A new Prime Minister and new Chancellor of the Exchequer could mean a loss of income for people like me, an Old Age Pensioner.
Our pensions have a so called guarantee of the Triple Lock so that state pensions stay with or abreast of the cost of living. A new broom could mean we'd lose this, but even worse for me, if it is risen, take my pension above the tax thresh hold. I already pay tax on one of my pensions, which I paid into voluntarily.
It grieves me to think I thought ahead and prepared for my old age and yet people, who made no provision get relief.. I'm not saying they shouldn't have anything, but I don't want to pay tax on my own paid into pension nor any more tax on money I have saved.
Am I being mean or just protecting my own income. I have never claimed anything from the State.. even when my son was desperately ill, and his prescription costs were above my income. I did some private teaching to pay. So I suppose you could say I was earning without paying tax. Sometimes you have to do what you have to do!
The new PM has all sorts of ideas, but where is the money coming from? Yes the ordinary everyday people through tax! Are you a tax payer, is it fair?
Chrisxx
It sounds as if your total income is already above the tax threshold. The state pension is paid gross. The media conversations about the state pension being taxed relate to the new state pension now being very near in amount to the level at which income tax is charged.
ReplyDeleteI seriously wonder if the world (government) has set out to make life hard on those of us retired.
ReplyDeleteAs a taxpayer who, in retirement, still has to pay a considerable amount of tax, what I find particularly galling is the sheer waste and incompetence of the government and public sector.
ReplyDeleteAnd, contrary to the beliefs of socialists, I actually know much better than they do how I want my money spent, so I want small state, low tax, and the freedom to spend my money how I choose.
It does seem unfair. I really hope you won't get hurt by the changes. It's frightening for us older folks who don't have too many ways to improve our income.
ReplyDeleteIf you paid tax on your income when you earned it you shouldn't have to pay tax on it again if you are paying yourself a pension from savings.
ReplyDeleteSince retirement I have survived easily on the state pension, paying no tax. Now they want a small cut of my very small private pension. I am still managing my finances quite well with a tweak here and there.
ReplyDeleteThe proposed rise in the personal allowance should hopefully take all pensioners that are subsisting on just the State Pension, out of the worry of paying tax.
ReplyDeleteI agree wholeheartedly that having payed tax on my income and having the forethought to make provision for my retirement that tax should not be levied on pensions private or state. MPs should have to live on the limited income of a state pension for at least 6 months to really get to see what it is like exist not truly live to worry about how you will pay any unexpected bills.
ReplyDeleteJane from Nottinghamshire