Retirement

seven-day-weekend

In case this is some young guy/girl who really doesn't understand....(remember there is no such thing as a stupid question).

You pay your bills out of your pension.

You an get a pension several ways. One is by paying into the State Pension scheme for thirty years. If you have done this, someone your age will get a State Pension at (I think) 68.

You can also pay into an Occupational Pension (also called a Works Pension). You can often take these from 60.

You can also opay into a private pension and can also take these from 60.

Then you pay your bills out of your pensions/savings, or any State Benefits if you are entitled to them.

Hope this helps.......

Savvy_Sue

roddydogs wrote: »

Just wondered why anyone would reply to an obvious daft post!

Because we're friendly? or we have too much time on our hands?

And also because from the chap's later posts, he genuinely doesn't know the answer! Which is a sad indictment of Young People Today, but there we go ...

GadgetsDS wrote: »

na im only 23 but my friends dad has had is own business for over 20 years and the business just went bust, hes 65 and i just was wondering how hes gonna pay his house and bills coz he said hes retiring now

And I think the answer to that could be "With Great Difficulty." Depending on what's meant by 'the business went bust' - if he's gone bankrupt then it's not going to be a bundle of laughs. But there are benefits which can be claimed, and living costs can be reduced, and if he paid into a pension while the business was doing well then it may not be too bad.

But the moral of this story is "Start a pension plan NOW!" £5 a month now is worth a lot more than £5 a month at my age ...

Grandmasu

I am 67 years of age, got a new job on my 65th birthday (retired from "proper" job) so that I can carry on paying my bills including a mortgage that will not end until 2015!:eek::eek::eek:

I had an endowment mortgage that was unfortunately was not paid off when my husband died, apparently not mis-sold as I should have realised what would happen!
:huh::huh::huh:
Unfortunately most of us have to either cope on a pension or just get on with it and carry on working.
:D:o

Biggles

Grandmasu wrote: »

I had an endowment mortgage that was unfortunately was not paid off when my husband died, apparently not mis-sold as I should have realised what would happen!

Why wasn't it? I thought the whole point of an endowment mortgage was that the policy paid in the event of the main wage-earner's death?

Savvy_Sue

Biggles wrote: »

Why wasn't it? I thought the whole point of an endowment mortgage was that the policy paid in the event of the main wage-earner's death?

Yes, me too! We've still got an endowment running, no longer connected to a mortgage, but it's always been my excuse for DH not needing life insurance, because if he pops his clogs while this is still running then I get the dosh! Actually I think ours pays out on either death, probably need to check now though!

[Deleted User]

It`s ok for gadget DS to ask that on here. He/she obviously has an enquiring mind

Many of us really scrimped hard when we were younger eg we had second hand furniture for ages and took our holidays in a tent in west wales. The scrimping paid off eventually and was ok to manage like that because a lot of people were in the same boat. Society slowly changed and credit cards came in as well as `have it now`and some older people were swept along, as well as a whole younger generation and we all know the results of that

Those who kept focused on managing their money without debt, generally stayed on the straight and narrow and slowly accumulated savings and became mortgage free. Many of our age did not re-mortgage for foreign holidays etc. Some did, we didn`t

It must be a dreadful shock to the spenders when they suddenly have to manage on a state pension only. It can be done because I know that we got through some very tough times eg when the mortgage interest rate hit 15% but I would not want to be in that boat again. Soup, beans and bread come to mind

OP, money makes money and over a working lifetime, savings and so on can transform retirement. I know for a fact that we will have more income in retirement than we had on average over the last 6 years. We still managed to keep saving through those times

Overpayments on the mortgage meant that our house became our own 8 years early and our future comfort is pretty well ensured now

There was no point in having life insurance once the children became independent and the term insurance finished. We have no debts and everything is joint

In a nutshell to the OP. Save save save

balmaiden

Well said Kittie.

Grandmasu

Hello Biggles and Savvy-Sue, My husband was a good few years older than me and neither of us were aware that an insurance had not been taken out on him because of his age. I was told that it would be best if my name was first on the forms as I was working and that when I retired I would have a nice lump sum and could save or go on a world cruise.!!!

Unfortunately as I said he was not covered, managed OK for a year and then got made redundant losing my income and company car.

Cutting long story short had to down size, move to a cheaper area and start all over again. I am lucky that the mortgage is relatively small and just manageable on ten year fixed rate at under 5%.

I know there are many worse off and I only regret that we were so naive. If only this site had been around then, maybe I would be sunning myself in the Bahamas!

Savvy_Sue

Well, in that case I'd say you WERE badly advised. However, it may not be mis-selling as such. What a situation, make sure you still have SOME fun! :rotfl:

Biggles

Savvy_Sue wrote: »

Well, in that case I'd say you WERE badly advised. However, it may not be mis-selling as such.

Grandmasu, I really think you should take advice on revisiting the 'mis-selling' point, especially if neither of you were aware what you were signed up to and you weren't told what it meant to have 'your name first on the forms'.