Looking at pensions I've paid into so far. What should I be looking at? Where do I start?

NeverendingDMP

That's wonderful. Thankyou for your help and detailed reply. It's very much appreciated, and wonderful to know the promise has to be kept for my NHS pension. State pension wise we have only missed a couple of years each so unless major life events occur we will both get all our years done in time. I'll keep it in mind in my financial planning and am so relieved your response said certainly not great as opposed to catastrophic. Ha ha

kidmugsy

For each of your pensions you should keep them up to date on your address and marital status. For the two old investment pensions (they're called Defined Contribution pensions) check who you nominated to receive the benefits if you die before receiving them.

crv1963

kidmugsy wrote: »

For each of your pensions you should keep them up to date on your address and marital status. For the two old investment pensions (they're called Defined Contribution pensions) check who you nominated to receive the benefits if you die before receiving them.

I'd echo kidmugsy- my wife hadn't had a statement from one of her pensions since 2004 when she changed address and since then name as well, not overly difficult to resolve but several hours of our life we wont get back to sort it out!


I would encourage you to think now- how much do I need when I retire, as in the "what's your number thread", but also when do I want to retire? Even if it feels unrealistic now you can make a start with the planning and once your money problems are sorted make a start on reaching your goal. Every little bit adds up and time makes it grow so NHS + SP + DB could underpin your retirement -if the sum total matches your number great- with you planning to fund the gap between that total and what else you need if it doesn't meet your number. Or retiring earlier if it does match your number.


Persuading your other half to put a little extra into their pot could also benefit you both.


Edit- We have left it much later than you in life to sort us out so I'll bet if your colleagues are anything like mine your ahead of the game with your peers at work. We may be in our 50s but even now we're ahead of some because we have a goal and a plan, it just has to be flexible because you never know what life will throw at you!

NeverendingDMP

Thanks all. I will have a read of the what's your number thread. I'm not sure what my number needs to be but I do know 68 years old is definately not my age number -if at all possible. This means there will be more savings to be done. Other half not on board with any form of money discussion unfortunately but I can but try. I still have my Lisa as well and randomly put the extra pennies in from my bank. I can pay in till I'm 50 and withdraw at 60 so I think that will be more of a little savings plan perhaps. Current plans are to be mortgage free by 57 but ideally by 55 if I can. One of the things I've come to realise through the debt threads is pennies really do make pounds.

crv1963

I think it is very common that only one partner takes a keen interest in the planning, Mrs CRV shows sporadic interest in the pension side of things and wouldn't go through the detail.


We're paying off debts, pension saving and over paying mortgage (although not by much as the money for us is better going into the pensions because of the low interest rates). We decided to tackle all three areas, rather than throw everything at one area then moving onto the next. I'm not sure that there's a right or wrong way, it's more a case of doing what is comfortable for you and helps you sleep at night.

atush

NeverendingDMP wrote: »

Thanks all. I will have a read of the what's your number thread. I'm not sure what my number needs to be but I do know 68 years old is definately not my age number -if at all possible. This means there will be more savings to be done. Other half not on board with any form of money discussion unfortunately but I can but try. I still have my Lisa as well and randomly put the extra pennies in from my bank. I can pay in till I'm 50 and withdraw at 60 so I think that will be more of a little savings plan perhaps. Current plans are to be mortgage free by 57 but ideally by 55 if I can. One of the things I've come to realise through the debt threads is pennies really do make pounds.

Having an other half who wont discuss money is bad for you as a couple/unit. At the very least, stop them from adding to your debt. Maybe discussing how long he will have to work (ie to 68 if he refuses to savee) might get him to change his position?

Great news on t he pay front and that extra 80 per month. That will really help knock down your debt faster.

Then you need an emergency cash fund to stop you going into debt again if you have unexpected exenses. Jump on this as soon as you can- it is your safety net.

NeverendingDMP

No further debt possible apart from friends and family. Both now defaulted. Learnt that the hard way . His unwillingness to discuss it is bad I agree. Good job I'm willing to look at it eh.


Crv 1963 I'm also going at it from all angles now. The DMP will take that long I can't ignore the rest. I already overpay 5 pound something a month to my mortgage and have now set up a standing order of 5 a month to my lisa . I have agreed repayments for debts to they aren't being completely ignored.

Im also being completely immoral in that I'm setting up a help to save account with my payrise and going to put 50 a month in. If I can do that for two years I will get given a bonus of 50% of what I have saved so potentially a decent full and final offer.

Back in the the pensions side of things work do advice drop ins but apparently people queue out the door for them and they prefer those nearer retirement to use them. I will try and get to one though to see if I can put an extra percent in or something before I get used to my new wage. The earlier I get the pennies in the longer they have to turn into pounds.

enthusiasticsaver

The NHS scheme is a defined benefit scheme so there is no money sitting anywhere as such and no definitive contribution by the employer. You can get forecasts of what you would get at certain ages so that would be my starting point to firm up pension plans. If you wish to retire earlier than your NRD and your state pension does not kick in until late 60s you will undoubtedly need to up your contributions at some point but I would get rid of the debt first. Paying additional contributions can either buy added years to increase your pension or you can buy AVCs which effectively is another pot which will sit alongside your NHS pension.

You could explore whether it is worth transferring the old pensions you have into your NHS scheme so writing to the administrators to find a CETV would be a good starting point although the DB scheme may not be able to be transferred.

tibbles209

NeverendingDMP wrote: »

Im also being completely immoral in that I'm setting up a help to save account with my payrise and going to put 50 a month in. If I can do that for two years I will get given a bonus of 50% of what I have saved so potentially a decent full and final offer.

I just wanted to pick up on this bit and say; there is NOTHING immoral about taking part in a government scheme designed to help people in exactly your circumstances to build some savings to make your financial situation a bit more stable. Making a sensible, long-sighted decision about how to use your upcoming pay rise is something to be proud of, not ashamed. :beer:

NeverendingDMP

Thanks tibbles209. I'm happy to find ways to make my money work harder but was a bit worried that people might see me as cheeky for planning to make a settlement offer instead of paying a debt in full and use government money to help pay for it.