It is estimated that 18% of pensioners that are due to retire this year will have to live on £10,000 a year. Although this doesn’t seem like much in some ways it should be enough to get by on. Most people of retiring age do not have a mortgage anymore so the bulk of income is still there. The most expensive thing after that is council tax as some flats have a monthly charge of £120.
When you are over 60 there are some things that get reduced so monthly bills should be less that when you were 20 years younger. For example you get a free travel card, free NHS prescriptions, free glasses, reduced gas and electricity bills, reduced TV licence and a reduction in council tax payments. Over the age of 60 many do not go on monthly shopping sprees and spend money unnecessarily so in reality you can live on £10,000 a year.
On the other hand those who do not have a private pension and are eligible for pension credit will have to survive on less than £6,500 a year. The reason the private pension forecast is lower than usual is because of the bad stocks and shares market that has caused the recession to plummet even further.
Many people who invested in the real estate business will also be hit as those who are trying to sell this year will find that there isn’t that much profit to be made. On top of that there are not enough buyers to go around so sellers have to drop their prices again to attract would be buyers. Capital gains tax is also set to rise so any profit made will also be questionable.
The best way to put money away for a pension is to go private and take advantage of ISA’s every year as you can save thousands in tax but put it towards your future when you retire. You could also look into buying a property abroad such as Spain, France and Cyprus as you can rent it out the times you won’t be there and have a holiday in your holiday home when you are. You may also benefit from taxes by having a second home abroad.
In 2008 the average pension was just over £18,000 this year it has fallen £16,500, that’s a 11.5% drop, the best pensions are from the government such as the council and NHS. Other private firms may also offer competitive pensions so shop around before you choose one. Its well worth planning your pension when you’re in your 20’s as many soon forgets and retires with nothing.
After you have pass your driving test and are now a fully qualified driver your instructor may have given you some information on taking a pass plus course. Many young drivers do not take the opportunity to take this course as they think it’s a waste of time, after learning to driver for months the last thing they want to do is learn some more. But the advantages of taking pass plus do have their advantages.
Pass plus advantages
Your instructor will now be able to take on other roads such as the motorway and as a new driver driving for the first time this can be a scary experience but pass plus will give you greater awareness. You will also be educated on night time driving and driving in different weather conditions such as snow, fog and heavy rain. You can get useful tips from your pass plus instructor such as how to drive safely in snow.
Pass plus is aimed at new drivers but you can opt to do the course at any time. There are 6 modules to complete each around an hour in duration but this can vary. The cost of pass plus will also vary on your driving instructor and location. The greatest benefit of completing this course is in fact that you will get reduced premiums in your car insurance as they will see you as a low risk driver. This is not always true depending on the car you wish to drive, so the best thing to do is call an insurance company and inquired how much car insurance will be and how much you could save if you did pass plus. In some cases the savings are not so great so it’s up to personal judgement as to whether or not you do it.
If you want to save some money whilst booking your hotel yourself then there are some tips that you can follow to make sure you get the best price possible and avoid paying inflated hotel costs. In most cases it does work out cheaper to go to a travel agent and get a package holiday but for most places throughout Europe you could save up to 70% by shopping around and doing it yourself.
Last minute booking or early booking?
Both! If you can book at least 8 months to a year in advance you can get a really good deal that you probably won’t see nearer to the time. But there are some locations that are better holding off for and waiting last minute. A prime example is Paris, this is the capital and most romantic place to visit, but with the average hotel bill in the capital being £500 for only a few nights the costs can soon mount up. By waiting a week or so before travelling you can get good deals to 5 star hotels for as little as £149 for 3 nights including breakfast. The same goes for holidays to the Caribbean wait last minute and you can save up to £700 off the price of a holiday.
Supermarket shopping
If you have a Tesco clubcard or Sainsbury’s nectar card you could exchange the points for amazing hotel deals. With the average family of 4 spending at least £80-£120 a week on food you could be missing out on some potentially good hotel deals.
Hotel only web deals
By looking of for hot deals by online travel agents that specialise in hotel stays you can get heavily discounted hotel rates. There are some websites that also offer a price match guarantee so if you find it cheaper elsewhere they’ll refund you the difference. National and local newspapers also have good deals such as collecting tokens and paying only the flight costs, if you do spot a good deal hurry up and book it as they will sell fast.
Travel during off peak season
We all know that when there is a public holiday or school holiday that the prices shoot up. If you do not have any children then make the most of it by booking out of these times. When hotel rooms are in demand they charge more so go before a school/public holiday or after. Not only will the service be better but chances are you will have most of the hotel to yourself.
Secret hotels
If you like surprises then why not save some money by opting for a secret hotel. This is a service that only a few travel agents provide. You choose a location and the travel company books the hotel for you with up to 45% discount on the hotel rates, after payment has gone through you will then be told of your secret hotel.
Around 75% of people who have internet at home are also on a networking site, Facebook, Twitter and YouTube. Many of us like to vent our anger or even praise the services or brands that we have encountered recently. This is useful information for people out there who are waiting on friends and family members to try out a service or product and give their honest opinions on them. But what happens when there are spies who are tracking every little thing that is being said on their company or service? For example recently there was a story about pop singer Lily Allen, she was experiencing problems with her BT internet and vented her anger on Twitter.
After BT ‘internet spies’ saw her comment they immediately contacted her and resolved the problem. There have been many other customers that have been contacted by BT after leaving status updates about the poor service via Facebook status updates. After leaving innocent comments they have been contacted by BT’s customer service asking for more information so they can resolve the problem.
Are the social networking websites safe?
Yes and no, when you sign up to these sites you must check your privacy settings, if you want the whole word to see your information then no it is not safe. By changing your settings to allow only your friends that are on the networking site to see what you have written then ‘outsiders’ will not be able to access this.
There are many companies out there such as easyJet, Lloyds TSB, Carphone Warehouse, BT and many others that are monitoring social networking sites and blogs to see what is being said about them. They will only use this data to help improve their services and contact disgruntled customers who may have an adverse effect on business.
How can we benefit from social networking spies?
There was a customer recently who posted a rant on the internet about poor service and the lack of customer service staff in the call centres as her calls were never picked up or acted on. After just two hours a representative contacted her to sort out the problem. So if you have a blog, social networking site or forum you belong to have a good old fashioned rant and you could be contacted by a customer service representative to help solve your problem. This has worked for many people but remember if you think they are breaking the law by contacting you through a social networking site the lodge a complaint with Information Commissioner.
Most of us know that in each tax year we are given a personal allowance of £10,100, if profit exceeds this amount then the current Capital Gains Tax (CGT) rate is currently 18%. Before April 2008 the CGT rate was as high as 40% so many people have benefited from the decrease down to 18%. There are many things you do not have to pay CGT on such as your car, some gifts and your first or main residence.
It was recently announced that CGT is expected to go up again to the previous 40% threshold; this will affect many people but may strike the hardest for people who own two homes or more. At the moment the housing market has stabilised with many homes being put on the market everyday and since there are not enough buyers to go round at the moment the housing marking is being given a big boom. If CGT increases then the housing market will crash again as many investors and second home owners will be in a rush to sell to avoid the 40% tax they will need to pay to the taxman.
It looks like CGT will go up but not until the next financial year of 2011/12 when this happens there will be too many houses competing for buyers and will therefore cause another crash in the housing market. Unfortunately there is nothing we can do to escape paying 40% on CGT but there are ways to not pay temporarily.
Avoid paying capital gains tax
These are both popular methods used by people when it comes to avoiding CGT on property, this is a temporary method as the asset has been signed over but CGT will still need to be paid at some point. When the asset is signed or handed over the new owner will need to pay CGT when they come to sell.
So whether you choose to sell your second home or not CGT will still apply, some people might hold off their plans for selling to see if the threshold will go down again in a few years. In the mean time there is no need for panic neither is there the need to start an influx of selling off property either. The best thing to do is to wait and see what happens.
When travelling abroad whether it is as far as Canada or as near as France every traveller is advised to take out travel insurance. Travel insurance is essentially a back up for finances should anything happen whilst on holiday, such as an accident or illness. If you are to fall ill on holiday or be involved in an accident in a foreign country then you may be obliged to pay foreign medical rates instead of reduced medical aid.
EHIC
The European Health Insurance Card was launched in 2005 replacing the E111 form that was needed to be filled out prior to any holidays taken within the EU. The EHIC is not a replacement for travel insurance as most travel insurance companies will only insure you if you also have a valid EHIC, you should check your travel insurance policy to make sure they will cover you if you don’t have one.
Who is eligible for an EHIC?
Every UK resident is entitled to have the EHIC, you may need to receive treatment whilst abroad so the card will ensure you receive free cover or charged the same fee as the residents in the country you are visiting.
EHIC scam
It was found a while back that there were fraudulent websites that were popping up promising to process an EHIC for a small fee. The websites looked very professional and many UK residents were fooled into buying one from these websites. If they did a little research they would have found that an EHIC is actually free. You can apply for EHIC through your local post office, over the phone or online, the only time you may be charged is if you opt for the Post Office’s check and send service where a small fee of £1.96 will be charged if you choose to send it off yourself then no fee other than the postage fee will apply.
The EHIC is valid for 5 years, after this time you just need to renew the application free of charge so that you can continue to receive cover should you need. As it is free and provided by the government everyone should have a valid card just in case. You need to bring it with you when you travel, leaving it at home or applying for it to late will not help as you will need to show it as proof. Before each holiday within the EU or qualifying countries check to make sure that it is valid and leave plenty of time to apply for a new one if it has expired.
Credit record repair – if you have bad credit it will stop you from getting loans, a mortgage and even a mobile phone. You may be tempted to contact companies that promise to repair your record quickly, there is no such thing so contact credit expert Experian for free advice to get your credit score higher again.
Help with Debts – if you have large debts mounting and you need help the last thing you want to do is pay someone for advice. You’ll find that these companies will contact you from letters or automatic cold calling. Why should you pay for advice that is given out for free? There are many organisations some run by the government that offer help and advice free. You can even look on the internet and join forums that share experiences and advice.
Password help – if you have joined a site and forgotten your password the quickest way to rectify the problem is by email, it’s free too. All companies have a premium rate number that charge you whilst someone just resets your password. You can email or even follow step by step instructions to help you reset it yourself without being left on hold whilst you pay for the call.
Claiming benefits – there are helplines that are charging up to £40 for information that is available free. You can contact citizens advice bureau or even visit the direct.gov website for free information of benefits available to you.
Fraud – many people are aware of fraud so if you are a victim or suspect someone of fraud you can get advice on what to do next. Unfortunately there are websites that are set up with a premium rate number that charges you for them providing advice that is free elsewhere. There are organisations that have a free phone number or the internet that has a wide range of resources to help you for free.
Problems with eBay and PayPal – as they deal with a large volume of transactions daily and worldwide there is a small chance of problems arising. If you do need help then don’t turn to auction helplines to give you advice whilst they charge you £1.50 for it. Instead contact eBay and PayPal directly you won’t be charged and you won’t have a third party involved.
Reclaiming mi-sold protection payment insurance – or PPI’s as they almost often referred to, there are many companies advertising their services but they will need to be paid for their help. Don’t part with your compensation search online for free help to get your money back free.
Contacting customer services – if for whatever reason you cannot find a number of a company and need to call them don’t do it via a search engine. Go directly to the company website and get the number there. You will sometimes find it is free but if they do charge why not email instead.
Opening a bank account – as we all know if you want to open a new bank account then all you need to do is call up or pop into the bank of your choice. There is a company that is charging customers £99 to set up a bank account. They claim that they take the hassle and the paperwork away from you so you don’t have to worry. Opening a bank account is simple, all you need is proof of address and identity, and if you need help you can get it free by contacting citizen’s advice bureau.
Unwanted telephone calls - we all experience cold calling by sales staff in customer call centres or even automated messages by companies but should we really pay up to £100 a year to block these calls? Some companies charge you a fee each month to stop such calls but if you sign up with TPS and silent call-gard service you could stop all these nuisance calls for free. If you still get marketing calls you can contact TPS as these companies are breaking the law. It’s worth noting when you sign up as this expires every year, but don’t worry signing up every year is a small price to pay for a free service.
Most people are likely to become a victim of fraud at some point in their life and just because you may be a celebrity doesn’t mean you’re immune either. There have been many celebrities who have also been a victim of fraud and we look at some of the celebrities targeted by fraudsters here.
Celebrity fraud victims
Jeremy Clarkson – he was so confident that fraudsters would not be able to steal his details that he published them in a newspaper. It was later found out that someone was able to set up a £500 direct debit to the British Diabetic Society.
Lily Allen – a stripper somehow managed to get hold of Lily Allen’s personal details including her taxi account. She used it for weeks to get her to and from her job at a strip club. It was only a month later that Lily found out and put a stop to it.
Ricky Gervais – fraudsters cut out a picture of the comedian from the back of a DVD box and stuck it to an old passport. They managed to get nearly £200,000 out of his account before trying to purchase gold bars. They were only caught when the bullion dealer became suspicious as to why the comedian had to buy so much gold.
Alistair McGowan – he was fronting a TV campaign for fraud awareness when he threw unwanted items from his wallet into the bin. He didn’t know that a reporter was following him to make sure he was taking the advice he was dishing out to everyone. They found in the bin a debit card, an insurance card and membership to an actor’s union called Equity. Just goes to show that they don’t always follow the advice that they give out.
Harry Hill – he spotted some unusual transactions on his bank statements and made an appointment with the bank. They then spotted that he was a victim of a huge fraud plot that saw over £280,000 siphoned from his account. His personal details had been stolen and numerous accounts opened in his name.
Football star fraud – at the African Cups nation someone decided to put up all the players passport numbers along with personal details such as date of birth. Luckily it was spotted and soon taken down with no damage to the footballers.
Steven Spielberg – was among one of the victims of a £10million pound fraud. He was targeted by a dishwasher trainee who got the details from the Forbes rich list as well as internet research. He got enough information to open bank accounts and steal £10million from him before being caught.
Robert De Niro – his wife’s maid stole her credit card and passed it off as her own by buying upmarket clothing. When asked why she did it she replied because she wasn’t treated with respect.
Tiger Woods – when a man managed to get hold of Tiger’s social security number he managed to get a fake driving licence and credit cards to buy £10,000 worth of TV’s and stereos. Sadly for him this was his third offence and under California’s ‘three strikes and you’re out’ rule he was given a 200 year prison sentence.
Will Smith – after an impersonator from Pittsburgh managed to open 14 credit cards in Will’s name he spent it buying £20,000 worth of goods. He was already on probation for stealing a basketball player’s identity after he stole £50,000 from credit cards. I guess he’ll never learn his lesson.
To protect yourself from identity fraud buy a shredder and shred all confidential paperwork which fraudsters could use to steal your identity. Keep track of your bank statements to spot any unusual transactions and never walk around with personal documentation unless needed.
One of the unnecessary expenses we have to make in the home is replacing or repairing a washing machine. If your warranty has not yet expired, then you may well be able to have the machine repaired for free. If the warranty has expired then you may have to fork out the cost of a new washing machine. The biggest problem for washing machines is the risk of limescale that’s why all washing machine manufacturers advise using limescale remover for washing machines.
The chances are when you first purchased your washing machine you bought limescale remover such as Calgon. Many washing machine manufacturers do not recommend Calgon as it is proved useless in preventing limescale build up. Instead all repairers recommend their own brand that they have, it is usually specially formulated to work with their manufactured machines. Many customers who have bought own branded limescale remover for their washing machines have been pleasantly surprised.
For example Indesit and Hotpoint use a universal brand that they recommend to all their clients; when you speak to them over the phone they really push for you to buy 2 years worth of limescale remover. It costs cheaper to buy it over the Internet than over the phone with them. The limescale remover has had many satisfied customers who even say that it has gotten rid of foul smells coming from the washing machine drum.
Why should I use limescale remover
Limescale is the most common reason for buying a new washing machine
Limescale will prevent the drum from spinning along with other functionalities problems
The filter can also get clogged due to limescale preventing washing machines from spinning
Limescale remover will soften the water so less detergent is needed for optimal results
Overall using another brand such as the manufacturers recommended products can save you much more money. Calgon advises using a tab in every wash whereas manufacturers own brands can have better results by using just once a month. Washing machines including the detergent drawer are left gleaming. You may also find that the drum spins smoothly, there’s less noise and no bad smells. As well as manufacturer own branded limescale removers, there are other companies that also offer the same results using their products. The only way to know for sure is to try them out yourself or read reviews before purchasing. You could even email or write to the manufacturer asking for a small sample before purchasing, I’m sure they will comply.
With the shrinking economy and university degrees being worthless, it’s not hard to see why many students are shunning A-levels and settling for just having GCSE’s. Parents are also finding it hard to fund their children though University and there’s also the problem of the big debts students are left with when they finish University. If you have been unfortunate to be left with just GCSE’s, there are still jobs you can get that will still provide you with a sufficient income to do all the things you would like.
Jobs that require only GCSE’s
Receptionists – all companies need someone on the front desk so there will never be a short demand for receptionists. There are a wide range of environments that receptionists work from including, hospitals, schools, sport centres and big or small business. Not much is required from you but a general idea or some work experience will come in handy. Salary between £12-16k rising to £20-24k.
Medical secretaries – they are always needed to help run the administration office and type medical and non medical reports for patients. You will need good English skills and typing skills, a secretarial course is recommended to help you take the first step. Salary for NHS £14-22k, the private sector offers more money varying from £16-26k.
Accounts clerks – as long as there is a thriving business there always will be the need for accounts clerks. You will need to have good maths and confident use of computers. Experience is helpful but there are many employers who will train you from scratch. Salary £12-16k rising to £20-22k with experience.
Fitness instructor – this job is always up for grabs in the New Year when Gym membership is highest after the festive period. You may need a qualification to gain employment like a short college course but there are also assistant instructor jobs available with the chance to gain a nationally approved qualification. Salary £13k rising to £20k, as you get experience look into going freelance where you could earn £20-35 an hour.
Customer service – usually to resolve complaints, enquiries over the phone, face to face or through emails. A standard general education is expected with excellent people skills required; no experience is usually required. Salary £13-19k.
Waiting staff – needed to take orders, serve customers and sometimes prepare food. You won’t need much other than good English and Maths GCSE’s and excellent people skills. Salary £11-15k rising to £19k with experience.
Care assistant – working with children, people with learning or physical disabilities or older people and families. You can usually apply for these jobs and they will pay you while you also study to get a qualification. Previous experience through volunteering or family issues can be beneficial. Salary £12-16k rising to £21k with experience.
There are many employers who do not look down on you if you do not have a degree and although they can help you get better well paid jobs, we all have to start somewhere. There are loads of jobs that don’t require GCSE’s so start looking and earning today.