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Pension rise

Posted by geoff the bonnie <iframe src='https://members5.boardhost.com/classicbikemart/info/user=geoff+the+bonnie' width='330' height='300' border=0 style='border:none;'> on February 19, 2026, 9:28 pm

4.8% seems a good rise for April although i lose some before it is paid. Seems strange i get 208 pounds and my wife gets over 220 pounds. I get deductions for tax due to the private pension but still get more than enough to live on.

Re: Pension rise

Posted by the old one <iframe src='https://members5.boardhost.com/classicbikemart/info/user=the+old+one' width='330' height='300' border=0 style='border:none;'> on February 19, 2026, 9:43 pm, in reply to "Pension rise"

for people who receive the new state pension (You can claim the new State Pension if youre a man born on or after 6 April 1951. a woman born on or after 6 April 1953).
£230.25 a week for the 2025/26 tax year rising to £241.30 a week for the 2026/27 tax year

Re: Pension rise

I was born in 1953. When i retired at 56, i took my private pension then at 65, i got my reduced state pension. I did query the reduction at the time and they said it was because of the private pension so just accepted i lose about 100 pound a month. My Brother, who saved nothing and no private pension now gets that 100 pound more than me. No one tells you that if you take on a private scheme, they reduce the state pension. I am not really missing much as the Local Government pension i have is more than the state one and retail price index linked.
I was surprised that after 26 years paying into the scheme, the pot was at half a million. Just before retiring early, the employer raised my wages 1500 pounds which effectively made my monthly pension higher for the rest of my life.
It was great to retire at 56 as i went out and did a few short term jobs in the local schools for about 6 months a year for 3 years.

Re: Pension rise

Posted by 6TDen <iframe src='https://members5.boardhost.com/classicbikemart/info/user=6TDen' width='330' height='300' border=0 style='border:none;'> on February 20, 2026, 10:38 am, in reply to "Re: Pension rise"

Probably the reason for that difference is as they say, the private pensions or Company pension schemes. Some payments, if not all, may be deducted from your taxable pay at source , ie you don’t pay tax on the contributions you make whilst you continue to do so thus incurring a reduction in your state pension. A kind of balancing act but probably more difficult than that to confuse those so affected they will not lose out. Personally if my employer had done that, raised your wage seemingly to secure a higher pension, I wouldn’t have made that public, but each to their own so to say.
Den

Re: Pension rise

Posted by pete__s <iframe src='https://members5.boardhost.com/classicbikemart/info/user=pete__s' width='330' height='300' border=0 style='border:none;'> on February 22, 2026, 7:43 am, in reply to "Re: Pension rise"

If it was contracting out back in then 80s,then you were swapping state pension for a contribution via reduced NI to your private pension. For a while or was a good deal then it was t so most of us contracted back in.

If your private pension was up to scratch it's about neutral in benefit

Re: Pension rise

Either way Pete, we’re f***ed

Den

Re: Pension rise

Posted by JERRY <iframe src='https://members5.boardhost.com/classicbikemart/info/user=JERRY' width='330' height='300' border=0 style='border:none;'> on February 19, 2026, 10:22 pm, in reply to "Pension rise"

Got mine the old mod got 10p a week extra and I got 15p. Not sure if I should celebrate or cry. What a bloody joke.

The oldest rocker in town!

Re: Pension rise

Don’t forget before you and the Mod go on a spree the DSS will be probably be taking 20% of that back in tax!
Den

Re: Pension rise

Posted by Leon Novello <iframe src='https://members5.boardhost.com/classicbikemart/info/user=Leon+Novello' width='330' height='300' border=0 style='border:none;'> on February 19, 2026, 11:05 pm, in reply to "Pension rise"

This will bring more illegal immigrants; free money tends to do that.

Leon Novello

Re: Pension rise

Illegals cannot get the state pension Leon as National insurance has to be paid to qualify. However, they would still be able to get handouts and free housing.
This is a strange Country where not working normally gets you more money, hence the 5 million unemployed now.

Re: Pension rise

Posted by Andy C <iframe src='https://members5.boardhost.com/classicbikemart/info/user=Andy+C' width='330' height='300' border=0 style='border:none;'> on February 20, 2026, 7:17 am, in reply to "Pension rise"

My state pension kicks in on the 1st of April this year.

I was offered the option of deferring my state pension until next year when I retire on the promise that I wil get "more" state pension.

When I looked into it "more" is actually bugger all, and you would have to be retired for many years before you made up the difference by not taking it when you are entitled to.

I have recieved a letter saying how much my pension will be but since I am still working until March next year I suspect it will be taxed quite heavily.

And no doubt when I retire next March, because I have 2 company pensions I will still be penalised.

It's really unfair given that I have paid into the state pension pot all my life, why should I be penalised for having a private pension.

Who needs a signature anyway......

Re: Pension rise

Andy, to lower the tax, take the higher amount of the tax free cash and lower Monthly amount.
You will certainly get taxed if you bring in over 12k
Put the tax free cash into NSI bonds for tax free prizes. I won 400 pounds this Month. Money is safe in Bonds and i normally win around 2400 pounds a year tax free but there could be a million prize

Re: Pension rise

Andy, just a point to ponder. If you take the State pension in April this year they will pay you what they have said. However they will classify the amount as income. The DSS don’t do their own dirty work so they will notify the HMRC who will take note and revise the tax code your employer will use for the next year. This means you will pay tax on the payment received for the following year ie at least 20%. Higher if you are a high earner. This will still continue when you retire entirely with how much you pay being dependent on how much your total income is, including savings income earned not covered by tax free allowances. This is a view from my simple mind and I would advise if your Company has the facility you take every advantage to have an in depth discussion or if you haven’t got that advantage and you are a high end earner seek professional advice and not rely on simpletons like me

Den

Re: Pension rise

Posted by Nigel B <iframe src='https://members5.boardhost.com/classicbikemart/info/user=Nigel+B' width='330' height='300' border=0 style='border:none;'> on February 20, 2026, 12:48 pm, in reply to "Re: Pension rise"

My state pension kicks in on the 1st of April this year.

Mine starts a day earlier !

Get the full "new" state pension amount which just about maxes out the tax free income allowance at inception, so anything I take out of whatever I choose to do with my pension pot will be taxable bar the 25% "Tax free" element

Getting the State Pension will be a first - I will be the first male member of either of my parents families since the introduction of the State Pension to have lived long enough to received it ! My father, both grandfathers & maternal grandmother didn't get to the finish line in that regard - I hope to make up for what they didn't get.

Haven't decided what to do with the "pension pot" yet. Erring towards "drawdown" rather than annuities. Mrs B has a full Civil Service pension following 41 years with the DWP, so doesn't have to make such decisions.

Nigel B.

Re: Pension rise

Well done on reaching that milestone.

Decisions yet to make in respect of draw down or annuity. Think the most popular choice is draw down.

Only certain thing is that come the end of March 2027 work ends, and hopefully I shall be around long enough to enjoy things.

Who needs a signature anyway......

Re: Pension rise

Andy, draw the monthly wage and it should give a good income. I had about 500,000 in the pot and have been drawing for 17 years so far. It will not run out and pays about 950 a Month at the moment. It really paid off to take mine aged 56 as i have done many great things since and no one to sell my hours too now. I use them for myself and ride a bike when i want

Re: Pension rise

Dont allow advisors to take charge of money as they will make money and you might not.
Do not buy annuities. I have managed to keep a lot of money managing it myself. I now have a lot more than i had when working and i have nice holidays and cars.
If others are holding your money, you just cannot make that snap decision to buy something big.
It was quite difficult to give away money at first but now its just routine to see the joy it gives

Re: Pension rise

Geoff:
(It was quite difficult to give away money at first)
If it`s any help, you give some away to me.

Leon Novello

Re: Pension rise

And I need a sponsor for this years racing

The oldest rocker in town!

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