O
oompah
To the toilet?
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What in work time?? heavens forbid!!
That's not entirely accurate.
If you had (amazingly) worked for 40 years without making any pension contributions, and then suddenly put in a lump sum of £100,000, a year ago, then yes, your funds would probably be 30% or so less than the purchase price*.
But if you had been working for 40 years and dribbling in a bit of money every month, with maybe a bit extra when you got a bonus or had a good year, then you would have had the advantage of up to 40 years growth, plus you would have bought more units during the dips, so you would be sitting on a substantial profit. *Additionally,of course, you would have had the advantage of the tax rebate on your contributions, so every £100 of units you bought would have cost you £80 or even £60. Yet more gain for you. If, in the example above, you had earned enough to put in a £100,000 lump sum, you would have been a higher rate taxpayer so your contribution would only have cost you £60,000 (less if you have your own company as you save Employers NI - only £48,000) so if it was worth £70,000 today you have still done well.
Modern pension schemes have also got round the risk that fund values might drop the day before you start drawing your pension. They generally offer a "lifestyle" option now where they start to dribble your accumulated fund value into gilts or cash deposits over the 5 years or so before your planned retirement date. If your scheme doesn't offer this, then you have to remember to ask them to transfer some each year as you approach retirement, otherwise draw it out in segments so you can expect some to be at a high point and some at a low point.
more defeatist tripe.
no moans when brown made your pension grow like alan titchmarsh grows spuds
your house is worth no less unless you choose a downsize option.
your pension has six years to recover..
your rhetoric causes recession as much as any politician!
it scaremongers people into not buying the kitchens you make, yet the majority of people are no worse off than they were six months ago.
this will end when we buy our way out of it and not before..
i wonder what you moan about in good times
good job you are not in my titanic lifeboat because you would be swimming for sure.
no moans when brown made your pension grow like alan titchmarsh grows spuds
your house is worth no less unless you choose a downsize option.
your pension has six years to recover..
your rhetoric causes recession as much as any politician!
it scaremongers people into not buying the kitchens you make, yet the majority of people are no worse off than they were six months ago.
this will end when we buy our way out of it and not before..
i wonder what you moan about in good times
good job you are not in my titanic lifeboat because you would be swimming for sure.
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What and waste vital meat rations!!good job you are not in my titanic lifeboat because you would be swimming for sure.
Meaty
Hmmmmmm.
Brown made our pensions grow!!!!!!no moans when brown made your pension grow like alan titchmarsh grows spuds
Was that when he removed 5 billion a year from them, each year? Since 1997 !!!!!
I'm sure that anyone retiring now, or in the next few months, will share your joy.
Urban myth.
I think you have misread the situation.
To a point, but not by getting ourselves deeper in debt, which up to a point, is why we are, where we are now.
Depression is nothing to laugh about.wonder what you moan about in good times
O
oompah
What! writing a few opions on a internet forum with about 89000 members to read them leads to recession.Marbles and being lost comes to mind.
Situations like this incumbent/impending recession (depending on who you believe) always highlight that different people look at things in different ways.
How macroscopically do you view the economic situation? Where is your event horizon? Is your only concern that there will be cash in the cash machine so you can buy beer on Friday night? Or are you concerned with various sociopolitical effects on international markets in 2015?
I'm 28. Pensions are of little concern to me at the moment (although I keep meaning to up my contributions). However, with my fixed rate mortgage about to go variable, interest rates are critical to my survival. 10% would hurt, 17% would result in me being very very cold at night.
If you're in your 60s then you have probably paid your mortgage off (unless you have an endowment or similar) and are wondering what your 40-50 years of honest toil will amount to when you take your first trip to the Post Office on a Wednesday morning.
Either way, we're all doomed, DOOOOOOMED!!!
How macroscopically do you view the economic situation? Where is your event horizon? Is your only concern that there will be cash in the cash machine so you can buy beer on Friday night? Or are you concerned with various sociopolitical effects on international markets in 2015?
I'm 28. Pensions are of little concern to me at the moment (although I keep meaning to up my contributions). However, with my fixed rate mortgage about to go variable, interest rates are critical to my survival. 10% would hurt, 17% would result in me being very very cold at night.
If you're in your 60s then you have probably paid your mortgage off (unless you have an endowment or similar) and are wondering what your 40-50 years of honest toil will amount to when you take your first trip to the Post Office on a Wednesday morning.
Either way, we're all doomed, DOOOOOOMED!!!
Either way, we're all doomed, DOOOOOOMED!!!
So what are you going to be saying next year when the intrest rates are down to 3%?
Got to say im with atoz on this one. All the time people have confidence in the economy the wheels keep turning. as soon as that confidence becomes shakey it helps to slow things down.
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