National Grid/British Gas Final Salary

hyubh

mania112 wrote: »

If you are solvent and are divorced/widowed with children, there are many benefits to leaving a Final Salary.

Let's have them then...

jamesd

A final salary pension will usually include income for a spouse after first death. For a single person that delivers no value but will increase the transfer value of the pension. That can make it possible to take a higher income than the pension scheme would pay. Using income drawdown the income-providing pension pot can also provide a substantially larger inheritance for the children.

If health is not good, that can also provide a significant higher income advantage from leaving, because the work scheme would not normally pay out a higher income for reduced life expectancy, while a scheme pension or enhanced annuity would.

Whether this is worth doing depends on the particular circumstances and preferences involved. Not something for everyone, just something to be aware of as a potential to be considered and used if appropriate.