Channel 4 - how to blow your pension

bmm78

cepheus wrote: »

Why can't the government send out compulsory general advice on the options available on retirement. i.e. Consider drawing down the pension instead of buying an annuity and if you do buy an annuity shop around.

That is the purpose of the Pension wise brand (aka the Government Guidance Guarantee) that was launched this week. It is intended to give those either unwilling or unable to pay for advice a broad overview of their options, and the key considerations and risks to look out for.

The GGG will signpost those interested in an annuity to the Money Advice Service annuity comparison tool.

It's far from perfect and there are a lot of unanswered questions, but in principle it's a good idea to somewhat fill the advice chasm that exists in the at-retirement market.

Thrugelmir

bristol_pilot wrote: »

however many people reitring now will either have DB provision as well or will have several 'pots'.

You've obviously missed the fall off in savings rates. At the expense of a love of property.

atush

T,

how could anyone miss that here with all the posts about BTL instead of pensions I cannot say.

Freecall

dunstonh wrote: »

Most of the advisers I know.....

Just because you may not know these so called 'financial charlatans' does not mean that they don't exist.

The universe of financial intermediaries is very large. You may have personal high standards but as many will be aware, not all do.

edinburgher

In another example this week (BBC), we see that someone retiring with a pension pot of £29k will run out of money after 10 years - really??! you don't say! If that's all you've got to show after 40 years of work, well you have messed up, the new rules have nothing to do with it!

Your comments on multiple pots are interesting, does anyone publish figures looking at average value of *all* pots?

gadgetmind

OK, I've now watched this.

I expected this to be another enjoyable evening of staying in and shouting at the TV, but it wasn't quite as rough a ride as I feared. Yes, lots of howlers, and very superficial, but it could have been worse.

atush

yeah, like today on the ITV lunchtime news (which I watch after th BBC lol)

Where the reporter sitting there fully stated "but with the new rules next year you no longer have to buy an annuity" and again, completely WRONG. 2006 you numpties.

GAHHHHHHHHHHHHH These people just dont do their research and keep parroting each other. Drives me crazy when people dont do the job they are paid for.

PensionTech

I didn't like it at all. Why are annuities definitely the wrong choice and a ripoff for every single person? How was Aviva to blame for selling an enhanced annuity to a woman who went through an IFA and almost certainly decided it was the best option? Why must we persist with the myth that people were forced to buy annuities until now? And why aren't members at least partly responsible for the consequences of their lack of interest or research into one of the biggest decisions in their life?

Daniel54

atush wrote: »

yeah, like today on the ITV lunchtime news (which I watch after th BBC lol)

Where the reporter sitting there fully stated "but with the new rules next year you no longer have to buy an annuity" and again, completely WRONG. 2006 you numpties.

GAHHHHHHHHHHHHH These people just dont do their research and keep parroting each other. Drives me crazy when people dont do the job they are paid for.

Totally agree

In last weeekend's Sunday Times,the Editor of the Money section.Becky Barrow, wrote in the first paragraph of her back page editorial that the pensions shake up means that annuities will no longer be compusory,and in her second paragraph that those who are most angry are the ones who would not have bought an annuity if they had known the rules forcing them to buy one were about to be abolished.

She is quite obviously not restricting these statements to the current rules concerning the age of 75.The pension reforms of 2006 apparently never happened.

I have the article in front of me and you have reminded me to write an email of complaint to her about lazy and inaccurate journalism.

hugheskevi

Your comments on multiple pots are interesting, does anyone publish figures looking at average value of *all* pots?

Yep, Wealth and Assets survey shows this (sort of).

Quite sobering to look at such low figures (both in terms of % with, and average amounts). Although this page doesn't include paid-up and deferred pension pots so is of less value in that regard (I think the main report covers all pots, from memory). The Pensioner Income Series also has aggregate figures, but in terms of income rather than assets.