Pension stuff, how's it all looking ? HAve you prepared ?

[Mr. Dazzle]

I've always paid the maximum my employer would match, I think there's 13 percent going in now.

It's spread over several pensions as I've worked with several companies.

I've recently consolidated mine into one place 'cause doing so puts my overall pot size over a threshold where I pay lower charges. Fortunately none of them charge exit/entry fees and the fees are very very similar across providers.

I was actually fairly surprised by how much the older ones have grown, the one which I stopped paying into just over 5 years ago has averaged about 11% since I stopped paying into it - even 2020 wasn't a disaster, although I would have hated to retire in that year!

I have however always taken an active interest in the funds and not just left them in the default cautious schemes. I'm not going for the crazy high risk 100% small companies equities or 'owt, but most schemes are very cautious IMO.

[Asian Boss]

I've always paid the maximum my employer would match, I think there's 13 percent going in now.

It's spread over several pensions as I've worked with several companies.

I've recently consolidated mine into one place 'cause doing so puts my overall pot size over a threshold where I pay lower charges. Fortunately none of them charge exit/entry fees and the fees are very very similar across providers.

I was actually fairly surprised by how much the older ones have grown, the one which I stopped paying into just over 5 years ago has average about 11% since I stopped paying into it - even 2020 wasn't a disaster, although I would have hated to retire in that year!

I have however always taken an active interest in the funds and not just left them in the default cautious schemes. I'm not going for the crazy high risk 100% small companies equities or 'owt, but most schemes are very cautious IMO.

I was on the point of doing it (slash paying someone 200 quid an hour to do it). Then the company I work for was sold and the pension provider changed. And now the new company is doing wave after wave of 'restructuring'.

Once the dust settles, I should try and consolidate. I think one pension company wrote to me saying because I was no longer paying in they were doubling the charges which I suspect would mean they'd take most of it. I'm told that's illegal so I will remonstrate with them when I consolidate.

I had a feeling most of mine managed the risk, running it high when the individual was younger then reducing when they get near to pension age.

I still have zero confidence in any of them to do anything other than suck out as much as they can for themselves.

I did check the value of mine when I was getting divorced and it was very little. It's partly my own fault for doing a fun but badly paid job when I was younger. I wouldn't change that though.

[Mr. Dazzle]

It's a piece of piss to keep an eye on it now. I've got an app and everything.

Do it.

[Noggin]

I never expected to get old - for various reasons! I really didn't expect to get to retirement age!!! But I have hit 'old' and mountain living seems to agree with me

I plan to phone HMRC tomorrow (I was out most of today, so plan put off to tomorrow) to find out about the UK pension and 'topping it up'. I've paid into various work ones over the years but have no idea where or how much. I'll get a small pension here a bit before the UK one.

But, due to the lack of expectations, I made no plans

Essentially I have to make my business work. Once everyone starts to/is allowed to travel again then my plan for the business can restart and as I know the business model works, and there will be a couple of holes in the market, I fully expect to make it work (I do know I have to work damned hard to achieve that, but I'm used to that!). I don't need a lot of money to live here. I'd like to think I could get a decent bike or two and afford the fuel in the summer!

So, hopefully the pension stuff will work out but the main goal is get the business to the point it earns me money and I don't have to drive 5 or 6 days a week (cos other people will) and I can do office stuff/ski/ride bikes


Here's hoping the dream works out !!!

[Scotsrich]

I’ve been self employed for most of my working life so no employer contributions for me.

I’ve always had a pension but to be honest it was just a thing I paid into each month. I really should have paid more into it over the years.

I did change it a couple of times but statements went into a drawer or the bin without looking at them much.

Just before retirement last Feb I started to pay more attention to what I had (nothing like leaving it late)

To my surprise as well as the current pension I found 4 more frozen ones and a small works one from when I started work.

So with 5 pensions plus the government one I’m better off than I thought. Not rich but I can do most things I’d hoped to do.

Some of them are annuity’s on a good fixed rate. The others are invested and taken as a drawdown. I’ve got other cash and premium bonds so the pension capital shouldn’t really need to be touched. I’d be perfectly happy to withdraw capital and die skint but my wife is more cautious.

2 points. Start early with a pension, it’s surprising how it mounts up and get a good financial advisor. Both of those will pay dividends (pun intended)

[Cousin Jack]

I never expected to get old - for various reasons! I really didn't expect to get to retirement age!!! But I have hit 'old' and mountain living seems to agree with me

I plan to phone HMRC tomorrow (I was out most of today, so plan put off to tomorrow) to find out about the UK pension and 'topping it up'. I've paid into various work ones over the years but have no idea where or how much. I'll get a small pension here a bit before the UK one.

But, due to the lack of expectations, I made no plans

Essentially I have to make my business work. Once everyone starts to/is allowed to travel again then my plan for the business can restart and as I know the business model works, and there will be a couple of holes in the market, I fully expect to make it work (I do know I have to work damned hard to achieve that, but I'm used to that!). I don't need a lot of money to live here. I'd like to think I could get a decent bike or two and afford the fuel in the summer!

So, hopefully the pension stuff will work out but the main goal is get the business to the point it earns me money and I don't have to drive 5 or 6 days a week (cos other people will) and I can do office stuff/ski/ride bikes


Here's hoping the dream works out !!!

Hope you do make the business work, but think about using some of that money for a pension. I have no idea how it works in France, but in the UK pension you can pay £££ into your pension as a legitimate business expense. Talk to your accountant.

[Yorick]

And it's worth thinking where you want to retire. As an example, it's a helluva lot cheaper to live here than the UK.

[Mr. Dazzle]

Start early with a pension

It's quite funny to me the number of young guys at work I've spoken to who both complain about how much a mortgage is but also don't pay into a pension. They seemingly don't realise the beauty/ugliness of compound interest

[Mr. Dazzle]

And it's worth thinking where you want to retire.

Mars.

Might be a bit annoying living next door to Elon Musk

[Noggin]

Hope you do make the business work, but think about using some of that money for a pension. I have no idea how it works in France, but in the UK pension you can pay £££ into your pension as a legitimate business expense. Talk to your accountant.

Thank you. Pretty sure it will work but I'm crossing fingers anyway!

And, once I've sorted the UK side of pension, then I'll find out about the French stuff. And yes, as soon as I make money to pay in, I will do just that. It's on the list

And it's worth thinking where you want to retire. As an example, it's a helluva lot cheaper to live here than the UK.

I'm here already!! LOL I'd maybe like to live in a bigger apartment, but I'm happy here if I can't change it Not cheap for some things, but if you are organised and don't need to drink a lot, then it's just fine

[Taff]

Start early with a pension

It's quite funny to me the number of young guys at work I've spoken to who both complain about how much a mortgage is but also don't pay into a pension. They seemingly don't realise the beauty/ugliness of compound interest

I used to work with a youngster that had opted out of the pension, he thought that the 5% her paid into it was better in his pocket. He couldn't see that he was literally giving away the 21% employers contribution

[Mr. Dazzle]

the 21% employers contribution

The how much now ?!

[MingtheMerciless]

And it's worth thinking where you want to retire.

Mars.

Might be a bit annoying living next door to Elon Musk

Yeah but think about the Enduro and MTB potential down Olympus Mons.

[Asian Boss]

21%???


On another note I also need to find £100-200k to put the kids through university,

The current G/F is on £30k. That's a week. And she wouldn't be making that without her degrees.

[Taipan]

We've both got additional pensions to go with our state pensions and a couple of assets to cash in and of course the house should be paid off etc. So we should be alright, especially as we tend to enjoy the more basic things in life? So we've stuck at what we do to make that happen, but i'm not sure you could call it strategic financial planing!

It's not something I give much thought to really, when I had, it'd always been to have a place here and somewhere sunny, but i'm not so sure we'd actually buy abroad now? I think we're more inclined to rent places in different countries/areas for jan/feb, at least to start with anyway and we should certainly be able to afford to do that.

What has been more surprising is how much I've missed work after the lock down and furlough! Being paid to sit about and sunbathe all last summer was really great and it did make me think about whether I do want to do another 10 years? But it wore off when the weather changed and I was really pleased to get back on site a few days a week and i've loved riding a bike a few times a week, even in this weather!

[Taff]

the 21% employers contribution

The how much now ?!

Civil service pension. Shit wages, good pension

[Mr. Dazzle]

On another note I also need to find £100-200k to put the kids through university,

After the definitely-not-financial-advice I received from some financial advisors on TRC I put a bit of money away every month into a Vanguard Lifestrategy ISA for Baby D, said money is invested in equities. It should hopefully be kncoking on the door of £100k by the time she's 21.

If she turns out to be a goodun' she'll get a nice surprise. If she's a wrongun' at least she'll have something to cover her legal fees.

[Le_Fromage_Grande]

My pension is so fucked it's a bad joke, the best thing to do with it is take as much out as I can and blow it on drugs so that I did happy rather than very poor.

10 years working at BT has got me a pension pot of £8,500 which gives me £179 per year.

If I'm lucky I might get £4K a year from my current employers pension scheme

Pensions are like endowments, they make the banks rich, not their customers, we've been sold a false promise, wish I'd got a job with the government and a nice guaranteed final salary pension paid for by the tax payer.

[Wreckless Rat]

At least I’m not alone with a crap pension

[Asian Boss]

My pension is so fucked it's a bad joke, the best thing to do with it is take as much out as I can and blow it on drugs so that I did happy rather than very poor.

10 years working at BT has got me a pension pot of £8,500 which gives me £179 per year.

If I'm lucky I might get £4K a year from my current employers pension scheme

Pensions are like endowments, they make the banks rich, not their customers, we've been sold a false promise, wish I'd got a job with the government and a nice guaranteed final salary pension paid for by the tax payer.

Mine's no better. I think the government was happy to let the financial services industry get their hands in the till while turning a blind eye to the longer lifespan time bomb.