was it worth it, am I rich?

allan2011

I was wondering how much money per month a couple over 65 who have made no provision for their retirement would have left over, after paying all their bills such as council house rent, if they paid any, council tax, again if they paid any and other bills?

Their only income being state pensions and any benefits.

I and my wife have just paid off our mortgage, so no rent but because we paid into pension funds and saved money we are entitled to no benefits.

So we have to pay £1980 council tax a year whereas if our savings were less than £16,000 we would get something.

Our fixed outgoings are £500 per month, plus food and drink and going out once a week, say another £500 a month, and we are saving £350 a month.

So was/is it worth it?

skid112

A married couple may receive a maximum of £195.30 a week.
However there is also a so-called couple's pension of £156.15.
This is available when one person has paid their full NI contributions and their spouse has not paid enough, or possibly none at all, to get a pension in their own right.
In that case they can get £58.50, which is based on their spouse's full NI contributions, in addition to their spouse's own pension of £97.65.
Bills will depend on whether they have mortgage or rent, they will pay gas and electricity council tax is payable unless you are on low income, which i would guess state pensioners would be

was it worth it? yes for peace of mind you can afford to turn the heating up and eat well

chesky369

You say that you and your wife have both saved into pensions - do you know how much you will get in retirement from these?

allan2011

do you know how much you will get in retirement from these

Sorry I was not clearer, I and my wife are both over 65 and retired and claiming all our pensions which total anywhere between £1300 and £1740 per month depending on how many Mondays and Fridays are in a month.

My wife's state pension is paid 4 weekly on a Friday and mine weekly on a Monday.

hobbyman

I would say it was definately worth it although it may not seem so at the moment. If it suits our "Lords & Masters" I believe they would slash benefits at the drop of a hat. They are already showing signs of "trying it on!"

All this business of them saying that because everyone is living longer, they will put the retirement age up to 70 (or whatever) is really phoney. (Probable hidden agenda, move the retirement age until after most of them have died - good money saver!) People who make it to 100 were born in 1910 or earlier. The reason very few lived very long in 1910 was because 50-year-olds in 1910 were born in 1860 when medical service were only just moving out of the dark ages. Those born today have to contend with massive pollution (although it is generally invisible), drugs, alcohol and it is even put in food as preservatives and antibiotics pumped into food animals etc etc etc. I really believe that those born today will not manage to live anywhere near as long as those born 100 or even 50 years ago!

I believe they will push ahead with slashing benefits at as fast a rate as they can get away with! Then you will be glad you saved!

hobbyman

CFC

allan2011 wrote: »

Sorry I was not clearer, I and my wife are both over 65 and retired and claiming all our pensions which total anywhere between £1300 and £1740 per month depending on how many Mondays and Fridays are in a month.

My wife's state pension is paid 4 weekly on a Friday and mine weekly on a Monday.

A retired couple on state benefits, paying £60 a week rent in social housing I reckon would have about £339 a week including benefits. They would probably be living on an estate where they would be a bit scared about going out at night and where the surroundings would be depressing, by the way.

And your complaint is.....that you have to pay Council Tax because you have more than 16k in the bank?
You always have the option to sell your house, rent and use the capital, or downsize. I really can't see what you are complaining about.

chesky369

Those who are reliant on state benefits have very few choices. You've saved and are now actually reaping the benefits although it might not seem that way. You have options and can choose to a much greater degree how you will live your life.

missile

Do you resent those less fortunate than you, who are forced to live on state benefits?

allan2011

Do you resent those less fortunate than you, who are forced to live on state benefits

No, I just wondered if it was worth all the hassle, as a relative who never did anything keeps boasting that he gets everything paid for him and I was a fool to scrimp and save for my retirement.

paddedjohn

op, for what its worth i totally agree with you, the benefit system is set up in such a way as to make it worthwhile to spend spend spend while you are earning because the state will pick up the tab when you are skint. You have been careful all your working life and saved for your future while others have just spent all their cash and now you are being penalised. Part of the reason that your council tax bill is so high is because you are subsidising the people who dont have to pay it.

cinderfella

Hello OP.
I understand your feelings on the situation in the UK. A year ago I moved permanently to Spain although I still have 4 years before I get a state pension. The bills in the UK make it impossible to pay your way on a state pension alone. However being a cheapskate I will be thrilled to live on a state pension when eligible as the bills here in Spain are minimal. Mind you I do live on basics in Inland Spain.
The weather seems to put everything into perspective, I may live on basics but the quality of everything in Spain including the friendly Espanoles gives living an extra dimension compared to the UK. I never wish to return to the UK, sorry - but things seem rather crazy there.
The feeling is generally mutual with other expats out here.
So my advice is (if you can) move to a warmer climate and reap the savings and simpler life-style.;)