Small LGPS Pension and small CETV

Legacy_user
Legacy_user Posts: 0 Newbie
Would be extremely grateful if anyone could make any suggestions about the way forward on the issue below.
I have asked a similar question previously but the position has changed.


A few years ago I built up an extremely small pension of £132 lump sum and £51 a year from age of 65 as the result of carrying out school dinner duties. (LGPS) I am nearly 59 years old.


I took early retirement last August from teaching taking a slightly reduced pension and maximum lump sum. I am currently completing a ten month fixed term part time contract at my school. I have been advised by Teachers Pensions that this will generate a small short service annuity that will be added to my pension which is no problem.


However I would like to do something about the small LGPS pension. I have been given a CETV of £1000 and now have to decide what would be the best way to deal with it. Any ideas? I could possibly add to it modestly, if placed elsewhere. I cannot at this late stage add it to my Teachers Pension and this has been confirmed by the TPS today. I am not allowed to take it as cash.


Many thanks for reading. Comments very welcome.
«1

Comments

  • xylophone
    xylophone Posts: 44,167
    Name Dropper First Anniversary First Post
    Forumite
    Perhaps you might open a SIPP and ask the provider to arrange the transfer in - you could make modest monthly contributions thereafter.

    You might give Hargreaves Lansdown a ring and explain your situation.

    They can be sticky about DB pension transfers, but in view of the very modest amount and the fact that you wish to continue to contribute, might choose to be helpful.
  • kidmugsy
    kidmugsy Posts: 12,709
    First Anniversary Name Dropper First Post Combo Breaker
    Forumite
    I don't myself see the problem. Presumably you will be able to buy Premium Bonds with the lump sum and lottery tickets with the pension. Then pray.
    Free the dunston one next time too.
  • System
    System Posts: 178,077
    Photogenic Name Dropper First Post
    Community Admin
    Many thanks for the two replies. I think Premium Bonds, the Lottery and Praying are not certain enough for me!:)
  • System
    System Posts: 178,077
    Photogenic Name Dropper First Post
    Community Admin
    Hi

    What would the amount be IF trivial commutation was available for the LGPS at aged 60.

    If it is about the same (even slightly less), then it would be paid as cash and no fees to transfer or whatever, and would buy a lot of lottery tickets (or put it in an ISA or SIPP).
  • Silvertabby
    Silvertabby Posts: 8,979
    First Anniversary Name Dropper Photogenic First Post
    Forumite
    edited 18 May 2017 at 9:42AM
    What would the amount be IF trivial commutation was available for the LGPS at aged 60. Posted by Johndough
    It depends on the OP's age, NRA and amount of widower's pension due, so not just a simple 'pension x constant factor'. However, I doubt that normal trivial commutation would be an option here, as OP has TPS benefits that would would surely take her over the £30K limit.

    OP may be able to take a de minimis trivial commutation, as her total LGPS benefits would be worth less than £10K - but only:

    A. If she left after 2008.
    B. Her LGPS offers de minimas commutation (not all do)

    This is a common problem in the LGPS - teachers volunteer to do lunchtime supervision duties for a free meal and a few extra bob, then complain about the tiny pension they can't do anything with!
  • System
    System Posts: 178,077
    Photogenic Name Dropper First Post
    Community Admin
    Two points
    1. I am not complaining just looking at options. I believed that this forum was about helping others maximise their opportunities. I am not averse to leaving it where it is should that prove the best option.

    2. I am a 'he' not a 'she', although stunning looking !
  • System
    System Posts: 178,077
    Photogenic Name Dropper First Post
    Community Admin
    One other point. I had to pay for my meal out of the dinner duty allowance so opted to bring in my own packed lunch!
  • Silvertabby
    Silvertabby Posts: 8,979
    First Anniversary Name Dropper Photogenic First Post
    Forumite
    Two points
    1. I am not complaining just looking at options. I believed that this forum was about helping others maximise their opportunities. I am not averse to leaving it where it is should that prove the best option.

    2. I am a 'he' not a 'she', although stunning looking !
    One other point. I had to pay for my meal out of the dinner duty allowance so opted to bring in my own packed lunch!
    My apologies on both counts !

    I was going from my experience as a (now retired) LGPS administrator. The Local Authority I worked for DID supply free lunches to the teachers on lunchtime duties, and I DID take a fair amount of verbal flak from teachers who would accuse me of lying when I told them that they couldn't just cash in their tiny LGPS pensions.
  • xylophone
    xylophone Posts: 44,167
    Name Dropper First Anniversary First Post
    Forumite
    I am a 'he' not a 'she', although stunning looking !

    Tell us (show us) more!:D
  • woolly_wombat
    woolly_wombat Posts: 819
    Name Dropper First Post First Anniversary
    Forumite

    This is a common problem in the LGPS - teachers volunteer to do lunchtime supervision duties for a free meal and a few extra bob, then complain about the tiny pension they can't do anything with!

    Why not just use it to fund an annual meal to celebrate your liberation from the dreaded dinner duties!
This discussion has been closed.
Meet your Ambassadors

Categories

  • All Categories
  • 342.5K Banking & Borrowing
  • 249.9K Reduce Debt & Boost Income
  • 449.5K Spending & Discounts
  • 234.7K Work, Benefits & Business
  • 607.2K Mortgages, Homes & Bills
  • 172.8K Life & Family
  • 247.5K Travel & Transport
  • 1.5M Hobbies & Leisure
  • 15.8K Discuss & Feedback
  • 15.1K Coronavirus Support Boards