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UK Pensions - worth continuing to contribute?

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  1. #11

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    Quote Originally Posted by hullexile:
    As I posted above! There are only 16 countries outside of Europe where it is index linked, Philippines being one them. This makes a big difference, in 30 years your pension would be almost worthless.
    The link is on: https://www.gov.uk/government/public...-state-pension

    I completely agree that having it index linked is a must - I'm not sure the index is adequate enough anyway, as personal inflation usually tends to be well above index, but something is better than nothing.

    However: I am not clear on what happens if you "just don't tell them" you've moved to a country where they do not offer indexation

  2. #12

  3. #13

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    You can also request a UK state pension forecast: although I understand that the system is changing in 2016, although I have not had time to research the details.

    Extract from DWP letter:

    "When can I get an estimate worked out using the new scheme rules?

    You will be able to get a State Pension estimate worked out under the new rules after the new State
    Pension starts on 6 April 2016"


  4. #14

  5. #15

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    Quote Originally Posted by Andy1987:
    Hi all,

    Apologies in advance if this has already been asked. I have no idea if I'll return to the UK at some point in the future and eventually retire there (many more years ahead of me just to add!) But would like to ask is it:

    A) Worth continuing to pay into my private pension in the UK? This was the pension that I started with my old UK employer when private workplace pensions were made mandatory a few years back.

    B) Worth voluntarily paying towards UK National Insurance so I can claim state pension in the future?


    Thanks
    @Andy1987 - any thoughts on what you decided to do? I too have similar questions

  6. #16

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    Quote Originally Posted by dossier:
    @Andy1987 - any thoughts on what you decided to do? I too have similar questions
    I think if I read it correctly the minimum number of years of contribution you need to get anything has been increased. So those who would have got a reduced pension will now get nothing. 7 years to go for mine so hoping they don't change the rules again. Mind you the way the pound is falling it will be worth sod all.

  7. #17

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    I think the answer is "no", but just to double check:

    1. Is there any state pension provision in the HKSAR?
    2. Is there an HK equivalent of a "National Insurance record" to track tax payments, that leads to any entitlement subsequently?
    3. Apart from MPF and any private pension arrangements one has made, are there any other HKSAR pension entitlements to be aware of?


  8. #18

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    Quote Originally Posted by R.O.:
    For Question B, I endorse what others have said. Pay! This is what I wrote on another thread:

    In my thirties, living abroad, old age was unimaginable. I happened to be talking about the distant future with someone, about my age, who I respected. He asked if I was paying NI contributions and I told him I wasn't. "You know, you really ought to," he said. He had probably forgotten it a day later, but it was the best advice I was ever given.

    I started paying, and made up as far as possible for the missing years. At first, I was not permitted to make up the full deficit; then the rules were changed - to my benefit - so there was no deficit remaining, and I now receive the full pension for which I could qualify.

    It is small compared with what a retired worker like me would receive in England but it is grossly disproportionate to what I paid. It was the best investment I have ever made.
    I really appreciate this comment. Do you still think the same holds true now given the direction of the new UK basic state pension, which changed on the 6th April 2016?

    Millions of younger workers to be 'worse off' under new state pension - BBC News
    Winners and losers under the new state pension - BBC News

  9. #19

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    Quote Originally Posted by dossier:
    I really appreciate this comment. Do you still think the same holds true now given the direction of the new UK basic state pension, which changed on the 6th April 2016?
    Thank you for your comment.

    I don't know.

    Now that I'm safe, I don't need to think about it. Similarly, I pay no attention to bus and train fares, now that every journey costs $2.

    However. Perhaps you're a bit like me. A little worried about the future, all right at saving money, not very skilful at investing it, have lost, or soon will lose, most respect for financial advisers... I think that, despite the doubts and criticisms, the pension is made for people like us.

    * * * * * *

    Like Deleted User, I have also been sent a form asking for confirmation that I am still living. They even call it a Life Certificate. There's material for satire there, but I can't laugh.

  10. #20

    Join Date
    Aug 2011
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    Just paid my class 2 contribution for another year. At 145.60 pounds, still think it's worth it.


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