to think that people who take refund of their pension payments when moving jobs are irresponsible

[kayah]

I know for fact that large majority of people who are entitled to that refund never reinvest those money.

When it comes 20-30 years down the line they are likely to be short of money in their pension pot and would struggle to support themselves.

I know pension industry had bad press and nothing is guaranteed in life (apart from all of us dying one day), but if someone decides to consume money now why do they expect that support will be there for them in the future?

I know - maybe some have legitimate needs, but the thing is that pretty much every single one of them wants cash now rather than pension later.

Are people in general that optimistic about the future?

What's a pension?
Is that where you give someone lots of money so that later on they can give you an excuse why you won't be getting it back? :o

I think if you ask pensioneers now they would say that private pension is the difference between being very poor and having a comfortable life

I wonder how many of our generation would happily keep their parents with them under the same roof if they weren't able to support themselves.

I think my Dad would disagree with you. Years of pension contributions to Equitable life and others that he'll never see. He could have invested it all in property Or he could have spent it all on holidays - at least he would have had some fun with it.

I think a lot changed in pension industry regulation since collapse of Equitable Life.

I see where you are coming from but if you are in a situation whereby you cannot even live for today still being a live to collect a pension seems very unlikely.

I mean feels unlikely sorry.

I agree with you if the wages are very small, but those refunds are something people put aside whils getting their salaries.

If their pension was such they weren't alowed to take it and cash - they wouldn't.

And they have to pay tax on it at this very moment anyway.

It doesn't make financial sense to save money towards a pension if those people who haven't saved are going to be topped up anyway. you'd be losing out.

if they are going to be topped up that is

I have never pulled money out like that. My pension estimate is £9/month. Makes you wonder why you bother.

I cashed my first pension in and used the money towards buying my first house. Much more useful than leaving a relatively small amount (18 months' worth of contributions) in my pension fund in case I ever rejoined the same employer.

Err - well they often don't have a choice. When I left one employer, I had been there for 3 and a half years, but only permanent staff for 23 months. Because it was under 2 years, I had to leave the pension scheme, I lost all their contributions, minus a whacking admin fee. I'd have been better off sticking it under the bed

But yes, I did stick it back into my next company's pension.

The thing is when we are joining new company we hardly ever look into their Pension Plan arrangement, somewhat for most pension plans if you are somewhere under 24 months you are forced to sell, but never forced to keep tha money - you can transfer it to your new employer.

I can understand using such money towards house deposit, but I can't believe evry single person who withdraws their money in such scenario id in great need of cash.