State Pension Increases

michaels

I think I deserve a rant - my S2P/SERPS payments resulted in my having reached the max level of new state pension but no more at the point where the change happened so any NI I have paid since then has added nothing to my pension - had I been selfish and contracted out (taking the money away from current govt spending on things like the NHS) then I would have a nice pot to show for those extra payments and my current employment NI would still be enough to get me to a full state pension.

You lose some, you lose some....

zagfles

michaels said:

I think I deserve a rant - my S2P/SERPS payments resulted in my having reached the max level of new state pension but no more at the point where the change happened so any NI I have paid since then has added nothing to my pension - had I been selfish and contracted out (taking the money away from current govt spending on things like the NHS) then I would have a nice pot to show for those extra payments and my current employment NI would still be enough to get me to a full state pension.

You lose some, you lose some....

Rant away. Ironically most people in your position don't rant because they don't understand they've been shafted, whereas those who've done well out of the change think they have been shafted!

zagfles

german_keeper said:

GunJack said:

zagfles said:

Other people who often think they've missed out when they haven't is people who've been in contracted out employment, usually people who've got a final salary pension etc. 

Yeah, but try explaining it to them!! It often seems that while pensions are one of the more important financial products (for want of a better word) so many people just glaze over when you try.....

I remember a chap at work a couple of years back ranting about not being entitled to a "full" state pension and getting shafted by the government again. I explained to him that this was the one example over the last few years where we hadn't been shafted and had actually come out of the NSP arrangements very well indeed. Talked him through the changes and how we could build up a full state pension on top of our works pension etc etc.

A couple of days later I walked down the room and heard him on exactly the same rant. Human nature I suppose. I think some people just like to have a rant, play the victim, or even just don't like to admit they were wrong.

It's like politics and religion. Once some people have a belief rooted in their head it can be almost impossible to shift no matter what evidence you put in front of them.

german_keeper

michaels said:

I think I deserve a rant - my S2P/SERPS payments resulted in my having reached the max level of new state pension but no more at the point where the change happened so any NI I have paid since then has added nothing to my pension - had I been selfish and contracted out (taking the money away from current govt spending on things like the NHS) then I would have a nice pot to show for those extra payments and my current employment NI would still be enough to get me to a full state pension.

You lose some, you lose some....

Nothing wrong with a good rant when you understand the situation and have a good reason to rant!

Silvertabby

zagfles said:

michaels said:

I think I deserve a rant - my S2P/SERPS payments resulted in my having reached the max level of new state pension but no more at the point where the change happened so any NI I have paid since then has added nothing to my pension - had I been selfish and contracted out (taking the money away from current govt spending on things like the NHS) then I would have a nice pot to show for those extra payments and my current employment NI would still be enough to get me to a full state pension.

You lose some, you lose some....

Rant away. Ironically most people in your position don't rant because they don't understand they've been shafted, whereas those who've done well out of the change think they have been shafted!

Under the old scheme, high earners could accrue over £300 per week old basic State pension plus maximum SERPS/SP2.  Under the new scheme, the single tier pension is capped at £179.60 per week regardless of earnings/amount of NI paid.

You are indeed a loser due to the change - but just try telling that to an 'old' pensioner or a 'new' pensioner who has been contracted out and they probably won't believe you.