State Pension and the deductions/additions

hijimhere

It took me three attempts to get answers to how the SP was formed.
This came about because of the usual vagueness which besets any government scheme. I am very annoyed at the states "I'm in" scheme". As it is a road map to paying your own pension while government continue to take NI contributions which were the foundation for free healthcare and retirement state pension. They are using stealth tactics to wipe out our "state" pension entitlement.
However, having dragged most of the details of what the figures on my state pension award I am left with one glaringly obvious omission. This concerns the "contracted out" huge deduction, in my case £39 per week, that the DWP Pensions officers claim is "we will write to you again when the information become available". Bare in mind the conversation is with the DWP Pensions Department. I smell a rat, what they do with an exclamation script in double speak is tell you that you had a benefit while contracted out. They value this benefit (which was supposed to be a straight forwards discount if you contacted out) in my case as over £83 presumably per week. They now claim you have to repay some of this £83 back even though at the time you weren't fully informed that this will happen. So they think of a figure and include it as a DEDUCTION from the state pension. I am paying them £39 per week for having contracted out - can you see where this is going and what the real agenda is behind the jingoistic "I'm in" is all about. I demand to know why they have stipulated why they stipulate the contracted out as being £83 per week when in reality the figure is superfluous in the absence of an explanation. Moreover I said ok why have you not added the benefit amount (£83) then deducted the £39 that you want. The silence is deafening. Let me remind you of what they claimed in their latest response "we will write to you again when the information become available". All I can say is that this reply is astonishing, the Pensions office say that the Pensions office that they do not have the information that any sane person would query and want answered. Finally all you people who contracted out, bought annuities or otherwise created an income for your retirement, will be interested in that the personal tax allowance is just under your state pension. All the income you sacrificed and scrimmed for is now having 20% taken in Tax. The fact that you already paid tax as these purchases were derived from your salary. A down right rip off.

minty777

It took me three attempts to get answers to how the SP was formed.
This came about because of the usual vagueness which besets any government scheme.

I am very annoyed at the states "I'm in" scheme". As it is a road map to paying your own pension while government continue to take NI contributions which were the foundation for free healthcare and retirement state pension. They are using stealth tactics to wipe out our "state" pension entitlement.

However, having dragged most of the details of what the figures on my state pension award I am left with one glaringly obvious omission. This concerns the "contracted out" huge deduction, in my case £39 per week, that the DWP Pensions officers claim is "we will write to you again when the information become available".

Bare in mind the conversation is with the DWP Pensions Department. I smell a rat, what they do with an exclamation script in double speak is tell you that you had a benefit while contracted out.

They value this benefit (which was supposed to be a straight forwards discount if you contacted out) in my case as over £83 presumably per week. They now claim you have to repay some of this £83 back even though at the time you weren't fully informed that this will happen.

So they think of a figure and include it as a DEDUCTION from the state pension. I am paying them £39 per week for having contracted out - can you see where this is going and what the real agenda is behind the jingoistic "I'm in" is all about.

I demand to know why they have stipulated why they stipulate the contracted out as being £83 per week when in reality the figure is superfluous in the absence of an explanation.

Moreover I said ok why have you not added the benefit amount (£83) then deducted the £39 that you want. The silence is deafening. Let me remind you of what they claimed in their latest response "we will write to you again when the information become available".

All I can say is that this reply is astonishing, the Pensions office say that the Pensions office that they do not have the information that any sane person would query and want answered.

Finally all you people who contracted out, bought annuities or otherwise created an income for your retirement, will be interested in that the personal tax allowance is just under your state pension.

All the income you sacrificed and scrimmed for is now having 20% taken in Tax. The fact that you already paid tax as these purchases were derived from your salary. A down right rip off.

Linton

hijimhere wrote: »

......
Finally all you people who contracted out, bought annuities or otherwise created an income for your retirement, will be interested in that the personal tax allowance is just under your state pension.

All the income you sacrificed and scrimmed for is now having 20% taken in Tax. The fact that you already paid tax as these purchases were derived from your salary. A down right rip off.

Perhaps it would be better for your blood pressure if you stopped ranting and tried to understand coolly what is going on. I think you will find that it all makes sense.

To answer your last point.....

You havent already paid tax on all the money you scrimped and saved to put into your pension. The money you put into a pension either isnt taxed at all or the tax is refunded.

minty777

minty777 wrote: »

It took me three attempts to get answers to how the SP was formed.
This came about because of the usual vagueness which besets any government scheme.

I am very annoyed at the states "I'm in" scheme". As it is a road map to paying your own pension while government continue to take NI contributions which were the foundation for free healthcare and retirement state pension. They are using stealth tactics to wipe out our "state" pension entitlement.

However, having dragged most of the details of what the figures on my state pension award I am left with one glaringly obvious omission. This concerns the "contracted out" huge deduction, in my case £39 per week, that the DWP Pensions officers claim is "we will write to you again when the information become available".

Bare in mind the conversation is with the DWP Pensions Department. I smell a rat, what they do with an exclamation script in double speak is tell you that you had a benefit while contracted out.

They value this benefit (which was supposed to be a straight forwards discount if you contacted out) in my case as over £83 presumably per week. They now claim you have to repay some of this £83 back even though at the time you weren't fully informed that this will happen.

So they think of a figure and include it as a DEDUCTION from the state pension. I am paying them £39 per week for having contracted out - can you see where this is going and what the real agenda is behind the jingoistic "I'm in" is all about.

I demand to know why they have stipulated why they stipulate the contracted out as being £83 per week when in reality the figure is superfluous in the absence of an explanation.

Moreover I said ok why have you not added the benefit amount (£83) then deducted the £39 that you want. The silence is deafening. Let me remind you of what they claimed in their latest response "we will write to you again when the information become available".

All I can say is that this reply is astonishing, the Pensions office say that the Pensions office that they do not have the information that any sane person would query and want answered.

Finally all you people who contracted out, bought annuities or otherwise created an income for your retirement, will be interested in that the personal tax allowance is just under your state pension.

All the income you sacrificed and scrimmed for is now having 20% taken in Tax. The fact that you already paid tax as these purchases were derived from your salary. A down right rip off.

Linton wrote: »

Perhaps it would be better for your blood pressure if you stopped ranting and tried to understand coolly what is going on. I think you will find that it all makes sense.

To answer your last point.....

You havent already paid tax on all the money you scrimped and saved to put into your pension. The money you put into pension either isnt taxed at all or the tax is refunded.

It wasn't me ossifer:o

Linton

minty777 wrote: »

It wasn't me ossifer:o

Fixed!.........................

greenglide

A wonderful rant and totally wrong. Search for "COD" - Contracted Out Deduction and there is a Wiki page about it.

All I can say is that this reply is astonishing, the Pensions office say that the Pensions office that they do not have the information that any sane person would query and want answered.

"The Pensions office" (DWP or "The Pensions Service" ) do not hold the data about contributions and COD etc until you actually reach pension age. HMRC hold this data and HMRC do the original calculation of your entitlement.

All pensions are taxable, they always have been, no secret. Contributions to a personal or occupational pension are not taxed when you pay them so what is the issue there?