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    • wriggs
    • By wriggs 10th Mar 17, 12:11 PM
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    wriggs
    fire service defered pension
    • #1
    • 10th Mar 17, 12:11 PM
    fire service defered pension 10th Mar 17 at 12:11 PM
    Hi peeps. i need a little help through this minefield of pensions.i resigned from the fire servive after serving 23 years. my pension is then froze ( deferred) until i am 60. New rule involving pensins suggest i can release part of my pension at the age of 55 as a lump sum. i have heard different advice some saying yes i can and others saying no i cant. Has anyone done this or know the answer to this problem. i thank you for your help and in reading this post
Page 1
    • HappyHarry
    • By HappyHarry 10th Mar 17, 1:04 PM
    • 416 Posts
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    HappyHarry
    • #2
    • 10th Mar 17, 1:04 PM
    • #2
    • 10th Mar 17, 1:04 PM
    Hi peeps. i need a little help through this minefield of pensions.i resigned from the fire servive after serving 23 years. my pension is then froze ( deferred) until i am 60. New rule involving pensins suggest i can release part of my pension at the age of 55 as a lump sum. i have heard different advice some saying yes i can and others saying no i cant. Has anyone done this or know the answer to this problem. i thank you for your help and in reading this post
    Originally posted by wriggs
    The new pension reforms do not apply to this pension, as it is an unfunded defined benefit pension.

    The only option you may have is taking an early pension from the fire service.

    This early pension, if available, will likely have a significant reduction in value on the pension that you would have got at age 60.
    I am an Independent Financial Adviser. Any comments I make here are intended for information / discussion only. Nothing I post here should be construed as advice. If you are looking for individual financial advice, please contact a local Independent Financial Adviser.
    • xylophone
    • By xylophone 10th Mar 17, 1:31 PM
    • 23,153 Posts
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    xylophone
    • #3
    • 10th Mar 17, 1:31 PM
    • #3
    • 10th Mar 17, 1:31 PM
    Your deferred pension is in an unfunded DB Public Service Scheme so you would not be permitted to transfer out except into another DB arrangement.
    https://www.unbiased.co.uk/news/2015/12/15/what-you-need-to-know-about-your-defined-benefit-pension

    You indicate that a deferred pension is not normally available until age 60.


    You could contact the Administrator of the Scheme to ask whether access to your deferred benefits would be available at age 55, possibly with some form of actuarial reduction.

    You would also ask about commutation of part of the pension to give a lump sum.

    If it is not available until age 60 then your scheme rules might permit commutation of part of the pension at that time.
    • johndough
    • By johndough 10th Mar 17, 7:40 PM
    • 651 Posts
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    johndough
    • #4
    • 10th Mar 17, 7:40 PM
    • #4
    • 10th Mar 17, 7:40 PM
    Hi

    My interpretation is...

    That you have a 'short service' pension of 26 years, that will come into payment at age 60.

    Early release of any monies would be at the employer's discretion, unless terminal illness was involved.

    "A deferred pension is put into payment at age 60. It can be paid earlier if the firefighter becomes permanently disabled for firefighting or performing any other duties appropriate to his/her former role."

    I am not aware of any other way, unless a transfer to another suitable scheme could be managed, that you can access your rights any earlier.
    • atush
    • By atush 11th Mar 17, 12:30 PM
    • 16,302 Posts
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    atush
    • #5
    • 11th Mar 17, 12:30 PM
    • #5
    • 11th Mar 17, 12:30 PM
    Why do you w ant to take this pension early at 55? Where are you working now, and what pension does the employer offer?

    Your best bet is to join your current employers DC pension (or a PP is you are SE) and put in as much as you can over the next few years if you want to retire early at 55+?
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