The State Pension Pot

Curent NI contribuitions Barely enough to cove payments till Then  ,Looks like a hike in NIC and working till 70 plus for future Generations

What "State Pension Pot" is this that you speak of?

The State Pension we are all Due to Receive if we Live that Long

due mine 2031 so better blast it quite quickly

Money being paid at the Mo is covering Current Pensions ,Seems rather Unfair that the Younger Generation might be covering peeps who retired at 60 and wont get a pension till in their 70 s ...

There has never been a 'pot' has there? Just as road tax doesn't get put aside to be spent on roads.

Not really case. I worked all my days and more than paid for my own pension.

only people who snuff it soon after retirement ever make more NI contributions than they take out. been this way for years.

That was my point, there is no "pot", it's not hypothecated. One day they decided to start paying pensions and the taxpayer of the day covered it, and it's continued like that, and people are continually living longer. The "young folk" are paying current pensioners pensions, but those pensioners payed the previous generation's pensions and the younger people are likely (short of a war or epidemic) to live longer themselves and someone will need to cover that, their children.

People just have to face up to the reality of all this with people living longer, and how much this costs, and stop blaming politicians for it.
All the complaints about raising pension age .. well what other option is there? Huge tax rises (which will further hit the young)?
Logan's run? And we all have a little light in our hands?

If so, can I have the control box for a couple unnamed forumites? :)

get more immigrants in to pay our pensions (nap)

So if the cash isn't coming from the NICs where does it come from?

Well donny I don't think it's openly said but Germany has a big age demographic issue which is probably one of the main reasons they apparently want to commit cultural suicide. If that's the reason for her madness, Merkel should just admit it up front.

Can see it All going Tits up , think its 12 % at the Mo ,Could raise to 20 % of earnings ,  I know what your saying AK but we were paying for people that were going to Retire at the same Age we would I.E 65 or 60 if a woman ,But people being asked to pay to cover
the currently retired will will prob work into their 70s and be forced to pay alot more in ??

How many of the Recent wave are contributing Donny ,Seems a high unemployment rate among some of them ??

ponzi scheme, innit

the base is getting very wide

People also need to take responsibility for their own futures and plan for it where possible.
Should be aiming to be debt free with some savings and a private pension.

nice to see that martin lewis is wanting to educate folk into running budgets from leaving school

he should be compulsory for schools instead of wasting time on sats

once folk plan their own future the welfare state can get back to helping folk that need help,
funding our health and social care deficits

Agree with Both ,Infact I should think a Fair Percentage Receiving the SP dont even need it

A 5pc increase in contributions for workers would cost an employee earning around £28,000 a year an extra £125 in annual tax, while someone earning £40,000 a year would pay an extra £190 for the same state pension entitlement.

If that's all it costs to fix it, it hardly seems a crisis at all. In fact, it seems remarkably cheap to fund, particularly as the baby-boomer generation needing to be funded up to 2035 is so enormous. The next generation, which retires in 2035, is far smaller, so in return for an extra tenner a month now, they'll be able to award themselves bigger pensions or earlier retirement.

And another thing, this idea of running out by 2035 assumes that people are going to carry on living longer and longer, and I'm really dubious about that. In fact, the opposite is already happening.

I remember when I sorted out my State Pension.  On the phone the lady asked if I would like to defer it to get a better return. I started laughing. She asked why I was laughing. I told her I would take it now before the pension pot runs out of money! Looks like it is gonna come true!

agree with screaming ,even before we have a chance to work out if people are living longer there were reports last week regarding annuities that theres a blip and a certain age of people are now dying earlier than expected,so annuity rates might increase for a few years, as the next generation according to the experts are drinking,eating to access I,ll take the living longer story with a pinch of salt

About 20 years ago I looked at the state pension and reckoned that, by the time I was retirement age, the state pension would be means tested.

I still think the same.

That would simply be unfair Jack.
I've both the SP and a PP. Both paid for.
I sacrificed a few things along the way so I could retire early.
Used some savings until the SP kicked in so that I could retain a decent lifestyle.
Depending on the levels set (I'm above min wage earnings btw) why shouldn't I get the SP.

Definitely unfair, aka.

But since when has fairness had anything to do with the Chancellor's plans.

If the country is skint, it seems silly  giving money to millionaires.

The bigger issue for the next generation of pensioners is the reduction in home ownership.

On the Continent some state pensions are enough to pay rent. Here, no chance. The house price boom has seen to that.

If you're mortgage free by the time you retire no matter how small the state pension is you have an asset to sell.

If you're still renting at that age what happens?? The pension tax credit bill could bankrupt the country. Logans Run may be the only answer...