Are you Economically Inactive?

Nebulous2

I'm going for a night out with my previous colleagues soon. We all left early except one who is still there. I think we have more chance of persuading her to join us, than of her persuading us to come back.... 

molerat

Sarahspangles said:

In earlier generations people who weren’t economically active, would have been described as “having independent means” or something like that, so long as they weren’t “on the parish”.

And there lies the real elephant in the room.

Sarahspangles

molerat said:

Sarahspangles said:

In earlier generations people who weren’t economically active, would have been described as “having independent means” or something like that, so long as they weren’t “on the parish”.

And there lies the real elephant in the room.

Yes, and within this group there are a lot of people whose health or confidence will no longer support full time work. A mid-life MOT isn’t going to lead to change overnight.

hugheskevi

pinnks said:

p00hsticks said:

Albermarle said:

Maybe ' Unavailable for paid employment'( for one reason or another ) would be a better description?

Not really - like many I know, I'm technically available for paid employment, but choose not to seek it (I'm not yet at state pension age, retired early and live off savings while keeping very busy with various activities, including volunteering). 

Same here.  Waved goodbye to the Civil Service at 60 and living off that pension. OH did the same.  Claimed our German state pensions at 63, wife now drawing UK state pension and I have a couple of years to wait.  I love being referred to a economically inactive, makes be smile every time, especially given the govt drive to get the over 50s/under pension age economically inactive back to work.  Not seen anything yet that would tempt me - we are too much fun being active otherwise than economically 

I find it odd given the current push to stop workers leaving/attract them back that most of the public sector operates the abatement policy - which commonly requires workers to go part-time to be able to get their pension at age 60, else effectively requires them to literally work for nothing for a substantial part of their working week.

It made me laugh when Hunt abolished the LTA to encourage the economically inactive early retirees back to work as I cannot really believe there are people out there who would go back to work just to put money in their pensions.  Surely anyone who has over a million in their pension can afford to retire and getting rid of  the limit won't  entice them to carry on working?  Please correct me if I am wrong. 

Although I doubt it would entice them back, it may prevent them leaving in the first place.

Having spoken to many people with AA and LTA issues, it is extremely common that encountering these limits and having to take action about them immediately (AA) or think about the longer term (LTA), means individuals start to consider retirement whereas up until that point, it wasn't something they had thought about.

It is extremely common for people in their early 50s to encounter AA issues for the first time, which then triggers them to consider whether they have LTA issues, and if working in the public sector whether they have abatement issues at age 60 (or even earlier). For those paid via PAYE in particular, they may also realise the impact of Personal Allowance withdrawal at £100,000 when they speak to someone about their AA/LTA issues, as many have simply never given any consideration to the taxation they are subjected to, their employer just works it all out. Suddenly from happily working in their early 50s with no plans to change career or retire, they become very engaged with all the various options and for many that is their first step to starting detailed retirement planning.

p00hsticks

Sarahspangles said:

In earlier generations people who weren’t economically active, would have been described as “having independent means” or something like that, so long as they weren’t “on the parish”.

Actually I looking back over the 1939 register and earlier censuses, I suspect the majority would have been described as 'housewives', 'labourers wives' etc...

diystarter7

Hi
Not read the whole thread but we left work at over 50 and sub 55 now in our early 60's

I left soon after my OH due to a health scare otherwise I would have satyed on for 2/3 more years to get my dream car.

We look after our grandkids most are local and their parents have always worked from home even before coid EG 2/3 days out of 5 now its almost 5 days - we often pick up the kids  and watch more telly, go out a lot more and not done a proper hols since covid as we came back just before the 1st lockdown

We already pay too much tax and fear IHT and care home fees when may won't pay the care home fees - even if we were zero taxed for new employment, no thank you.

The current rate of hyper infaltion is worrying but we mange but I do worry a lot more about people on lower incomes and debt now that i have time on my hands and have considered volunteer work but covid holds me back. We give to charity more than we used to i guess its more time to think rather than think about work 5 days a week

Thanks

Sarahspangles

p00hsticks said:

Sarahspangles said:

In earlier generations people who weren’t economically active, would have been described as “having independent means” or something like that, so long as they weren’t “on the parish”.

Actually I looking back over the 1939 register and earlier censuses, I suspect the majority would have been described as 'housewives', 'labourers wives' etc...

You're right in relation to women - working class women may have been caring for a household with a husband and working-age sons but were unpaid, and many middle class women didn't have the option of continuing in their career - teachers and I think nurses were made to resign - so would be housewives.

But I think men in 1939 who were opting to live off savings, investments or pensions would either be 'gentlemen' or 'of independent means'.

dealyboy

Yes         

quirkydeptless

I am a professional transaction generator for a number of UK operating banks

dealyboy

quirkydeptless said:

I am a professional transaction generator for a number of UK operating banks

... your byline betrays you