £160p/w will be linked to inflation?
So, in 2046 I will still be able to buy what I can buy with £160 now?
There is currently a triple lock on the minimum amount that the pension is increased every year. Inflation is one of these, so currently yes it will always be increased by at least inflation.
A future government could change the method by which pensions are increased, but given that a lot of pensioners vote, it could be similar to turkeys voting for Christmas!0
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