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Can't trust government with pensions
Comments
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Who can you trust with your pension? AS above, who else would you trust?
Also despite their many failings I would rather trust a UK government with my pension than a Russian or Somali one !
Also the current pension tax regime is very generous for higher rate taxpayers , even more if a salsac arrangement , so will be difficult to justify complaining too loudly if it is adjusted .
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atush said:Barry_Bear said:There are reports that the government may target private pensions to raise taxes.
The lifetime allowance has been reduced before and could be yet again!
How can you expect people to save for the future when they can see our governments have a track record of moving the goal posts and a financial crisis means our governments tend to target those who have saved into pensions?
Yes, tax regimes can change, but sometimes they need to. Who else is going to pay for the pandemic but companies, the govt, and individuals?
So to whatever extent the pandemic needs to be paid for, it will be done by taking a share of income or assets of those who work or hold assets.I think....1 -
More on topic - I can see that there might be some linkage proposed between pensions and paying for social care.
Perhaps a specific 'national insurance fund' for social care in old age paid for via a 'NI' levy on pension income? I know the talk is of pooling risk so perhaps instead of a levy on pension income it could instead be applied to inheritances of pensions?I think....0 -
michaels said:More on topic - I can see that there might be some linkage proposed between pensions and paying for social care.
Perhaps a specific 'national insurance fund' for social care in old age paid for via a 'NI' levy on pension income? I know the talk is of pooling risk so perhaps instead of a levy on pension income it could instead be applied to inheritances of pensions?
Until I read it on this forum I had no idea that pension pots can be passed down the family generations in a tax friendly way , So I guess >95% of the population would be unaffected if there was a change but if it means more money for social care then it could be sold as a good thing.
Only point I would make is not all Adult social care is for older people/pensioners .0 -
Albermarle said:michaels said:More on topic - I can see that there might be some linkage proposed between pensions and paying for social care.
Perhaps a specific 'national insurance fund' for social care in old age paid for via a 'NI' levy on pension income? I know the talk is of pooling risk so perhaps instead of a levy on pension income it could instead be applied to inheritances of pensions?
Until I read it on this forum I had no idea that pension pots can be passed down the family generations in a tax friendly way , So I guess >95% of the population would be unaffected if there was a change but if it means more money for social care then it could be sold as a good thing.
Only point I would make is not all Adult social care is for older people/pensioners .Given social care costs may be huge for some and non-existent for others, a pooled approach to the risk definitely seems sensible, whether that be funded through current taxation or by some new or increased tax.I can see pensions quickly becoming someone's largest asset - I know my pension is worth more than my property. If one is able to build a large DC pension pot and live off a sustainable drawdown rate that leaves the pot intact to pass on to the next generation AND they have also built a pot of their own, one can easily see how that inherited wealth can quickly grow. Question: does an inherited pension then form part of your lifetime allowance, thus limiting the benefits of passing on pensions where the lifetime allowance would be breached?Our green credentials: 12kW Samsung ASHP for heating, 7.2kWp Solar (South facing), Tesla Powerwall 3 (13.5kWh), Net exporter3 -
NedS said:Albermarle said:michaels said:More on topic - I can see that there might be some linkage proposed between pensions and paying for social care.
Perhaps a specific 'national insurance fund' for social care in old age paid for via a 'NI' levy on pension income? I know the talk is of pooling risk so perhaps instead of a levy on pension income it could instead be applied to inheritances of pensions?
Until I read it on this forum I had no idea that pension pots can be passed down the family generations in a tax friendly way , So I guess >95% of the population would be unaffected if there was a change but if it means more money for social care then it could be sold as a good thing.
Only point I would make is not all Adult social care is for older people/pensioners .Given social care costs may be huge for some and non-existent for others, a pooled approach to the risk definitely seems sensible, whether that be funded through current taxation or by some new or increased tax.I can see pensions quickly becoming someone's largest asset - I know my pension is worth more than my property. If one is able to build a large DC pension pot and live off a sustainable drawdown rate that leaves the pot intact to pass on to the next generation AND they have also built a pot of their own, one can easily see how that inherited wealth can quickly grow. Question: does an inherited pension then form part of your lifetime allowance, thus limiting the benefits of passing on pensions where the lifetime allowance would be breached?
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NedS said:Albermarle said:michaels said:More on topic - I can see that there might be some linkage proposed between pensions and paying for social care.
Perhaps a specific 'national insurance fund' for social care in old age paid for via a 'NI' levy on pension income? I know the talk is of pooling risk so perhaps instead of a levy on pension income it could instead be applied to inheritances of pensions?
Until I read it on this forum I had no idea that pension pots can be passed down the family generations in a tax friendly way , So I guess >95% of the population would be unaffected if there was a change but if it means more money for social care then it could be sold as a good thing.
Only point I would make is not all Adult social care is for older people/pensioners .Given social care costs may be huge for some and non-existent for others, a pooled approach to the risk definitely seems sensible, whether that be funded through current taxation or by some new or increased tax.I can see pensions quickly becoming someone's largest asset - . If one is able to build a large DC pension pot and live off a sustainable drawdown rate that leaves the pot intact to pass on to the next generation AND they have also built a pot of their own, one can easily see how that inherited wealth can quickly grow. Question: does an inherited pension then form part of your lifetime allowance, thus limiting the benefits of passing on pensions where the lifetime allowance would be breached?
so is mine I live in a tent.0 -
A few comments have been keen to dismiss the reports of changes as just speculation and nothing more. Although everything can be called speculation, the fact is the government has a track record of moving the goal posts before.
Typical of the short-termism that plagues our system of government actions that erode long-term trust are not going to encourage people to save now to plan for their futures.0 -
Barry_Bear said:A few comments have been keen to dismiss the reports of changes as just speculation and nothing more. Although everything can be called speculation, the fact is the government has a track record of moving the goal posts before.
Typical of the short-termism that plagues our system of government actions that erode long-term trust are not going to encourage people to save now to plan for their futures.I think....0 -
sheslookinhot said:atush said:Barry_Bear said:There are reports that the government may target private pensions to raise taxes.
The lifetime allowance has been reduced before and could be yet again!
How can you expect people to save for the future when they can see our governments have a track record of moving the goal posts and a financial crisis means our governments tend to target those who have saved into pensions?
Yes, tax regimes can change, but sometimes they need to. Who else is going to pay for the pandemic but companies, the govt, and individuals?1
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