Drago
Legendary Member
- Location
- Suburban Poshshire
The Retirement Thread
- Thread starter Dirk
- Start date
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Exlaser2
Veteran
I stopped work in 2019 ( thought don’t tell anyone by I am still open to the idea of part time work lol ) When I checked government site then, it told me I was intitled to the full amount and there was nothing it could do to pay anymore in .Morning all
Have you already retired early and stopped paying NI?
The pension law changed in 2016, and if you didn't pay the extra in NI after that date then your state pension is reduced.
I was in this situation - happily thinking I was going to get the maximum because I had 45 years of full contributions - until I delved deeper.
The Government website is slightly misleading, inasmuch as when you check your entitlement, you see the headline figure stating the maximum you could get. Below that is the amount you would actually get. To reach the maximum, you have to make up the NI shortfall for the years 2016 onwards. They will quote you a figure to pay for the 2016/17 year as well, but don't pay it - it'll just be lost money, as the law change came in halfway through the tax year and the IR only take full years into account. You only need to pay the extra for the tax years 2017/18 onwards.
I ended up paying approximately £750 for each year, which made a difference of approximately £5 a week on the state pension.
Not a lot by the sound of it, but if you think about that would be over £250 pa - effectively 33% return on capital. I worked it out that it would take just over 2.7 years to recoup my capital and after that I'll still be getting the 33% return.
As I said previously, it's a no brainer.
We shall sort out MrsDs NI shortfall towards the end next year.
We are in the fortunate position that both of our private pensions are bigger than our forecast state pensions (I get mine next week), everything is owned and paid for and we have a decent amount in the bank.
I sometimes wonder how some folk struggle by.
But after listening to you I will go back and double check 😀
Been back on the gov site , still telling me the same thing . Thanks for the heads up, I will keep an eye on it .
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12boy
Guru
- Location
- Casper WY USA
If you can't increase your income deceasing your expenses is just as good. We did that seriously when I retired and it made a difference. When I retired the first time I was keeping an apartment in Cheyenne Wyoming and going home on the weekends, a 320 mile commute. I really loved the job, as the people there were by far the nicest I'd ever worked with, and being a paid up member of the KMA club it was a lot of fun. We would have moved down there but my youngest son's health would not permit. As far as needing more money in retirement it hasn't been true for us. We have the same utility expenses and don't spend a lot on gas because nothing in this town is more than 10 miles from the house. Clothes seem to last a lot longer as well. Shortly after I began with Social Security a new retirement plan became optional with a thrift plan being the main thing instead of a monthly check. The draw was they would match your contributions up to 6% a year, and if you did this in a disciplined way you'd have a lot when you retired. I figured that if it was good for them so it wouldn't be good for me so I didn't switch. Never regretted it. New employees did not have a choice.
That depends.
Have you had a slurp yet ?? If not you have been robbed
Alternatively it looks superb.
Maybe a bit darker than I like but a lovely head.
My biggest headache at the moment is what to do with all the money.
Spent my life scrimping and saving and now I find I'm worth over a million, taking into account property, savings and pensions, with no one to leave it to - no kids....and the nephews and nieces can whistle down the wind.
Very tempted to liquidise the lot and have a blow out for the next 20 years - by which time, I probably wouldn't give a toss and the Govt can look after me.
Spent my life scrimping and saving and now I find I'm worth over a million, taking into account property, savings and pensions, with no one to leave it to - no kids....and the nephews and nieces can whistle down the wind.
Very tempted to liquidise the lot and have a blow out for the next 20 years - by which time, I probably wouldn't give a toss and the Govt can look after me.
Anyone else do this? No!Anyone else do this ??
When 1200 came I felt shattered. I did something I rarely do and went to bed.
Slept really heavy and woke up at 1400 still feeling shattered.
A good wash in cold water has helped. I am coming back to life
Bloody weirdo!
WoW.My biggest headache at the moment is what to do with all the money.
Spent my life scrimping and saving and now I find I'm worth over a million, taking into account property, savings and pensions, with no one to leave it to - no kids....and the nephews and nieces can whistle down the wind.
Very tempted to liquidise the lot and have a blow out for the next 20 years - by which time, I probably wouldn't give a toss and the Govt can look after me.
Assuming you are serious that is a BIG challenge.
My problem is slightly different.
I didn't "scrimp and save" but made some serious money running my own company for the last 10 working years.
I retired aged 63 (10 years ago) with £250K in the bank.
We have a son and daughter that we love and we equally love daughters hubby.
We have several problems.
A) the older you get the less you need.
B) not knowing how long we will live
.We help the "kids" out as much as tax laws will allow and they will be OK when we pop our clogs.
Sat with a whisky now. Am I forgiven ?Anyone else do this? No!
Bloody weirdo!
12boy
Guru
- Location
- Casper WY USA
I inherited a few bucks when I made enough so it wasn't necessary. I've tapped into this sparingly , helping the kids, buying a cheap new car or two and paying medical bills as it grew, and have only a little than I started with. I'd like to leave my kids with a little money because it was nice for us to have a cushion.
Exlaser2
Veteran
Quick up date.
Just managed to get through to the Pension service.
My web quote is wrong. It would be correct if I hadn’t been contracted out for 32 of my 42 working years .
Which the Web site had not taken into account 😔
They are going to correct it and send me all the relevant paper work if I need to pay in any extra .
Thanks again for pointing this out to me .😀😀
I didn't like my Dad and he didn't like me. I was small and he was a nasty b*stard.
Some time after he died my Mum told me he had instructed her to make sure I did not get one penny of his money......which was the massive amount of £3K.
I really love my 'kids' and look after them as well as I can.......and they love us which is a nice feeling.
Some time after he died my Mum told me he had instructed her to make sure I did not get one penny of his money......which was the massive amount of £3K.
I really love my 'kids' and look after them as well as I can.......and they love us which is a nice feeling.
Late on Parade due to heading out to meet some ex works colleagues. A pleasant if damp walk along the Somerset and Dorset railway line, over the Stour and into Wimborne for a bite to eat and a natter at The Olive Branch.
Food was good, as was the company.
Noticed the repurposed Aldis lamp on a side table.
Got home about lunchtime, ate cake and had a nap. Woke refreshed an in time to head out to the pub in an hour or so.
Food was good, as was the company.
Noticed the repurposed Aldis lamp on a side table.
Got home about lunchtime, ate cake and had a nap. Woke refreshed an in time to head out to the pub in an hour or so.
I'm probably no different to many of our age. You don't realise how much you are actually worth until you sit down and do a proper audit.
I'm currently waiting until MrsD gets her state pension and on my step mother's situation. She's 92 with dementia but still living in my dad's house. When she pops off, I get a half share of a 350k house in Birmingham.
I'm probably looking at a couple of years time before I have to make any further major decisions as to what we do.
I can see house move in the pipeline, amongst other things.
It always pays to double check.
There must be loads of folk out there who get a nasty surprise come retirement age.
