Member Info for longtimeinvestor

z4
''I had you firmly in the camp of those who think the majority of the dividends paid out comes from a return of capital and not income generated from holdings.''

Why wouldn't you? - he has posted on here that they are returning capital and pretending it is income.

z4
''I believe dividend income received covers the vast majority, if not all, of income required for payouts.''

If there was a year when income did not meet dividend expectations, that is where the dividend reserve fund would come into play and used.

A63
''honestly obtained dividend yields ''

What a strange comment

kt
''My state pension is estimated at £154.76 in 2024, can pay voluntary Ni contributions for 4 tax years to get £173.92''

I believe until April you can pay 16 years of contributions after which it will be 6 years?

dor
contracting out did not affect basic state pension entitlement, it just meant you were not in Serps to get extra.

a sudden new increase in the ftse - just gone over closing high level - will it hold?

A new all time closing high today? - getting close but probably not quite today.

67s
"Anyone in a db pension probably paid insufficient into the state pension and was liable for a deduction to their forecast."

NI contributions would still have been sufficient for basic state pension purposes.

Dor
yes, good that Serps was not lost

hu
''I think you will find that all people in a DB Pension scheme were automatically contracted out of SERPS/SP2.''

That was certainly the case for most of my time at HSBC, but may not have been the case initially because I recall being told 'you are going to be contracted out of Serps'. I suppose I will find out when I start getting a state pension - never bothered to enquire about projections.

V
FTSE 100 all time closing high is 7,877.45

dor
there is nothing to disagree with.
The FACT is that my mum gets nearly £300 per week state pension

dor
''I can only relate to a conversation with another person ''

stick to facts rather than 'she said' 'he said'

''In principal I would agree ''

you said serps/s2p is lost - remove the 'in principal' - stick to facts.
The fact is serps/s2p is not lost.
The fact is my mum gets nearly £300 per week state pension

dor
the amount of state pension that a person receives is dependant on the number of years NI contributions that have been / will be made in getting a basic state pension (30 years) or the new state pension (35 years)
Serps /s2p entitlement is on top .

dor

it is not confusing - you were simply wrong.

hu
good to see that your Serps hasn't disappeared down a plug hole

dor
''if you retire after 2016 on the new pension of say £185 and paid in the past to serps then you don’t get anymore. ''

I think it is about time you gave up commentating on pensions.

That is total nonsense - the basic state pension is about £142 - a serps/s2p additional amount can take the total way past the new state pension of £185. I should know because my mums state pension is just under £300 per week.

stub
''I don’t get it, have I missed some news''

the news is that the Lloyds share price had gone up about 15% in the last month and that share prices do not continue to go up in a straight line.

''explain why why savings rates are so low while borrowing costs have spiked?''

what a joke this is - savers are free to move cash to providers offering very good rates on savings, they are not forced to keep their money with the likes of Lloyds , who do not need to compete as much on savings rates because currently they can do without much of the depositors money.

dor
''For all those people that paid into SERPs years ago it is money lost. The government takes the stance that the new state pension is more than the combined old pension plus SERPs so therefore you are not losing out. Yet some people will get the new max without paying any additional payments which to me makes it unfair for those that did''

no it's not lost - serps payments were ceased - those retiring before 2016 will get a second state pension based on Serps during their working life.
The new state pension is based on 35 years of NI contributions as opposed to the pre 2016 basic state pension of 30 years.