I paid my mortgage off in 2021 when they said the interest rates where going up, i had been saving for 3 years for a new car but instead took out a loan over 2 years and with money i had saved paid it off ,if i had not done that i would still be paying £460 ++ a month til 2029 , i worked most weeks between 45 to 60 hours (hgv driving) before that and was paying extra off the mortgage every month ,when the final loan payment came off i can honestly say i felt a weight had lifted off my shoulders now work in warehouse and do 40 hours.
Well done Alan, your home is a rock solid investment, never sell up, its always a place of safety financially as well as physically. Always love a story of someone beating the system.
Well done. I'm overpaying my mortgage with the goal to have it paid off in 9 years, instead of the 22 year term. 9 years because that's when my 1st born turns 18 and want to be able to support (not spoil) my kids in their first steps into adulthood.
Most women want a man for what they can get out of him. There are exceptions, like my missus, but most women I've met, would drop me if they couldn't see a solvent future.
Youre life path has mirrored mine 100% Im now mortgage free..58 years of age retired and debt free...ive really enjoyed watching youre videos esp in the filipines and now back home...youre views on life are spot on with mine...keep up the great vids mate..👍👏
People don't even try to overpay their mortgage these days , just a little and often knocks years off ... don't buy things you can't afford , like cars ,holidays, phones etc , just pay off mortgage instead ... wish I had done this years ago .... well done Alan
Probably because a lot of people took out massive mortgages near the limit of what they could afford, so over owing isn't always an option if there earnings go up for example. I am doing with mine though so will pay it off by my mid 40s
You purchased your house at exactly the right time. I did something similar Alan, in late 2017 I bought 50% of this property with a mortgage and paid rent on the other 50% at a nominal rent of of £235 a month. I paid off the mortgage within 6 years and then I staircased another 10% of the property this year now the rent is @ £194. I'm due to own the whole house by late 2028 and every time I buy more the rent gets cheaper. Thankgod I'm not renting on the open market right now, that market has gone nuts.
@@skylarius3757 I was lucky and got an older house at a good deal. Most of these current shared ownership deals are on brand new houses and are overpriced. I wish you the best of fortune on what you choose to do, whatever that is.
The "free money " private pension contributions were originally deducted from your salary. I'm glad you're sorted now. I paid mine off early around 2018, after a divorced involved selling the family home, proceeds split 50/50, mine went towards a smaller home & I was able to make additional payments on that mortgage to get it cleared early. A huge weight off your shoulders. And when you've become single & the sole earner, it's a real worry until the mortgage is paid - what if a bad health condition arises. No-one else to bail you out.
Huge respect and thanks to Alan sharing this fascinating video!!! Life has many challenges from day to day and can be $hit! But very occasionally good luck can come your way, and when it does, grasp it with both hands and enjoy! Alan deserves some good times! Keep on keeping on!!!
thanks alan, appreciate your comment and yes you are right, keep keeping on, sharing these real life stories apart from entertainment also can act as important information to certain people who may have similar experiences, have a good one alan😊
Hi mate, I did the same thing (opt-out). I forgot all about this until I came to live in the Philippines. It's worth quite a lot of money now. I do have private and company pensions too. I am glad I took my advisors advice back in the 80's. All the best mate. Simon
Well thank god for the man on the end of the phone for him to have found that serps money. Well done Allan for paying your mortgage off. Nice when you get the deeds of the house hay.
Hi Alan! We have a lot in common, I also lived in my van to save money while working. (It's 25 years old now, but I'm still afraid to sell it in case I need it). I have a filipina girlfriend and a Ford Mondeo mk4 (I started following you, because of the car mechanic tutorial videos was very useful about them) Big hugs from Hungary!
yes you do what you need to do to get ahead, not easy living in a van but if you have a goal ahead then hopefully it will all be worth it, all the best to you😊
I got my mortgage after a divorce , the advisor said 25 yr term best, I said how much is the difference between 25 /20/15 yrs , I was borrowing 36k in 2000, it was £40 per month extra to save 5 yrs and £80 a month to save 10 yrs payments, no brainer, started at 15 yrs , then chopped and changed later ,saved another yrs term without increasing payments by changing mortgage company , mortgage free at 53 , good on you Alan , get it paid off early if it can be done I say
WOW, excellent mate, well done, I'm so happy for you Lad I've been following you for a very long time,. miss them Ford Mondeo video 🤣🤣🤣🤣🤣 All the best mate 👍👍👍👍👍👍👍👍👍
@@chrisj6321 A must for any Ford Mondeo owner up-to certain reg, I immensely enjoyed his videos working on taxis, very informative & entertaining for an old man of my age of 64, I used to work on cars (mostly bodywork) before becoming a taxi driver🤣🤣🤣🤣🤣
Great video! If nothing changes for me my mortgage will be done just before my 70th birthday. But any extra money that frees up goes towards overpaying. Everything going to plan I’ll be done just after my 60th birthday which will free up a significant chunk of cash
I opted out of serps, worked in favour for me as I gained financially from this being put into my personal pension and I still have a full state pension.
Yes same with me too. I often wondered if I would qualify for the full state pension, but I also logged onto my Government Gateway as Alan also did, and also for me I'd be entitled to the full state pension, as well as the personal pension.
Well done Allan your right most of this life is a big con you just have to be smart enough to work out how to not get done. By the government and the jail sentence of a mortgage. All designed to keep up down you escaped the matrix.
Missed out on buying an RS500 cosworth years ago......early 90s could have been my pension now... luckily I do have a pvt pension too... good story from you as usual Alan N x
Alan I’m sure your financial advisors have made you aware that the 40% taxation on your withdraw is only after you have exhausted your earnings within the financial year. ie if you haven’t earned anything then you are allowed your personnel allowance, then earnings after that at 20% until you reach the threshold of 40% . Good luck in your future endeavours your a Good Man 👍 And yes 25% of the pot is tax free
thanks tr,😊.. i think i will pull a livestream on saturday eveningas.. there is more, my wages after the pension withdrawal were then taxed at 40%.. i was warned of this but after i phoned hmrc and basically told they could do nothing till the new financial year.... all of a sudden they refunded my wages that they had taxed at 40% and all was back to normal,,wtf, but it worked out well😁
Great video, thanks for sharing your life story. worked my nuts off and paid off the mortgage off early so able to invest the remaining earnings which has enabled me to look into options with living in the philippines. Kind of fell into it but worked out well and given me now options. In the Philippines now but will go back to work a little bit more to go into investments. Like yourself found the dating - women options in the UK not very good. They can be alot better in the Philippines.
No better feeling than paying the mortgage off early,had mine payed 12 years earlier at the age of 38,can’t say I’m much richer but have a much better lifestyle now
Totally get your decision. I did the same to buy a plot of land. Yes I paid 40% but the price of the land is only going one way😊. As regards to your state pension it very much depends on how long you have been working. If you don’t opt out it takes 35 years to accrue your full state pension. If you carry on working then you will keep topping up your amount. I opted out but I will get my full pension. However I have had to wait 9 extra years to get it. The advice they gave you wasn’t necessarily wrong. They just did not know your circumstances
@@phil6465yeah, normal income for that tax year. Thus the remaining 75% pension monies added to your normal earned income would undoubtedly take a very good part of your overall yearly combined taxable income well over and into the 40% tax bracket if not higher.
Double edge sword here and plenty of luck. The short story is that your were fortunate or lucky as you put it that none of your previous relationships got hold of that private pension. You turnaround here is that you raised how easy life can be without debt and not a slave to interest. Very well done.
Great to hear a good news story, I'm just finishing my mortgage next year, but I have no idea what happens, do they just send you the deeds, do you need to contact land registry, do you need a solicitor to close, I can't seem to f8nd this information anywhere, any pointers or advice would be welcome, obviously I'm in the UK too, thanks in advance to any help.
Your bank or mortgage lender will deal with this. They usually send you a letter confirmation it's now paid. If you have a new house deeds are held electronically so you may not even get any. If it's an older house they may arrange to send you the deed or if you agree to pay a small ongoing fee hold them securely for you. Best to speak directly to your mortgage lender and they'll confirm in your situation.
when you took money did the use emergency tax. i also contracted out. but mine got kept in my private pension when i got put back in serps im same i will get full pension.. l was told 3 years ago that i could not touch that part of money till state pension age . I'm wanting to use my pension to buy my council house. ill be same 40% tax. they said they use emergency tax on first withdraw. good info vid this
Good on ya, Alan, you would have been worse off had you not opted out or paid it back into the NI pot, it's the same if you pay any NI over 34 years the pension doesn't increase anymore.
I also had serps and when I retired was not sure how to find out about it. But fortunately I was contacted by the company that was finally dealing with it 3rd or 4th. But they said it was up to them to contact through your national insurance number number. Something that never changes
Alan, the pension forecast you showed is exactly the same as mine (and lots of other people), I assume you have read the next green box underneath the screen shot you showed at @ 21.00 which shows what you are entitled to with your NI contributions to date. It says “Estimate based on your national insurance record up to 5th @April 2024” and beneath that is another green box which should tell you if you need to contribute any more years. If your estimate based up to 2024 = £221.20 then great, but if it is below this you will have to contribute more years of NI. I’m just making this comment because I hope you have read it correctly. Cheers.
@@alan4x thanks for replying, that’s put my mind at rest. Where I used to work a lot of people retired early because the Company pension was good but were still disappointed to find out they weren’t entitled to the full state pension because they didn’t have 35 years NI contribution.
@@stewy62ahh yes that makes sense. Difficult to know what to do sometimes but worth getting professional advice especially when trying to figure out what your pension options could be
HI ALAN i hope again you are more happy now in philipine,new life,buti have one question for you: what is mean ON ford mondeo mk4 ,,P02E1-intake air flow ,a, control preformance??? i changed throtle valve,air intake,all new,but still apear after 5-10min and few re start engine? i cleaned today EGR,not so dirty,nobody explain whereis the problem,i know you are expert ,can you help,please???
Nice one. What are you going to do with the spare cash? Are you going to save any of it up in an isa say? Do you have any other private pensions to suplime t the state pension when you do retire
That's crazy. But it's not free Alan you worked for it. You earned it. I guess you worked enough years to get your state pension anyway. Regardless you've been lucky. Good on you and well done 👍
Hi Alan thanks for sharing your story with us. Seems it's very easy to lose your pension money to the bankers? Trying now to find a goid house purchase route for my adult children. Anyone got a good suggestions pls?
i believe buying a second house would be better than a pension scheme but in todays market the opportunities that once were are no more. my advise would be to save as much as possible and dont waste money on the latest and greatest just to keep up with the joneses. have the save money mindset from a young age and if possible invest if you dare or put into set term saving plans that offer good interest rates, have a good day
hi john, hell yes i do, that is where i want t be but for the moment here in england i will get tyler established with a career while i hatch out my next trip, have a great day
Hi Alan, I have private pension close to your amount,you say with the tax you claimed back, can you advise how you claim tax back.Mine around 120000,32000 tax free then 40% on the reminder,can I do something so I don't pay 40% or wait another 5 years until I'm 65 and collect it tax free, if anyone reading this can advise please do so...
I am not a financial advisor. Some pension schemes have different rules about what you can do with your money but I’m pretty sure that if you wanted all your pension at once then 25 % would be tax free and the remainder taxed as normal income. Let’s assume you had stopped working and had no other earnings in that financial year. You would get a further £12,570 tax free I.e. your personal allowance, the next £37,700 will be taxed at 20 % and the next £74,869 at 40 %. Above that it would be 45 %. If you worked in the same year and say earned £20,000-£30,000 and took all your pension at once then you are going to get clobbered with tax as a lot of your pension will fall into the 40 % tax rate. Far better if you want to take it out fairly quickly (assuming your pension provider allows it) would be to take no more than £50,000 out in any one year to prevent your tax going above 20 % (in the first year you could of course take out the 25 % tax free plus a further £50,000 (assuming you had no other earnings, otherwise you will be paying 40 % on some of it). I apologise if you already knew all of this. All the best.
hi easton, i think in all honesty. rather than me try to advise and quite possibly getting it wrong i strongly advise you to contact the pension specialists who i am sure will give you a free consultation and advise you professionally on all your questions, have a good one. www.wealthtime.com/investors/contact/
I’m just wondering, if you only took out the 20% tax free every year and put it towards the mortgage, would you have been able to pay off your mortgage without paying the tax on the pension, and not having to put any of your own saving in, and the 20% covering the annual re payments?
you only get 25% of your total pension tax free, the rest is taxable but taking out small amounts in subsequent years will keep the amount of tax you pay low
If you don't have a job you could draw out 12 odd k a year tax free from the pension pot up to the income tax allowance. I reckon without a mortgage a grand a month to live on is do-oable.
Hi Alan, I saw this with interest. I think that the “contracted out” part you mentioned only related to the SERPS element of the state pension - with is/was an earnings related addition to the main state pension. That would explain what’s happened, but does pose the question as to what happened to any SERPS contributions that you, I & many others made before contracting out? Short of stopping paying NI, I don’t think you can stop paying into the main state pension fund which is pretty much time related as opposed to an actual amount. Good luck. Have you stumbled across any Mondeos in the Philipines?
£901 a month pension but it is not that big a loss. Everyone circumstances are different I only took 20% of mine and used the pension to top up my state pension. Warning to anyone is the fact I got a lot of advisors who would have lined their own pockets and some gave very poor advice. You are right, sometimes you just need to do what is right for you. I only have £20000 and only a few years to pay on my mortgage so what I did was very different to you
Interesting. If you have done 35 years of NI contributions then you will get full state pension. It may have been a mix of NI and private pension maybe initially.
yes that 35 full years of ni should get you a full state pension but have read in the past that by contracting out you would not receive the full pension which is why i find this interesting
Lucky you alan i called cos they say im 11 years short and had a private pension ,which i cashed in ,i get my state pension ,in 2026 mmm ,ive called them and they said i can pay class 3 ,£8000 ,no way i will pay ,im of to live in philippines soon ,and live of ,what ever i get on my state pension ,im currentlyblivin in my vauxhall combo not good but saved a little money 😢
hi skyl, from 2004 until 2009 i had no fixed address and lived on the edge of society apart from always having an income but the rough times have made me appreciate the good times more..think i will carry this on next weekend with a livestream and go further into it🤣have a great day
"its a weight off your mind" as you say Alan , when you are mortgage free . your quality of life is much better without a bloody mortgage hanging over your head
Allan Great story but be aware you will only get the full state pension if you pay national insurance right up to the cut off date of 67 . I took redundancy age 61 having paid in over 42 years of NI didnt bother to sign on the dole or look for job as i had a private pension as a form of income.As a result my state pension is below the original forcast.
I contracted out of SERPS in 1988. My money was in Norwich Union, now AVIVA. I'm drawing on it now. You should have been receiving annual statements as to how your pension was progressing. I can't understand how you didn't know where it was going?
Sorry, but Allan's pension contributions were not taxed at the time he made them. No one pays tax on pension contributions. If you do not make pension contributions, you will be taxed on the full amount you earn, that is the point of having a pension, to not pay tax on income. If Allan took the money after he retired at age 68 , and counting, as a monthly pension he would not pay tax until he went over the personal allowance currently £12500.00 He would benefit from his partners allowance being added to his if his partner earned less than her allowance of 12500, but as Allan seems single at the moment, this would not apply., and also he has already taken his pension so must rely on the state pension and any other pension he may accrue in the meantime.
![[DRAGON BALL LEGENDS REVEALS ＆ STUFF] LEGENDS FESTIVAL 2024 Special Edition Part 2](http://i.ytimg.com/vi/af0phKxitX8/mqdefault.jpg)
The main reason finances isn't taught in school is so people don't understand how money works, what a result mate great to hear stories like this
The government and schools don’t really want people understanding money…
You are taught to work for someone, not make money for yourself.
I paid my mortgage off in 2021 when they said the interest rates where going up, i had been saving for 3 years for a new car but instead took out a loan over 2 years and with money i had saved paid it off ,if i had not done that i would still be paying £460 ++ a month til 2029 , i worked most weeks between 45 to 60 hours (hgv driving) before that and was paying extra off the mortgage every month ,when the final loan payment came off i can honestly say i felt a weight had lifted off my shoulders now work in warehouse and do 40 hours.
Well done, did similar, drive old cars , have crap phones, caravan holidays but i won't be working until I'm 80.
you have certainly got the right idea, have a great day😊
Well done Alan, your home is a rock solid investment, never sell up, its always a place of safety financially as well as physically. Always love a story of someone beating the system.
Well done. I'm overpaying my mortgage with the goal to have it paid off in 9 years, instead of the 22 year term. 9 years because that's when my 1st born turns 18 and want to be able to support (not spoil) my kids in their first steps into adulthood.
Glad for you, well done 👏🏻
Moral to this story, average with money but shit with Women. Welcome to the club!!
Same here 👍
Most women want a man for what they can get out of him. There are exceptions, like my missus, but most women I've met, would drop me if they couldn't see a solvent future.
Youre life path has mirrored mine 100%
Im now mortgage free..58 years of age retired and debt free...ive really enjoyed watching youre videos esp in the filipines and now back home...youre views on life are spot on with mine...keep up the great vids mate..👍👏
Good on you Alan from Australia. Just upgraded from a mk4 to a mk5 is my small victory. Keep on keeping on brother!
You've had some ups and downs mate but you've battled hard and worked bloody hard and came out smiling. Well done Sir ! 👏 💪👌👍🏻
People don't even try to overpay their mortgage these days , just a little and often knocks years off ... don't buy things you can't afford , like cars ,holidays, phones etc , just pay off mortgage instead ... wish I had done this years ago .... well done Alan
tell that to my wife lol
Probably because a lot of people took out massive mortgages near the limit of what they could afford, so over owing isn't always an option if there earnings go up for example. I am doing with mine though so will pay it off by my mid 40s
Great vlog Allan... thank you for the very important information regarding yourself opting out of SERPS...
I've shared this blog with a family member. Great story listening to both your hardship and luck👍
You purchased your house at exactly the right time. I did something similar Alan, in late 2017 I bought 50% of this property with a mortgage and paid rent on the other 50% at a nominal rent of of £235 a month. I paid off the mortgage within 6 years and then I staircased another 10% of the property this year now the rent is @ £194. I'm due to own the whole house by late 2028 and every time I buy more the rent gets cheaper. Thankgod I'm not renting on the open market right now, that market has gone nuts.
When i look at properties that I would like to buy it seems that shared ownership is my only option.
@@skylarius3757 I was lucky and got an older house at a good deal. Most of these current shared ownership deals are on brand new houses and are overpriced. I wish you the best of fortune on what you choose to do, whatever that is.
Well done Alan, and thankyou for this video, I’m sure a lot of viewers will find it very helpful
The "free money " private pension contributions were originally deducted from your salary. I'm glad you're sorted now. I paid mine off early around 2018, after a divorced involved selling the family home, proceeds split 50/50, mine went towards a smaller home & I was able to make additional payments on that mortgage to get it cleared early. A huge weight off your shoulders. And when you've become single & the sole earner, it's a real worry until the mortgage is paid - what if a bad health condition arises. No-one else to bail you out.
Well done, you ! It's lovely to hear a good luck story for a change !
Huge respect and thanks to Alan sharing this fascinating video!!! Life has many challenges from day to day and can be $hit! But very occasionally good luck can come your way, and when it does, grasp it with both hands and enjoy! Alan deserves some good times! Keep on keeping on!!!
thanks alan, appreciate your comment and yes you are right, keep keeping on, sharing these real life stories apart from entertainment also can act as important information to certain people who may have similar experiences, have a good one alan😊
Thanks for sharing your story Alan. All the best.😊
Hi mate,
I did the same thing (opt-out). I forgot all about this until I came to live in the Philippines. It's worth quite a lot of money now. I do have private and company pensions too.
I am glad I took my advisors advice back in the 80's.
All the best mate.
Simon
well done alan great result.
Alan, you’re a sharp cookie when it comes to finances. More videos like this please!
Well thank god for the man on the end of the phone for him to have found that serps money. Well done Allan for paying your mortgage off. Nice when you get the deeds of the house hay.
well done alan, you deserve it, you work hard, so im pleased for you 🙂
Hi Alan! We have a lot in common, I also lived in my van to save money while working. (It's 25 years old now, but I'm still afraid to sell it in case I need it). I have a filipina girlfriend and a Ford Mondeo mk4 (I started following you, because of the car mechanic tutorial videos was very useful about them) Big hugs from Hungary!
yes you do what you need to do to get ahead, not easy living in a van but if you have a goal ahead then hopefully it will all be worth it, all the best to you😊
I got my mortgage after a divorce , the advisor said 25 yr term best, I said how much is the difference between 25 /20/15 yrs , I was borrowing 36k in 2000, it was £40 per month extra to save 5 yrs and £80 a month to save 10 yrs payments, no brainer, started at 15 yrs , then chopped and changed later ,saved another yrs term without increasing payments by changing mortgage company , mortgage free at 53 , good on you Alan , get it paid off early if it can be done I say
WOW, excellent mate, well done, I'm so happy for you Lad
I've been following you for a very long time,. miss them Ford Mondeo video 🤣🤣🤣🤣🤣
All the best mate
👍👍👍👍👍👍👍👍👍
I wonder if that is why this has come up on my feed. I own a Ford mondeo maybe i watched some of his videos in the past
@@chrisj6321 A must for any Ford Mondeo owner up-to certain reg, I immensely enjoyed his videos working on taxis, very informative & entertaining for an old man of my age of 64, I used to work on cars (mostly bodywork) before becoming a taxi driver🤣🤣🤣🤣🤣
Добрым людям нужно быть ещё и мудрыми!
Спасибо, Алан, у меня похожая история 🤝🔥🥇
thanks, have a good one😊
@alan4x Thank you🤝
Very wise Alan. Always good to pay off debts and not line the lenders pockets. Happy retirement ... when it comes.
well done Alan.i did the same used it to buy. property
Alan you got there matey and all credit to you! Thanks Alan and good luck mate thanks for sharing!
Great video! If nothing changes for me my mortgage will be done just before my 70th birthday. But any extra money that frees up goes towards overpaying. Everything going to plan I’ll be done just after my 60th birthday which will free up a significant chunk of cash
I opted out of serps, worked in favour for me as I gained financially from this being put into my personal pension and I still have a full state pension.
Yes same with me too. I often wondered if I would qualify for the full state pension, but I also logged onto my Government Gateway as Alan also did, and also for me I'd be entitled to the full state pension, as well as the personal pension.
Hi Alan ! When do you start posting content about mechanic,and tutorials about that? Greetings from Romania!
Well done Allan your right most of this life is a big con you just have to be smart enough to work out how to not get done. By the government and the jail sentence of a mortgage. All designed to keep up down you escaped the matrix.
Bought out first house 2 years ago.. Looking to get it paid off in 3 years before out fixed rate ends!
I paid my 25 year mortgage off in 8 years. I just overpaid what I was allowed. It was hard but worth it
Outrageous work Alan !!
Hi Alan. Really like watching your content. Keep it coming 👍
Missed out on buying an RS500 cosworth years ago......early 90s
could have been my pension now...
luckily I do have a pvt pension too...
good story from you as usual Alan
N x
Bet that was a few quid to buy even in the early 90's
Alan I’m sure your financial advisors have made you aware that the 40% taxation on your withdraw is only after you have exhausted your earnings within the financial year. ie if you haven’t earned anything then you are allowed your personnel allowance, then earnings after that at 20% until you reach the threshold of 40% . Good luck in your future endeavours your a Good Man 👍 And yes 25% of the pot is tax free
thanks tr,😊.. i think i will pull a livestream on saturday eveningas.. there is more, my wages after the pension withdrawal were then taxed at 40%.. i was warned of this but after i phoned hmrc and basically told they could do nothing till the new financial year.... all of a sudden they refunded my wages that they had taxed at 40% and all was back to normal,,wtf, but it worked out well😁
Good to hear, better money in your account than The Tax Man’s. Great topic by the way. Tony R
Very interesting outcome
Great video, thanks for sharing your life story. worked my nuts off and paid off the mortgage off early so able to invest the remaining earnings which has enabled me to look into options with living in the philippines. Kind of fell into it but worked out well and given me now options. In the Philippines now but will go back to work a little bit more to go into investments. Like yourself found the dating - women options in the UK not very good. They can be alot better in the Philippines.
Great vid can’t wait to pay mortgage off only a year and half left 👍
great stuff, have a good day😊
Great story and video. Thanks mate
Well done mate. Happy for you.
We all have a story to tell.
When you set out all those years ago, you never even think you relationship / Marraige could go tits up!!!!!
thats true, telling these stories sometimes makes for good entertainment😀
Amazing 😊
Well done pal, looks like it’s worked out well.
Well done alan great video thankyou for sharing your information with us ,,,, happy Sunday mate
No better feeling than paying the mortgage off early,had mine payed 12 years earlier at the age of 38,can’t say I’m much richer but have a much better lifestyle now
thanks Alan interesting story 👍
Well done Alan, happy for you. When’s the live stream coming? I thought it was every Sunday 😊
Ive paid off my mortgage too. But I had to work hard and save all this money.
you got there so very well done, now you can live better with the spare cash😊
Great video Alan
Congratulations done well mate 👍
Totally get your decision. I did the same to buy a plot of land. Yes I paid 40% but the price of the land is only going one way😊. As regards to your state pension it very much depends on how long you have been working. If you don’t opt out it takes 35 years to accrue your full state pension. If you carry on working then you will keep topping up your amount. I opted out but I will get my full pension. However I have had to wait 9 extra years to get it. The advice they gave you wasn’t necessarily wrong. They just did not know your circumstances
Hi Mr mondingo man 😊 Great story 👍🏻 You can take 25% tax free then the rest should be 20% taxed ……. 🤔 SERPS is a nightmare 😮 Well done you matey 👍🏻
The rest of the pension is taxed as normal income.
@@phil6465yeah, normal income for that tax year.
Thus the remaining 75% pension monies added to your normal earned income would undoubtedly take a very good part of your overall yearly combined taxable income well over and into the 40% tax bracket if not higher.
Double edge sword here and plenty of luck. The short story is that your were fortunate or lucky as you put it that none of your previous relationships got hold of that private pension.
You turnaround here is that you raised how easy life can be without debt and not a slave to interest. Very well done.
Lol, great point, hope Alan's ex's don't come looking for it now!
I don't think anyone could touch his pension unless he was married at the time.
Great to hear a good news story, I'm just finishing my mortgage next year, but I have no idea what happens, do they just send you the deeds, do you need to contact land registry, do you need a solicitor to close, I can't seem to f8nd this information anywhere, any pointers or advice would be welcome, obviously I'm in the UK too, thanks in advance to any help.
Your bank or mortgage lender will deal with this. They usually send you a letter confirmation it's now paid. If you have a new house deeds are held electronically so you may not even get any. If it's an older house they may arrange to send you the deed or if you agree to pay a small ongoing fee hold them securely for you. Best to speak directly to your mortgage lender and they'll confirm in your situation.
Mines up in may cant wait 😊
when you took money did the use emergency tax. i also contracted out. but mine got kept in my private pension when i got put back in serps im same i will get full pension.. l was told 3 years ago that i could not touch that part of money till state pension age . I'm wanting to use my pension to buy my council house. ill be same 40% tax. they said they use emergency tax on first withdraw. good info vid this
Well done mate
Congrats 👏
Good on ya, Alan, you would have been worse off had you not opted out or paid it back into the NI pot, it's the same if you pay any NI over 34 years the pension doesn't increase anymore.
Thank you alan
You have done really well. Do wonder where everyone else’s Serps went.?
I also had serps and when I retired was not sure how to find out about it. But fortunately I was contacted by the company that was finally dealing with it 3rd or 4th. But they said it was up to them to contact through your national insurance number number. Something that never changes
Alan, the pension forecast you showed is exactly the same as mine (and lots of other people), I assume you have read the next green box underneath the screen shot you showed at @ 21.00 which shows what you are entitled to with your NI contributions to date. It says “Estimate based on your national insurance record up to 5th @April 2024” and beneath that is another green box which should tell you if you need to contribute any more years. If your estimate based up to 2024 = £221.20 then great, but if it is below this you will have to contribute more years of NI.
I’m just making this comment because I hope you have read it correctly. Cheers.
hi stewy, yes i have read it all, i have 40 years full ni contributions which is why i do qualify for the full amount.
@@alan4x thanks for replying, that’s put my mind at rest. Where I used to work a lot of people retired early because the Company pension was good but were still disappointed to find out they weren’t entitled to the full state pension because they didn’t have 35 years NI contribution.
@@stewy62ahh yes that makes sense. Difficult to know what to do sometimes but worth getting professional advice especially when trying to figure out what your pension options could be
Cos you still paid enough national insurance
I opted out of the same thing in 1989. It hasn’t done too well
HI ALAN i hope again you are more happy now in philipine,new life,buti have one question for you: what is mean ON ford mondeo mk4 ,,P02E1-intake air flow ,a, control preformance??? i changed throtle valve,air intake,all new,but still apear after 5-10min and few re start engine? i cleaned today EGR,not so dirty,nobody explain whereis the problem,i know you are expert ,can you help,please???
Nice one. What are you going to do with the spare cash? Are you going to save any of it up in an isa say? Do you have any other private pensions to suplime t the state pension when you do retire
That's crazy. But it's not free Alan you worked for it. You earned it. I guess you worked enough years to get your state pension anyway. Regardless you've been lucky. Good on you and well done 👍
Hi Alan thanks for sharing your story with us. Seems it's very easy to lose your pension money to the bankers?
Trying now to find a goid house purchase route for my adult children. Anyone got a good suggestions pls?
i believe buying a second house would be better than a pension scheme but in todays market the opportunities that once were are no more. my advise would be to save as much as possible and dont waste money on the latest and greatest just to keep up with the joneses. have the save money mindset from a young age and if possible invest if you dare or put into set term saving plans that offer good interest rates, have a good day
Mine was Barclays but they sold it to someone called reasure.
Hi Alan,do you intend to go back to the Philippines?
hi john, hell yes i do, that is where i want t be but for the moment here in england i will get tyler established with a career while i hatch out my next trip, have a great day
Funny how life works out
What are your immediate plans ?
Glad to see things work out
Hi Alan, I have private pension close to your amount,you say with the tax you claimed back, can you advise how you claim tax back.Mine around 120000,32000 tax free then 40% on the reminder,can I do something so I don't pay 40% or wait another 5 years until I'm 65 and collect it tax free, if anyone reading this can advise please do so...
I am not a financial advisor. Some pension schemes have different rules about what you can do with your money but I’m pretty sure that if you wanted all your pension at once then 25 % would be tax free and the remainder taxed as normal income. Let’s assume you had stopped working and had no other earnings in that financial year. You would get a further £12,570 tax free I.e. your personal allowance, the next £37,700 will be taxed at 20 % and the next £74,869 at 40 %. Above that it would be 45 %.
If you worked in the same year and say earned £20,000-£30,000 and took all your pension at once then you are going to get clobbered with tax as a lot of your pension will fall into the 40 % tax rate.
Far better if you want to take it out fairly quickly (assuming your pension provider allows it) would be to take no more than £50,000 out in any one year to prevent your tax going above 20 % (in the first year you could of course take out the 25 % tax free plus a further £50,000 (assuming you had no other earnings, otherwise you will be paying 40 % on some of it).
I apologise if you already knew all of this. All the best.
hi easton, i think in all honesty. rather than me try to advise and quite possibly getting it wrong i strongly advise you to contact the pension specialists who i am sure will give you a free consultation and advise you professionally on all your questions, have a good one.
www.wealthtime.com/investors/contact/
I was Lucky I paid off my mortgage when I was 36 2007 when endowment mortgages were the in thing 😊
Great video 👍 I and others same contracted out, won't be as much££ as you. Is there a finders fee
I’m just wondering, if you only took out the 20% tax free every year and put it towards the mortgage, would you have been able to pay off your mortgage without paying the tax on the pension, and not having to put any of your own saving in, and the 20% covering the annual re payments?
you only get 25% of your total pension tax free, the rest is taxable but taking out small amounts in subsequent years will keep the amount of tax you pay low
If you don't have a job you could draw out 12 odd k a year tax free from the pension pot up to the income tax allowance. I reckon without a mortgage a grand a month to live on is do-oable.
Hi Alan, I saw this with interest. I think that the “contracted out” part you mentioned only related to the SERPS element of the state pension - with is/was an earnings related addition to the main state pension. That would explain what’s happened, but does pose the question as to what happened to any SERPS contributions that you, I & many others made before contracting out? Short of stopping paying NI, I don’t think you can stop paying into the main state pension fund which is pretty much time related as opposed to an actual amount. Good luck.
Have you stumbled across any Mondeos in the Philipines?
£901 a month pension but it is not that big a loss. Everyone circumstances are different I only took 20% of mine and used the pension to top up my state pension.
Warning to anyone is the fact I got a lot of advisors who would have lined their own pockets and some gave very poor advice. You are right, sometimes you just need to do what is right for you. I only have £20000 and only a few years to pay on my mortgage so what I did was very different to you
You should always pay extra every month on a mortgage as it shortens the length of the mortgage and pay less interest
Are you going back to the Philippines
Interesting. If you have done 35 years of NI contributions then you will get full state pension. It may have been a mix of NI and private pension maybe initially.
yes that 35 full years of ni should get you a full state pension but have read in the past that by contracting out you would not receive the full pension which is why i find this interesting
Lucky you alan i called cos they say im 11 years short and had a private pension ,which i cashed in ,i get my state pension ,in 2026 mmm ,ive called them and they said i can pay class 3 ,£8000 ,no way i will pay ,im of to live in philippines soon ,and live of ,what ever i get on my state pension ,im currentlyblivin in my vauxhall combo not good but saved a little money 😢
Fantastic story Alan but how criminal.is it you get taxed @40% on your own hard earned cash
Remember Alan the state pension could be at 70 years by the time you retire.
thanks malcolm for that cheery piece of information🤣
Glad your back Alan missed the Mondeo videos are you going back to the motors.
18:30 what was you able to claim back and why?
I’m gonna take a wild guess and it was a pension with prudencial
sounds like a rough ride you've been through.
hi skyl, from 2004 until 2009 i had no fixed address and lived on the edge of society apart from always having an income but the rough times have made me appreciate the good times more..think i will carry this on next weekend with a livestream and go further into it🤣have a great day
you too. are you going back to the taxi firm?.
"its a weight off your mind" as you say Alan , when you are mortgage free . your quality of life is much better without a bloody mortgage hanging over your head
Never hae one. I worked abroad for 5 years to get mine.
Allan Great story but be aware you will only get the full state pension if you pay national insurance right up to the cut off date of 67 . I took redundancy age 61 having paid in over 42 years of NI didnt bother to sign on the dole or look for job as i had a private pension as a form of income.As a result my state pension is below the original forcast.
Is that right. I thought you only had to pay in for 35 years to get the full pension.
Yes something about that doesn't sound right.
@@chrisj6321 so did i, thats my point. the rules have changed and alot a people dont realize.
Money money money 💰 😊
I contracted out of SERPS in 1988. My money was in Norwich Union, now AVIVA. I'm drawing on it now. You should have been receiving annual statements as to how your pension was progressing. I can't understand how you didn't know where it was going?
Better to invest in sp500 than pay house martgage off
I do both. I could just invest more but i'd rather have the security of not having a mortgage also
That's what everyone who hasn't paid their mortgage off says.
Getting taxed 40% on money you have already been taxed on is utterly disgusting
Your not taxed on contributions made to a pension hence its not double tax.
Sorry, but Allan's pension contributions were not taxed at the time he made them. No one pays tax on pension contributions. If you do not make pension contributions, you will be taxed on the full amount you earn, that is the point of having a pension, to not pay tax on income. If Allan took the money after he retired at age 68 , and counting, as a monthly pension he would not pay tax until he went over the personal allowance currently £12500.00 He would benefit from his partners allowance being added to his if his partner earned less than her allowance of 12500, but as Allan seems single at the moment, this would not apply., and also he has already taken his pension so must rely on the state pension and any other pension he may accrue in the meantime.
This is why I prefer ISAs to pensions
van lifer before it became mainstream and shared all over social media. I can't imagine it was easy to have to sleep in the back of your van.