Pension advice for over 50s

borderline

SVaz said:

It’s circumstances like yours that might make starting a pension a very bad idea.
The smallest amount could put you over the limit for rent paid, pension credit etc.   A tiny pension of £120 a month put my Sister in law over the cliff edge which meant she was liable for full rent etc.  and lost her £70 a Week in benefits until she became disabled enough for PiP. 

Quite honestly,  if you are always likely to rent and aren’t in a position to put away at least £100k then I wouldn’t bother with a pension. 

The people on this board are generally well off with no clue about the benefits system/ very low incomes. 

I'm about to get 100k in inheritance , should a personal pension be better? 

Marcon

SVaz said:

The people on this board are generally well off with no clue about the benefits system/ very low incomes. 

...and some of us actually read what has been posted and understand the impact it would have on potential benefit claims:

borderline said:

p00hsticks said:

If you are on a low income then you may well qualify for housing benefit and /or council tax reduction. 
Have you got a State Pension Forecast ?
Check your State Pension forecast - GOV.UK

If you are on track for the full Pension amount ,then it would certainly be worth opting back into the work pension if you can afford it - you are turning down free money from your employer for not doing so. 

I'm on track for full pension..

If I can, I'm planing to work beyond my retirement age. 

QrizB

borderline said:

I'm about to get 100k in inheritance , should a personal pension be better? 

Pension beats SSISA by 6.25%, everything else being equal.

You won't be able to put all £100k into a pension this year (I'm assuming you're not earning £100k a year) but you should be able to feed it in over several years.

Grumpy_chap

The OP might find this thread a worthwhile read;

https://forums.moneysavingexpert.com/discussion/6641253/is-it-too-late-to-start-a-pension/p1

Marcon

borderline said:

SVaz said:

It’s circumstances like yours that might make starting a pension a very bad idea.
The smallest amount could put you over the limit for rent paid, pension credit etc.   A tiny pension of £120 a month put my Sister in law over the cliff edge which meant she was liable for full rent etc.  and lost her £70 a Week in benefits until she became disabled enough for PiP. 

Sounds like your sister had a DB pension, or had used a DC pot to buy an annuity? 

borderline said:

SVaz said:

Quite honestly,  if you are always likely to rent and aren’t in a position to put away at least £100k then I wouldn’t bother with a pension. 

...and with that sweeping generalisation, you can guarantee that OP will qualify for pension credit even with the full state pension they have confirmed they are on track to receive; and (in the light of their inheritance) possibly have capital which would preclude other state benefits?

borderline said:

SVaz said:

The people on this board are generally well off with no clue about the benefits system/ very low incomes. 

I rest my case!

SVaz

Well a £100k inheritance changes things a bit 🙄
might have been helpful to mention that first off

t0rt0ise

In your position where you won't get any benefits due to having savings, it's always worth having any extra pension money coming in. I am retired and in similar position, renting etc. I have one old work pension that gives me £60 ish a month. Sound tiny but it's £720 a year I otherwise wouldn't have and enables me to pay for something that makes life worthwhile so I'm glad I paid into it at the time. I got that job and started paying into the pension scheme when I was 60 so it's never too late.

borderline

SVaz said:

Well a £100k inheritance changes things a bit 🙄
might have been helpful to mention that first off

it might be today, but money doesn't last forever, ok if I had my own house but I don't, I'm responsible for all the bills , state pension won't cover my rent (London) now or in 15 years time (if the state pension still exits then ) 

borderline

t0rt0ise said:

In your position where you won't get any benefits due to having savings, it's always worth having any extra pension money coming in. I am retired and in similar position, renting etc. I have one old work pension that gives me £60 ish a month. Sound tiny but it's £720 a year I otherwise wouldn't have and enables me to pay for something that makes life worthwhile so I'm glad I paid into it at the time. I got that job and started paying into the pension scheme when I was 60 so it's never too late.

yeah, I think I will opt-in back  into my job's pension, I just thought it was too late . You say you get £60 extra a month, trouble is in may case still wouldn't cover my rent , and no, I don't rent a large place, just a small studio in London , the day I have to move out will be even worst 

Silvertabby

borderline said:

t0rt0ise said:

In your position where you won't get any benefits due to having savings, it's always worth having any extra pension money coming in. I am retired and in similar position, renting etc. I have one old work pension that gives me £60 ish a month. Sound tiny but it's £720 a year I otherwise wouldn't have and enables me to pay for something that makes life worthwhile so I'm glad I paid into it at the time. I got that job and started paying into the pension scheme when I was 60 so it's never too late.

yeah, I think I will opt-in back  into my job's pension, I just thought it was too late . You say you get £60 extra a month, trouble is in may case still wouldn't cover my rent , and no, I don't rent a large place, just a small studio in London , the day I have to move out will be even worst 

Would you still need to live in London once you have retired?