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      12-27-2012, 08:21 AM   #36
Mike in Hampshire

Drives: None at present!
Join Date: Jun 2009
Location: England

iTrader: (1)

Originally Posted by SteveC View Post
What most people probably don't realize is the degree to which excess Government spending, quantitative easing and the Euro crisis has impacted saving's ability to generate income. Combine this with new legislation that limits pension pots and contributions and you've got a perfect recipe for old age poverty for millions who to this day may be looking forward to retirement with eager anticipation.
It's a fair point SteveC, and I agree with most of your analysis. Several friends of mine (i.e. mid-40's to early 50's) have long since lost faith in equity based schemes that only work if the stock market grows forever. In addition, no-one trusts politicians of any party to get pensions legislation right.
What do the people I know do? The following:
Try and stay healthy - no-one can promise this of course, but IMHO we're going to be working well into our late 60's and we need to be healthy to do that. Good diet, exercise within reason....and strictly no smoking. No-one I know is a regular smoker.......
Pay off debts where possible, especially the mortgage
Invest in property, e.g. for offspring in university towns
Keep the six year old 335i rather than buy an X5 40d!!!

I realise this may sound smug, it's not meant that way. Just my observations about, well, this corner of the world. I completely accept that the above isn't possible for most.
But maybe more people than you think (?) share your pessimism and have already made alternative plans.
Good thread by the way.