Help: Husband's Personal Pension is worthless

Blusoop

[QUOTEjust me being nosy now, you don't need to answer, but,

is this a 'what he will get when' figure?,

how much was he paying in and for how long?,

does it still have years to run?[/QUOTE]

FrugalMcDougal

I'm not entirely sure. I think it's probably an estimation on what he will get when he retires in 15ish years.

I don't know exactly how much he paid in but I think it was the minimum amount. But nobody advised him properly. At the time he took put the pension, everyone was saying personal pensions were worthless. Unfortunately he didn't think to make alternative plans.

Thanks for your advice. It does make me feel that all is not lost!!!

[Deleted User]

Hi,

Blusoop
Yes I agree. I don't understand pensions or mortgages etc. Seriously think schools should be teaching GCSE kids home care lessons...how to look after themselves and their finances.

jings teach them finances, was on tv/radio this morning that some of them can't tell the time from an analogue clock.

dunstonh

The only people who tend to advise you on pensions are the people who sell them...and let's face it they make money out of selling them, i think this is what scared my DH off investing.

Not since 2013. The industry moved to fee basis at that point. You still have to pay fees but you tend to find the net charges are lower than the old commission days.

However, even if you include the commission days, providers that cater for both DIY and advised have said that on average advised clients end up with higher pensions. Usually, as the advisers persuade people to pay in more which in turn leads to more. Nowadays, whether someone pays in £100pm or £200pm makes little or no difference to an adviser's remuneration.

While the old-fashioned insurance agents are long gone and their products were more expensive, they were very good at getting people to pay into those things and make periodic top-ups. With them gone, you either need the self-control to do it yourself or a local IFA to persuade you. A lot of people who had agents in the past have not made a top up in the last 20 years because no-one has been there to get them to do it.

pimento

Maybe a silly question but if your son is 8, why haven't you worked for 12 years?

[Deleted User]

Hi,

[QUOTE=dunstonh;74207229
While the old-fashioned insurance agents are long gone and their products were more expensive, they were very good at getting people to pay into those things and make periodic top-ups. With them gone, you either need the self-control to do it yourself or a local IFA to persuade you. A lot of people who had agents in the past have not made a top up in the last 20 years because no-one has been there to get them to do it.[/QUOTE]

interesting, sounds like 'The man from the Pru' coming round on a Friday night to get his shilling (5p) from granny to 'pay for her funeral'.

xylophone

You can each obtain a state pension statement here

https://www.gov.uk/check-state-pension

Working in a school could give you access to the LGPS.

https://www.litrg.org.uk/latest-news/news/160527-carer%E2%80%99s-allowance-%E2%80%93-can-deductible-employment-expenses-help-you-qualify

LHW99

If you get Child Benefit, you get NI credits until the child is (I think) 12

zagfles

Blusoop wrote: »

Unfortuntly, if you pay in peanuts, you get back peanuts./QUOTE]

Yes I agree. I don't understand pensions or mortgages etc. Seriously think schools should be teaching GCSE kids home care lessons...how to look after themselves and their finances.

The only people who tend to advise you on pensions are the people who sell them...and let's face it they make money out of selling them, i think this is what scared my DH off investing.

Yes in the old days there were pensions with rip-off charging structures, similar to endowments, where the first 2 years or so in premiums went to the adviser who sold it! So if you stopped contributing after a few years, the pension could be worth very little. Also they often took a large cut of any increase in premiums.

The industry has been forced to clean up its act in recent years, and there are lots of low cost options.

Dox

pimento wrote: »

Maybe a silly question but if your son is 8, why haven't you worked for 12 years?

Bit of an intrusive question, surely? Can't see how it is relevant to helping OP.

sheramber

pimento wrote: »

Maybe a silly question but if your son is 8, why haven't you worked for 12 years?

She said she has been a mum for 12 years so probably has an older child/children than the 8 year old.