Final Salary pension calculation.

parcival

Trying to get my head around an old deferred pension.

I was in a companied final salary scheme for 3 years until it was closed and I joined the money purchase scheme.

I understand that I will be entitled to 3/60ths of my final salary. Is the final salary figure the salary at the end of the 3 years or is it my final salary upon leaving the company which was 16 years later?

Thanks

Tammer

Hi,

It's usually your salary (or some variant of it) before you left the Final Salary scheme, plus a small % increase each year until your retirement date.

Tammer

atush

It should be in the terms and conditions. I would think (but am not sure) it will be based on your final slary at close of scheme, but will have been uprated each year by an index (Rpi or CPi etc) so will work out more than your FS at the time?

You could of course just call them up and ask for a projection ;-)

Andy_L

It could be either depending on how they closed the scheme. The most likely is, as previously said, your final(ish) salary when you left the scheme & then uprated by inflation although its possible they may have not closed it fully & still kept the link to salary.
The only definitive answer will come from them