Pension - I have none and I’m a little unsettled by DHs response!

[EllyRoff]

So last night I got to thinking about pensions and realised I don’t have one! I’m no longer working (I make a small amount of money through art which DH has always been supportive with). I did have an NHS pension when I was working but DH convinced me to come out of it due to the high payments. There was barely anything in it anyway so I received the contributions back. Since then I’ve made very little contribution in national insurance etc.

DH has always said I’ll be fine in retirement as we have his good pension - but last night I thought “what if he died? Does the pension automatically come to me?” Turns out that no - it doesn’t. It goes to a named beneficiary.

So this morning I asked DH if I was named on his pension - he said “don’t worry, you’d get a state pension” !!! I said “what, £60 a week? I have none pension! Am I named on yours?” He said “why don’t you start a little savings account?”

So I’m not named on yours then?? He said “of course you are, I mean - I’ll check but I’m sure you are”. I’m very unnerved by his response - firstly his lack of concern!! Secondly his reluctance to confirm that I’m named on it. He says he’ll check today.

AIBU here? You’d think he’d want me to be ok in his death surely? Especially since it was him that convinced me to give up my own pension. He is 10 years older than me so not massively unreasonable to consider he might die before me.

Another proof the benefits system in the UK is totally not fit for purpose.

I didn't know you could get your contributions back i thought they just stayed there
You need to sit down with him and discuss this properly
I say this as someone who was widowed quite young. You just don't know what the future holds

You say you earn a small income from art, is it less than £1k a year? Otherwise you should be declaring to HMRC and should be making NI contributions. It’s a small amount to pay in to ensure your state pension is as much as possible.
And of course no tax to pay under £12,570
It’s not hard to do online (if I can do it, literally anyone can 😂)
You need to protect yourself as much as possible.

You need to start planning - how old are you and did you ever have children? Check your NI record and look at buying additional contributions. https://www.gov.uk/voluntary-national-insurance-contributions

Do you have any savings in your own name? You need ISAs and/or a private pension https://www.moneyhelper.org.uk/en/pensions-and-retirement/pensions-basics/personal-pensions#:~:text=Personal%20pensions%3A%20set%20up%20your,your%20employer's%20workplace%20pension%20allows.

Yep and going forwards stop asking your husband for financial advice. At best he's clueless, he also doesn't appear to have your best interests at heart. You need to educate yourself on money and wise up very quickly.

Exactly this. Good lord.

I think it’s just a rule for public sector defined benefit schemes. If you don’t stay in the scheme for very long, either because you withdraw or because you leave the job, you can get the contributions back.

1. Get a job if you haven’t got one already.
2. take your share of cash from the home sale and put in a high interest savings account (or a lifetime ISA if you’re under 40). Add as much as you can to this every single month for the rest of your working life.
3. Contact HMRC and see what gaps are in your NI history and if possible fill them with money from house sale.

Will your new place have more than one bedroom? If so you could in theory retire with full state pension, a decent little pot of cash and income from a lodger.

obviously your DH should look into this now but tbh it doesn’t sound like he’s super reliable or has your best interests at heart. You need a robust back up plan.

I’m not saying it was wise to opt out of the NHS pension, but if Op had less than 2 years contributions then she would be getting barely any pension paid to her.

My DH has some university pension. He worked for such a short period of time for low pay, over 20 years ago now, that it’s less than £100 a year he’s entitled to. Better than nothing though and better than the equivalent defined contribution pension he’d get from that those same pension payments.

I hope you get it worked out OP - at least try and make sure you’re entitled to your state pension!

My DF did something (possibly paid NI contributions for her) that meant my DM got full state pension despite not having worked after the age of 22, plus paid into a private pension for her and she got half his occupational pension.

I wouldn’t be downsizing. I’d be divorcing. Now. He’s shown you who he is.

I agree with those suggesting that you may be better off divorced than staying married as you would be entitled to at least 50% of ALL marital assets, including his pension.

This may seem extreme but, seeing that he clearly does not have your (financial) interests at heart, one wonders about the state of your marriage as a whole. It just doesn’t sound like a loving and considerate partnership to me, at least from his side.

@EllyRoff if he’s added you, ask to see the paperwork, don’t take any chances xx

Which might be a relief to him. She's not working, has no savings/pension, and is reliant on him.

If they divorce, OP's lost her safety net.

I don’t think that would benefit OP.

Nobody should be making retirement plans based on the state pension and pension credit. Those are things that the government can change on you, and you don’t get a say in reality.

I actually think it would. She would get at least have of all assets, including his pension, and if she can't work there are benefits to help her. She is also much more likely to get a HA property eventually than he will be. It's a very precarious situation she is in right now. He can at any time decide to take her name off as a beneficiary on his pension and she would then be in a much worse position. He has already shown that he doesn't care about her financial security.

It's a really stupid thing to do so probably good that you didn't.

Pension credit currently will top up weekly income to a minimum of £227.10pw for a sole claimant, but the full new state pension is currently £230.25pw which equates to £921 paid every 4 weeks (i.e. £11,973pa).

So your suggestion is that the right approach here is to become a sponge, on both her husband and on the state.

Pathetic

How old are you both?

You need to sort out your wills and he needs to name you as a beneficiary for his company pension. Most company pensions pay 50% to the surviving spouse.

So he needs an up to date forecast of his pension and a prediction of his final pension. When does he intend to retire?

You as a couple appear to need a good financial advisor.

You can start putting money into your own pension now and it can be added to till you're 75. You can do this yourself or through a FA. Many people use the big companies like Royal London for pensions.
You can put in a maximum each year if you're not working (it's around £2800) and you'll get growth on the investment.

You need to contact the state pension people and get a prediction of your pension. You may have the option to add to it with extra contributions.

Both of you need to sit down and plan for your future, your needs, savings for a care in older age, etc.

Do you have children?

My Sister has claimed benifits for her autism all her life. She has looked into her pension as She is in her late forty's.
She is in line for a full state pension. All her ni contributions have been being payed.
The pension quoted can be lived on.

Exactly this

I can't believe what I am reading in all honesty. Even if you give up work you still need to think about financial security.

Have you checked what your pension forecast will be on gov.uk?

Lower payments isn't an option with the NHS pension - you're in or you're out.