Future pensions

rollsroycs

I think the piece this week on pensions needs some more thought, so take me for instance, i have paid extra for 50 years (66) now, i get £153 instead of £110 ? rightfully so,UNDER THE RADAR in 2016 a proposed £145 across the board (yes it will happen) i have spoken to HM PENSIONS (got fobbed off) and my M.P. (no reply so nothing new there then) so i asked will my pension rise pro-rata to £190 ? no chance, so those of us who have paid in for 50 years are being penalised so those who have paid !!!!!! all will benefit, i dont know why more pensioners have voiced on this. so i will say to anyone thinking of saving for the future DONT BOTHER:mad: you will be POOD on. like thousands of us pensioners, so MARTIN what do ya think of this one ?? a reply as to the future would be nice when you are telling people to save extra for retirement.

Linton

You appear to misunderstand the objectives of the change. Currently people only on the basic pension of £110 get pension credit and other benefits. The new scheme simply incorporates this into the total pension. Its not a rise in pension, its a simplification of existing payments. To reduce costs, and because of increasing life expectancy, the effective charges are going up in terms of increased NI years and the removal of the second state pension.

In your case you have paid for the £110 and the extra £43 (presumably SERPS and S2P) and that is what you are getting. If you were eligible for pension credit you will still get it, AIUI nothing changes for you. I fail to see how you can justifiably complain.

Seabee42

The current system discourages saving and it has been highlighted as an issue ever since GB went mad on means testing.

You are right though the new system has losers effectively those who would have paid the most and got the most out of SERPS will be losers in future. Since you will just pay in but get the same rate as those who do not pay.

NI has been a tax on income for a long time and lets be honest the whole purpose of taxation has always been to take and provide elsewhere when people would not choose to do so.

kidmugsy

Seabee42 wrote: »

ever since GB went mad on means testing.

Oi, it's the custom hereabouts to refer to "GB" as 'that nice Mr Brown'.

xylophone

i have paid extra for 50 years (66) now

You are currently receiving your entitlement for the NI Contributions you paid ( Basic State Pension £110+ and your AP of £43) which is above the amount which would entitle a single pensioner to PC under current rules.

Triumph13

THe OP appears to be yet another person labouring under the misapprehension that the STP is a rise in the state pension rather than a reduction.

greenglide

Triumph13 wrote: »

THe OP appears to be yet another person labouring under the misapprehension that the STP is a rise in the state pension rather than a reduction.

It is an increase and a reduction rolled into one isn't it?

Swings and roundabouts springs to mind!