Is living on the state pension really that bad?

The “paying into it all your life” thing is a bit of a misnomer. Your tax now pays for those currently drawing a pension. The government doesn’t keep your own state pension pot just for you. When it is your turn to be eligible for a state pension then working age people will be paying for your state pension.

It is called a functioning society that cares for their elderly.

For those saying £250 a week, the state pension is £230.25.
I think do-able for a couple, much harder for a single person. Can make for a basic existence if no housing costs.

There are two rates for full state pension depending on the date you qualify for retirement date pre or post 2016. Guaranteed single pensioners income is £238 per week and for anyone who has fully paid up NI contributions retiring post 2016 their pension is £241.30 per week.

People who do not have extra money to achieve a decent workplace pension and/or save just remain the same, lower down the socio economic food chain with less buying power.

There is also what your family can do for you.

We all have a standard of living but if that standard drops at any age it’s painful to know it and then lose it. Last year was DH first year of retirement and we spent more than ever on non essentials. That’s tends to be the spending pattern of people who retire who have spare money. It then tails off as they age and cant or don’t want to do so much. When we are out midweek in certain places you can very much see the power of the silver pound. We toured round in our Motorhome for 6 weeks last year out of season. Paid to stay on different sites and ate out a lot.

I am thankful I have some work pensions too as I might have struggled on just the state pension as I live alone, so no husband/partner buffer. I will be debt free but it’s things like council tax and utilities that can hold you hostage. I have done a lot of calculations and I should be able to enjoy my retirement, not in an extravagant way, but in a, I will be able to meet all my bills with a bit left over, way. I’m really grateful for the works pensions, especially as I really hated one of the jobs but reluctantly ploughed on for a number of years, and will now reap the benefit of those miserable years. 🙂

My bills and food alone are nearly £1000 a month so not much fun money if you are only getting £250 a week.

I have a relative who lives on SP. She has no work pension at all.

As far as I know, she can pay her bills and run a car. No expensive holidays, or even mini breaks. Things are tight but doable.

It totally depends on your lifestyle. I prioritise a lovely holiday and a warm comfortable home over fashion, cars, days out etc. I am very happy with my life that doesn’t cost a lot but others would hate it.

My friend is on state pension. She gets her rent paid by Housing Benefit- possibly her Council Tax too

She's been crap with money all her life, has never saved a penny. She's also rarely been on holiday Maybe 10 times in the 39 years I've known her. She prioritised her career in the arts over every 'luxury' like new clothes, furniture etc. She's had lots of opportunities to earn extra money in her life but 'can't be bothered'.

I guess the welfare state is there to help people who can't help themselves but I can't help but feel a bit resentful that apart from the pension I won't have had any money from the state for 38years by the time I get it. I've paid into a small private pension.

I'd have loved to prioritise a low paid career I really wanted to do, but I thought about my future- probably not enough as it's a pretty small pension! She will get care paid for, I will have to pay for my own.

I dealt with an elderly relative whose only icome was the state pension. They obviously had this topped up with pension credit and things like their council tax they didn't get charged for as they were such low income. I'd say it was INCREDIBLY hard they didn't have any social life or access to the community but they could barely get by with utitliy bills etc. Could just about pay the essentials absolutely no quality of life had not redecorated or bought new furniture etc in 50 years.

post removed, wrong thread

My mum owns her house and has a small amount of investment that gives her an extra couple of hundred a month. She is ok but not happy, it means there are lots of things she can’t do due to cost. Also, something like a roof repair can blow her budget for anything extra.

it isn’t how I would want my retirement whilst I’m still relatively fit.

My mum owns her house and has a small amount of investment that gives her an extra couple of hundred a month. She is ok but not happy, it means there are lots of things she can’t do due to cost. Also, something like a roof repair can blow her budget for anything extra.

it isn’t how I would want my retirement whilst I’m still relatively fit.

Well that's how it should be. Your grandmother probably led a hard life. I know my grandparents all did. She will have worked hard whatever.

Confused that your mother takes her to withdraw £250 per week. Pension is paid 4xweekly and your grandmother obviously isn't spending that much a week.

My mother puts an amount away every month for emergencies. She has £5000 in savings too on top of thatvmanages two uk holidays a year…to cottages. She’s been abroad many times and no inclination for that now

that’s what I’m saying when I wrote no mortgage and there’s 2 of us paying the bills - our joint state pensions are just under £1900 every 4 weeks.

I’m retired and we have investments as well as our state pension. Frankly I don’t know how folk manage on just a state pension.

We own our own house but still get the same bills as anyone else. Those that come to mind are: Gas, electric, council tax, home insurance, water, car insurance/fuel/maintenance, road tax, food, household expenses/maintenance, boiler servicing/maintenance, clothing, pet food/vet, etc, etc.

If we just had a state pension we would have a very reduced quality of life.

A friend of mine who luckily lives with her Son and his wife was on a min wage job, and simply couldnt afford to pay into a private pension .Same as another lady I know .Both PT and the second lady had 3 DC as well.

This is an argument the Tories have been making for as long as I have followed politics and nothing has been done. You have to adapt to the circumstances you find yourself in.

I disagree. I have one grandmother who lived to 102 and needed care right at the end but everyone else in my family managed alone until they died. I have a friend who is in her eighties and lives alone and goes out for a walk most days. She also lives pretty well on her state pension to the point where she can help her daughter out with money occasionally.

It's not just water/electric/gas/council tax though, is it. I personally have tons more - pet insurance, house insurance, petrol, car insurance and tax, car servicing/MOT, road breakdown service, dental insurance, tv/broadband package, mobile phone, Netflix and a few other small charges. With my utilities it all comes to more than £1000 per month, and I have groceries on top of that. I also need a bit in reserve for DIY/emergencies. Any holidays, days out, hair cuts or fun spends would also be additional. The state pension won't cover it.

How old are you? And what options do you have before you reach state pension age to change your current situation?

As an estimate, I think bills and food will take up 50% of my state pension and that is if I am still living with a second person. We don’t know what the future holds. Having £500 left wouldn’t give me the lifestyle I want with all that free time. I don’t want to be sat at home watching tv every day

At 37 I realised my savings and pension pot were poor. I started to upskill to be able to financially change this. I am now working towards either retirement at 60 or part time by 55. I will reassess this in 10 years when I’m 50

My dad has retired and only has state pension he leads a fairly low cost life, his bills are less than £400 per month and his food shopping /spends is around £200 he transfers £3k once or twice a year to an ISA .
if you take away your mortgage could you live on that per month?

Ah, I feel for you. I've got a cousin in the same boat with her husband and I wondered if that might be the case.

I live on very slightly over the state pension. My private pension amounts to just over £100 each month. I live pretty frugally. Eat very little meat and cook mostly from scratch using an air fryer and a single plate plug in induction hob. One main extravagance, I love red wine and that costs a few quid a month (inexpensive wines though, drunk at home and using special offers when possible). I have no mortgage on a small, modern, well insulated home, and low income means I get a big reduction in council tax.
I run a car. I manage to get 2 budget foreign holidays a year; staying in budget hotels. I'm happy with the hotel being dated but check reviews for staff being good.
I manage to save a small amount each month and am perfectly content with that. However I would love to have more expensive holidays but they are out of the question.
So, I guess it depends on your required lifestyle but it's certainly possible.

Journalist? Its getting towards April when the pension rises will take effect.