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Pensioners need money

This is for mums and dads, who have pensioner parents. The average pension income is £19,000 a year, which is a higher disposable income compared to a supermarket worker on the same salary. The worker has the cost of children, a mortgage etc. The state pension has just risen by 3.1%, but living costs are rocketing. Do you have elderly parents feeling the pinch?

Cost of living pensioners

Pensioners had a good time 2000-2020

According to experts, pensioners captured 30% of the growth in public expenditure over the last 20 years, with the best gains after 2010 and the introduction of the triple lock [part of the state pension].

The cost crunch

Many older folks have health issues and can’t do work for extra money. Without savings many may get into debt. The state pension has just risen from £179.60 per week to £185.15 per week. That’s a welcome extra £288 for the year. The bad news is that:

  1. The average energy bill will rise by at least £700.
  2. The average food bill will rise by £180.
  3. The average car fuel will cost an extra £300.

Tips for pensioners

  • Take advantage of state benefits. Older people don’t claim billions of benefits.
  • Check eligibility for Pension Credits if a low-income pensioner. Aimed at those not receiving a full state pension.
  • Avoid cold calling scammers offering clever ways to invest savings.
  • Take advantage of discounts at local shops and venues that aim to help older people. 
  • Seek independant advice, if considering Equity Release to unlock cash tied up in the home. 
  • Get involved in the sharing economy to avoid having to buy new things via Apps or social media.
  • Sell unwanted items in the house, garage, or loft via online auction sites. 

Inflation is rocketing and the extra costs of living will hit pensioners’ wealth hard. If you are concerned about elderly parents or senior friends struggling, then make an offer to do a food shop or drive them on errands to save on fuel costs. At the end of the summer check that they can afford to heat thier home.

ChildMax continues to ensure your salary and pays your take home salary while you’re on 12 months’ unpaid leave, caring for a sick child. It starts from £49.50 or for easy budgeting an initial payment of £8.25 followed by 11 monthly payments of £3.75.

Visit at www.insurewithmax.com or call the UK call centre 0333 323 0098 for more information.

Sources:

https://www.ii.co.uk/secure/my-news-feed/analysis-commentary/tips-retirees-state-pension-increase-dwarfed-soaring-living-costs-ii523282

https://www.theguardian.com/business/2021/apr/24/old-get-the-benefits-tories-the-election-wins

https://www.bbc.co.uk/news/business-59966752

Date: 11 April 2022 by Max Robinson