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  • FIRST POST
    • alfmurph
    • By alfmurph 5th Mar 18, 7:42 PM
    • 18Posts
    • 3Thanks
    alfmurph
    Retire - or pay funeral costs .
    • #1
    • 5th Mar 18, 7:42 PM
    Retire - or pay funeral costs . 5th Mar 18 at 7:42 PM
    I am 65 in july . Fit and healthy [ touch wood ].
    Between my db pension and my oap I will be around 200 a month worst off if I retire . . Just received my tax statement for year past . Paid 2300 in nic which I do not pay after 65 . Also oap pension of 125 a week kicks in so I estimate after paying tax of 25 on the oap and not paying nic I will be 140 a week better off if I keep on working . Nice pay rise . Makes me think of working on for 2 years . I can save the money and pay into a funeral scheme for my wife and myself , Job done .
Page 1
    • Dox
    • By Dox 5th Mar 18, 7:52 PM
    • 525 Posts
    • 312 Thanks
    Dox
    • #2
    • 5th Mar 18, 7:52 PM
    • #2
    • 5th Mar 18, 7:52 PM
    Is there a question in that, or is it just a statement of intent?!
    • alfmurph
    • By alfmurph 5th Mar 18, 7:56 PM
    • 18 Posts
    • 3 Thanks
    alfmurph
    • #3
    • 5th Mar 18, 7:56 PM
    • #3
    • 5th Mar 18, 7:56 PM
    I have a work colleague who is 72 . He might be in danger of being paid off so he has prepared and sent his cv to an agency . Within one hour he was offered manager's job on an oil rig . He would actually do this and work away at his age .
    Apparently he worked abroad in middle east all his life for an arab company and when war broke out in Libya his company and his pension disappeared .
    He paid this Libyan female lawyer 5000 to get his pension back but heard nothing for 3 years . Talking to an old friend on facebook he called her all the names under the sun .
    His friend said not to be too hard on her . Apparently she was captured . raped every night for month's by enemy soldier's and then had her head chopped off .
    He now collects his wage plus oap minus nic contributions but has no pension to look forward to .
    • Keep pedalling
    • By Keep pedalling 5th Mar 18, 9:56 PM
    • 4,995 Posts
    • 5,559 Thanks
    Keep pedalling
    • #4
    • 5th Mar 18, 9:56 PM
    • #4
    • 5th Mar 18, 9:56 PM
    I have a work colleague who is 72 . He might be in danger of being paid off so he has prepared and sent his cv to an agency . Within one hour he was offered manager's job on an oil rig . He would actually do this and work away at his age .
    Apparently he worked abroad in middle east all his life for an arab company and when war broke out in Libya his company and his pension disappeared .
    He paid this Libyan female lawyer 5000 to get his pension back but heard nothing for 3 years . Talking to an old friend on facebook he called her all the names under the sun .
    His friend said not to be too hard on her . Apparently she was captured . raped every night for month's by enemy soldier's and then had her head chopped off .
    He now collects his wage plus oap minus nic contributions but has no pension to look forward to .
    Originally posted by alfmurph
    I think you need to start taking your pills again.
    • badmemory
    • By badmemory 6th Mar 18, 3:00 AM
    • 1,624 Posts
    • 2,153 Thanks
    badmemory
    • #5
    • 6th Mar 18, 3:00 AM
    • #5
    • 6th Mar 18, 3:00 AM
    Brutal answer. If you are 64 & still NEED to work to pay for your funerals it is unlikely that you will be able to afford to retire at 67
    • bowlhead99
    • By bowlhead99 6th Mar 18, 6:54 AM
    • 7,835 Posts
    • 14,310 Thanks
    bowlhead99
    • #6
    • 6th Mar 18, 6:54 AM
    • #6
    • 6th Mar 18, 6:54 AM
    I will be 140 a week better off if I keep on working . Nice pay rise
    Originally posted by alfmurph
    No it's not. 140 a week and you have to go to work for what, 40 hours, plus travel time? So going to work is getting you 3 an hour in your pocket. Most people would not see 3 an hour after tax as being a fantastic culmination of a career lasting four or five decades.

    Makes me think of working on for 2 years . I can save the money and pay into a funeral scheme for my wife and myself , Job done .
    140 extra a week after tax for 52 weeks for 2 years is 14.5k. Two funerals don't cost as much as 14.5k.

    Besides, you only need to buy one funeral, as it's only the first one of you and the wife going which the other one will be able to attend and 'enjoy'. When the second one goes, the other one is not going to be there in the crowd, because they already went. No point you as a couple spending money buying two lavish funerals when you can only get to enjoy one of them, you're literally throwing half your money away. 40 hours a week and you're giving away 20. If you have descendents, they can decide whether they want to throw a big party with an expensive casket, or not, and use your left over money to do it, if they want, or use their own. If you buy a funeral plan they are stuck with whatever your funeral-plan salesman convinced you is for the best.

    Whereas if you take the extra 140 a week income and invest it you would probably have turned your 14.5k extra income into 25k+ in real terms by the time you get to your mid 80s (assuming inflation plus 3% or so from investment funds). It would be even more if you contribute those earnings to a pension, because of the tax relief.

    A plan to slave away for 40 hours a week at 3 an hour to buy a funeral plan is not something I would remotely consider. Fair enough it you want to make more money to invest to give you another 20-30k for later life spending or to pass to the kids (if they want, need and deserve it). But it doesn't sound amazingly compelling if you could instead leave now and not be short of cash.

    Your maths may be flawed though - your state pension will be owed to you whether you give up work or not. If you don't want it because you are still earning wages, you can still have the value of it, just deferred for later as a lump sum or increased weekly amount for life. An investment.

    IMHO: you say you have your health - not everyone that age is so fortunate. If you won't feel like a pauper, give up work and make the most of it. Job, quite literally, Done!
    • Pollycat
    • By Pollycat 6th Mar 18, 7:57 AM
    • 20,047 Posts
    • 53,772 Thanks
    Pollycat
    • #7
    • 6th Mar 18, 7:57 AM
    • #7
    • 6th Mar 18, 7:57 AM
    No it's not. 140 a week and you have to go to work for what, 40 hours, plus travel time? So going to work is getting you 3 an hour in your pocket. Most people would not see 3 an hour after tax as being a fantastic culmination of a career lasting four or five decades.
    Originally posted by bowlhead99
    That's the way I saw it.
    I didn't see it as 'a nice pay rise'.

    I'd work out the costs of actually going to/being at work (travel costs) versus the costs of being at home (possible extra heating/lighting costs) and view the 'total cost of continuing to work'.
    Last edited by Pollycat; 06-03-2018 at 7:59 AM.
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