Can we afford a pension rise for our old.

[Allen]

Firstly not having a go at you. But i have to disagree with the message in your post that suggests pensioners were all taxpayers. I know pensioners who have hardly worked a day in their lives, but come the age of 65 they are suddenly whiter than white and had terrible burdens to overcome all their lives. Well its not true, todays pensioners benefitted from low house prices and easier access to employment, and surprise they didn't all fight in 2 world wars either.

From the government website....

 

You need 30 qualifying years of National Insurance contributions or credits to get the full basic State Pension.

 

 

 

 

I agree with everything you are saying Allen but I do think that the basic state pension should rise dramatically to a level consistent with other civilised countries rather than the government allowing oap's to be seen as second class citizens by things like bus passes,etc.

I agree totally.

[foxy lady]

Diverting funds from bombing Syria would mean pensioners could have c £5-7.50 a year extra.

Diverting expenses from HOL would get Pensioners c £1.20 a year.

 

The problem with pensioners is that there are an increasing number becayse of the demographic and they are living longer. This means its a double whamy for the government becayse they have to pay more people for longer.

 

But then the problem arises if you don't tackle the threat, you have the cost of rebuilding after a bunch of terrorists fly aeroplanes into your skyscrapers and you have to evacuate half a city whilst you clear up and rebuild them.

[999tigger]

I have a friend who can eat scrambled egg through his nose.

 

Awesome post, best one on here for ages.

 

---------- Post added 07-12-2015 at 17:08 ----------

 

But then the problem arises if you don't tackle the threat, you have the cost of rebuilding after a bunch of terrorists fly aeroplanes into your skyscrapers and you have to evacuate half a city whilst you clear up and rebuild them.

 

I think you are failing to follow the thread. The figures I gave were to show how miniscule a difference the examples of bombing in Syria or expenses from the HOL would make for pensioners.

[chem1st]

I did not fight in the war ,but I was born during the war and wages were a lot less in 1963 I was on the buses the wage was £7-7s-0d that is £7-35 in todays currency for a 44 hour 6 day week which is around National minimum hourly rate today.

 

The nominal value of £7-7s-0d is £7.35 in new pence regardless of year, but the real terms value changes with time.

 

http://www.measuringworth.com/ukcompare/relativevalue.php

 

In 2014, the relative value of £7 7s 0d from 1963 ranges from £130.10 to £426.00.

 

A simple Purchasing Power Calculator would say the relative value is £137.50. This answer is obtained by multiplying £7.35 by the percentage increase in the RPI from 1963 to 2014.

 

This may not be the best answer.

 

The best measure of the relative value over time depends on if you are interested in comparing the cost or value of a Commodity , Income or Wealth , or a Project . For more discussion on how to pick the best measure, read the essay "Explaining the Measures of Worth."

If you want to compare the value of a £7 7s 0d Commodity in 1963 there are three choices. In 2014 the relative:

real price of that commodity is £137.50

labour value of that commodity is £282.10

income value of that commodity is £353.70

 

If you want to compare the value of a £7 7s 0d Income or Wealth , in 1963 there are three choices. In 2014 the relative:

historic standard of living value of that income or wealth is £137.50

economic status value of that income or wealth is £353.70

economic power value of that income or wealth is £426.00

 

If you want to compare the value of a £7 7s 0d Project in 1963 there are three choices. In 2014 the relative:

historic opportunity cost of that project is £130.10

labour cost of that project is £282.10

economic cost of that project is £426.00

[muddycoffee]

And I have a friend in the public sector who will be retiring aged 50.

 

Very nice.

I suspect that he/she's just deciding to "pack in working" because he/she has enough money. She/he can't claim a state pension until 67 years old and therefore she is just becoming unemployed rather than retired.

Although she might not want to use that term.

[Aleksandr]

We are paying out around £16 billion in foreign "aid" per year and £55 million EVERY DAY to the failed EU, the money has to come from somewhere, it does not grow on trees. Maybe if these two insane payments were halted we might be able to pay our pensioners a little more.

At present our national debt is around £1.2 TRILLION I believe, with interest payments of around £50 billion per year, eye watering amounts. Can we afford the failed EU and Foreign Aid. It seems we are borrowing money to give it away, hand over fist as fast as we can. Should charity begin at home.

 

Or have I just got it all wrong?.

 

Angel1

It would be fairer to allow those of us who are no longer able to retire at 60 and have to work on until at least 67, to retire younger than that instead of giving it to those selfish greedy old work-shy layabouts who retired early at our expense without having put enough into the funds themselves!

[Alan Else]

£153 billion on Pensions, aye paid in by the millions of working people paying their taxes over a life time of work.

Angel1.

Agree, many of todays retirees paid in many years ago for people who'd never contributed or only part contributed.

 

---------- Post added 09-12-2015 at 21:47 ----------

 

I agree with everything you are saying Allen but I do think that the basic state pension should rise dramatically to a level consistent with other civilised countries rather than the government allowing oap's to be seen as second class citizens by things like bus passes,etc.

I agree, the money put away over a working life of 50 years is actually paying a pittance, had that money been put into a decent investment plan it would be paying a darn sight more, but it couldn't be as it was paying down the years for the previous generations who hadn't paid.

 

---------- Post added 09-12-2015 at 21:50 ----------

 

someone should work out how much the money paid in would have made had it not been used elsewhere.

Robbing Peter to pay Paul comes to mind.