Pension top up

zygurat789

https://www.gov.uk/government/news/state-pension-top-ups-pensions-can-be-increased-by-up-to-25-a-week

Now we know who is going to pay for selling the Post Office off so cheaply

Once again it is the pensioners who are being ripped off.

p00hsticks

zygurat789 wrote: »

Once again it is the pensioners who are being ripped off.

And this is a rip off how exactly ?


No one is being forced to go for it if they don't want to, and the consensus that I've heard is that in general it offers a very good deal in comparison with buying a private annuity

zygurat789

This is to compensate existing pensioners because from April 2016 the pension for new pensioners will be £147+ but will not increase for those already in receipt of a pension. To compensate they are being allowed, for a short period, to buy an annuity, yes that's right, from the government at just below 6% as opposed to the 10% for deferral or the 0% if you take your pension after 5/4/16.
Yes Dave I believe you now we're all in this together, you're selling annuities we have to buy them.

yangptangkipperbang

zygurat789 wrote: »

Now we know who is going to pay for selling the Post Office off so cheaply

Once again it is the pensioners who are being ripped off.

My wife and I are both pensioners - we both bought the guaranteed number of Royal Mail (NOT Post Office - or did I miss that one ?) shares then sold them at a good profit - somewhat better rate of return than a 1% ISA !!!

Not quite sure where we got ripped off ...........:(

whodathunkit

zygurat789 wrote: »

This is to compensate existing pensioners because from April 2016 the pension for new pensioners will be £147+ but will not increase for those already in receipt of a pension. To compensate they are being allowed, for a short period, to buy an annuity, yes that's right, from the government at just below 6% as opposed to the 10% for deferral or the 0% if you take your pension after 5/4/16.
Yes Dave I believe you now we're all in this together, you're selling annuities we have to buy them.

Many current pensioners already get far more SRP than the new flat rate pension.

Pensioners have been protected from all the recent benefit changes, like the reduction in HB for spare rooms) and have little to complain of from this government.

Bollotom

whodathunkit wrote: »

Many current pensioners already get far more SRP than the new flat rate pension.

Pensioners have been protected from all the recent benefit changes, like the reduction in HB for spare rooms) and have little to complain of from this government.

Oh? I'm a pensioner. Get no benefits, pay full council tax, no housing benefit, pay full rent and I also pay 20% tax. And I'm a staunch labour supporter and unionist. This government have done nothing for pensioners, workers, carers, nurses and teachers, armed forces. All they've done is dig their snouts deeper into the Westminster trough while using our money for dubious projects. You don't think that giving everyone £147 pension is a reward? They're simply removing the extra element you spend 50 years working for. But keep on trucking, fella. :cool:

Pollycat

This is already being discussed on the 'Pensions' board:
https://forums.moneysavingexpert.com/discussion/4938188

First posted on 3rd April with 3 pages of discussion.

p00hsticks

zygurat789 wrote: »

This is to compensate existing pensioners because from April 2016 the pension for new pensioners will be £147+ but will not increase for those already in receipt of a pension. To compensate they are being allowed, for a short period, to buy an annuity, yes that's right, from the government at just below 6% as opposed to the 10% for deferral or the 0% if you take your pension after 5/4/16.
Yes Dave I believe you now we're all in this together, you're selling annuities we have to buy them.

zygurat789 wrote: »

This is to compensate existing pensioners because from April 2016 the pension for new pensioners will be £147+ but will not increase for those already in receipt of a pension.

Not everyone will get £147+ under the new scheme - I believe there will be a deduction for anyone who has not been contracted in. I'm not aware that they've announced the details as yet, but it could mean that some people are no better off than they would be under the current system.

And, with SERPS etc, many existing pensioners get much more that £147 anyhow.

Then of course there is requirement for 5 more years NI contributions under the new scheme than is required presently, plus the rising pension age that means people will be claiming later and later.


So there are winners and losers both ways - and it's the younger generation that will be paying for it all in their taxes for many years that will get the worst deal of all and are the ones who perhaps have most justification for arguing that they are being ripped off.

custardy

zygurat789 wrote: »

https://www.gov.uk/government/news/state-pension-top-ups-pensions-can-be-increased-by-up-to-25-a-week

Now we know who is going to pay for selling the Post Office off so cheaply

Once again it is the pensioners who are being ripped off.

They never sold of the Post office

yangptangkipperbang

whodathunkit wrote: »

Pensioners have been protected from all the recent benefit changes, like the reduction in HB for spare rooms) and have little to complain of from this government.

.............apart from derisory interest rates and freezing of the over 65 tax allowance - so that those poor hard up MPs & Govt Ministers could earn as much tax free as a pensioner before they start paying tax :(
Cameron, Clegg and Milliband were probably in dire need of those few extra quid...;)

zygurat789

yangptangkipperbang wrote: »

.............apart from derisory interest rates and freezing of the over 65 tax allowance - so that those poor hard up MPs & Govt Ministers could earn as much tax free as a pensioner before they start paying tax :(
Cameron, Clegg and Milliband were probably in dire need of those few extra quid...;)

They pay no tax at all on expenses fraudulently overclaimed