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>> No. 5785 Anonymous
5th October 2015
Monday 9:59 pm
5785 Pensions 101
Lads, I don't know how to pension. At all.

I'm 24 in December and my fiancé and I bought our first house in May. We're both reasonably respectable, have a decent income and own a Volvo. Despite all the above boringness I have no idea how to save for my future. The other half has a company pension scheme but I don't. Is a personal pension scheme worth it or shall I just start dumping money in premium bonds until the economy picks up? I want security over all else and I worry about losing my savings with a pension company. What's the best thing to do here?
Expand all images.
>> No. 5787 Anonymous
5th October 2015
Monday 10:39 pm
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>>5785
I'm presuming you're not employed? Because by now your employer would be legally obliged to subscribe you to something. Figure out how much money you can save per year. It should 2 - 10% of what you earn per year, if you want something inline with what companies do nowadays. Choose a big company, Aviva, Norwich Union, Scottish Widows, but use the online shopping sites for the best deal - they're really good for this sort of thing. Enjoy the fact that when you click on those ads from Google for these kinds of products, you are costing the companies concerned some of the highest ad rates per click anywhere on the internet. Some of them about 20 quid per click, but I digress. Depending on the pension type, you save the money in the pension and then every year, claim back the tax from the man and dump that in there too if you like. When you retire you get it all back. Thats about it.
>> No. 5788 Anonymous
5th October 2015
Monday 10:53 pm
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>>5787
8% is the most common value. Don't ask why I know this.
>> No. 5789 Anonymous
5th October 2015
Monday 11:01 pm
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>>5788
Why do you know that?
>> No. 5790 Anonymous
6th October 2015
Tuesday 1:44 am
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>>5789
Why do you want to know why he knows that?
>> No. 5791 Anonymous
6th October 2015
Tuesday 2:28 am
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>>5790
Why do you want to know why he wants to know that the other lad knows that?
>> No. 5792 Anonymous
6th October 2015
Tuesday 2:46 am
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>>5791
No, we already know that the other lad knows that, what I want to know is why he wants to know why the other lad knows that.

Jesus, it's not hard.
>> No. 5793 Anonymous
6th October 2015
Tuesday 6:45 am
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>>5787

I work full time, however we're a small company and our auto enrolment starts a little later on. Is it worth it? If I move jobs will my pension move with me, or am I going to end up with several pots scattered between different employers when I retire?
>> No. 5795 Anonymous
6th October 2015
Tuesday 11:33 am
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>>5785
Jesus. How are you fucking doing this nouveau riche shit in this day and age? I'm older than you and live with my parents working part-time in a shop.
>> No. 5796 Anonymous
6th October 2015
Tuesday 6:16 pm
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>>5795
To be honest, I don't really know either. My fiancé walked straight into an 18k job in water management right after uni, I never went to uni but work as an assistant manager at a small family run garden centre on about 16.5k. We've been together 5 years in November and for most of that we scrimped and saved all we could. We put down a 6k deposit on a 128k house in May, everything amazingly went through without a hitch. We have no debt bar the mortgage and live reasonably comfortably. Nearly everything we own is 2nd hand, its certainly not luxury but its ideal for us. I have a massive garden with a garage I converted into a workshop and an old Honda CB500 as a project to keep me entertained. We've been incredibly lucky and I'm still not sure to this day how it's all worked out.
>> No. 5797 Anonymous
6th October 2015
Tuesday 6:24 pm
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>>5795

They probably live up north. People up here buy houses and have children in their twenties. Its weird.
>> No. 5798 Anonymous
6th October 2015
Tuesday 6:25 pm
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>>5796
>128k house
Ah, you live in a shithole. That would explain it.
>> No. 5799 Anonymous
6th October 2015
Tuesday 8:28 pm
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>>5797

Close enough; Derbyshire.

>>5798

Hey it's alright. It's a two bed semi with a garden that contains a garage, large patio area, two sheds and a reasonably sized stable plus ample lawn space. it also backs on to open farmland at the rear. I've got a driveway and the street is respectable too. Turn out the drive and go left for a mile and it gets a bit rougher, turn right and it gets posher. We're bang smack in the middle and while it's not Buckingham Palace it's 100% fine for us. I grew up on a council estate in an ex-mining town. I know shitholes and this ain't it.

Pic related, part of the garden before we bought it. Sage for shitposting and responding to a troll
>> No. 5800 Anonymous
6th October 2015
Tuesday 8:39 pm
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>>5793>>5799
Yeah, you end up with multiple pensions when you change jobs. I'm in my mid forties and already I have four of the fuckers. Although its an arse, when you think about your OP and wanting to lower the risk, it sort of makes some sense. As I get older, I'll merge them together, you can do it.

It is worth doing. The pension I could retire on now is the one I paid in when I was your age. Stick a hundred quid per month in something if I was you. Up it as you earn some more.
>> No. 5801 Anonymous
6th October 2015
Tuesday 8:44 pm
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>Is a personal pension scheme worth it or shall I just start dumping money in premium bonds until the economy picks up?

It'd make far more sense to invest in equities while the markets are low than in cash when the rates of interest are pitiful, especially as it's likely to be 40 years until you retire.

I'll assume that you have an emergency fund in place and life cover offset against the mortgage.

>I worry about losing my savings with a pension company

You won't, at least over the long term. Equity investing is your best bet for long term growth; investments in cash are unlikely to keep pace with inflation. We can set you right on investment choice.

Personally, I'd wait until I was in a company pension scheme but if the employer matched your contributions then a £80 net contribution would be grossed up to £100 so a further £100 from your work work mean your £80 contribution has turned into £200.

>>5793
>we're a small company and our auto enrolment starts a little later on.

Do you know what the staging date is, what the contribution levels will be (above the bare minimum or not), who the scheme will be, likely charges, etc? Have you asked whether they already offer a pension scheme, chances are they'll have an 'empty shell' group stakeholder scheme?

>If I move jobs will my pension move with me, or am I going to end up with several pots scattered between different employers when I retire?

It will stay where it is. There's nothing to stop you transferring it to a new employer's scheme, but there's no guarantee that would be in your best interests.
>> No. 5802 Anonymous
6th October 2015
Tuesday 11:26 pm
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>>5799

Ah, that looks nice. I'm in Derbyshire too, well, Derby actually.

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