Wages down 2% from April - pension

[Calahonda]

Inheritances have to be taken into account, home ownership is the major contributor to these, and there are many of them, savings and share ownership, such as the freebies cannot be ignored, and neither can full entitlement to State Pensions. If you are a mortgage free home owner this is a real asset, also life style practices, such as smoking and regular pub visits can be very expensive habits.

 

I don’t wish to ignore private personal pension provision, but I wouldn’t advise folk to rely on it. The time to start planning is when you are young, buying your own home is a very good step, who knows what rental costs will be when you are aged 68?

[El Cid]

If somebody wants to retire at 68 and have around £20,000 a year pension income:

 

How much will those on the lowest incomes be able to contribute per month, even combined with their employers contributions? Most will just be paying (again) for their own state pension.

 

It would crazy to think that those on the lowest incomes would want a £20,000 a year pension; more than they earn whilst young.

[Calahonda]

It would crazy to think that those on the lowest incomes would want a £20,000 a year pension; more than they earn whilst young.

 

When they get to age 68 £20K p/a will be peanuts.

[Cyclone]

If somebody wants to retire at 68 and have around £20,000 a year pension income:

 

A 25 year old would need to save £190 per month starting today and keep paying in until they are 68.

 

A 45 year old would need to save £410 per month starting now and keep paying in until they are 68.

 

How much will those on the lowest incomes be able to contribute per month, even combined with their employers contributions? Most will just be paying (again) for their own state pension.

 

Assuming that the state pension still exists, they'll get that, plus they will have the income and/or lump sum from the private pension pot.

They don't lose out, they save 20% on top of the pension contribution and if still on a low income when retired they'll get it back without paying very much tax on it.

 

And they CAN opt out if they wish right now, if that 2% is really important to them at the moment.

 

---------- Post added 19-04-2018 at 08:45 ----------

 

Where did I mention 'small savers'?

 

I was pointing out that putting money in the bank does not stagnate the economy - it makes that money available for someone else to use.

 

Apple Corp probably has more money than a lot of small countries do (too much if you ask me), money that it will have deposited in bank accounts.

 

Said banks will lend that money to other banks, businesses, countries, individuals etc. Money that Apple can not / does not want to spend yet is used by others in the economy.

 

If lessons have not been learnt from 2008 who is to blame - the banks for lending or people for over extending themselves and borrowing too much?

 

Of course if apple didn't have that money in the bank, the bank would just invent the money to lend anyway. Fractional reserve banking.

 

---------- Post added 19-04-2018 at 08:46 ----------

 

That is what I was saying, someone decides if you are poor enough.

 

What is the criteria?

 

If people are getting all their money from work or benefits, does that mean they dont get free food?

 

Well, look, you had an opinion about poor people in the UK. And now it turns out that you really don't know much about them.

Perhaps now rather than bombarding me with questions you could do a little bit of reading around the subject.

Google foodbank usage, google the requirements for a referral, google why are people poor in the UK, google who are the working poor, and so on.

 

---------- Post added 19-04-2018 at 08:49 ----------

 

The lifestyle of the poor should not be subsidised.

 

And this was what I disagreed with if you remember.

Because I made the point that 'the poor' includes working people who struggle to eat, struggle to pay for electricity and heating and clothing.

 

---------- Post added 19-04-2018 at 08:49 ----------

 

Are there any starving people in this country that have not caused it themselves?

 

And you think that anyone in that situation has caused it themselves.

 

Whilst googling, try "the myth of the undeserving poor".

 

---------- Post added 20-04-2018 at 08:04 ----------

 

In the news this morning Cid

 

http://www.bbc.co.uk/news/business-43827846

 

Citizens Advice said as many as 140,000 households are going without power, as they cannot afford to top up their prepayment meters.

And the Living Wage Foundation - which campaigns for fair pay - said many of the poorest parents are skipping meals.