UK benefits
 

Looks like England is the last place you want to be if you are on benefits or getting old.

Re: UK benefits
 

I suspect Canada is worse for those on minimal income to be honest, and at least they both have a safety net unlike some other places.

What does this have to do with Canada anyway?

Re: UK benefits
 

Bizarre.

Re: UK benefits
 

There's a whiff of troll about this thread.

Re: UK benefits
 

i was under the impression that the UK's generous benefits is in part what has hurt the economy.

That being said, 98 quid a week that my old man is trying to get by on is pretty crap. He's had to keep a part time job as a school caretaker to get by. Sad when you think that he worked his balls off his whole life and never took nowt from the government.

I think the old age benefits are more generous here but only if you have been here a good chunk of your working life

Re: UK benefits
 

Old people should be shot at birth. :thumbdown:

Re: UK benefits
 

Prince Philip has been on benefits most of his life, and he's 91.

Re: UK benefits
 

And fringe benefits, he got to sleep with the boss.

Re: UK benefits
 

That's a benefit? Can you imagine?

Re: UK benefits
 

My mother in law gets (or did) the top up to her 'normal' pension. A bit like Pension Credit (ex income support in the UK).

Because she qualified for the top up, she qualified for the seniors prescription program and her meds were only $9 each.

She cashed in an RRSP last year to pay off loans accumulated during her late husband's long illness and death.

That was paid after deduction of tax. She then had an increased tax liability because Revenue Canada included the cashed in RRSP as her income last year.

Because her assessed income for last year increased, she lost the income top up this year.

Because she lost the income top up she has lost coverage under the seniors program and has to pay the full cost of meds.

Even though there's been a considerable drop in her income.

:(

Re: UK benefits
 

like anywhere the rules tend to be a one size fits all. It should come as no surprise though that cashing out a rrsp creates a tax liability, after all it really was only a tax deferral investment. I assume you are referring to GIS (general income supplement) which is intended specifically for those that dont have the full CPP or OAS benefits.

Assuming one made max contributions to CPP and max OAS, an average pension here would be around 1500 bucks a month or so, quite a bit more than 400 quid a month in the UK.

Problem here though, is the amount of time in you have to have to max out. It's something like 40 years.

Re: UK benefits
 

Sure. But having your income reduced as well as the additional tax is a double whammy and then having to pay full cost for meds is a triple whammy.

Remember, too, that if you only get that £400 or so in the UK you can get your rent money on top and pension credit.

A single pensioner is guaranteed almost £140 a week and if they have rent to pay, they'll get that too. A typical minimum income would then be around £1100 a month. And you can have several thousand ££ in the bank and not pay for prescriptions. :starsmile:

The safety net is considerably stronger in the UK.

Re: UK benefits
 

Perscription costs vary form province to province. but yep.....i,m quite happy to have my federal pension thanks very muchly.

The example of your MIL is really not a case of being penalised for having funds. RRSP are and always have been subject to income taxes and are added to total incomes for the year. One would hardly be punished for having savings as you suggest. CPP is based on contributions throughout one's working life and OAS is based on residency in Canada. GIS is designed to bridge the gap. Seems more equitable to me.

The uk system seems unfair to me. If you own your own home you get 98 quid a week but if you don't you get more. My old man has a little bungalow but no other pensions or funds....for all his efforts and not sponging off the system he gets 98 squid a week.

Re: UK benefits
 

Well you should get him to apply for Pension Credit then as no single pensioner should be below £137.35 regardless of where they live.

Council Tax benefit too.

But cash in an RRSP or sell a house and incur capital gains tax just for that year and it's going to cost you your GIS and prescription coverage (depending on your province) the following year.

Re: UK benefits
 

Bristol, you're wasting your breath. Some people want to believe that the UK deliberately keeps its pensioners barely a day's gruel away from the poorhouse, while throwing bucketfuls of cash around at them bloody immigrants.

How anyone can bemoan the poverty of their parents who own a home outright is beyond me.

Re: UK benefits
 

Like Jingsamichty said you're wasting your breath. Boy d doesn't want to admit that the UK is better than Canada. :p

Re: UK benefits
 

So my old man living in a tiny, dated 2 bed bungalow up north with his state pension is somehow considered wealthy? And the handout he gets is a struggle, turst me. As far as i know he gets 98 quid a week and some sort of winter fuel supplement.

Simply pointing out that they are two completely different systems. Granted a pensioner in the UK that has nowt will be better off. But why should a pensioner in the UK who has worked hard to pay off a mortgage be penalized over a pensioner earning the same who chooses not to pay off a mortgage.

I see the system here as well, different, and being of benefit to one over the other. If one has been here for the chunk of their working life, regardless of personal assets they will likely be better off, as it's based on contributions and residency and you wont be penalized for owning your own home; however, some one at the end of the scale with lower CCP contributions will be in a different situation and likely better off in the UK.

paying taxes on RRSP contributions is nothing to do with targeting pensioners, as RRSP's are intended to off set taxes as one will likely be in a lower tax bracket at retirement vs higher earning years. There is also the option of transfering to a riff if one wants to off set tax obligations at age 71.
As for other benefits there are also property tax credits, hst credits, supplements for housing, perscriptions and public transport etc.

Re: UK benefits
 

what is wrong with people on this board?. I doubt you even truly understand the pension system here, yet you come off as being in the know.

The fact that you and jingy make such comments betrays your lack of knowledge. I'm basing my comparisons on my Canadian In Laws vs my old man. I know who is better off.

As for better...well its down to one's situation is it not. I can retire in 8 years with a pension of around 60 - 70 k a year (ill be well under 60) :)

Re: UK benefits
 

Thanks for the link i will mention it to him. Maybe he does get that not sure. I do worry as he's on his todd now and getting older. The rest of the family dont want anything to do with him.

Re: UK benefits
 

Are you sure you don't know? You seemed pretty certain earlier.

Re: UK benefits
 

What is your issue exactly? Do you have anything to offer, or are you just hell bent on attacking me?

hardly makes a big difference does it? 98 quid a week is the max basic uk pension.....end of.

I see you have chosen to attack a meaningless aspect of my posts rather than the specifics. As i said you clearly have undertaken commenting on an issue you know nowt about.

It seems clear to me that you are defending the UK at all costs without an ounce of knowledge that can contribute to this topic.

Re: UK benefits
 

I'd just take BristolUK's word for this. He knows his stuff when it comes to entitlements/eligibilities

Re: UK benefits
 

Yet again you repeat the 98 quid, then chastise me for challenging it, saying it's a meaningless part of your argument?

Let me see... the UK Government says "The full basic State Pension for a single person is £107.45 per week in 2012-13."

Re: UK benefits
 

wow, an extra tenner...that will come in handy.

Re: UK benefits
 

better off there than over here in the US. At least you can get some kind of help in the UK.

Re: UK benefits
 

As a point of information, the Pension Credit for a single person is actually £142.70, according to the DirectGov site.

Also, the full basic state pension is not the maximum state pension, since many pensioners also get payments from SERPS (the State Earnings Related Pension Scheme).

Re: UK benefits
 

Basic UK state pension is £107.45 a week, this from the Directgov web site. at this rate he would be eligible for council tax benefit, and as a single person should have the 25% single person reduction as well, he may also be eligible for rent rebate depending on whether he is renting or not. He will also get free prescriptions and free bus travel. Council tax benefit is means tested, but he will qualify unless he has a lot of savings.
I'm talking from personal knowledge being a UK pensioner