Is the State Pension enough to live on if you are single !!

Mustbeananswer??

Lets creat a Fictional  Person Sally/Simon(you chose).67 years old.
No Mortgage
No debts  
Small Car (Fully Legit)
Regular Diet(food Bills)
Typical Bills Gas Water Elec
Council Tax
Internet/Phone
Tv Licence
Entertainment (0nce a week)

Have they enough to survive (without dipping into the savings pot).If they havent enough to survive ....how do we expect them not to fall into debt.


Receives the Max Single State Pension 
   

maman

When you posted typical bills, I assume you meant the usual common utilities but, put another way, bills aren't typical. They'll depend on the size of the property and it's condition. I know, for example, that my largish period house with single glazing would cost far more than a modern flat. 

badmemory

With no debts & no mortgage then probably yes.  The real question of course is is surviving enough.  Then as you age & maybe not as nimble as you were are you likely to need a gardener or cleaner to help out.  What happens when cooking from scratch every day becomes a problem.  But a better chance on the new state pension than on the basic state pension

Mustbeananswer??

maman said:

When you posted typical bills, I assume you meant the usual common utilities but, put another way, bills aren't typical. They'll depend on the size of the property and it's condition. I know, for example, that my largish period house with single glazing would cost far more than a modern flat. 

I was looking for an overview...almost all of the headings will be different for each of us?? 

JoeCrystal

Small Car (Fully Legit) NA
Regular Diet(food Bills) £84 per month
Typical Bills Gas Water Elec (£20+£20+£55) = £95 per month
Council Tax = £90 per month
Internet/Phone = £63 per month
Tv Licence = £14 per month
Boiler Insurance = £30 per month
Service Charge = £63 per month
Content Insurance = £22 per month

Yes, it is certainly possible if you don't have expensive luxuries like holidays. *shrugs* Easier to budget when one does not have a high income in the first place.     And there are always rooms to cut further if necessary.

Mustbeananswer??

JoeCrystal said:

Small Car (Fully Legit) NA
Regular Diet(food Bills) £84 per month
Typical Bills Gas Water Elec (£20+£20+£55) = £95 per month
Council Tax = £90 per month
Internet/Phone = £63 per month
Tv Licence = £14 per month
Boiler Insurance = £30 per month
Service Charge = £63 per month
Content Insurance = £22 per month

Yes, it is certainly possible if you don't have expensive luxuries like holidays. *shrugs* Easier to budget when one does not have a high income in the first place.     And there are always rooms to cut further if necessary.

Thanks for the answer Joe ...and specifying....£21 a week on food ...well done !! 

Brie

Gas, water & electric at £95 a month?  Our gas and electric is more than twice that and the water is £40.  

Don't forget there's car insurance, MOT, maintenance, tax.  Prescriptions are free, up to a point, less things are included now.  No going out to the pub, the local kaffee klatch, art class.  Nothing for pets. Haircuts.  Clothing.

Assuming they are careful and have a savings pot (big assumptions) what happens when the fridge or oven dies, something in the plumbing springs a leak?  Car needs to be replaced? 

And hopefully they have no friends or relatives who expect birthday or Christmas cards or presents.    

So I say no.  

FIREDreamer

Gas, electric, water and council tax is £600 per month for us. Even two state pensions will be a struggle. Thankfully prioritised pension saving since 1988 ( 2 private DB, a JL indexed annuity and a DC pot) and retiring at 60 in the summer. With auto enrolment no excuse to just have to survive on a state pension on its own in future.

Mustbeananswer??

Brie said:

Gas, water & electric at £95 a month?  Our gas and electric is more than twice that and the water is £40.  

Don't forget there's car insurance, MOT, maintenance, tax.  Prescriptions are free, up to a point, less things are included now.  No going out to the pub, the local kaffee klatch, art class.  Nothing for pets. Haircuts.  Clothing.

Assuming they are careful and have a savings pot (big assumptions) what happens when the fridge or oven dies, something in the plumbing springs a leak?  Car needs to be replaced? 

And hopefully they have no friends or relatives who expect birthday or Christmas cards or presents.    

So I say no.  

So what do we do to stop your Sally falling into debt and having a life of misery....hoping to die early so she can leave something for the kids.TBH I feel you are closer to the real costs with your synopsis.We pay our Pensioners far less than most civillised European Nations...you have to get to State Pensioin Age to realise.
 

Brie

FIREDreamer said:

Gas, electric, water and council tax is £600 per month for us. Even two state pensions will be a struggle. Thankfully prioritised pension saving since 1988 ( 2 private DB, a JL indexed annuity and a DC pot) and retiring at 60 in the summer. With auto enrolment no excuse to just have to survive on a state pension on its own in future.

But people retiring now, who may have been on benefits for a while won't have anything like this.  Add to this those who are still talked out of staying in a work pension scheme of any sort - some are reasonably intelligent and financially savvy in other ways but assume that the SP will be more than sufficient.  

I know one woman who, for various reasons, has insufficient years to get any sort of SP and so when her OH dies she will have no income whatsoever.  Her only resource will be to sell the house they live in and hope to find some place to rent with the proceeds.  

Mustbeananswer??

Brie said:

FIREDreamer said:

Gas, electric, water and council tax is £600 per month for us. Even two state pensions will be a struggle. Thankfully prioritised pension saving since 1988 ( 2 private DB, a JL indexed annuity and a DC pot) and retiring at 60 in the summer. With auto enrolment no excuse to just have to survive on a state pension on its own in future.

But people retiring now, who may have been on benefits for a while won't have anything like this.  Add to this those who are still talked out of staying in a work pension scheme of any sort - some are reasonably intelligent and financially savvy in other ways but assume that the SP will be more than sufficient.  

I know one woman who, for various reasons, has insufficient years to get any sort of SP and so when her OH dies she will have no income whatsoever.  Her only resource will be to sell the house they live in and hope to find some place to rent with the proceeds.  

Would she not get a Widows Pension Brie ??