Bloody pension auto-enrollment

[ILoveMyMonkey]

Arrrggghhhhhh

So because I work for the local authority (where I've worked for the last 11 years and have never opted in to the pension scheme because I simply can't afford it) they have taken it upon themselves to auto-enrol me leaving me £300 short in my wages this month. Despite being passed around the houses (pensions to payroll to general HR to specific he and back to payroll) noone will do anything to give my money back and I now have to wait for my next paycheck to get it back! So basically they've stolen everyone's money (who have opted out) stuck it in a high interest account and are earning off of it.

They just don't seem to realise care that I have bills to pay and a child to feed! And when I asked if they would refund the bank charges from unpaid bills I was told "well you can try and claim that back from the government" .

Bastards, why are they allowed to do this?? Surely if you've opted out once you've bloody opted out!!! I wouldn't mind but I changed schools in sept 2017 and was auto-enrolled then and ended up having to opt out 5 times before they finally sorted it out and I was short in my pay every month until they finally solved the problem - arrrggghhhhhh!!! And yet here I am just a few short months later going through the same bullshit!

I'm so annoyed, and fucked, and annoyed.

Could you get a longer mortgage term or similar? So you can afford the pension contributions? You are missing out on a lot of employer contributions, it’s the generous employer contributions that balance out the lower salary.

@GummyGoddess

Yes, it's with the council who are my employers.

I must admit I think I did use the line "stolen my money" , I didn't scream though!

Could you get a longer mortgage term or similar? So you can afford the pension contributions? You are missing out on a lot of employer contributions, it’s the generous employer contributions that balance out the lower salary.. Our mortgage is the longest we can get 33 years so there's no way we can extend it.

No reputable IFA will recommend you opt out of a DB scheme unless it's a choice between that and food on the table (and I appreciate that for some, it is that stark a choice). They are phenomenal benefits that cost your employer many more times what they cost you, and your employer bears the majority of the risk. By opting out, you are hugely reducing your package.

Again, I know not everyone can afford the contributions, but at the earliest opportunity you possibly can afford them, you should opt back in. I personally wouldn't consider it as a luxury item.

Also, not every scheme will allow you to opt in and out, so before you opt out, consider very carefully whether you're painting yourself into a corner.

As long as you remained calm it's fine, I can hear hysterical screeching from someone else's phone sometimes! I have found that the government schemes can be a pain to deal with. There are some lovely efficient ones but most are really difficult. Have they confirmed your opt out and when the funds will be returned? Definitely get that in writing as you could make a complaint if it isn't done.

Thankfully I don't deal with that side of the funds so rarely have to discuss it.

@GummyGoddess thank you for the advice. I've confirmed the opt out and return of money over the phone and she assured me I would get a letter in the post confirming all of this but I will call again in a few days if it doesn't materialise.

Amazed at all these pension pots .

I opt out because I can’t afford my bills.

My disability benefits were taken away .

I’m too disabled to work full time.

I don’t have spare money for a pension.

I’m not on the property ladder.

I’m fucked when I’m about to retire .

If it doesn't appear, make them email it to you while you're on the telephone.

I had to give up my FT job to care for DD who's long-term ill. She gets PIP and I get Carer's which barely scratches the surface of what I was earning. We've had to cut back on every conceivable thing.

DH is a teacher. He pays 15% into the pension as it's the most valuable thing we can pay into at the moment. I'll give up broadband before his pension contributions.

@GummyGoddess thank you I will.

@ZoomyZoomZoom I'm sorry about your situation and not sure what to suggest, maybe you could get advise from CAB about how best to secure your future?

@BonnesVacances different strokes for different folks, we prioritise our house over a pension.

Ah thank you OP. Not been shouted at today but plenty of times in the past 😂

we prioritise our house over a pension

And what if the bottom falls out of the housing market and your inheritance gets eaten up in care home fees? You are turning down FREE MONEY from your employer. That is stupid not sensible. You are saying 'oh, you want to pay me £21K, don't do that, I only want £18K'. Why? Live somewhere cheaper (your mortgage is higher than ours and DH and I both earn over double what you earn, dare I ask how many multiples of your salary your mortgage is?), you can't afford your current property.

Inheritance does not exist until it clears into your bank.
I saw over $1,000,000 go on care home fees leaving me zilch

Assuming that house prices will always rise is an astounding short sightedness

Zoomy
Those who have the ability to get private pension provision release funds for the state to protect those like you who do not

hence my lack of sympathy for those who opt out of their own provision and will expect the state to pick up the pieces

CountFosco I'm really not prepared to discuss the ins and outs of our financial situation with you. We can afford our mortgage as we have been paying it the last 8 years with no problems and paying all our bills and funding a no-frills but still enjoyable lifestyle too; what I will say is that in that time our jobs have changed, our son came along, I've gone part time. We've made certain compromises for the benefit of our family.
Yes the market may fall but given we have 30 years (probably more if the government get their way) until retirement I don't think we need to worry about that; markets are always falling and rising and while yes it may seem risky to you, pensions also come with risks. Lots of people have been screwed over by pensions being spent by thieving bosses or being lost in the stock market, or dipped into by the government to fund other pots- noone can say with 100% certainty that their pension is safe no matter who holds the purse strings. As for you thinking I'm stupid you are entitled to your opinion but at least we are on the property ladder with a roof over our head - plenty of people can't get on the property ladder as they don't have enough money but hey if they've got a pension I guess they're set!

Ta1kinPeace

Why are you determined to be so antognistic towards me?

You have more than made your point about my pension situation. It doesn't affect you so why do you care so much?!
I came on to complain about auto-enrollment and the faff that has caused me today. I am perfectly happy prioritising our house and am not worried about the future.

Inheritance does not exist until it clears into your bank. Talk about state the obvious! You forgot to mention that I'd also have to wait for relatives to die first!🙄.

Assuming that house prices will always rise is an astounding short sightedness did I say anywhere that I assumed they would rise?! I'm pretty certain I didn't and that I said our area holds its prices ... which historically it does.

I would suggest speaking to an IFA regarding your mortgage/pension to check whether you are making the best choices.

I feel for you OP

my last place did the auto enrolment every 3 years, I opted out, then they gave me a hard time about it - seriously, someone from HR called and asked nosey questions about my finances and talked to me as if I couldn't plan them myself - then when I tried to opt out the second time, they went through the same exercise.

Drives me nuts.

@Grace212 seriously, someone from HR called and asked nosey questions about my finances and talked to me as if I couldn't plan them myself that's awful and so cheeky. Luckily I didn't get any grief about opting out unlike on here.

it was so cheeky! My boss was sitting at the next desk when I took the call and she was shocked.

It's probably the director of HR instructing the HR team to do that, I don't know that the individual would have actually wanted to do it, they could possibly have found it as bizarre as I did.

I have a cousin with a serious health condition; he opted out of the pension at his work because the chances of him being alive at pension age are vanishingly low. He also got a call after opting out and said the silence was hilarious when he explained himself

@Grace212.

Maybe they were working on comission and thought they could persuade you into joining 🤣.

Sorry about your cousin ; stunning them into silence must have been very satisfying .

thanks - it's okay, he and I have quite a dark sense of humour about this situation, hence why we found it funny. Also auto-enrollment pisses us both off!

Also auto-enrollment pisses us both off! You could start a club, I reckon it might be quite popular.

Omg I can't believe the HR dept did that!!

I'm a payroll manager and am quite often asked for a professional opinion on whether someone should be in a works pension and how much they should pay. My default answer is "I'm sorry I'm not a pensions advisor and can't help. You should speak to a properly qualified pensions advisor"! I wouldn't dare comment on someone's choices or personal finances!

tbh a qualified pensions adviser is never going to tell you it's okay to opt out of a pension either.

I also opted out of that company one because the contributions were too high. If they really want to get more of us on board, they need to look at that. it wasn't a defined benefit scheme either, just a very bog standard private company pension. I paid into a similar company scheme when I was younger and regretted it.

It's the law, it's there to protect you from employers who dont want to fulfil their obligation to encourage you to save for your retirement. HR can't help because there's genuinely nothing they can do