Im all confused about my Pension at work-Im a Civil Servant.Not a brainy one at that!

Oddgy

Hi I am a civil servant, and have joined the Premium Pension. I have been in the pension since starting my employment in August 2004.
I am currently 26 years old, so started my pension when i was 24 years of age. I am very confused at what im paying into?
I pay about 60 to 70 a month but on my payslip it also states that my employer is making a contribution.
However, i really dont understand how it all works.
Could someone explain if possible?

When i reach my retirement age, im assuming at 65, or 60? dont even know the retirement age...im useless!! - what pension do i get , as someone mentiones lump sums as well. (in the situation i stay with the civil service for the remainder of my career) Im all confussed!

sleepless_saver

Try this booklet on the Premium scheme from the Civil Service Pension Scheme website.

Andy_L

For you, current retirement age is 60. IMO that will gradually rise over the next decade or so.

johnofhertford

So basically if you work till you're 60, your pension will be 36/60 x salary when you retire. That is unless your final salary is lower than it had been in some of the previous years in which case that higher salary is used as the multiplier.

Oddgy

Hi - Thanks for the link. It was great. Still not 100% sure, but its helpful thanks. One thing i would like to ask you, when they say about dying in service, do they mean dying while at work while carrying out your duties at your desk, and not in the evening while out with your friends at the pub for instance?

tanith

I believe that dying in service means that if you die whilst in your present employ you qualify..... and if you die over a pint in the pub even better... :rotfl: you still qualify.....:T

johnofhertford

Death in service equals life insurance, nothing to do with accidents at work.

Oddgy

Why does the 36/60 x salary business have to be so confusing!!
Cheers for clearing up the death in service. So in this case, i dont really need life insurance if i have three times my salary to look forward to. Well my mrs does...

tanith

Oddby if you have children or intend on having them you might like to think the whole life insurance thing again as your In Service cover will probabley not be enough for your family and you will need to have more...

Oddgy

no children at the mo, not married, but i do understand what you say and it makes a good point. I never thought of it in that way.
Many Thanks.