MSE News: Retirees to pocket up to £200 more a year once state pension rises next Apr 29 November 2016 at 4:01PM in Pensions, Annuities & Retirement Planning 15 replies 2.3K views

Legacy_user

The state pension is to rise by 2.5% and pay out up to £200 a year extra to retirees next year...

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'Retirees to pocket up to £200 more a year once state pension rises next April'

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le_loup

Who or what are retirees?
We have pensioners over here.

greenglide

Well that is not exactly "news" is it? Slow news day?

And I am not used to the term "retirees" either. I should have been "people in receipt of State Pension" because there are plenty of people who are retired but not in receipt of the State Pension.

maximumgardener

exactly.....
AND we also have many people in receipt of state pension and still working , so not "retired"

jamesd

It's really up to around £266 a year more if just an individual's record is considered and deferral is ignored, because around £280 is the maximum normal weekly state pension entitlement at the moment. That is what a lifelong high earner would have accrued. Assuming single tier that person would get 2.5% on the first £155.65 a week and 1% on the rest. £202 + £64.66 = £266.66.

Not too bad a description given the complexities involved and need to address the core of the state pensioner audience, though. Would have been nice to say state pensioners rather than retirees, though, since there are a lot of retirees either not of state pension age or ineligible for it.

Nick_C

Of course the real story here is that State Pensioners are once again getting a totally unjustifiable above inflation increase - an extra £120 a year above in many cases. Money that could be used to reduce the deficit or help the NHS.

Meanwhile, hard working low income families will be substantially worse off as they move from tax credits to universal credit.

We're all in it together - unless you get the state pension!

greenglide

But this year it the increase in earnings is 2.5% so this doesn't seem that unfair, especially considering anything about the basic is only getting the CPI increase.

Obviously this doesn't help anyone on benefits - some of the changes in train are harsh to say the least.

xylophone

But this year it the increase in earnings is 2.5% so this doesn't seem that unfair, especially considering anything about the basic is only getting the CPI increase.

If pensions had remained linked to earnings, the BSP would now be worth over £160 a week.

https://www.ft.com/content/6f8531d6-ddfd-11e4-8d14-00144feab7de

And as for ASP, https://www3.hants.gov.uk/finance/retailpricesindexandconsumerpriceindex.htm

go figure.....

MARTYM8`

Paid for by younger people who will probably die before they receive a state pension given the planned rises in the qualifying age - assuming that is there is even a state pension to receive in 20 years time.

Short term vote winner - with the bill dumped on the grandkids.

bigfreddiel

Nick_C wrote: »

Of course the real story here is that State Pensioners are once again getting a totally unjustifiable above inflation increase - an extra £120 a year above in many cases. Money that could be used to reduce the deficit or help the NHS.

Meanwhile, hard working low income families will be substantially worse off as they move from tax credits to universal credit.

We're all in it together - unless you get the state pension!

Cobblers, we've earned it, these low income families should just work harder, hehehe!

bigadaj

bigfreddiel wrote: »

Cobblers, we've earned it, these low income families should just work harder, hehehe!

Some have earned it, others less so.