Voluntary or Compulsory???

firesidemaid

DAVEYROBBO wrote: »

She is 43, Her pension will freeze but is index linked and she will start taking it at 60. The life insurance bit I am not too sure about will check.

don't know if it's like the nhs pension - if so when you freeze it as such it actually increases by the rpi, which i think is generally better than the normal annual payrises should you stay in work (obviously you aren't gaining the extra years though).

again, does she have a choice of leave date? check that she can't better her pension before she goes by completing a full year at a particular pay point/rise x

Andy_L

firesidemaid wrote: »

don't know if it's like the nhs pension - if so when you freeze it as such it actually increases by the rpi, which i think is generally better than the normal annual payrises should you stay in work (obviously you aren't gaining the extra years though).

again, does she have a choice of leave date? check that she can't better her pension before she goes by completing a full year at a particular pay point/rise x

The extra years are only worth ~1.6%, combined with the typical 2.5% pay rise you're actually doing slightly better with RPI atm - unlike the rest of the public sector, in the CS that 2.5% has to pay for pay progression/spine points as well as the cost of living rise.

Doesn't matter when she leaves, the pension counts days of service, it doesn't round to years

firesidemaid

thanks for that.

the only thing re. when you leave (at least with nhs pension) is that your final pension/calculation is based on your salary that you have been at for a whole year - therefore if you were just about to complete a year at a certain pay point, it would be worth hanging on?

Andy_L

The CS deal looks at your best pensionable pay over a 12 month period (in the past 3 years) so if you get a rise and leave the next day you get 1/365th at the higher pay and 364/365th at the lower rate.

going2die_rich

Dont just see the pound signs in your eyes. Think longer term. Will you manage on one salary. Second will your wife be looking for a new job after this and how likely will she find other employment given the state of the economy. If you can afford for her to be out of work for a few years I guess it wouldn't matter too much as things would pick up. But do remember, many employers do go for younger generations, so even at 43-45 she may find people seeming she is too old compared to the competition. But this does depend on the area she is looking for jobs in. Although i think the being too old bit she is probably okay with, it's mainly those in the mid-50s that do get unoffically marked as being too old to join a new company.