Aged 35 - I don't have a pension!

gadgetmind

nigpay1 wrote: »

You're other comment

<snigger>

Tell you what, why don't we all resume this in the pensions conference, and all try and play nicely?

Ifts

nigpay1 wrote: »

Anyway, I'm not sure what the best thing to do is. Should I be getting a pension, ISA etc?!?

Pension vs Isa: The big debate

Which is better, an Isa or a pension? Over the last few years, it's become the big debate among retirement savers.

Read more: http://www.thisismoney.co.uk/money/pensions/article-1699680/Pension-vs-Isa-The-big-debate.html#ixzz1tcfwW0xd

nigpay1

Here was me thinking this was a financial advise forum not first year English. I apologise for the spelling mistakes, I'm a bit busy doing my day job. This place is very useful though, thanks gadgetmind. I should spend every day wasting my time replying to people on here.

Starbrite

If your meant to have 35k saved by 35yrs old are you meant to have 40k at 40 and so forth?

I only started my pension at 34 and a half yrs old. I feel like I'm playing catch up and have realised I won't be a rich pensioner

ermine

nigpay1 wrote: »

I can definately say I can save the money without dibbing into it.
I saved up £10k over a relatively short period of time to use towards a house but I'm getting married in August so had to use that. I'm confident I can save the money.

Does the second sentence not contradict the first, explicitly?

I read this as

You were saving towards one purpose (saving for a house). Something else came up (paying for a wedding, and elective spend). You dropped your former goal and took the proceeds and allocated it to something else.

i.e. you dibbed into your house purchase savings to pay for your wedding

Nothing fundamentally wrong in that, but you don't have any house savings anymore. Now if that were your pension you wouldn't have been able to do that, so you'd still have a pension at the end, but a more frugal wedding I guess!

nigpay1

What did you decide to do Starbrite; who did you go with; type of pension?
thanks

nigpay1

you're probably right ermine. what I was basically trying to say is that I don't have a problem saving the money, it's what to do with it.

I feel confident I can allocate the money correctly when it comes to it.

atush

I was a bit busy when I replied to you at first- I was short on time. Just like you so surely you would understand?

And yes, play nicely if you want further advice. As we are only trying to help you and have no other agenda. Honest.

You may want to stick up for your OH, and go ahead. I don't begrudge ANY teacher their pension (but I am not such a fan of double dipping).

In fact, if you actually go to the pensions forum when teachers turn up (and other PS employees) and say 'should I join the pension, I have been told by my union rep it is Cr*p? We all answer with a resounding YES!

And yes, if you go there you will find lots of ranting and whinging posts, which those of us (people like you) who don't have a gold plated PS pension are not so happy to see.

Now, aren't you sorry your brought up the whole controversial stuff lol?

As to your Q, go look at the ISA v pension thread. But take this last bit of advice from me. It isn't wise to choose only one form of savings. Lots on the mentoionned thread are all Just Pensions or JUST Isas. I say have both, as they each have their place.

Pensions gain tax relief, ISas don't but are more flexible. Pensions can be (until you are old enough to take them) free from means testing and creditors, ISAs aren't. So a mix of cash deposits, equity savings incl ISAs, and having a pension are all important. And you are benind on the whole pension thing so I would look into starting one ASAP.

Next would be for you to decide, as a busy person do you have time to choose and monitor your investments? You'd have to do this if you DIY in either ISAs or pensions. As they both hold similar invetments and are just Tax wrappers.

If the answer is no, then you will probably be looking at the IFA route. But advice and work on your behalf comes at a price (like teachers they need a paycheck too) so if paying someone else to do it for you will bother you (and boy does it bother some here) then you need to read up if you go down the DIY route.

and if you go the isa route, you will have a far harder time than you think of leaving it untouched for your retirement- as you found out with your house savings paid out on the wedding. Personally, I would have had a much cheaper wedding (and did in fact) to fund a better future. But that is neither here nor there. The biggest benefit AND problem with ISAs is you (and others) can get your hands on t hem.

nigpay1

thanks atush. i think we're getting somewhere now.
i'll even forgive all those spelling mistakes!

rockitup

Starbrite wrote: »

If your meant to have 35k saved by 35yrs old are you meant to have 40k at 40 and so forth?

I only started my pension at 34 and a half yrs old. I feel like I'm playing catch up and have realised I won't be a rich pensioner

If you only increase at that rate you won't have a great pension at 65. Probably around £3500 a year at current annuity rates.

Although it's going to be hard now you should be aiming to get 200k or more in your pension pot or other retirement savings