State pension means testing; What you need to know

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Published 2024-05-04
Everyone gets the same amount of state pension regardless how wealthy you are. As long as you’ve paid 35 years of national insurance contributions that is. But what if this were to change in the future such that the amount you get depends on how much other income you have.
In this video, go through the likelihood of the state pension being means tested and what it could mean for you if it does.

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Video on why the state pension is a benefit
   • The state pension is a benefit ; the ...  

timestamps
0:00 intro
1:23 the current picture for the state pension
2:22 what portion of retirement income is it?
4:24 should everyone get the same?
8:47 what could means testing look like?
11:11 would means testing discourage pension saving?

All Comments (21)
  • @1963dalek
    The problem I have with this is the people who have saved and gone without to make provision are penalised. The people who have not, get the reward. That's never right.
  • @Jack-wk7yi
    If state pension becomes means tested. There is no point saving. Just piss it all up the walls. Then you will get a state pension.
  • @jaybo8136
    The government has to stop penalising the working
  • @HodgeChris
    Am 58 retiring next year but the thought of retirement gives me weakness. My apologies to everyone who have retired and filing social security during this time after putting in all those years of work just to lose everything to a problem you never imagined to happen. It’s so difficult for people who are retired and have no savings or loved ones to fall back on.
  • @SirHargreeves
    God bless this country. Once again, you pay more and more in but get less and less out.
  • @advent3774
    Yes I get the full pension having worked 51 years , Left school at 15 , Never long enough out of work to bother with trying to get any social security or dole money, always taught to to look after myself , Built my own house at 25 years old , 4 bed, 2 bathrooms on a 350 square meter plot. I worked 7 days a week to do this to give my family a decent home, was a bricklayer, now retired, 68 years old, My wife 69 looked after my daughters children for all the years she was working to give them a chance to better themselves and then when it came to retirement she was denied a full pension, yet lazy Bar-stewards who never worked a day in their lives, get a full pension!
  • @rubberyowen1469
    I already am means tested. Having a works pension that combined with the state pension I have to pay income tax because the two combined take me over the tax free threshhold. You can't beat the system, happy days as usual. DOB 1956.
  • @buddydoodle417
    Yes, it doesn’t matter how wealthy you are you when you retire, you still worked for the pension
  • @TravellingMan20
    The money that the government spends on pensions…already one of the lowest in Europe…is dwarfed by the billions it wastes on hotels for immigrants, and the benefits paid to them after contributing absolutely nothing. Add that to the billions wasted on PPE, foreign aid to countries like China and India, and you understand how badly taxpayers money has been squandered.
  • @rvp589
    Yes... everyone that has paid in should get the same amount regardless of savings and windfalls. The problem is... with savings etc... you have no idea how long they will last... especially with politicians mismanagement of the economy. Stop trying to claw back money from pensions to compensate for over spending on Woke issues and Immigrants . Leave pensions exactly as they are... stop frittering away tax payers money on virtual signalling... foreign aid... migrants... and we wouldnt need this conversation... The main problem is a population of nearly 70 million of which only approx 10% Work and pay tax... stop importing poverty.
  • If you have worked all your working life and paid in full, of course you should receive the full amount, it is your pension money!!!! As an example an asylum seeker gets £49.18 per week which is not far of pension allowance , free acomodation, free NHS …. That’s where our pension money is going?
  • Along with most other comments on here, i would be against means testing the state pension. I worked ridiculously long hours, lived frugally so i could put money in a pension, never a high earner. People next door could have done the same but chose to go on long haul holidays, replace their car regularly, upgrade their kitchen. It cant be right to penalise savers by subsidising spendthrifts
  • This is a very slippery road to go down . Why should people who plan for their retirement be penalised in order to give those who haven’t more money . State pension is slightly less than a 3rd of what I earn now . With my other pensions I won’t even achieve what I earn now . I would probably fail the means test because my home is paid for . Which again seems unfair as I e planned this to make my retirement comfortable not rich . It aggravates me that I have paid so much in taxes throughout my life and I have saved only to be shafted by government civil servants and MPS who will all have final salary pensions and large bonus payments . Just saying
  • @aficio698
    Perhaps for starters we shud look at the golden pensions paid to ministers and civil servants. Funded at great cost by the tax payer. Then look to reducing the state pension.
  • In the 70’s we paid taxes and we had NHS dental care; public care homes for the elderly; a good affordable transport system; people retired at 60 for women and 65 for men; affordable housing, either private or rental, free higher education; legal aid, and I could go on and on. We have lost so much, yet we pay much more tax and get a lot less. I would guess that most people look forward to retirement, particularly those whose jobs offer little in stimulation and are heavy work. To suggest that the state pension is means tested is an insult to the public they are supposed to represent. Especially in the light of the money wasted on a flu virus and these terrible wars. It’s anti human. It is absolutely clear that the government do not want our children to inherit.
  • @pose-x
    Theres a lot of pple who worked over 36 years have died b4 collecting their pension That is never taken into account The government gets to keep that no questions asked!!!
  • @mrdan7740
    Abolish the state pension, and the government will face 30 million Guy Fawkes.
  • @JohnJones-cp4wh
    If that`s the case, all contributions made to state should be returned with interest.
  • I believe everybody should get the same amount of state pension for years they have been contributed regardless of personal wealth, people can be savers or spenders, savers should not be penalised. For this to change we need a very long timescale and clear choices not to contribute to NI and make own arrangements with those contributions.
  • @loosewheels1000
    What about looking at the 100,000 a year an ex PM gets on top of their pension . plus a state pension