Re: UK Government Pension
 

You, clearly, do not understand how it works. You never contributed to anything other than general receipts.

Re: UK Government Pension
 

Many don't. NI just serves to obfuscate.

Re: UK Government Pension
 

Do you need to be on a low income to notice an extra $2000 a year coming in as well as, maybe $15000 or more in the bank?

I think that proves my point about how the other half must live.;)

Re: UK Government Pension
 

You'll find that to most people that might equate to a few % on their income - it's not going to make a difference to their lives and they probably won't notice it that much. Stop claiming solidarity with those on low incomes.

Re: UK Government Pension
 

I have paid into two company final salary schemes in the UK. They'll pay out when I retire irrespective of where I live. I paid into the UK state pension for 14 years. Any amount I get from that is nice to have but does not form a material part of my retirement planning. Given that retirement is over 20 years away for me, I consider it fairly likely that expat Brits will get nothing out of their n years of state pension contributions by that time. If I do, it's a bonus.

Re: UK Government Pension
 

OK I have to admit that when first found out ( I was in my 40's) that I may be due a UK pension I was surprised as I didn't think it was payable outside of the UK. However I did apply for it and have since recieved approximately $75000 over the last 15 years.

I thank those that still pay into it, just as I thank those working in Canada for my CPP and OAP pensions. I did however save through RRSP's and company pensions. It would appear that many people are not prepared to do this and consiquently may find that any pension, will be most gratefully recieved.

I could sign myself "60/40 Canadadian/UK", but feel much more Canadian than British. England will always be my place of birth but I'm much more attached to Canada.

Re: UK Government Pension
 

You are comparing apples with oranges. When you paid your taxes in England, the Government at the time used them for things that Governments do, including paying pensions to the pensioners there at the time.

The CPP contributions you made, were put into a large account that is used for nothing other than paying pensions to those eligible. In essence, all those contributing to CPP in Canada are contributing to their own pension. Those that pay taxes in the UK are contributing, in part, to the pensions of those receiving a pension now. There is no system for the storing of funds for pensions in the UK as there is in Canada. I am talking aobut state pensions here.

Those that don`t pay into any form of pension scheme, whether in the UK or Canada, will be in shit creek when they come to retire. Either that, or they will have little alternative but to work their entire life.

Re: UK Government Pension
 

Except it can and does make a huge difference to many people. Perhaps that's why many lengthy trade disputes are fought over such similar "meaningless" sums.

I'm well aware that to many on this forum $2000 a year more in income and $15000 or more in the bank doesn't make a huge difference but with the greatest of respect, highly qualified expats who are sought for their employment skills and who have gone through lengthy immigration processes to make a life in Canada are not really representative of most people.

As someone said in another thread

Re: UK Government Pension
 

I agree, but some years back the same was said of CPP and that is why it was taken away from the Bank of Canada and placed in the hands of the CPP Investment Board
http://www.cppib.ca
Unlike many other countries the CPP contributions are not available to the Canadian Government and are independently invested.

However you cannot rely on the Canada pension or OAP for anything more than income that generally provides the basic needs. I know from living on Pensions and personal investments for the past 15 years that you need to save in order to assure yourself of an adequate income to live reasonably well.

Perhaps some of you haven't given it to much thought but you should before it's to late.

Re: UK Government Pension
 

$50k to $52k (for instance) isn't life changing. I wouldn't put that salary as particularly high.

You make comments about how the other half lives, but being able to retire youngish like you have is how the other half lives. You may not have a high cash flow, but you have nothing in common with people that struggle on a day-to-day basis.

Re: UK Government Pension
 

Exactly.
You wouldn't.

But what if it's $2k on top of say $30k. Or on top of minimum wage rates.

Really? The other half lives on $15k a year? :eek:

Re: UK Government Pension
 

$50k isn't a high salary. It's below average household income.

Don't be a hypocrite. You have an asset base behind you that would be the envy of the majority of Canadians. You are financially secure - again something the majority of people in this country (and everywher else for that matter) would be envious of. Stop pretending that you are what you are not when most people would love to be in your position.

Re: UK Government Pension
 

The amount of income required to live comfortably on depends on ones lifestyle. Ours hasn't changed since we both retired 15 years ago ( I was 61 the wife 59). One thing that has changed recently is the ability to split pension incomes. In our case it has resulted in our not paying any federal/provincial income taxes. In fact this year due to refunds ( HST,GST and provincial property refunds) our net income is higher than our gross income.

We do not have any loans or mortgages and have never smoked and only rarely alcohol, but we do like to travel and in those retirement years have spent at least 2 months in warmer climates ( most recently San Diego). We only spend 75% of our income on basics plus clothing etc so we have a healthy savings available for rainy days.

For two people of our age $30,000 will allow one to live quite comfortably. Thats providing you own your own place and pay off credit cars every month.

Re: UK Government Pension
 

Tell that to all those on minimum wage and not much above.

Just because I have a rental property does not make make me as well off as many on this forum. You seem to forget the low property prices here.

I have a certain security, yes, but the reality is we do live on $15k a year and I have a much better idea of the difference an extra $2k would make (as well as at least $15k in the bank) to those on less than "average income" - which, as I'm sure you know, is most people - than people at the upper end.

You know a little of our situation but you don't know it all. Far from it.

Would you please stop making these ridiculous and insulting assumptions about us.:frown:

Re: UK Government Pension
 

actually average incomes are quoted such that exactly half earn less and half earn more. median family income is $70k according to stats can. The low income cutoff for two people is $27k (which is 1.5 x min wage). Less than 10% of people fall into this category - for them $2k will make a difference, but these people are by far in the minority. So my point stands, for most people $2k (while nice) won't make a difference to the way they live.

and the only claim I make about you is that you are not poor - you have made the personal choice to have a low cash flow, but those are not the same thing. It's the equivalent of having $500k in the bank and complaining that the interest is only coming to $10k per year - it's kind of dishonest.