What famous people have you met?

[Guest]

Serious question here to anybody who’s in the know about government pensions. Somebody told me over the weekend that they had been advised by their employers pension provider that they should opt out of their government pension now because by the time they reach retirement age, their will be no funds left in the pot for them. They tried to persuade me that this option is open to me and anyone with a decent pension and savings should consider doing this. Is this true?

[FleetFanatic]

I have also heard this idea muted but don't understand how it can be done.

By opting out, do we get a rebate on our national insurance?

[Guest]

The single issue that has kept Labour in power for so long is the economy. All the time that people are reasonably affluent and they have a few quid in their pockets and no money worries then they is prepared to overlook other issues such as crime, health, education and so on. No don’t get me wrong I’m no financial wiz (far from it), but judging by my own investments the UK housing market is way over inflated and has out performed most UK and World Equities post 9/11. I reckon that the USA are well overdue a recession. The knock-on effect of this in UK would of course mean increased interest rates and a significant cooling off property prices – certainly a fall nationally but I’m not sure about north Kent. If this happens and Britain enters a recession Labour are well and truly shafted. Labour are traditionally strong in the north, plunge this country into recession and their heartland may start looking for alternatives at the ballot box. All said and done this could be as long as three years away yet so brace yourself for more Labour heartache.

[FleetFanatic]

On the subject of pensions - Tories plan to give us cash rather than take it away.

[Guest]

Quote:

FleetFanatic said:
I have also heard this idea muted but don't understand how it can be done.
By opting out, do we get a rebate on our national insurance?

That's right it's something like that. I'm at a loss to know who to ask about it. Realistically I can see how there will be any money left in the pot in another 30/35 years

[FleetFanatic]

I trust you meant 'can't' rather than 'can' in your statement above?

I wonder if Dave Holden knows anything on this subject???

[Guest]

Yeah sorry obviously meant can't.

[FleetFanatic]

I'd obviously opt out if I could.

I'd get a far better return using the extra revenue to further top up my company pension.

I'm just glad that I started my pension plan at the age of 20.

 

Only a quarter of the way into it (10 years out of 40) and the lump sump is already worth nearly £100k plus a yearly pension. Or I can take a smaller lump sum and a bigger yearly pension.

 

These figures are based on my current pot growing for the next 30 years & doesn't take the next 30 years worth of payments into account, so I would obviously expect the pot to get bigger each year.

 

Either way, I plan to retire at 60 at the latest, unless I win the lottery.

[Guest]

Very similar situation to my own. Makes me think that any savings made on NI contributions would be put to better use by making additional payments to my company pension or alternative long term savings/investments.

[FleetFanatic]

Absolutely.

 

Another answer would be for me to give up smoking again - which I plan to do.

 

£4 plus per packet x 28 days (pay period) = £112.

 

So even half of that into the pension fund instead.....

 

.....you see where I'm coming from?

[Hirsty]

If anyone cares..........I've met Brian Davison ( Drummer with The Nice), Jimmy Ellis ( Sgt Lynch in Z-Cars & Uncle Minto in Bally K.......regretfully have not met Dervla Kirwan...am working on that one !!), Jack Charlton, Peter Eustace, Garry Thompson & Brian Kilcullen !!

 

Cheers,

 

<img src="/forum/images/graemlins/ghost.gif" alt="" /> <img src="/forum/images/graemlins/ghost.gif" alt="" /> <img src="/forum/images/graemlins/ghost.gif" alt="" /> <img src="/forum/images/graemlins/ghost.gif" alt="" />

[Wobbly Wayne rides again]

Quote:

Probably but your missus will be forced to wear a burka so you'll be no better off.

 

Thats a debatable point on many levels.

[Harry J Allstars]

Quote:

Hirsty said:
regretfully have not met Dervla Kirwan...am working on that one !!)

Oh Dervla Kirwan.....Oh yes.

[Trevor]

Quote:

Anonymous said:
Serious question here to anybody who’s in the know about government pensions. Somebody told me over the weekend that they had been advised by their employers pension provider that they should opt out of their government pension now because by the time they reach retirement age, their will be no funds left in the pot for them. They tried to persuade me that this option is open to me and anyone with a decent pension and savings should consider doing this. Is this true?

I may not know much about pensions but one thing is certain - there is no "pot" to pay future State pensions. All State pensions are paid out of current tax revenue or borrowings. The idea that National Insurance Contributions are going into a fund to pay future pensions is an illusion - it is just an income tax by another name!

[FleetFanatic]

Quote:

Anonymous said:
Serious question here to anybody who’s in the know about government pensions. Somebody told me over the weekend that they had been advised by their employers pension provider that they should opt out of their government pension now because by the time they reach retirement age, their will be no funds left in the pot for them. They tried to persuade me that this option is open to me and anyone with a decent pension and savings should consider doing this. Is this true?

Upon enquiry, it appears it can only be done if it's diverted to a stakeholder pension through another company.

The argument with this is that if the company you are paying into goes bust as you are about to retire & the government didn't receive your contributions, what would you then get as a pension?

Best option - government contributions AND a company or private pension.

[John@TheFleet]

A bit late joining this thread as my PC has been acting funny but I met Graham Hill, John Surtees and Jackie Stewart at a F1 meeting at Brands long ago but my shining light is once sharing a bowl of pea soup in a Hari Krisna free food kitchen in Notting Hill Gate with Lemmie when he was still with Hawkwind!

[David Holden]

Quote:

I've met Brian Davison ( Drummer with The Nice),

 

I've met Ginger Baker.

[Alan W (GNFC)]

You can only opt out of the State Secnd Pension (used to be called the State Earnings Related Pension or SERPS).

 

There are many factors which will affect your decision including how comfortable you feel with the Government providing a pension by the time you are due to retire, your current age, your attitude to risk and your current salary.

 

A few years ago, it was reasonably straightforward to establish reasonable guidelines as to the best option for an individual. Nowadays, however, that is certainly not the case.

 

I work for a Financial Advisor and even they are reluctant to make formal recommendations to individuals - preferring instead to set out the factors that affect the decision and leaving it to the individual (can we be blamed after previous pension misselling issues?)

 

Ultimately, if you dont trust the Government to pay your top up pension, Contracting Out may well be the best option, but who knows what the future holds? <img src="/forum/images/graemlins/confused.gif" alt="" />

[chilled out entertainer]

I know little about pensions and n.i etc, so this could be an obvious question.

 

I would be quite keen to opt out of state pension scheme as my companies one is excellent to say the least. Talking to an old guy the other day retiring this summer i think. he showed me his "readout" 250k lump sum on top of 40K a year pension salary.

I am 23 next month and have been with this company almost 3 years. My pension will be as good or better than this by the time I retire. The company does not even contribute at the moment as the scheme is so healthy. (they will in fuiture if this starts to turn)

Would opting out mean i no longer pay ni from my wages. The extra money could be spent very usefully i feel???

anyone?

[chris blanc]

Some years ago David letterman did a couple of show in London. One of the guests was David Duchovny of X-Files fame.

 

A couple of my friends are into all that and wanted to go up and get Mulders autograph so I went up with them.

 

We waited for an hour with the gimpy geeky hoards (some of whom were dressed as aliens. I'm sure he loved that) and a car pulled out. As it wasn't Dauchovny, I was the only one who went over. the Window opened and it was Tony Curtis. I was the only one that got his autograph.

 

David Duchovny got bumped from the show to the one the next night, so we went to that as well. The same thing happened. Car comes out, no one cares, I go over. this time it was Peter O'Toole and again I was the only one that bothered to get his autograph.

 

Quite why anyone would want Duchovny's autograph over Curtis's or O'Toole's is beyond me, but it worked out in my favour as I got to meet them both and chat with them a bit, which I probably wouldn't have been able to do if I was one of many.