Payments of this years allowance has started. My half of the allowance arrived direct into my Spanish account on Thursday. It was a cracking exchange rate £1:€1.2428. My winter logs 2 tonne cost €180 but I have used some already so I guess that this year I might need a top up. So our joint £200 will just about cover our winter.

Mine arrived on Friday

Still not lit woodburner yet so far but need to get a delivery of logs as soon as we find out who to get them from.

The pension allocation for the year will be 4.6% higher than this for Spanish pensioners..

How does this compare with your pension? Its about double of my UK pension and thats with a country in economic crisis!

http://news.kyero.com/2012/11/26/pen...6-in-november/

A full Spanish State OAP is better than a UK one but perhaps harder to get (non-continuous employment for the last 40 years). This results in the higher personal allowance for pensioners here which seems to be set above the State Pension level. Net result is that a UK pensioner with perhaps a small private pension paid via an annuity is not taxable.

Who would have thought Spain is a TAX HAVEN for UK pensioners!

Has anybody who applied from Spain under the new ruling this year got the WFA yet?

Yes it arrived today.( Gib )

My OH received his today, claimed for the first time under the new ruling. I think the DWP has done well considering the amount of additional claims they must have received this year.

Sounds good but there doesn't seem to be many getting more than around 500 to 700€.

Good news Fred with the Christmas Bonus that's about €250 to combat the CRISI with!

Thats the problem to get a full Spanish State Pension you would have had to be in full employment and paying into the system since Franco's time and not many except funcionarios would have achieved that!

Once again the problem is using statistics and averages

It reports the "average" pension as being €834.99 (£673.23) for Nov but €953.70 (£768.94) for Dec
But as others say, not everyone is getting that amount. And it should be noted that there are wide differences in the Regions.

The new pension rate proposed for the UK of £140 per week is only £560 per 28 days with no "top-ups", with only 30 years qualifying period. But there will surely be add-ons such as rent and CT rebates based on low income - which are not available in Spain.

Spain "appears" to have an average wage of around €22,000 (£17,738) whilst the UK it is £26,500 (€32,861)
http://www.bbc.co.uk/news/business-20442666

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Personally I fear that if the new flat rate pension is introduced, most if not all of the top ups like WFA, housing benefit, Council Tax benefit, free bus travel, free TV licence over a certain age, etc. will disappear - the Government have been ominously quiet on that score ever since the plan was first mooted. I hope I am wrong but I really can't see them making all new State pensioners that much better off and still continuing to pay the additional benefits.

I think the problem with it all is is that it is actually making it easier to get the state pension whilst making it harder for people to save for their own personal pension (sri no QROPS adverts here)

They are reducing the number of qualifying years whilst increasing the age at which the pension will be paid. As women get credit for having time out for family raising etc many of them will only have to work for about 15-18 years before gaining their eligibility and can drop off the radar again.

I see the WFA as a stopgap, partly to help people who had little or no pension rights. Also, it means that all are paying for the Govt (of whatever hue) inability to restrict profits by the utilities.

According to http://www.confusedaboutenergy.co.uk...ls/fuel-prices
the average useage of electricity is 3,300kwh at a cost of £0.14.29/kwh (£472pa) although many who are with limited funds are paying as much as £0.16.91/kwh (£558).
a one bar/1kw fire can be lit for 3,300hours but that is only 137.5 days and then you have to take into account lighting and cooking, kettle and television.
And honestly is 1kw enough ?
That is why so many elderly only live, sleep, eat in one room during the winter. And also why they end up with respitary problems because they are not heating that room enough to escape the condensation trap.

And they will go without food and heating to ensure their grandchildren receive presents at Christmas and Birthdays, no matter what it may cost them on a personal basis.

Britains pension is the worst in Europe. OK we don't want to see the country in the same state as Greece which pays 95.7 of average wage, but remember many years ago when comparing his with that of a German pensioner my dad commented "Who won the war??".

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Its a double whammy the extras are all non taxable the new flat rate pension will be set against the Personal Allowance and if you are lucky enough to have even a small private pension the it will push you into taxable income!

Hey Guys, how do you work that out ? ?

the personal allowance is currently £10,500 for those 65-74
http://www.hmrc.gov.uk/incometax/personal-allow.htm

Pension of £140 per week = £7280pa so any PP can pay you £2,720pa before any notion of tax.

If your income from all sources is more than £25,400pa then "but not more than £100,000, your age-related Personal Allowance is reduced by half of the amount - £1 for every £2 - you have over the £25,400 limit, until the basic allowance is reached. So if, for example, you're 66 and have income of £25,900 - £500 over the limit - your age-related Personal Allowance is reduced by £250 to £10,250."

after which you have to remember that some of your income may not be included within the DTA with Spain and you may be liable to Spanish taxation instead.

Pension is not "tax free living", only if it is within the limits laid down.

Any extras payable in the UK are not relevent to those enjoying the Sun, Sea and Sangria lifestyle of the retired in Spain, except the WFA. Think yourself lucky the pension isn't frozen but will "enjoy" the increases generously doled out by the State each year......
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