Should we work until we are 68?

This week the government will argue that the state pension age should be raised to 68 when it publishes its long-awaited pensions white paper.

The suggestion is likely to provoke howls of outrage from those who are opposed to it. But it doesn’t bother me in the slightest.

It seems like simple logic. Most of us are living longer and pensions are getting more expensive so something has to give. 

Of course, we could all pay higher taxes. But I’d rather work a few more years to cover the cost.

The unions have been particularly vocal in their opposition to the idea of extending the retirement age. But it’s time they woke up to reality.

What’s wrong with working a few more years when we’re living much longer. In the 1950s men who made it to the age of 65 could expect to live another 12 years. Now, it’s another 19 years.

And if you save enough during your working life there is nothing to stop you retiring before the state pension age. You can take benefits from a private pension from the age of 50 – 55 from 2010.

But enough about what I think. Times Online is carrying out a poll of readers' views on the issue. Click here to vote or post your comments below.

Comments

[Oliver Dowding]

Of course we should work on, albeit not necessarily at the same pace.
That some may feel health challenged about this is more connected to their lousy diet while allegedly in the fit years when they are working age.
Get the diet sorted, work and play hard, and enjoy.
Its not rocket science, but oh how so many seem to love to over-complicate....

[derek bevan]

Its Ok for the likes of you sitting on your A---,all your life,but what about the WORKERS !

[Martin Bamford - Independent Financial Adviser]

It makes perfect sense to raise the State Pension age and this should have been done a long time ago to recognise rising life expectancy. All this talk of having to work for longer is, of course, rubbish.

You will only have to work for longer if you want the State to support you in retirement. You will only have to work longer if you keep finding excuses not to make private provision for your retirement. You will only have work longer if you keep burying your head in the sand over pensions and retirement planning.

The Government took a bold step today which will hopefully help people to wake up to the personal responsibility needed when it comes not only to pensions but all financial planning.

[Jill Wigham]

Surely the solution is to work from 64/5 on a sliding scale. 4 days a week 65/66 then 3 days a week 66/67 and 2 days a week 67/68. There are some manual jobs and those such as teaching 4-7 year olds / games teaching / which involve physical energy levels quite beyond someone 66 +. A sliding scale would also allow job share with parents of young children. Many women teachers stop teaching full time -this would allow them to part-time share with a retiring teacher.

[Mike Newland]

Telling people to work to 68 if reasonable in the face of increased life expectancy. But it it also very glib without planning for a revolution in workplace practice.

How often does it need to be said? Employers often turn their noses up at people in their forties. Where are all these people going to work? How many people between 60 and 65 do you see working dear reader - let alone older than that?

I see no sign of any change in workplace culture substantial enough to deal with the army of those expected to continue working. The new age discrimination regulations will help but one doubts whether the effect will be great enough on its own.

It looks to me as though the new retirement age will be a theoretical number far removed from the real age of ceasing work in most cases. Same as the old retirement age in fact.

Won't get fooled again....

[Brian Roberts]

The increase in pensionable age should depend on your career path. If you are in a profession which requires physical strength (building)or is highly stressful career like teaching,then you should be encouraged to retire earlier. Those in Civil servant positons could probably work on into their 70's.

[Kevin Batten]

Are we forgetting that this problem was created by this morally bankrupt and corrupt government. The middle class earners are constantly penalised with stealth tax increases....I wish I had enough left of my wages to save !!...but of course Tony and his cronies have provided amply for themselves....the trough just gets bigger and bigger for their snouts !!

[Northside Raymie]

Just what are The 2 B's upto? In 1978 a new System of collecting NI contributions was brought into effect, and we paid a %age of our earnings in NIC's (this is now 11% and Employers pay another 11%), meaning that for every £ we earn the government gets 22p, then to add insult to injury they deduct Income Tax on the Whole of your earnings, includig that portion taken for NICs (Effectively taxing you twice on that part of your earnings) for what?
Well originally the %age based NICs gave a lot of benefits, Such as an Earnings related pension linked to Average earnings, also Earnings related Unemployment benefit , and Earnings related Ill Health benefit. all scraped by Magie (The Snatcher) Thatcher, and promised by Labour, to be reinstated when they gained power. So dear friends YOU ALREADY ARE paying for the benefits that are being denied to you by this present New Labour, Old Tory Government led by Mr Tory Blair aka Maggie in drag, and being promised to you one more time, some time in the future, 'If it is affordable' well it is 'affordable' now,. But and it's a big But this preaent administration are not interested in YOU only themselves, and want you to work longer (or DIE earlier) so they do not have to honour this latest lot of lies.
So dear friends if you want them to change thier minds E mail your MP, and Tory Blair, and tell them ENOUGH IS ENOUGH and they should USE THE 22p in every pound that your Stealing from our earnings to pay these benefits NOW, and NO we don't want an increase in the Retiremenr age we want a DECREASE everyone should be able to retire and live with dignity at 60 NOT 68.

[david gardner]

who on earth wants to work on after 65?
I retired early[64] and wish it had been much earlier [possibly 4 years earlier].My basic state pension is rather pathetic..but i always knew it would be and made other provisions.
We are heading toward a two group country..those who retire at 60 [and some much earlier]and the group who have to work till they drop to support them.Gordon is a very clever man..he has reduced the real jobs in industry by a million and increased the sit on your a*** jobs by a similar amount.jobs will be lost..self employed will attemt to stop gov keeping their money by devious means.would it not have been simpler to put the £5 billion a year back into pension funds which were the envy of many countries [till gordie got his paws on them]

[Joan]

This is all very well for persons earning a good salary & able to put MORE & MORE into pension schemes, but some lowly paid workers need all their pay to exist in this country Taxes & MORE taxes

[R Cooper]

I am a pensioner of 72 years old,i have a small works pension.i live with my wife who only qualifies for asmall state pension.i pay no income tax,because i dont earn enough,my wife and i are being means tested like so many more of us,border line case they say,we pay the full amount of council tax and qualify for nothing.as the law stands mr brown and mr blair and and all rich people qualify for family allowance.do they really need it.A student going to college has to pay back loans for their education.look at the money this country would save if they stopped the family allowance from the wealthy.its just more money in the bank for them.

[Mark Newton]

Why should anyone make financial plans for retirement, when their pension contributions are taxed and the eventual annuities yield little more than a deposit account. (and you have lost the capital) Far better to enjoy yourself now and spend your money and when you retire you benefit from the minimum pension guarantee. When you eventualy land up in a nursing home, the local council pays the bill and even gives you pocket money, wheras if you have any assets left they all go in nursing home charges. Play the system just like the politicians want you to !!!

[r kleypas-sparrow]

I am 43 this October and my husband is 53. He is already in a full-time job looking after me, as I am disabled. When he reaches 68 he loses his carer's allowance and is unsure how long his pension will run for as he has been looking after me for a number of years. By the time his is 68, I will be 10 years behind him chronologically speaking. Whata support is there for pensioners caring for their spouses and children and what financial future can they secure?

[Andy MxNeill]

Are pensions simple?
The general perception is 'no' but I think they could be.
Individul contribution 6% of earned income
Employer contribution 12% of earned income
Tax relief added to the total sum.
Invest in Building Society bond at 5% which would become 6.25% interest after tax relief.
Individual resticted to taking pension after 55 as per new legislation or when pension income exceeds minimum level of state old age pension
Pension fund is the property of the individual, safe and predictable,
So why are they complicated???????

[ron McDon]

22 billion on trident
plus 10 billion on the Unicorn olympics,that would go a hell of a way to sorting out a decent pension for all (except those who havent paid in all their working lives)

[Barb]

I started work at 15 years of age, I'm 60 now, I'm tired, I want my $20 pension that I'm supposed to live on for the rest of my life, of course if I came from another Country and had 10 kids and 15 cousins in tow I could get whatever I wanted!!

What happened to this Country????
Blair