| The state pension will rise by 4.7% next year. 16:47 - Sep 16 with 12342 views | noggin |
Brace yourselves for the “We can’t afford it” overreaction. |  |
| |  |
| The state pension will rise by 4.7% next year. on 11:03 - Sep 19 with 393 views | OldFart71 |
| The state pension will rise by 4.7% next year. on 08:38 - Sep 18 by DJR |
The problem it seems to me though is that many don't have the means to save adequately for their retirement, which means that I think the state would have to act as a backstop at the very least for those going into retirement with precious in the form of income.
As it is, the cost of state provision for pensioners is only around 5% and the abolition of the triple lock would free up much more money over time.
Here's a recent paper on the issue.
https://academic.oup.com/oxrep/article/41/1/153/8157938 [Post edited 18 Sep 8:47]
|
It is exactly that "Means" a young person earning say £25,000 would after tax and N.I. take around £21,500, so would take home £1791 per month. Take from that a rent or mortgage between £1000 and £1200, council tax getting on for £200. energy at £100 per month, food at £350 etc,etc, nothing left.
Obviously all item costs are guesses and will be more or less depending on individual circumstances.
That then means if a pension provision for an individual/couple is to be made then it would perhaps be taken out in later years which in turn means the amount required to provide a good retirement would be higher.
On a recent search I discovered that in order to now have a good retirement a couple needs £38,000 per annum. An adequate retirement where luxuries are few and far between like changing your car, going out for meals, holidays etc would be severely curtailed.
I don't dispute the high figure as the older I get the less capable I am to do jobs I would carry out around the house. Where to get holiday Insurance due to underlying health conditions of both myself and wife where I used to pay a few hundred now run into between £1000 and have been over £2,000. Repairs to roofs, new fencing and dental work for my wife and myself have totalled around £15,000 in the last four years. The dental work was because no NHS facilities were available. |  | | |
| The state pension will rise by 4.7% next year. on 13:07 - Sep 19 with 102 views | DJR |
| The state pension will rise by 4.7% next year. on 11:03 - Sep 19 by OldFart71 |
It is exactly that "Means" a young person earning say £25,000 would after tax and N.I. take around £21,500, so would take home £1791 per month. Take from that a rent or mortgage between £1000 and £1200, council tax getting on for £200. energy at £100 per month, food at £350 etc,etc, nothing left.
Obviously all item costs are guesses and will be more or less depending on individual circumstances.
That then means if a pension provision for an individual/couple is to be made then it would perhaps be taken out in later years which in turn means the amount required to provide a good retirement would be higher.
On a recent search I discovered that in order to now have a good retirement a couple needs £38,000 per annum. An adequate retirement where luxuries are few and far between like changing your car, going out for meals, holidays etc would be severely curtailed.
I don't dispute the high figure as the older I get the less capable I am to do jobs I would carry out around the house. Where to get holiday Insurance due to underlying health conditions of both myself and wife where I used to pay a few hundred now run into between £1000 and have been over £2,000. Repairs to roofs, new fencing and dental work for my wife and myself have totalled around £15,000 in the last four years. The dental work was because no NHS facilities were available. |
My parents-in-law used a £50,000 equity release loan about 20 years ago to help with the sort of things you mention. That money has long since gone as has much in the way of equity in their £250,000 home which my mother-in-law is about to sell.
In recent years they had to rely on top ups from us and their other children, including for example £7,000 for a stair lift. [Post edited 19 Sep 13:08]
|  | | |
| |
By continuing to use the site, you agree to our use of cookies and to abide by our Terms and Conditions.
