Can company pensions be obligatory?

frivolous_fay

Many moons ago, I did part-time work at Woolworths, which was not part of my long-term career plan

I had pension payments deducted from my wages. I didn't query it, because I thought it was something that just happened when you worked.

Should I have been asked before these contributions were taken?

I now have a miniscule amount of money in a pension which will be worth peanuts to me... that's assuming I can be bothered to change my address with them every time I move in the next 24 years. (Zurich recently tracked me down after losing contact with me in 1996)

They're charging the account 2p a month in fees and presumably have been for a decade :rotfl:

dunstonh

Should I have been asked before these contributions were taken?

No. Many are automatically enrolled unless you choose and notify them to opt out.

I now have a miniscule amount of money in a pension which will be worth peanuts to me

Seeing as the bulk of that has come from Woolworths and tax relief, the actual cost of the money in there would have been tiny to you. Indeed, if its a long time ago then you may well have been a member of their non contributary final salary pension and I know a number of ex Woolworths employees who have had very nice retirements on the back of their final salary scheme.

that's assuming I can be bothered to change my address with them every time I move in the next 24 years. (Zurich recently tracked me down after losing contact with me in 1996)

Perhaps you should be bothered.

EdInvestor

Joining the company pension scheme was often a condition of employment in the days before 1988, when regulation brought in the opportunity to opt out.

frivolous_fay

dunstonh wrote: »

Perhaps you should be bothered.

I wondered that - that's why I emailled them a few questions when they got in touch.

I now have a few pieces of paper, one of which tells me 'If investments grow at 6% and interest rates when you retiure are 6.1%, your final retirement fund could be: £8, which could give you a taxable yearly pension of: £0.
Not sure that I could even buy a lump of coal in my golden years with that, unless I'm missing something exciting

I'm trying to be bothered but Zurich aren't trying very hard to make it sound enticing! Are there any key words I should be scouring the paperwork for?

Retired_I.F.A.

Perhaps you should be bothered.

£8


Perhaps not.


How long did you wok there for, till dinnertime?

dunstonh

RIFA may not be joking when he suggests you worked for that sort of time!

That sort of money suggests you paid in a couple of pound contribution.

frivolous_fay

Lay off, I was doing my a-levels at the time My records (such as they are) indicate that I earned about £1400 gross over a period of a year or so.

I have a letter dated 25/10/06 which indicates when I left Woolies. It says the pension was due to be transferred to Eagle Star. Attached is statement that shows:

Top up account: £17.02
Basic account: £1.48
Total fund value: £18.50

It's possible that I opted out after payment(s) were taken, but this was all a long time ago...

I'm amused that £18.50 has turned into £8 in 12 years. Maybe in another few years it will be 0 and I can forget about it