Pension

Discussion in 'Hull City' started by philhul, Apr 17, 2021.

  1. Edelman

    Edelman Well-Known Member

    Joined:
    Mar 30, 2014
    Messages:
    16,953
    Likes Received:
    6,985
    Buy to Let now has Tax on it at purchase so the benefits arent has big .
    I believe also that you used to pay tax on your profits but now it's on all of the income payment .
    Do you also pay tax when you sell it ?
    Not sure .
    I recently increased my pension payments to 10% but think I'm gonna take it back down to 5%
     
    #21
  2. Urika Peece.

    Urika Peece. Well-Known Member

    Joined:
    Dec 15, 2012
    Messages:
    6,023
    Likes Received:
    4,287
    Everything is taxed now matey but speaking from past experience the safest place to put your cash is in property. I wish I'd have followed my own advice, or indeed had the surplus cash or the balls to borrow more when I was younger because money was there to be had in the late 80's. But hindsight is a wonderful thing. Having said that I also remember the mortgage rate rising to 15% and that was a real struggle to pay at the time. I had to take two jobs on.
     
    #22
    Ric Glasgow and Edelman like this.
  3. Edelman

    Edelman Well-Known Member

    Joined:
    Mar 30, 2014
    Messages:
    16,953
    Likes Received:
    6,985
    Yeah I remember contemplating it for years .
    I even at one point had bought a lot of K com and Dot Com shares that was the equivalent of selling them and buying a bungalow cash and sat pondering
    Held off then it all crashed and weeks later it was worth virtually nothing :emoticon-0106-cryin
     
    #23
  4. Ernie Shackleton

    Ernie Shackleton Well-Known Member

    Joined:
    Sep 21, 2013
    Messages:
    8,377
    Likes Received:
    10,463
    I had ISAs here, PEPs there, a savings account somewhere else; an endowment policy that was meant to pay off the interest on my mortgage but came nowhere close to that; an underperforming free standing pension; a few shares and various other ****e 1990s financial products that snake oil salesmen told me that would look after me and mine in old age.


    Get to **** you commission driven charlatans. You took your cut and left me completely unsupported when conditions and the market changed.

    And change things certainly have over the last 20 years.


    Eventually I found that I didn't have a clue whether my financial products were performing well or badly, whether they should be performing better or not, or what I should do with them.

    I took the plunge and consulted a reputable independent financial advisor.

    Who consolidated everything.

    Placed all my different products within a single portfolio sitting on a varied investment platform. (Whatever that means).


    I pay quite high fees for this but I can see the investments growing and have a fairly clear idea of what money we will have in retirement.


    And perhaps equally importantly, I don't worry about it any more.
     
    #24
    Last edited: Apr 19, 2021
  5. FLG

    FLG Well-Known Member

    Joined:
    Jan 28, 2011
    Messages:
    2,902
    Likes Received:
    1,140
    Chances are that the illustrations for income use some assumptions like you'll take an annuity, leave 50% pension to a spouse, some health assumptions also.

    Reality is that hardly any annuities are taken these days and generally spouses tend to have a pension of their own and health issues provide enhanced payments.

    So if you went drawdown and self manage it, you're probably better off than they would have you think and possibly even allow you to pass pensions down to younger family members.
     
    #25
    Last edited: Apr 19, 2021
  6. What? A full dog?

    What? A full dog? Active Member

    Joined:
    Jan 28, 2011
    Messages:
    191
    Likes Received:
    216
    My advice is that - having worked closely with the financial conduct authority on fraud cases - don’t blindly trust the advice of a financial advisor. But even more importantly, don’t trust the advice of a load of half drunk football forum keyboard warriors.
     
    #26
    Cambstiger and Chazz Rheinhold like this.
  7. DMD

    DMD Eh?
    Forum Moderator

    Joined:
    Jan 25, 2011
    Messages:
    43,274
    Likes Received:
    25,212
    Good advice right there. If they can only afford to be half drunk, they've clearly no idea how to manage their money properly. <ok>
     
    #27
  8. Ernie Shackleton

    Ernie Shackleton Well-Known Member

    Joined:
    Sep 21, 2013
    Messages:
    8,377
    Likes Received:
    10,463
    Two key words to always put in front of 'financial advisor: independent and reputable.
     
    #28
  9. Gone For A Walk

    Gone For A Walk Well-Known Member

    Joined:
    Feb 5, 2011
    Messages:
    3,026
    Likes Received:
    3,276
    Just to clarify, I can't remember the last time I was even 'half drunk'. Many years ago.

    Good advice WAFD.

    Best approach is to educate yourself first. It's a too important subject to be lazy and careless about. As well as the book I've mentioned. Tony Robbins 'Unshakeable' is also a decent starting point. Unfortunately most of these books have an American slant, but the simple concepts are of course transferrable. This book covers both the 'mind set' side of things as well as practical steps. There's plenty of free stuff on the internet to explain about pensions.

    It's too important to leave to fate, and it's also too important to leave with blind faith to someone else. For the sake of a few quid on some good books (or audios) and
    a few hours of time every now and then. And don't fall for the adverts you will see in investment magazines, newspapers and so on; they are marketing adverts, that cost (investors) a lot of money, to temp you into products that almost certainly aren't right for you. Learn for yourself, and if you still end up paying for advice, make sure it's truly independent (an IFA).

    One incorrect belief of some is that 'investing' is for people with plenty of money. Not true and dangerous thinking. It's best to start young, if not then start today, and it's definitely not something to leave until you have plenty of money ... it's one key reason why people typically end up with plenty of money (not the other way round). Start small if you have to. And by the way, 'saving' is NOT 'investing'; saving won't get you where you want to be.

    Sorry for preaching / stating the obvious to some, but it's such an important topic (started off as a quick clarification about not drinking and turned into a soap box moment :emoticon-0136-giggl )
     
    #29

Share This Page