Should I Bother Paying In?

matt4504

Hey,

So I'm currently a student nurse who works at sainsburys. I pay into the pension at 6% which they match but I'm just thinking, if I join the final salary pension scheme when I join the NHS are these contributions just a bit pointless?

My pension has about £7k in it which I know I can't cash out etc.

JoeCrystal

Well, it is still worth paying into since it is still free money!

It is NOT pointless! Beside, when you join the NHS pension scheme, I believe you can transfer in your old pension scheme to get more years. So that fund will still be useful!

Besides, it is either having £80 in your own hands or £200 into the pension fund which could be transferred into the NHS pension fund.

That £7000 could give you a bit of a head start, a small one but still a useful head start!

Cheers,
Joe

Thrugelmir

matt4504 wrote: »

if I join the final salary pension scheme when I join the NHS are these contributions just a bit pointless?

What age would you like to retire at?

matt4504

Thrugelmir wrote: »

What age would you like to retire at?

Hmm I'm unsure, I think the 2008 section of the pension means my 'normal' retirement date is 65yrs so I'll say 65. I did try looking at the buying years thing but it seemed a bit vague.

Does anyone know how much a year costs?

matt4504

Ignore that last message. I found the info. I'll just 'buy' some additional pension come employment. Every little helps!

atush

Indeed every little helps. And being a Nurse, I am surprised you asked if it is worth someone giving you 6% of your salary Free lol.

but at least you did and will continue.

Thrugelmir

matt4504 wrote: »

Hmm I'm unsure,

My question was phrased in the sense that the earlier you save into a pension plan the more chance you'll have of achieving your target.

dunstonh

Free money should not be turned down. NHS accepts transfers in during the first 12 months of being in the scheme.

BobQ

matt4504 wrote: »

Ignore that last message. I found the info. I'll just 'buy' some additional pension come employment. Every little helps!

Matt as Dunstanh says above you can transfer pension in provided you do it within 12 months. Its transfer value will be converted into benefits in your NHS scheme.

Additional Pension is not the same as transferring in a pension. This is where you make additional pension contributions (lump sum or from salary) to buy extra pension income when you retire. Its not the same as a pension transfer.