HPC are having a mass breakdown

economic

westernpromise wrote: »

Agree. I do not expect to receive a penny in state pension. I've been robbed by the state all my life; why would that stop?

Your purpose in the economy has been to subsidize those who are less productive then you. Sure you get to keep some wealth to keep you happy but not so much as to make others unhappy.

Cakeguts

westernpromise wrote: »

Agree. I do not expect to receive a penny in state pension. I've been robbed by the state all my life; why would that stop?

Me likewise. I have never expected to get a state pension. Even when I was in my 20s I didn't think I would ever get one. The reason for this was that I had a job. I expected only people who had never worked or only worked when they felt like it or when they got a job that they liked which was never going to happen. (It is always the people with the rubbish degrees and no skills that seem to want to only do a job if the enjoy it.)

I would be quite content if people got in state pensions an amount that reflected how much they had contributed to society. So the bone idle who sit at home all day and don't even do any volunteer work or the people who have lots of children, don't work and live on benefits won't get a pension. They can rely on all the children to keep them.

There are some disabled people who contribute a lot to society but can't work. There are some people who are quite able to work but don't want to.

chucknorris

economic wrote: »

Expanding on unfunded liabilities - it is in my opinion that the next major crisis will be related to pensions.

We had large pension surpluses into the 90s. We now have very large deficits mainly driven by lower rates and expectations of people living longer.

We have never gotten it right when it comes to pensions. Easy to see why - just too many uncertain variables. You have uncertain:
- longevity rates
- inflation
- asset returns
- nominal interest rates

They got the pensions wrong in the 90s as they went into heavy surplus and now they are getting it wrong with heavy deficits.

My feeling is that state pensions will be means tested. The government will default on state pensions and the population who worked hard, saved and invested will be the ones heavily penalized.

I have thought for a long time that the best way that this can be tackled is to remove the index linking to the state pension, and maybe raise it annually very marginally (less than the rate of inflation). So rather than presenting a cliff edge to everyone, the state pension could be slowly reduced, which would/should give the public time to adjust.

GreatApe

Reducing the state pension isn't going to do much if on the other side people are given more pension credits.

The triple lock needs to go. It should just be based on CPI

GDP and earnings will outpace CPI over the next 20 years which should make pensions more affordable

Malthusian

The State Pension is more likely to be expanded to all working-age adults (i.e. Universal Basic Income) than abolished or means-tested.

If it was means-tested, private pension saving among all but the highest earners would totally collapse. There would be no point, as every penny saved would be lost to means testing. Auto-enrolment would be opted out of en masse.

Anyone with income in retirement higher than about £50,000 already gets their State Pension fully clawed back anyway, and neither the red team nor the blue team gain anything from smashing those between £8,000pa and £50,000pa while causing a collapse in demand for their friends in the financial services sector.

chucknorris

Malthusian wrote: »

Anyone with income in retirement higher than about £50,000 already gets their State Pension fully clawed back anyway

I didn't know that, when you say 'income' do you mean any income (i.e. rental, dividend etc.), or just employment income.

westernpromise

chucknorris wrote: »

I didn't know that, when you say 'income' do you mean any income (i.e. rental, dividend etc.), or just employment income.

I presume the thinking is that the tax taken off you on £50k of private pension income exceeds the state pension you receive, so that constructively, you get nothing. What you receive is state pension is taken back in tax.

chucknorris

westernpromise wrote: »

I presume the thinking is that the tax taken off you on £50k of private pension income exceeds the state pension you receive, so that constructively, you get nothing. What you receive is state pension is taken back in tax.

Oh, that's OK then. I obviously expect to pay tax on income from outside of my ISA, but it would have been news to me that I wasn't due a state pension.

HPC_Ghuol_Hunter

westernpromise wrote: »

This is my favourite recent HPC post:



Yes, the "elite" want to reduce the population either by killing them outright or - the fiends - making houses too expensive, which is exactly the same as genocide. Of course it is.

Hilarious. Do the HPC goon crowd never read what utter drivel they post?

AnotherJoe

HPC_Ghuol_Hunter wrote: »

Hilarious. Do the HPC goon crowd never read what utter drivel they post?

Wooooooosh !