Who here is investing in a pension?

Canis Lupus

Just got the thought from the "How desperate is your financial situation".

I'm 28 and according to anything I've ever seen I should have been investing in a pension since roughly the age of 3 if I want to have a comfortable old age.

It worries me and yet I fail to take the time required to go to HR and get it sorted out and yet it could mean the difference between enjoying my retirement or potentially living in poverty.

Being 28 it may be already too late for unless I move up the corporate grindfest.

So who here is actively investing in their future? Are you worried about what's going to happen when you hit retirement age?

FunkZ

I'm investing in a pensioner to clean my house, gonna give her a photo from the 50's for every hour worked.

and2

My Dad has been at me for years to start a pension, He has been paying one for 30 years.. All wiped out, every penny. He worked for SRT

Canis Lupus

and2 wrote: »

My Dad has been at me for years to start a pension, He has been paying one for 30 years.. All wiped out, every penny. He worked for SRT

See that would be the other worry as well. Sorry to hear that.

Keano

So who here is actively investing in their future? Are you worried about what's going to happen when you hit retirement age?

When should be IF.

I am living for today

eden_my_ass

Canis Lupus wrote: »

See that would be the other worry as well. Sorry to hear that.

Or....you could see it this way, existing pension holders have seen serious drops in pension fund value...because markets crashed...so if you're starting a pension now, you're starting at a nice low entry point (actually theres been significant gains since the low of months ago). I started a pension this year, no argument against it really, nows a better time to start than 2008 or 2007 or.....

Remember a pension takes a lifetime to build, thats a lot of market rises and falls...can't predict them all but over extended time markets have historically tended to rise in value so pensions should do

seamus

The real problem is that pensions seem like a complete and utter scam - you don't seem to get out of it nearly as much as you contribute.

That is, in order to retire on two-thirds of what you were earning at retirement age, you need to pay about 10% of your salary/wages into the pension fund, for 45 years. When people have other costs like kids and mortgages, suddenly 10% of your salary is a big bloody chunk.

Canis Lupus

seamus wrote: »

The real problem is that pensions seem like a complete and utter scam - you don't seem to get out of it nearly as much as you contribute.

That is, in order to retire on two-thirds of what you were earning at retirement age, you need to pay about 10% of your salary/wages into the pension fund, for 45 years. When people have other costs like kids and mortgages, suddenly 10% of your salary is a big bloody chunk.

Never mind mortgage and kids, I just worry about the dent a pension contribution would make in my drinking habits :P

But seriously... It feels like an empty contribution. It's hard to invest in something that I won't need to use for a very long time. Really, I suppose I should pull my finger out and get moving on it.

cdb

Start one now, put in a % of your salary every month and forget about it.

If it still bothers you in a year revisit the options available to you then.

eden_my_ass

seamus wrote: »

The real problem is that pensions seem like a complete and utter scam - you don't seem to get out of it nearly as much as you contribute.

That is, in order to retire on two-thirds of what you were earning at retirement age, you need to pay about 10% of your salary/wages into the pension fund, for 45 years. When people have other costs like kids and mortgages, suddenly 10% of your salary is a big bloody chunk.

Not a scam, but to be fair a calculated risk...if your pension was superbly managed and through some fluke landed on every great investment opportunity over the next 30 years, it would be worth a fortune by retirement. Personally I said I'd give myself a chance to make that fortune myself first, haven't made it yet so time to start hedging my bets and losing that bit every month now in the hope it'll provide for me when I'm ready to stop working....which is right now really ( 28 :P )

ScumLord

I'm investing in fond memory's and an early grave.

Neady_b

The thing isi'd be happy to make it to reterment age, even if i do i'll prob still need to be working anyway.

Mr Benevolent

People tend to give up after retirement. Statistically you're better off working until you die, if only part time.

the drifter

ive been paying into one for a bit...thinking of taking it all out now and buying a car...cause i might as well blow it before someone blows it for me!

Oh The Humanity

The job Im in takes 5% or summit whether you like it or not, otherwise they wouldn't get a penny outta me...

The future is an incomprehensible concept to me.

Pension means wearing a big beige coat with a brooch on and flesh coloured tights with a 1950's handbag....but thats impossible so I am planning to cash in me pension policy as soon as I get the dodgy x-ray results and go on heroin.

Thats my future proof plan....the only fly in the ointment will be if by some freak of fate I fail to die or fall terminally ill before my 65th Birthday.....

silverharp

the best thing anyone can do here is pay off your debts , chances are pension assets will be toast over the next 2 or 3 years

Dub13

and2 wrote: »

My Dad has been at me for years to start a pension, He has been paying one for 30 years.. All wiped out, every penny. He worked for SRT

I find that hard to believe,he may have take a hit but I don't no anybody who's pension has been wiped out.

ScumLord

Confab wrote: »

People tend to give up after retirement. Statistically you're better off working until you die, if only part time.

How are you better off? If you hate your job your only going to be doing something you hate for longer.

ejmaztec

the drifter wrote: »

ive been paying into one for a bit...thinking of taking it all out now and buying a car...cause i might as well blow it before someone blows it for me!

If your pension scheme is anything like the rest of them, you might be able to get your hands on a push-bike in Halford's sale.:eek:

galwayrush

I wouldn't call it investing in a pension, more like paying into one for feck all return if any.:rolleyes:

silvervixen84

started a prsa last year, hopefully i'll be around in 40 years to benefit from it

animaal

You know, they say there's going to be way too many old people in twenty or thirty years time, and that the country will have difficulty funding old-age-pensions for all of us. This had me thinking that I'd better get a private pension going.

But then, it occurred to me. If there's that many of us old wrinklies in the future, we'll be a pretty strong lobby. No politician is going to treat us badly, and lose all those votes.

We'll be fine. Democracy baby!

Senna

Started my own pension when i was 24, was worth a third of what i payed into it at the start of 2009. Would suck if i was retiring soon, but wont be for 30 odd years, i'm hoping 2040 is right in the middle of celtic tiger 2 1/2; the smell of fear:P

MagicMarker

By the time I'm a pensioner money won't exist.

SUCKAS!

yerayeah

I will as soon as I qualify...

watna

I just started one this week! It's a government scheme and you get $1000 from them when you open it. It's not really a pension because before I opened it I got HR to check that I can remove all the money (government, mine and employer's contributions) from it when I leave NZ to go back to Ireland. So technically, it's a savings account to fund my move home in a few years.

junkyard

watna wrote: »

I just started one this week! It's a government scheme and you get $1000 from them when you open it. It's not really a pension because before I opened it I got HR to check that I can remove all the money (government, mine and employer's contributions) from it when I leave NZ to go back to Ireland. So technically, it's a savings account to fund my move home in a few years.

:rolleyes: And do you really believe anything they say? I don't trust them with money or anything for a minute tbh, not after what I've seen and lost.:(

Kradock

silverharp wrote: »

the best thing anyone can do here is pay off your debts , chances are pension assets will be toast over the next 2 or 3 years

Not a true statement , investment in a cash pension will guarantee an annual return of around 5%. I have one and it is building quite nicely and more importantly securely.

watna

junkyard wrote: »

:rolleyes: And do you really believe anything they say? I don't trust them with money or anything for a minute tbh, not after what I've seen and lost.:(

Sorry to hear that junkyard.

It's the New Zealand government though. They're not as bad! It's an official scheme called kiwisaver and seems pretty stable. I'm only contributing 2% as well.

jesus_thats_gre

16% of my salary going in since I turned 23

soundsham

not me pay the minimum, bricks and mortar for me,

shamblertine

and2 wrote: »

My Dad has been at me for years to start a pension, He has been paying one for 30 years.. All wiped out, every penny. He worked for SRT

how is it possible to lose all of it?