National Save For Retirement Week on October, 2023: what is the point of paying national insurance when it earns me nothing?
National Save For Retirement Week 2023.
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You are absolutely correct - in the past the Government has been able to get away with increasing national insurance contributions on the basis that people thought it was a "good" tax because it paid for nice things like the NHS, pensions, and benefits but the reality is now kicking in and everyone can see it is in fact just like any other tax - it goes into the pot along with all the other taxes and the Government wastes the money. But if you think you are hard done by spare a thought for the self-employed. You will pay an earnings related contribution and receive earnings related benefits such as the state second pension, sick pay, maternity pay, etc. The self-employed pay earnings related contributions and receive in return the square root of b****r all for their pains. The sooner national insurance is scrapped and incorporated into the general tax system so we can dispense with the myths surrounding this "good" tax the better. The problem is of course that the basic rate of income tax would have to be increased hugely to pay for it and which Government wants to go down in history as the one that introduced such a massive tax hike?
How can i make financial arrangements for my retirement on part time minimum wages?
If you can't fins ways to reduce spending (like renting within a flat share) then you can't save can you. You need a full time job so you can pay National Insurance for your state pension and have a full time job in order to put some money into the company pension plan.
Many companies match at a percentage, what you put in. Even if it's £20 a month, that is better than nothing. Some private pensions allow small amounts to be paid in.
You don't say how old you are, but if you are young, although it is important to think about the future, there is no point living off baked beans and making yourself ill just tp pay into something 40 years from now. When you are young, although it's best to think about the future.how can you when you are young, working little and on low pay. Considering the average age now for a first own home is 35, more and more people will be expected to work longer and will have to.
If you are older, you need to think about getting a full time job or 2 part time jobs. Even temping in the evening or weekends will add in extra money, extra qualifying years and maybe a little extra to put into a private pension fund.
for those that can't save, you will have to rely on a state pension or other crises benefits. My mother in law lives on £110 a week. Basic pension. She gets help with rent and some council tax.
You only have a few choices here:
1: Full time job and pay into private pension as well as NI contributions for state pension.
2:Stay part time and hope there is a state pension in the future and know you will probably have to work till you are much older.
3: If you are part time because of being a carer or parent, you can claim National Insurance contribution protection to make sure you get a state pension and maybe when the home situation improves you can take on a full time job.
Do you think that a class war would save the middle class from extinction?
The class war is AGAINST the middle class.
The wealthy and the poor have joined forces against the middle class. And it appears they are winning.
The Middle Class in America Is Radically Shrinking. Here Are the Stats to Prove it
"the globalism and "free trade" that our politicians and business leaders insisted would be so good for us have had some rather nasty side effects. It turns out that they didn't tell us that the "global economy" would mean that middle class American workers would eventually have to directly compete for jobs with people on the other side of the world where there is no minimum wage and very few regulations. The big global corporations have greatly benefited by exploiting third world labor pools over the last several decades, but middle class American workers have increasingly found things to be very tough.
Here are the statistics to prove it:
• 83 percent of all U.S. stocks are in the hands of 1 percent of the people.
• 61 percent of Americans "always or usually" live paycheck to paycheck, which was up from 49 percent in 2008 and 43 percent in 2007.
• 66 percent of the income growth between 2001 and 2007 went to the top 1% of all Americans.
• 36 percent of Americans say that they don't contribute anything to retirement savings.
• A staggering 43 percent of Americans have less than $10,000 saved up for retirement.
• 24 percent of American workers say that they have postponed their planned retirement age in the past year.
• Over 1.4 million Americans filed for personal bankruptcy in 2009, which represented a 32 percent increase over 2008.
• Only the top 5 percent of U.S. households have earned enough additional income to match the rise in housing costs since 1975.
• For the first time in U.S. history, banks own a greater share of residential housing net worth in the United States than all individual Americans put together.
• In 1950, the ratio of the average executive's paycheck to the average worker's paycheck was about 30 to 1. Since the year 2000, that ratio has exploded to between 300 to 500 to one.
• As of 2007, the bottom 80 percent of American households held about 7% of the liquid financial assets.
• The bottom 50 percent of income earners in the United States now collectively own less than 1 percent of the nation’s wealth.
• Average Wall Street bonuses for 2009 were up 17 percent when compared with 2008.
• In the United States, the average federal worker now earns 60% MORE than the average worker in the private sector.
• The top 1 percent of U.S. households own nearly twice as much of America's corporate wealth as they did just 15 years ago.
• In America today, the average time needed to find a job has risen to a record 35.2 weeks.
• More than 40 percent of Americans who actually are employed are now working in service jobs, which are often very low paying.
• or the first time in U.S. history, more than 40 million Americans are on food stamps, and the U.S. Department of Agriculture projects that number will go up to 43 million Americans in 2011.
• This is what American workers now must compete against: in China a garment worker makes approximately 86 cents an hour and in Cambodia a garment worker makes approximately 22 cents an hour.
• Approximately 21 percent of all children in the United States are living below the poverty line in 2010 - the highest rate in 20 years.
• Despite the financial crisis, the number of millionaires in the United States rose a whopping 16 percent to 7.8 million in 2009.
• The top 10 percent of Americans now earn around 50 percent of our national income.
Giant Sucking Sound
The reality is that no matter how smart, how strong, how educated or how hard working American workers are, they just cannot compete with people who are desperate to put in 10 to 12 hour days at less than a dollar an hour on the other side of the world. After all, what corporation in their right mind is going to pay an American worker 10 times more (plus benefits) to do the same job? The world is fundamentally changing. Wealth and power are rapidly becoming concentrated at the top and the big global corporations are making massive amounts of money. Meanwhile, the American middle class is being systematically wiped out of existence as U.S. workers are slowly being merged into the new "global" labor pool. "