This discussion is now closed.
Check out other Related discussions
- Workplace pension
- People working until 70
- When is the deadline for returning (2nd year) students?
- Should nurses be paid more?
- Rachel Reeves did the right thing in ending winter fuel payments
- Border Force vs RSPCA
- What evidence is needed for show I’m self supporting?
- Contact information for Tesco HR / Payroll department
- Student finance
- SFE Cover letter
- Obtain a national insurance number
- SFE - Proving I have Worked For 3 Years
- how does tax work
- Is there any career I can do with these subjects?
- Pressure to get a new job.
- ‘We are reviewing the outcome of your pre-employment checks’
- Is this a step in the right direction?
- Starting a business
- Salary sacrifice for cars , any experiences ?
- Labour Govt Future Tax Policy
When should you start considering your pension?
I know this is a student site and most are of a young age but wondered if anybody here has considered their pension? When should someone consider them? etc.
Thanks.
Thanks.
Scroll to see replies
Reply 2
Yeah mid-twenties after you finish major education like uni etc. 
You should start considering them asap. Bear in mind that the full State Pension (which you're entitled to if you have paid all your National Insurance contributions over the years) is not very large - currently at £82.60 per week (that's £4000 per annum), hardly enough to pay the bills and enjoy retirement at all!
It's worth joining occupational pensions run through your employers if you have a job - some of them are transferable, so you don't lose all the contributions when you leave. The earlier you start paying into a pension fund, the more you will have by the time you retire.
It's worth joining occupational pensions run through your employers if you have a job - some of them are transferable, so you don't lose all the contributions when you leave. The earlier you start paying into a pension fund, the more you will have by the time you retire.
Reply 4
well if you join a company after graduating from uni and they offer a company pension scheme i personally would join it, but its up to you when you want to start putting money into a pension scheme, i wirked out i would be better off putting a sum of money equivelant to what i would pay into a pension into an isa account then live of that once i retire, as well has having the state pension, i would be better off and wouldn't have to wory about the security of my pension if the company goes bust. but its entirely up to you
Reply 5
im in the local government pension scheme - and have been since working for the council
Reply 6
That's true. Was thinking more of an ISA to be honest, especially after that Equity thingy went bust.
daniel_williams
i would be better off and wouldn't have to wory about the security of my pension if the company goes bust. but its entirely up to you
i have a friend who works for the Bank of England, and is on the company pension scheme. it's not just him that needs to be worried if it goes bust though....
Reply 8
I got a letter a few weeks ago telling me to start one now 
I'm not going to put my student loan into a pension!!
I'm not going to put my student loan into a pension!!F. Poste
I got a letter a few weeks ago telling me to start one now I'm not going to put my student loan into a pension!!
I'm not going to put my student loan into a pension!!No. it's probably better to start after uni with an occupational pension scheme.
and beware annuities by the way, those are pensions which don't go up every year, so you essentially lose out after a couple of years.
Reply 10
4Ed
i have a friend who works for the Bank of England, and is on the company pension scheme. it's not just him that needs to be worried if it goes bust though....
yeah well the country would grind to a halt if the bank of england went bust... althugh i can't see that happeneing, one of the worlds richest countries banks going bust... but then again look what happened in germany after the second world war, but yeah pesnions schemes are a good investment, its just you ar enot guarenteed to get out what you put in. most of them have clauses, thats why i suggest about putting money into an account like an isa with relatively good intrest as you will get more out than what you put in!!
daniel_williams
yeah well the country would grind to a halt if the bank of england went bust... althugh i can't see that happeneing, one of the worlds richest countries banks going bust... but then again look what happened in germany after the second world war, but yeah pesnions schemes are a good investment, its just you ar enot guarenteed to get out what you put in. most of them have clauses, thats why i suggest about putting money into an account like an isa with relatively good intrest as you will get more out than what you put in!!
i'm glad someone got the humour...
NDGAARONDI
I know this is a student site and most are of a young age but wondered if anybody here has considered their pension? When should someone consider them? etc.
Thanks.
Thanks.
ive been considering them for years and i havent even finished education or got a full time job yet.
i believe you should provide for yourself as far as possible so its a good idea to start ASAP. some say if you leave it until you are in your 30's theres no point even starting a plan as it wont make enough cash
Reply 13
you are all so depressing, stop thinking about these things
Rouge
you are all so depressing, stop thinking about these things
whats depressing about trying to be financially viable?
for me its more depressing to think of the people sitting doing jack all and saving nothing. but if they want to retire on a state pension that puts you in poverty for all intents and purposes then thats up to them.
I would only go into a penion when these items have been ticked:
a) I'm financially able
b) the pension company is reputable
c) Your company is also contributing a health amount also (normally government and public sector firms are the best at this)
I would rather put money aside in a different savings method. Pensions are so renowned for going wrong. Even my Mother has lost a fair amount from 20 years ago. She can't find it at all now. Its a a joke.
a) I'm financially able
b) the pension company is reputable
c) Your company is also contributing a health amount also (normally government and public sector firms are the best at this)
I would rather put money aside in a different savings method. Pensions are so renowned for going wrong. Even my Mother has lost a fair amount from 20 years ago. She can't find it at all now. Its a a joke.
a couple of weeks ago, i got a letter urging me to save as soon as possible. It started:
'Now you are approaching retirement......'
yes, it was sent to the wrong person...lets just say, that when i called the Department of Work and Pensions, who had sent me the letter, there were a few red faces when they realised that they had mistook me for someone who's about to retire!
'Now you are approaching retirement......'
yes, it was sent to the wrong person...lets just say, that when i called the Department of Work and Pensions, who had sent me the letter, there were a few red faces when they realised that they had mistook me for someone who's about to retire!
~nat~
a couple of weeks ago, i got a letter urging me to save as soon as possible. It started:
'Now you are approaching retirement......'
yes, it was sent to the wrong person...lets just say, that when i called the Department of Work and Pensions, who had sent me the letter, there were a few red faces when they realised that they had mistook me for someone who's about to retire!
'Now you are approaching retirement......'
yes, it was sent to the wrong person...lets just say, that when i called the Department of Work and Pensions, who had sent me the letter, there were a few red faces when they realised that they had mistook me for someone who's about to retire!
getting on a bit are you?
Reply 18
Now this is something I do actually know about, having worked in a pensions consultancy for a year!
An example of a typical pension is your final pensionable salary (not your actual salary; your pensionable salary is usually a fair bit less) multiplied by the number of years you have been in the scheme, divided by 60. Although these are good benefits - many schemes now divide by 80 or more, which doesn't offer you as much in the long run.
The maximum benefits you can accrue are 2/3 your final pensionable salary at retirement. You can only reach this with 40 years' service. So basically, only if you stay with the same company for 40 years, or transfer in service from another pension scheme.
You should be able to get some kind of idea how hard it is to build up any decent benefits. Every day at work I look at people's files and just can't believe how little they have to live on.
Bottom line, you should start paying into an occupational pension scheme as soon as you get a full time job. You need to start saving for retirement as early as possible. It doesn't make that much difference to your monthly salary - it's only like paying off your student loan.
Another thing is that if you don't join a scheme as soon as you're entitled to, you may not be able to join later. This is because you might join later on once you know you're dying of cancer in order to get the full death benefits, without contributing to the scheme from the beginning. If you try and join later on, you might only be able to get reduced benefits.
Your employer matches whatever you contribute to your pension, and this does not come out of your salary, so it's basically free money. You might as well take it.
Any more questions about pensions.....ask me!
An example of a typical pension is your final pensionable salary (not your actual salary; your pensionable salary is usually a fair bit less) multiplied by the number of years you have been in the scheme, divided by 60. Although these are good benefits - many schemes now divide by 80 or more, which doesn't offer you as much in the long run.
The maximum benefits you can accrue are 2/3 your final pensionable salary at retirement. You can only reach this with 40 years' service. So basically, only if you stay with the same company for 40 years, or transfer in service from another pension scheme.
You should be able to get some kind of idea how hard it is to build up any decent benefits. Every day at work I look at people's files and just can't believe how little they have to live on.
Bottom line, you should start paying into an occupational pension scheme as soon as you get a full time job. You need to start saving for retirement as early as possible. It doesn't make that much difference to your monthly salary - it's only like paying off your student loan.
Another thing is that if you don't join a scheme as soon as you're entitled to, you may not be able to join later. This is because you might join later on once you know you're dying of cancer in order to get the full death benefits, without contributing to the scheme from the beginning. If you try and join later on, you might only be able to get reduced benefits.
Your employer matches whatever you contribute to your pension, and this does not come out of your salary, so it's basically free money. You might as well take it.
Any more questions about pensions.....ask me!
F. Poste
I got a letter a few weeks ago telling me to start one now I'm not going to put my student loan into a pension!!
I'm not going to put my student loan into a pension!!i got one of these as well! surely its the government saying "we're short of cash, can you lend us some and you might get it back in 50 years?"
i dont know about pensions, the whole thing confuses me. i will look into it when i graduate. cant you just put the money in a savings account?
Related discussions
- Workplace pension
- People working until 70
- When is the deadline for returning (2nd year) students?
- Should nurses be paid more?
- Rachel Reeves did the right thing in ending winter fuel payments
- Border Force vs RSPCA
- What evidence is needed for show I’m self supporting?
- Contact information for Tesco HR / Payroll department
- Student finance
- SFE Cover letter
- Obtain a national insurance number
- SFE - Proving I have Worked For 3 Years
- how does tax work
- Is there any career I can do with these subjects?
- Pressure to get a new job.
- ‘We are reviewing the outcome of your pre-employment checks’
- Is this a step in the right direction?
- Starting a business
- Salary sacrifice for cars , any experiences ?
- Labour Govt Future Tax Policy
Latest
Trending
Last reply 2 months ago
Mums furious after photo firm offers to delete kids in wheelchairs from school picsLast reply 3 months ago
Poundland drafts in advisors amid discounter crisis
