Nhs pension added years

Joules22

Does anyone know about the added years facility. I started paying this some years ago, with a retirement age stated by me as 60. I now find I would like to retire before 60, but I don't know what the implications are. Would I be penalised if I retire before 60 as far as the added years thing is. I know my pension would be reduced, if I go before 60 but I don't want to lose the added years I have purchased. Thanks.

DavidLaGuardia

Buying added years was like buying addtional service as if you started earlier than you did.
Any early retirement penalty will be a uniform reduction accross the actual and addititional years so you willl not lose them.
Whether the reduction accross the whole pension is worth it is another question though.
Remember also that, if you have other sources of income or capital to live of you can leave the pension as close to retirment date as possible to avoid any penalties (the only reduction then will come from the fact you will have accrued less years of service by leaving early)

Joules22

DavidLaGuardia wrote: »

Buying added years was like buying addtional service as if you started earlier than you did.
Any early retirement penalty will be a uniform reduction accross the actual and addititional years so you willl not lose them.
Whether the reduction accross the whole pension is worth it is another question though.
Remember also that, if you have other sources of income or capital to live of you can leave the pension as close to retirment date as possible to avoid any penalties (the only reduction then will come from the fact you will have accrued less years of service by leaving early)

Hello David, thanks for your reply. I'm also considering going from a full time band 7 and going down to part time band 6, so my final salary pension will be affected. I don't know whether to retire on a band 7 and then go back part-time, or just go down to part-time and retire when I'm 60, but on a lower final salary. I also don't really know how to find out what's best, apart from this forum. Thanks.

getmore4less

Which scheme?

I looked into this for my OH a while back on the old scheme

Key points were

Is it a protected post where you can retire early.

clawback if under 60 and continue working abig problem with a lot of years my OH had to go below 1/2 time untill 60.

Best of last 3 years, can you make up with enhanced hours.

if variable pay(shifts) it can make a big difference which month you retire.
( I did a spreadsheet going back 4 years)

Might be able to go down to part time on B6 and still get a B7 pension in up to 3 years time so more part time service.

it was possible to protect the service at B7 but since we did not need that I do not rememcer the details.


New scheme is different.


We decided to take the pension because the index linking was greater than the pay rises and as a part time worker the added years were not adding much.

Now a very happy(no stress) zero hours bank worker in great demand so can work when she wants.

Joules22

I'm in the old scheme. From what I've managed to gather, I can possibly step down and freeze my pension based on my current salary. I can then carry on working at a lower grade, starting a second pension. When I retire the two pensions are added together. What I don't know is whether I can carry on with my added years, and if I can step down and work part time. I shall keep looking. Thanks for the help.

getmore4less

Finding old NHS pension docs on-line is not easy.
everything seems to have been replaced with fact sheets with no facts.

I might have something from when I did my research 2 years ago.
I will try to remember to look next week.