Poker & National Insurance

[redsimon]

You are not comparing the same asset class (managed funds will contain property and bonds) so this comparison is result orientated.  If comparing trackers to managed equities you should use a similar fund e.g. L&G uk equity fund (presumably there is one)

You make a valid point, although the argument was really pension funds (which normally means ABC Managed fund) vs low cost trackers.

But to answer your question, L&G UK Alpha Pension fund has done 65% over five years.

If you are looking at investing in equities for a Pension you shouldn't look at 5 year performance but 15 or 25 yr ones  and as you get to within 5 years of your intended R day you should move into cash etc. Anyone who still has their whole fund in equities in the year before cashing in deserves to lose a big chunk of their pension.

[chrisbruce]

FWIW I have paid NI during all the time I've not worked.

No downside really, a direct debit pays it yearly.

If you are not working but you are claiming child benefit then the following can apply - Obv depends wether your partner is working or not

quoted from the child benefit website

How Child Benefit can help protect your basic state pension

Home Responsibilities Protection, known as HRP, is a scheme, not a benefit, which helps to protect your basic State Pension if you don't work, or if you work but your earnings are low and you are unable to pay enough National Insurance Contributions for State Pension purposes.

You get HRP automatically for each full tax year that you get Child Benefit for a child under 16. If you are entitled to HRP through Child Benefit for a child under the age of 6, your HRP will enable you to automatically build up entitlement to an additional State Pension through State Second Pension.

Only the person who has claimed and been awarded Child Benefit can get HRP. So it is very important to decide carefully who should claim Child Benefit and get HRP.

[ScottMGee]

If you are looking at investing in equities for a Pension you shouldn't look at 5 year performance but 15 or 25 yr ones  and as you get to within 5 years of your intended R day you should move into cash etc..

Again I agree, but few fund managers have 25 yr track records, and I was simply illustrating that trackers are not that great!

Anyone who still has their whole fund in equities in the year before cashing in deserves to lose a big chunk of their pension

They deserve to because?