pensions- can he opt back in?

ajausten

Hi there a number of years ago my husband allowed himself to be talked into opting out of SERPS. At this time he was employed by a company but after 18 months he was made redundant and no payments have been made since. Since this he has burried his head in the sand and doen nothing. I am constantly on at him to set up a private pension fund but he thinks he can opt back in to the stae pension, although admits he's not entirely sure how to do this. My husband is 34 and a nightmare!!! can anyone advise?

dunstonh

he thinks he can opt back in to the stae pension

He isnt opted out of the basic state pension. Just the second state pension. However, it sounds as if he isnt contracted out of the second state pension either as there would be an annual rebate being paid into the pension and your post suggests there isnt.

My husband is 34 and a nightmare!!!

Tell him that the basic state pension is £4900 a year. How does he fancy providing for your retirement on that.

Ideally a 35 year old should have around £35,000 in their pension pot (not including contracted out funds). How far away is he from that?

You need to get firm with him as its not just his retirement he is messing up. Its yours.

EdInvestor

He can opt back in by contacting www.thepensionservice.gov.uk.

But if he's not working he is not accruing any SERPS/S2P benefits, whether contracted out or in, though his basic state pension will be safeguarded if he is signing on. It's possible his former company contracted him back in when he left.Ask at the link above.He can also get a forecast of how much he will get in the 2 state pensions at the link (as can you).

Do you have details of the old pension that he was opted out into?It it at an insurance company?If so it's quite likely that it is now effectively a personal pension into which he could potentially resume making contributions.Ask the insurance company, who will also be able to say if the pension is still receiving opeted out money (if he is working).

ajausten

the policy was with Britannia (are they even in existance still?) i don't think the company opted him back in because i vaguely remeber something coming in the post a number of years ago saying there was very little (virtually nil) invested in the policy. Also we moved house a number of years back and i 'm not sure we have the paperwork. Should i conatct Britannia (if it still exists) or the pension website link? although thet'll probably not talk to me directly about this!
My hubby is now working for a new company (has been for years)

thanks for your help.

EdInvestor

The policy is probably now here: http://www.phoenixlifegroup.co.uk/

Was it Britannia or Britannic?

If he has never opted back in and has been working all along, then the opted out rebates will still be going into the original policy, so worth tracking it down and getting updated info about it.

ajausten

hi there - it was Britannic!