“Retirement Planning”

Posted on February 17, 2013 by john graham

Thinking about taking the first steps onto the retirement ladder, I googled “Retirement Planning”, as any worldwide web wise pensioner would do these days.    And guess what?  All the top web links on Google are about money.    Pensions, annuities, savings and investments.    The advertising is all about financial planning, equity release and writing a will.

That tells you a lot about the immediate worries people have on reaching retirement.   It also reflects the limited horizons and lack of vision people have in relation to their lives after their working life is over.   Few people look beyond working when they are still at work.

At the bottom of the Google list, I found “The Retirement Planning Council”.    Somewhat surprisingly I had not heard of it – then I noticed it was in Ireland.   It is run by a charity and led by Chief Executive John Higgins who doesn’t look a bit like a World Champion Snooker player.   They run courses all over Ireland aimed at helping people plan a happy retirement.

They conducted a survey of over 1,000 people who had attended one of their courses.  Here are some of the interesting results:-

  • 81% were planning to retire soon
  • Most people were aged between 58 – 65
  • 80% were married
  • Only 29% were worried about their financial future
  • 86% expressed lack of trust in financial advisors
  • 53% do not engage in financial planning
  • 38% intended to continue working beyond 65 – mostly part-time

In terms of active retirement:-

  • 69% hoped to live out former dreams
  • 74% saw retirement as a new life chapter
  • 38% wanted to travel
  • 13% wanted more time for hobbies
  • Only 3% wanted to pursue education courses
  • 59% were involved with clubs and organisations – golf, community groups and health clubs were the most popular

In health terms:-

  • Just 16% expressed concern about future health
  • 81% describe themselves as computer literate
  • 86% have computer at home
  • 90% are uninterested in social networking
  • 79% were willing to be volunteers, mainly locally with community groups, churches and charities

In terms of wealth:-

  • 35% have not completed a will
  • 76% have not thought about enduring power of attorney.

Time to start planning for the next period of your life.

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“Chillingly Killing”

Posted on February 12, 2013 by john graham

As I write this blog I am tucked up in bed with the central heating up high.   Outside it’s  minus 4ºC, the ground is covered with 6″ of snow and the roads and footpaths are sheets of ice.

It’s Christmas card weather.   Little children love it – all snowballs, snowmen and footprints in the snow.

Inside many thousands of elderly households the freezing weather won’t feel so welcome.

Several millions of pensioners live in fuel poverty while the average gas and electricity bill for over 65’s rose to £1,350 last year.   Energy costs have doubled in the last 6 years and continue to rise well above the rate of inflation.

£7 million older people are worried about the cost of heating their homes.

Meanwhile politicians contemplate cutting winter fuel payments for pensions, while they wrap themselves up in a coat of eye-catching, vote-catching warm words:-

  • The Green Deal – loans for home improvements;
  • The Warm Home Discount Scheme – £130 saving on energy bills;
  • The Energy Company Obligation Scheme – subsidised home insulation.

The Energy Minister – Mr Greg Baker – said recently “a warm house should be a given, not a luxury.   That is why we want to make sure everyone is aware of the support available.”

This is the same Government that forecasts that there will be 24,000 “excess” winter deaths this year.

Ladderhealth - Chill Kill

  It’s time for action, not warm words !

Posted in HEALTH | Tagged | 1 Comment

“Magnetic Mice”

Posted on February 10, 2013 by john graham

My mousey friends have again been helping out with research into memory.   Studies have shown that by using a magnetic coil, mouse memory and learning can be improved.   They are already clever little devils.   They will be doing degrees in mathmatics or media studies next !

The same technique  –  called Transcranial Magnetic Stimulation  –  is now going to be trialled on patients with early stage memory loss.   It involves holding a magnetic coil over their heads while they try to answer quiz questions and complete puzzles.

magnetmiceJPG[1]

If it works, you can imagine in years to come we could all be walking around the streets looking like Roger Moore in “The Saint”.

I wonder if it will help me do the fiendish Sudoku?

Posted in Dementia, HEALTH | 2 Comments

“Long Term Care Fairytale”

Posted on January 31, 2013 by john graham

After 2 1/2 years in power and with only 2 1/2 years left before the next election, the Government is once again beginning to think about the Grey vote.

Before the last election, there was a feeding frenzy of discussion, argument and false hope politicians promises about the future funding of long-term care.   (Click on “DILNOT” in the TAG CLOUD to read more).

The Conservatives had a very simple and simplistic idea of a voluntary insurance for a mere £8,000.   That looks like quite a bargain compared to what they are now proposing.  The Labour Party had an equally interesting alternative of a £20,000 charge levied when you die, but this was quickly dropped when it became labelled the death tax.    Both ideas were useful conversation pieces for TV debates and to capture some votes, but neither stood up to any proper evaluation nor the test of time.

After the election, the Coalition Government commissioned Andrew Dilnot to find a better idea.   Some time later he came up with an answer which cost money and they didn’t like that either.    So they all sat on a toadstool and thought for a while – and then they thought some more.    Until one day they realised that there would be another election soon and they needed to come up with a proposal.    A magical pot of gold at the end of a mythical care rainbow.    So the Chancellor thought about “Dilnot Lite”.   A new idea but with less Government money.

To the politicians this seems like a very good idea because it looks like they have finally made a decision.    In practice it will leave most people paying what they would have paid before.

Ladderman6V2

Posted in HEALTH | Tagged | 3 Comments

“New Ways of Working”

Posted on January 29, 2013 by john graham

Set against the background of longer later life , we need to develop new patterns of working.   The idea of working full-time flat-out and then…………..you suddenly come to a FULL STOP!   For many unlucky people you stop dead literally, within a few years of retiring.

Previously retirement age was 60 for women and 65 for men and an inadequate state pension was supposed to support you for the rest of your life.   If you were lucky, a cradle-to-grave employer looked after you with a company final salary pension, but for all bar the public sector, this paternalistic approach of employers has disappeared and been replaced by a scrap heap mentality.

Now that  is all changing, driven by economic necessity rather than any sense of benevolence.   The former cliff-edge of statutory retirement age has been abolished.   The universal state pension is being put back until 67 and maybe even 70 eventually.   In the name of equality, women’s pensions are being deferred to be brought in line with men.   The problem now is that other social structures haven’t changed to reflect the newly available army of older workers.   There are only so many lollypop lady jobs out there !

We require a new , more positive attitude to work in later life.   Part-time rather than full-time and using the valuable skills acquired in a lifetime of employment.   We also need new types of jobs to be created and a more flexible approach to job sharing.

  • A job sharing team of grannies and granddads could provide a child-minding service for working parents; not necessarily just their own grandchildren;
  • A lot of grannie and grandad teaching assistants could provide one to one support for young school children, that would guarantee they can read and write before they move out of primary school;
  • For older children, their “grandparent” helpers could provide a stand-in additional parent for single parent families, who could focus on developing life skills – cooking, housekeeping, budgeting,handyman.   In return the youngsters could teach computing skills to the older generation.
Posted in ELDERLY UK POLICY | Tagged | 2 Comments

“Dementia Friends”

Posted on January 27, 2013 by john graham

A welcome new initiative by the Alzheimer’s Society is aiming to recruit and train 8,000 volunteers.   They will in turn seek to find one million volunteers to help and support dementia sufferers and their carers.

There are estimated to be nearly 700,000 sufferers in the UK, although less than half of these have been formally diagnosed.  This often means they are unsupported or wrongly treated and left to struggle on alone.

Effectively, this is an admission that the State can’t cope and the problem of dementia is being passed to voluntary organisations and individual volunteers.   Nonetheless, it is an opportunity to provide much needed support to families who are often under great strain coping with dementia.

One million volunteers will not be easy to find and organise, so it is a big challenge for the Alzheimer’s Society, but there will be great rewards for the volunteers knowing that their help will provide relief and respite to carers.

It is a great opportunity for the younger generation of retired people to give help to older people in need.   They may need such help themselves one day.

Posted in Dementia, HEALTH | Tagged | 1 Comment

“Now You Don’t”

Posted on January 24, 2013 by john graham

This blog follows on from the previous post “Now You See It”.

I was at the AGE UK Conference in 2011 when the Secretary of State for Works and Pensions – Mr Ian Duncan-Smith – made his speech about the £140 universal state pension.  (See “THE £140 PENSION ILLUSION” in the TAG CLOUD).

It is a massive rise from the then current £107.45 a week state pension.   It was surprising there wasn’t a fanfare of trumpeters from the Queen’s Royal Regiment for such a momentous announcement.   There were headlines in the press but they only lasted for a day.   It was also astonishing that the overwhelming pensioner audience didn’t stand on the chairs and cheer, but of course they have lots of experience of politicians’ promises.

Now 1 1/2 years later, unsurprisingly, nothing has happened nor is it likely to happen before the next election.   Nonetheless, it is an idea that is being dusted off for a re-run in the half-term review.   The good news is that it still has eye-catching and vote-catching appeal.

The bad news is it cannot be afforded in these austere times.

So how is this trick to be performed ?

  • Firstly, it has already been announced it will not take effect until 2015 (maybe that may have to be 2016 or 2017 or …………).
  • Secondly, the Prime Minister’s promise to protect universal allowances for pensioners was only for the current parliament, so expect that to go.
  • Thirdly, pension age will have to rise more rapidly than previously forecast to limit the cost of the universal state pension in future years.   Don’t be surprised if 70 doesn’t become the new retirement age by 2020.

Now you Don't (3)

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“Now You See It”

Posted on January 22, 2013 by john graham

If I were the Prime Minister half way through my first term in office, I would be beginning to think about how I could be re-elected for a second term.   I would want something that would appeal to a large number of voters.   Something spectacular that would catch their attention!

The elderly are a larger group of people who vote more than others.   There again, there have been lots of bad news in the last two years about poor care of older people in the NHS that won’t help.

Then I would remember that my nice Secretary of State for Works and Pensions – Mr Ian Duncan-Smith talked about a magical £140 state pension at the AGE UK Conference in 2011.   Of course nothing happened because of these tough economic times.  As well as this, with retirement age still so low, it would cost a fortune in the future years.     Oh! and also because I made a promise before the election in a TV debate, that I would not take away the universal benefits older people receive, like winter fuel allowances, free TV licenses and free bus passes.

Now You See It (4)

There again, I did say only until the next election.

So half way through my first term, which was mainly full of bad economic news, I am beginning to worry that I may not get re-elected.    Let’s dust of that £140 pension idea and start all over again.

(See my earlier blogs “THE £140 PENSION ILLUSION” in the TAG CLOUD).

Posted in ELDERLY UK POLICY, Pensions | Tagged , | 3 Comments

“Pension Cuts on the Way”

Posted on January 19, 2013 by john graham

Either I must be psychic, which I doubt, or the Prime Minister, the Secretary of State for Works and Pensions – Mr Ian Duncan-Smith and just about the whole of the Conservative Party, and the Editor of The Times, must be reading my GrumbleSmiles blog.   None of this can be true !

So it must be just a remarkable coincidence that only hours after I wrote two blogs on the £140 Pension (click on “NOW YOU SEE IT” and “NOW YOU DON’T” or find “A WEALTH LADDER” in TAG CLOUD).   There before your very eyes on the front page of The Times is a headline “PENSIONERS BENEFIT CUT”.

The softening up process has just begun.   We are being sounded out about cuts to pensioners’ allowances.

The £10 Christmas bonus – a bribe by Gordon Brown many years ago when £10 meant something.   Easy to give but harder to take away than Chicken Chow Mein.   All pensioners get it in their state pension, but it is certain to be the first disappearing trick.

  • Winter Fuel Allowances

This costs £2.2 billion a year and is worth between £100 and £300 to pensioner households, dependant on age and the number of pensioners in the house.   Six million pensioners live in fuel poverty and with energy costs rising rapidly, this is a very important benefit to the 1.7 million living below the poverty line.

It is paid with the universal pension so it has a high take up, which is why it is tantalisingly important to the Chancellor of the Exchequer to claw back.

  • The Cold Weather Payments

Both Winter Fuel Allowances and Cold Weather Payments are almost certain to go in a snow flurry of talk about global warming.   They are a Godsend to pensioners living in fuel poverty, but will hardly be missed by wealthier pensioners or those living in Spain who also get them.   They are harder to claw back, because means testing more people would be expensive so they are most likely to go altogether and be used to pay toward a higher universal pension.

  • Free Bus Pass

No loss to wealthier pensioners who probably do not use buses anyway, but a real loss of opportunity to the poorest which will significantly increase social isolation.

  • Free T V Licences

Again makes no sense to give these to wealthier pensioners but an extremely emotive issue to withdraw.    Possibly could be clawed back in future and lost in the muddle of free internet access to T V Programmes.

Ironically the recent argument about removing child benefit from higher paid parents paves the way for the same argument to be deployed in relation to their being no justification for wealthier pensioners receiving welfare payments beyond the universal state pension.   The problem for the Government is not whether to do it, it is just about when and how.

The how is answered by introducing the magic of £140 universal pension (soon to be £155).  Except, soon means no earlier than 2015 and it may well not apply to existing pensioners, only people who reach retirement age after 2015.

Just to add fog and confusion to the arguement, different figures are used by a variety of politicians in the same party.   The new magic pension is £140 or £155 or £160 and will be paid any time from 2015 to 2016 t0 2017.

The cuts are definitely coming but will be offset by a higher basic pension.   The power of the grey vote may just allow existing pensioners to escape the cuts, but it will be a close call.  None the less they certainly will not likely be any better off.

                          There’s the £140 Pension Illusion !

Posted in ELDERLY UK POLICY, Pensions | Tagged , | 3 Comments

“A Health Ladder ” Second Step

Posted on January 17, 2013 by john graham

(For earlier blogs on this subject, click in the TAG CLOUD on “Befuddled”)

I stopped because my mind was temporarily blocked.    ” Befuddled” by too many thoughts.    So I did an easy Sudoku.    Moved my brain to the other side and stepped into a familiar routine.    A simple logical set of processes with its own snakes and ladders,  false steps  and right steps,   but steady progress   and successful one by one steps paid off.     The puzzle was quickly completed.

Stop, take a deep breath, think again.  In retirement one thing that is free and abundent is that  —–   You have more time

Then I realised I had taken the first step on the health ladder.    Not the step I had planned but an all important first step.

Posted in Grey Products, HEALTH | Tagged | 2 Comments