claiming back minimal contribuitions to a company pension

johnnycondom

no i didnt contribute to any other pension scheme from 1992 until 2011 where im being made redundant now
as for contracting out do you mean serps as i stated earlier ive always been in serps never having contracted out

xylophone

I was wondering whether the Rolls Royce FS scheme was contracted out- schemes of this type often were/are.

Was the Scheme Retirement Age 65? (It was often 60 in this type of scheme.)

Anyway, it seems that your pension provision is

(a) your deferred pension from RR (payable at 65?)
(b) your tiny pension from your existing employer - what options have you been given by the employer in regard to this scheme - see http://www.pensionsadvisoryservice.org.uk/workplace-pension-schemes/final-salary-schemes/options-on-leaving-your-employer
(c) your state pension,payable at 65/66.

Have you decided on what you are going to do when your current job comes to an end?

johnnycondom

found out today that im gone.been there 2/half years went on books after agency march last year when i was invited to join the company pension scheme.i joined as a savings scheme really(for the lump sum at the end) having only 7 years to sub in if i were to stay until 65.decided to pay increased subs on that premise so all in all around £40 a week was going in

what to do now?
well im 60 in july prospects in these austere times not good health wise ive been having god awful trouble with my feet..plantar faciitis so the doc keeps telling me.ive struggled on for 3 months with it.so the thinking behind it was cash in the R/R pension for the best return i can get with the largest tax free lump sum 25% and maybe in the new year if i can solve the feet problem go again with the agencys to do a bit here and there and not be commited to 40 hours a week and maybe a p/t job to supplement the R/R pension or maybe an anuity.
i know i can transfer it to someone else for a better return but when i showed the details of it to my current pension adviser at work to look at the possibility of transferring into his scheme he advised me to leave it where it was as it was a better scheme than they provided.

im just a bit mystified why the returns with R/R are not very good for a 101k pot and am still waiting for them to contact me

as said previously any advice recieved with thanks as i gotta get this right as it cant be undone if i move the pot
thanx
john

xylophone

The RR scheme is a final salary scheme so there is no pot as such - what you have been given is a transfer value?

You would need an IFA to sign off a transfer of your FS pension and you might find it very hard to find one who would do it.

Presumably your RR pension is RPI indexed linked?

The RR pension age is 65? Is there a facility for taking the pension early? If so, it would be actuarially reduced.

Perhaps you might ask RR pension scheme Trustees about what you would get if you brought your pension into payment.

It is usually possible to commute a portion of the pension for a lump sum but you might not find that this was very good value.

Do you have a copy of your RR scheme booklet?

johnnycondom

in short no ,youd think it would be online in pdf but no
if i cant get my hands on it im fooked then.i may scan the gubbins of it and post it on here as its all a bit gobbly gook to me
actually the gist of the text is this

transfer details
transfer value as at date of quotation inclusive of...£101,022.36

pre 6 april 1997 excess benefits of....£32,264.67

guaranteed minimum pension(protected rights)of(inclusive of limited revaluation premium of £0.00)..........£68,757.69

post 5 april 1997(protected rights) of...£0.00

total contributions...£3.542.60

help as i said gobbledy to me other than the transfer value

dontbechurned

Jonny you need to call RR pension dept monday and request a quote. They should be able to give you an early retirement quote.

The only problem is that they may charge a fee and it can take between 3-6 weeks for the quote to be sent out. After which if you complete the paperwork and send it in, it can take another 10 days to process the payment.

johnnycondom

just found this does it make it any more hopefull? http://www.pensionsandannuities.co.uk/Cash-in-a-final-salary-pension.htm

xylophone

http://www.pensionsadvisoryservice.org.uk/workplace-pension-schemes/final-salary-schemes/revaluation
explains gmp and excess.

http://www.rolls-royce.com/contact/pensions_team.jsp could help with queries?

And don't forget about having to pay an IFA if you want to transfer out of a Final salary pension.

jamesd

Do be sure to tell them that health trouble is why you're looking to take the income early. That might cause them to be willing to pay out at a higher rate.

Your work pension person was right. It's almost always a bad idea to transfer out of a final salary pension into some other type. You're fortunate to have the RR one, that sort of good deal isn't normally available to new joiners of companies these days.

mark55man

I know it might seem expensive to get professional IFA advice (I know it always does to me), but sriously you get to do this once and they do it all the time.

In your situation with complexties in your current pension, and uncertainty in your RR pension, I would say their advice could make a difference of hundreds of pounds a year - certainly enough to cover your costs in a few years of your retirement - especially if your poor health can be made into an early retirement issue.

just need to find a good one - I leave others to advise on that