Pension at 70.

Gusser09 · 20-09-2022 3:22pm

https://www.boards.ie/discussion/comment/119642285#Comment_119642285

It would put most in an early grave. Feck that.

Dodge · 20-09-2022 3:22pm

https://www.boards.ie/discussion/comment/119642210#Comment_119642210

Most people (correctly) won’t care about the cost to the state. For the first time, it looks like retirement will factor into the state pension

So the individual has to add in what they’d earn in salary for the years not claiming for those years too

In reality, the vast majority of people retire as soon as they can do so comfortably. So while the changes may help some, for most it’ll make no change to their choice

Quin_Dub · 20-09-2022 3:30pm

It'll be interesting to see what constitutes "working" to qualify for this.

Does it have to be full time work?

Will it require that you are a PAYE worker or that you are paying PRSI etc.?

If you retire from your current role , perhaps with a company pension and take up part time work doing something else , will that qualify?

Will periods of unemployment etc. count against you?

Mongfinder General · 20-09-2022 3:36pm

Agreed. Living in dream land. And the PRSI needed to cover these changes would need to be greatly increased. So that’s another chunk of their wages gone. We currently have 4/5 working for every retired person. It’ll be closer to 2/3 in 20 years time.

Mongfinder General · 20-09-2022 3:39pm

https://www.boards.ie/discussion/comment/119641719#Comment_119641719

Aye - until your husband or wife decides they don’t like you anymore and goes after half of your pension. You might be better off paying tax on the money now and stuffing it in a box somewhere

Gusser09 · 20-09-2022 3:43pm

Does anyone know if this will be pro rata? If one was to working until 68 would they get the benefit of the extra 2 years worked? So not the €315 but €284?

So lets take the €315 for example. That's an extra €62 euro per week.

Let's say you live until 82. That's an extra €38688 you would get if you retired at 70.

You wouldn't need a huge AVC or private pension pot to make that up. It would workout about 90 euros a month over 20 years.

158 x 12 = 1900 per year. After you get that tax relief thats costing you 1140 per annum persuing you pay tax @ 40%.

I think most people in their early 40's could afford 95 quid a month. You wouldn't miss it after a a while. And in actual fact you find yourself putting more money in once mortgages are paid down and kids are moved out etc.

GET A PENSION !!!!

Got my answer

This means that a person who continues working until the age of 67 would receive an additional €13 each week, bringing their pension to €266 a week.

It will see 68-year-olds given €281 a week, 69-year-olds given €297, and those aged 70 and over given €315.

20-09-2022 3:49pm

https://www.boards.ie/discussion/comment/119641792#Comment_119641792

Oh it served a purpose all right. And maybe next time you'll think a bit longer before posting utter tripe.

sportsfan90 · 20-09-2022 3:59pm

https://www.boards.ie/discussion/comment/119642068#Comment_119642068

When they were talking about it on the radio this morning I presumed that people would be able to claim their pension at 66 at the lower rate of €253 as normal while still working, and that any PRSI, USC contributions they'd make until age 70 would go towards the higher payment of €315 then when they do eventually retire. That to me seemed like a very good system.

But now I'm reading that you don't get the pension payment at all until you officially retire? So that means you'd be 86 before you'd even break even with payments. That's not a good deal by any stretch!

crossman47 · 20-09-2022 4:04pm

https://www.boards.ie/discussion/comment/119640833#Comment_119640833

So you weren't educated by the state, never attended a public hospital, never needed a passport, never drove on public roads, ets, etc.

Allinall · 20-09-2022 4:05pm

https://www.boards.ie/discussion/comment/119642468#Comment_119642468

It's not supposed to be a good deal.

The government are trying to save on the amount they have to pay out in pensions.

The increased amount is to encourage people to work longer. A while ago they were contemplating increasing the eligibility age for any pension to 68.

One way or another, everyone is going to get less of a pension. This way just encourages people who can to work longer.

Vicxas · 20-09-2022 4:06pm

With people living longer, surely it makes sense to have some kind of system in place that gradually increases the working age for younger people while not screwing people who are nearly retired.

The Mighty Quinn · 20-09-2022 4:11pm

https://www.boards.ie/discussion/comment/119642394#Comment_119642394

And you didn't factor any pension grown into that. If you assumed a very modest growth of 3% per annum, using your figures, you'd have 51,000 after 20 years.

Gusser09 · 20-09-2022 4:24pm

https://www.boards.ie/discussion/comment/119642490#Comment_119642490

I don't think that should be the aim though. Having an affordable pension model whereby people contribute more at an early age needs to be the mechanism. Not telling a youngster who is starting work in a part time job at 16 that they'll be clocking in and out for the next 52 years minimum.

Auto enrollment and benefits that go with such a system need to be pushed in the education setting for a start.

timmyntc · 20-09-2022 4:28pm

If I'm still able to work past retirement, I will be doing it cash in hand! Not a notion I'll be deferring the pension until 70 just to benefit the government

bucketybuck · 20-09-2022 4:29pm

https://www.boards.ie/discussion/comment/119642480#Comment_119642480

The other numpty already said that, it wasn't particularly interesting the first time and certainly didn't need repeating.

My point was very simple, I have no intention of relying on the state to give me anything in my old age, because the bottom will fall out of that entire concept before I ever get there.

joseywhales · 20-09-2022 4:51pm

Screw that, my goal is 50

Strumms · 20-09-2022 5:05pm

People might be living longer but how many people do you know.. in your family, friends , parents of friends, neighbours …who are 65-70 and who don’t have ailments like bad back, bad arthritis, dickie heart, cancer, recovered from cancer or would have the general health, wellbeing and stamina to be working until 70…anyway…

precious few I’d imagine.

my dad took early retirement, lucky he was well placed to afford to courtesy of a very good wage and pensions but…a guy with a heart condition, arthritis… a chance he wouldn’t be here if he’d kept going, in fact I know he wouldn’t. No question about it.

country is just a poorly managed utter kip now. With the wellbeing of Irish people secondary now.

Varik · 20-09-2022 5:06pm

https://www.boards.ie/discussion/comment/119642210#Comment_119642210

The average life expectancy being 82 is what it is now in 2022 from the people dying now.

A 66 year old back in 2006 would have been told it was 79 years, but he lived past that and died in 2022 at the age of 82.

Average is meant to be 3 month increase per annum.

Furze99 · 20-09-2022 5:08pm

The divil will be in the detail and from what we know of the state's exposure to pensions, it's unlikely really to be some great win for all. More likely to be winners and losers as usual but more losers than winners!

Quin_Dub · 20-09-2022 5:16pm

https://www.boards.ie/discussion/comment/119642559#Comment_119642559

Auto enrollment and benefits that go with such a system need to be pushed in the education setting for a start.

Absolutely - They should be including financial planning into school all the way through secondary - Pensions , Household budgeting etc.

They can use the slot currently occupied by religion classes.

spaceHopper · 20-09-2022 5:17pm

My Father was 76 when he died, he's taken a package and retired early thankfully he got to enjoy retirement. My mother's health is terrible she's 78 and has parkinsons. My wife's father retired at 60 at 66 he was diagnosed with cancer, it's treatable it's still there. He's 70 and enjoying life.

Nope it the answer, I'm out as soon as I can.

If you are thinking about it go to your local graveyard and count how many people died in their 70's it will open your eyes

DLink · 20-09-2022 5:33pm

I don't care how they pay for it, tax the young more for all I care, but out the gap by 65, 66 at the very latest.

Leave at 65, spend a year on the dole, 9 months of which would be non-means tested... happy days.

Gusser09 · 20-09-2022 5:38pm

They could use the USC for pension purposes. Its temporary but rather than getting rid of it fully they could keep it at 30percent of its current rate maybe.

Gusser09 · 20-09-2022 5:42pm

I wonder how many td's will work until 70.

malinheader · 20-09-2022 6:08pm

I never heard such Bo##ocks from the government. Play the life or death roulette for 5 or 6 years hoping you Don't croak it for a Higher pension at 70.

The elephant in the room here is that it's a ploy to raise the prsi. I know one thing any more money taken off me and I'll be signing on and working on the side.

Don't agree with doing the double but it seems to me the only way to get ahead in this country.

malinheader · 20-09-2022 6:10pm

https://www.boards.ie/discussion/comment/119642868#Comment_119642868

None. And don't even bother looking into what pension they get. It's unbelievable.

Kalimah · 20-09-2022 6:22pm

I’m just gone 60 and have been working for most of the time since 18, bar a couple of years when the kids were small. I’m going at 65 and I want my full pension of 253! At the moment it seems like I won’t have enough contributions to get the full amount. My neighbour who has barely worked in the last 40 years managed to get a disability pension and will go onto a full contributory pension at 65.

There are so many anomalies with pensions that need to be addressed. As to ever working until 70 - not a chance - my parents were dead at 50 and 56 so I’m off to enjoy myself at 65.

rob316 · 20-09-2022 8:15pm

People need to be encouraged from an early age to pay into an AVC. Life is for living not for punching the clock till you have 10 years left in you. I have been paying into one since I was 21, alot more the last 5 years but I've paid as little as 50 p/m when things were very tight.

Say I retire in 40 years, what is my life expectancy then? What sort of state will the state pension be in then? You'd be a fool to depend on it.

realdanbreen · 20-09-2022 9:25pm

Of course none of this matters a whit to the hundreds of thousands of public servents who apart from being in jobs where its virtually impossible to get the sack they get their pensions topped up and their wage increases regardless of the state of the nation. And the next time you go abroad and wonder why just about everything is cheaper than it is in Ireland wonder no more, the answer is the obscene way that our public servants have their snouts permanently in the trough!

Gusser09 · 20-09-2022 9:49pm

https://www.boards.ie/discussion/comment/119643790#Comment_119643790

Publicjobs.ie

SuperBowserWorld · 20-09-2022 10:01pm

Putin about to annex part of Ukraine. Those pensions could go up in a puff of smoke. 😝

Donald Trump · 20-09-2022 10:07pm

https://www.boards.ie/discussion/comment/119640661#Comment_119640661

No. It will be a choice between starting to draw it down at 66 vs say 70. So they'll work out on an actuarial basis an amount that will be equal in total overall for your remaining years.

To give you the idea with a silly simplistic example, suppose the average person is expected to die at 74. They will give you 200 Euro pension if you start drawing it down at 66 and a 400 Euro pension if you start drawing it down at 70. In both cases you will receive the same overall. Whether you actually work or not during the 4 years won't be so relevant.

Before anyone complains, I've already said this is a silly simplistic example to explain what they appear to be proposing.

anewme · 20-09-2022 10:12pm

Great to hear the inputs from everyone. Good discussion.

Im not hanging round fot 60 a week.

I was one of the 67 retirement batch , if I’m now paid from 66, I’m gone then, or 65 if I can.

Would love to get out at 60 or just past but the nearer you get to it, the further away it looks financially.

My Dad got Dementia from 70, I’d hate to think I’ve five years of living after working for the man for close on 50 years.

Going to do my sums for 60 or be one of the oldies in b&q directing you to the Crown paints.

id love to have some time to do some additional volunteering, use my corporate skills to help others.

20-09-2022 10:32pm

https://www.boards.ie/discussion/comment/119644025#Comment_119644025

What of someone between age of 66 and 70,through no fault of their own ends up on the dole/let go etc??

Are they to be forced onto a lower paid pension,while they wanted to remain working until reach 70?? (Many fishing families tend to live well into their 90s from my experience)

Looks like a breeding ground for supreme court challenges tbh

Donald Trump · 20-09-2022 10:37pm

https://www.boards.ie/discussion/comment/119644127#Comment_119644127

It will be a choice. No more and no less. You will be able to choose when you want to start drawing it down. Common enough in private pensions when you can decide to draw down early and receive a lower pension, or delay it and receive a higher one. Or draw down at the standard time and receive the standard one.

20-09-2022 10:40pm

https://www.boards.ie/discussion/comment/119644149#Comment_119644149

This is not an answer to the qs I asked....what will happen to someone between ages of 66 and 70,

whom through no fault of their own find emselves out of work....will they be allowed dole/seek work until 70 or be forced onto the lower pension payment??

Donald Trump · 20-09-2022 10:55pm

https://www.boards.ie/discussion/comment/119644163#Comment_119644163

Nobody forces you onto anything. It will be your choice. It is in addition to what you have already. It is something extra.

I'd imagine you can get the dole up to age 66. After that you are entitled to the pension. You can't expect to be able to say "well I'm entitled to the pension but I want dole instead AND I want a higher pension in 4 years because I didn't start until then".

20-09-2022 10:59pm

https://www.boards.ie/discussion/comment/119644243#Comment_119644243

Why can you not???.....if someone between age of 66 and 70 is actively seeking work(as is requirement to get the dole),

On what grounds can they be denied the higher payment at 70??

Strumms · 20-09-2022 11:09pm

They means test people claiming disability so I guess the same will happen with pensions.

They may in fact say if you retire owning your own property and 40 grand savings you can forget about a pension till 72 etc…

best off buying one of these…I’m deadly serious btw I can see this happening the way things are going and the way this government are frittering away our resources, money and wellbeing.

Donald Trump · 20-09-2022 11:35pm

https://www.boards.ie/discussion/comment/119644262#Comment_119644262

As has already been explained, the "higher payment" is not based on you working or not in the intervening years. It is based on you delaying starting to draw down the payments. On an actuarial basis, you will get the same money in total over your life in pension payments. You've just decided to take them in fewer portions so that each portion is larger

Consider it as them giving you the money between 66 and 70 and you deciding to save it in another account and take it out bit by bit from that other account when you are 70. That is not literally what is happening but it is a way of explaining it. If you put that money into that account then you have it when you are 70. If you don't put it in then you can't take it out. That is completely fair.

20-09-2022 11:40pm

https://www.boards.ie/discussion/comment/119644389#Comment_119644389

So will someone out of work between 66 and 70,be entitled to draw dole,and if can't find a job be then allowed take higher payment at 70?

Or be (as I imagine the case to be) forced onto lower pension payment......your spitting out alot of words,that simply are not providing clarification for what seems a relatively obvious conundrum that will inevitably pop-up

Donald Trump · 21-09-2022 12:00am

https://www.boards.ie/discussion/comment/119644408#Comment_119644408

Where are you imagining this dole between 66 and 70 from?

Once you hit 66 you don't have dole. You have pension. If you decide to delay your pension (your choice) you will be able to draw down the delayed money on top of your regular pension amount.

Do you know that you can currently work 66+ and receive your pension AND your salary?

21-09-2022 4:20am

https://www.boards.ie/discussion/comment/119643023#Comment_119643023

Wouldnt a whole load of people in the 65 to 70 age bracket end up on disability if they had to work on (or even some the 60 to 65 too).

Depending on the work type of course. I`ll throw in that your average office job isnt what it used to be say in the 1980s or 1990s. Back then if you had to look up a file you got out of your chair and walked to a filing cabinet etc. Sitting still all day long it very detrimental and I reckon many will have repetitive strain and bad backs from sitting all day by their 60s. In what would be perceived as a fairly physically easy role. As for physically demanding roles..............

Allinall · 21-09-2022 12:31pm

https://www.boards.ie/discussion/comment/119644262#Comment_119644262

Because they haven’t worked between the age of 66 and 70.

Its quite straightforward.

bikeman1 · 21-09-2022 1:00pm

Great discussion.

Not a hope I'll be working anymore than needs be. I've seen so many people croke it young, retire and then get sick. Not be able to retire and work to the death, no life. Not for me.

Thankfully, I have a financial plan in place that if things stay ok, will see me through to being out the gap at 60 or near to that.

What will be interesting is, plenty of people work and claim the pension after 66. What will happen to them, if they keep working, can they not get the pension?