The Retirement Thread

[PaulSB]

My money went into better paying alternatives.

Yes, so did ours. When interest rates were very low our maximum holdings gave the best return. Yes, pure luck. This declined as interest rates improved and with that decline we moved more and more money out of PBs.

 

[PaulSB]

There's plenty of ways to not pay tax on savings, £20k each year into a cash or S+S ISA and take the interest ( or dividends) tax free. The first £1000 of interest is already tax free.

Quite agree. The only "savings" I pay tax on is if I take income from my personal pension. I haven't taken income for several years. That may change in the next 12 months. At some point my household will lose Mrs P's pension. I had planned to make up the shortfall from tax free savings. With the changes to IHT it may make more sense for me to take that income and pay the 20%. If my kids inherit the pension they will pay 40%. It's going to be an interesting chat with my FA.

I'm happy to pay the tax on pension income if necessary. After all it is effectively deferred taxation. I didn't pay tax on that money when I worked, there's no reason why I shouldn't now.

 

[Drago]

Can't be arsed to make lunch so strolled to the cafe at the garden centre for a cheese and tuna melt.

 

[numbnuts]

I've got fish pie and spinach

 

[Dave7]

I've got fish pie and spinach

I have no idea what lunch will be.
Any chance you can send me a scone. Oh and some clotted cream please.
Dont worry about the jam, I have some thank you.

 

[Drago]

 

[Tenkaykev]

I have no idea what lunch will be.
Any chance you can send me a scone. Oh and some clotted cream please.
Dont worry about the jam, I have some thank you.

Remember, it's Jam first...

 

[ebikeerwidnes]

I am 100% with you on this.

PB's work for a minority and not for the majority plus, in general, people remember the months they win more than the months they lose.

Maybe, you are the same as us, our investment returns track well above the NS&I notional return rate.

We dumped our PB's ages back.

I check every now and again and they are averaging at or above what a savings account would give

and there is always the possibility of winning a big one!
(OK - long odds but it is something to dream about)

 

[Tenkaykev]

I check every now and again and they are averaging at or above what a savings account would give

and there is always the possibility of winning a big one!
(OK - long odds but it is something to dream about)

If I had a quid for every time I have mentally put that notional PB " big one " towards sorting out the kids housing situation I would be a wealthy man 😁

 

[SpokeyDokey]

I check every now and again and they are averaging at or above what a savings account would give

and there is always the possibility of winning a big one!
(OK - long odds but it is something to dream about)

I do get the 'dream' thing and nothing wrong with that at all.

But, what savings a/c's are you referencing to?

We have long-term ISA's and Fived Rate Binds that return well ahead of PB's plus other vehicles (pension, shares, investment funds) that return ahead of those.

PB's are fine if you want easily accessible money with a frisson of excitement but the overall return is only likely to be better for a minority of holders vs current a/c', short term savings a/c's and maybe easy access ISA's. The majority will lose out.

 

[ebikeerwidnes]

I do get the 'dream' thing and nothing wrong with that at all.

But, what savings a/c's are you referencing to?

We have long-term ISA's and Fived Rate Binds that return well ahead of PB's plus other vehicles (pension, shares, investment funds) that return ahead of those.

PB's are fine if you want easily accessible money with a frisson of excitement but the overall return is only likely to be better for a minority of holders vs current a/c', short term savings a/c's and maybe easy access ISA's. The majority will lose out.

You comment seems like a good reasons to check

for the whole of last year put together the interest rate came to 5.75%

checked and even the regular saving rates were lower than this

having said which - I had several small wins in December which boosted it
If i I had checked in about marh or April then it would have been lower because the year before there was a gap of several months with nothing

so - it varies - and it varies in a totally random way , unlike savings accounts that at least only move slowly and are more predictable

 

[SpokeyDokey]

You comment seems like a good reasons to check

for the whole of last year put together the interest rate came to 5.75%

checked and even the regular saving rates were lower than this

having said which - I had several small wins in December which boosted it
If i I had checked in about marh or April then it would have been lower because the year before there was a gap of several months with nothing

so - it varies - and it varies in a totally random way , unlike savings accounts that at least only move slowly and are more predictable

This is worth reading too - MSE, are PB's worth it?

https://www.moneysavingexpert.com/savings/premium-bonds/

 

[PaulSB]

I do get the 'dream' thing and nothing wrong with that at all.

But, what savings a/c's are you referencing to?

We have long-term ISA's and Fived Rate Binds that return well ahead of PB's plus other vehicles (pension, shares, investment funds) that return ahead of those.

PB's are fine if you want easily accessible money with a frisson of excitement but the overall return is only likely to be better for a minority of holders vs current a/c', short term savings a/c's and maybe easy access ISA's. The majority will lose out.

We have an instant access savings account, well two in fact, from Santander which gives 6% which is way ahead of anything PBs returned for us.

The savings account is only available to c/a holders.

 

[postman]

Have you got a favourite Chinese meal?

Ah yes,special flied lice with spling rolls,rubbery.

 

[PaulSB]

I know more about TVs this afternoon than I did this morning. Quite interesting. So this is the scenario:

Current set up is 11 year old TV requiring five different connections, antenna, ethernet, Firestick, Chromecast, magic box, to provide the viewing services we want. Three remotes! There are cables everywhere!

New magic box is £250-300

New TV with all of our viewing services built in starts from £350. That means all we need is a single, ethernet, connection. Goodbye clutter. A cheap recordable box can be added for £50.

Positives. New TV. No clutter. Single connection. Simple. One remote. Five year warranty included. Sooner or later the current TV will fail, the replacement makes the magic box redundant. TV could fail tomorrow. #2 son can have our TV. His is the one our current TV replaced, it's probably 20 years old.

I want a new TV. I'm rehearsing tonight's discussion 🤣