Fostering and pensions

[Fosterangel]

As I hurtle towards pension age (ok 15yrs away but time passes so quickly when you foster!) I was wondering what other foster carers were doing about a pension? All spare cash goes to the kids savings (as instructed by our LA to save for the kids - sore point as it was sprung on us recently). I have let the tax office know that I foster and have elected to pay national insurance as a self-employed foster carer so I guess I will get a minimum pension. I have always worked paye til I fostered. It is only just sinking in that by giving up my full time paye work to foster I may have shot myself in the foot. I love fostering but am now getting a bit worried that I have put hubby and I at risk of a dire future! What do others do?

Hi Fosterangel,
I read something that stated that if you were a FC, then you can "Get credits towards your State Pension". Check out the Directgov website. I have read it but I still dont understand it! I also read somewhere that depending on how long you foster, you may be eligible to bring forward your state pension date, in recognition of your contribution to society. I have worked for over 30 years, so I believe that I have paid in sufficient to qualify for my state pension. Already taking my private pension early. Just about to start fostering....

Hello NFM. Welcome to fostering and I am so glad you did things this way round and got your 30yrs of stamps in before fostering! I know that fostercarers get the equivalent of "Home Responsibility Allowance" or whatever it is called now (probably the same!) which protects your stamp whilst you have children of your own and foster children but this only gives you the basic pension. I was wondering what foster carers were doing about building up a private pension for themselves. The government (bless them!) are trying to get all low paid workers into a company pension so that both the company plus the employee build up a lump sum up to retirement (15yrs and counting ....yippee!!). LA Foster carers like us are neither employed nor really self-employed in the true sense (as we cannot issue our own bills for services we give). I was just curious to see if I was the only (twit) person not saving into a retirement pension pot of my own. xxx

Hi Fosterangel,
Yes i did probably do things the right way round to qualify for my state pension, however, because I have had to take my private pension early, otherwise I couldn't have left my vile job, then I think I still need to look into putting something away for the future. The state pension isnt much. Glad you brought this up....

I've been a full-time foster carer for 3 years. All my.biological children are grown up and I didn't pay into a pension scheme when they were young as I only worked intermittently and part time. Has anyone got any advice about the best way to pay into a pension? We seem to fall between being employed and self employed.

I have no pension either !