SERPS Opt back in or not???

katyandbrian

Hi, I work for the civil service and opted out of serps about 10 years ago. Should I opt back in, my pay branch said not as I should have a good pension scheme. Any advice gratefully received

UsernameAlreadyExists

No such thing anymore.
You're back in automatically.
It's called S2P nowadays.

The payments you made when "out" will be floating around somewhere in a pension policy and you can manage this as you see fit.

(EDIT: this is how I interpreted the responses to my own same question a short while back!)

CLAPTON

if you are a civil servant then you have a final salary scheme pension and hence opted out of the state second scheme

as I understand it there is no choice to opt into the state second scheme although this will change with the new system when you have no choice but to be in (at an additional cost of 1.6% NI contributions)

jem16

CLAPTON wrote: »

as I understand it there is no choice to opt into the state second scheme although this will change with the new system when you have no choice but to be in (at an additional cost of 1.6% NI contributions)

Correct.

All final salary pensions are contracted out and remain so at the moment. Contracting out for money purchase schemes was abolished from April this year.

Final salary contracting out will end with the new flat amount state pension.

jem16

UsernameAlreadyExists wrote: »

(EDIT: this is how I interpreted the responses to my own same question a short while back!)

Yes but is only true for money purchase schemes and not final salary schemes.

dunstonh

opting out means leaving the occupational scheme. So, no you should not opt out.

Contracting out means contracting out of SERPS/S2P. You never got the choice. So, the question doesnt apply.

Going to a occupational pension administrator and asking about opting out is in effect asking them if you should leave the scheme. Hence their response saying that its a good scheme and you should stay in.