UK pensions lowest in developed world!

This sounds grim however it is taking the basic state pension only. Most sensible people will have heeded the advice from government that everyone should contribute to a private pension which they should contribute into throughout their working life and consider the state pension as a top up product. I have throughout my working life made a conscious effort and choice to pay into a private pension which my employer has also paid into and in addition to this to take out a stakeholder pension as well. This has meant less disposable income during working years but will mean I will have a decent but (not generous) pension pot from my 3 separate pots. In addition my mortgage will be repaid by then. It is no good refusing to take personal responsibility during our working lives and then complain we don't have a big pot in retirement. Most people will be working for over 45 years so even if can't contribute much extra when children are small they can make up by contributing extra as they grow up. Personal discipline is needed. We have to consider income tax is higher in many countries. We have low tax so should use disposable income wisely.

newnanny is spot on. Responsibility during earning years to contribute to private pensions.

newnanny not everyone is as sensible as you! I have a relation who sold her private pension at the age of 55 so that the state can look after her in old age. The pension freedom now available is, imo, a ticking timebomb as many will do the same. It is easy at 55 to think that by the time your are of state pension age you will be so old you won't need much money but it is a very different situation when you reach that age.

I have a Dutch friend who recently retired. She has sold her house and moved into social housing, a flat. The rent is determined by her income which seems very sensible to me. Her house can now be used by a family so a win win situation.

However, not everything is better there, she will have to do some very clever things with the money from the house because any savings above about £40k are taxable in NL. Also we have much better maternity and paternity leave.

" Two out of three UK pension schemes are in the red to the tune of £210bn"
I paid into my professional pension scheme when I was working . We used to get regular reports about how our payments were invested - often in oil, minerals etc industries in expanding countries. Such as Africa. Now other bigger nations (eg China) have competed successfully for this income.
I pray thankfully each month when my pension comes in on time.

I sold my pension too. I put the entire amount ( not that it was much) into help keep my business going and my 7 employees in a job . I wish people wouldn’t be so judgemental . I didn’t see a penny of it for myself . Oh and I will probably be working until I drop dead . State pension at 68 which will mean I will have worked for 52 years !

The new UK state pension is £159. 55 a week, for those on the old one if they qualify, they will get pension credit which would top it up to that level.

I would love to know how these other countries can afford to pay so much - where do they get the money from?

Our population is barely replacing itself. The figures don’t add up to support the number of pensioners there are going to be, let alone the health service, carers etc.

The worst thing the govt did was to allow people to spend all of their pension pots - I think it was a cynical way to boost the economy with consumer spending.

Sorry Gily if you think I was being judgmental, perhaps I should have given more detail. The person concerned did not spend it on anything as good as you did, it was frittered away and the point I was making was that it was a deliberate act so that they would get more from the government when they were older.

gillybob, selling your pension to keep you business is a smart thing. Never bothering to contribute is what is not wise to me.

Also, I think as years pass in these centuries we are healthier to work longer than when retirement age was lower.

starbird, I think income tax is high to those countries.

I think you will find that many of these countries who pay these pensions have severe financial problems as a country. Equally do they have free healthcare at the point of delivery? I know it's not great but I think without insurance, people are in serious trouble with medical bills in some of these countries. I knew of someone in the US with MS and a heart condition who was in debt to the tune of 100,000 dollars and not a hope of paying it. So pluses and minuses. Equally I wonder how many expect to rely on just the state pension?

I remember reading that in Italy workers contributions to state pension are very much higher than we pay here, that is possibly the case in other countries. I wish when people think that the government can pay for them they would realise that it's the rest of the population that is paying for them through taxation.

Being sensible is one thing but I think of a dear aunt who was just unable to pay into a private pension and in retirement relied on her state pension and help with rent for her council flat. All her life she worked hard in low-paid catering jobs. The rest of my family has been more fortunate as well as sensible and we do have pension income apart from DWP.
Gilly pointed out a different but equally difficult scenario so perhaps we should be a bit less ready to condemn.

I'll probably be on just the basic pension. My work record has been somewhat patchy in the last few years.

mcem, you are right, no condemnation is helpful.

Preparing to work many more years. Taking as much personal responsibility as possible. Not wasting income available to save on splurge spending would be helpful choices.

They haven't helped me.

I paid into 2 pensions when working but as I worked in the public sector and didn't earn a high salary after tax when combined they only pay out £328 a month . I claim my state pension as well but I still have to work part time as all my earnings come to less than £1000 a month and three quarters of that goes on bills so I'll have to keep working or I wouldn't survive. Having worked hard all my life it doesn't work out as a luxurious retirement ( or in my case part retirement) at all.

How are these pensions funded in other countries?
I would like to know a lot more before I could judge.

In Australia the state pension is means-tested so if your assets or income are above a certain amount, it reduces pro rata until at a certain level you get nothing.
However, for those with no other income and no assets, the pension rate would seem to be generous by UK standards.

The state pension of £159.55 is only payable if you have a full 46 years contributions a reduction is made for any missing years

I shall have to turn to a life of crime, I think.

My DH had 49 years but was robbed by SERPS contributions that have been stolen!

I’ll be your “look out” missadventure

Thanks gilly I haven't decided what crime i'll commit yet. I need to see a crime advisor I think.

I was thinking maybe pulling off a massive fraud.... there’s plenty seem to get away with it

I know just how your DH must be feeling gillybob. I too contributed to SERPS for mnay years. Nowhere to be seen now so that was a waste of money.