Final Salary/Defined Contribution One Pot

Nickolai

Many years ago I started work for a company who had a final salary scheme. I joined and transferred in an amount from a private pension I had previously.

After a couple of years we were taken oven and the Final Salary Scheme was closed and frozen. A new DC scheme was offered which I joined. Up until earlier this year I had been paying into that scheme.

With Auto Enrolment the company decided to close the old DC scheme and open a new Worksave scheme with a different pension provider. So I've joined that one, so far so good.

I've always been under the impression that my Final Salary and DC scheme were separate although with the same provider. It now appears that they were two schemes in one pot. When the original DC scheme was drawn up it appears that the wording wasn't nailed down that they were to be kept separate:(. The Company are doing their best to sort it out but it doesn't look good.

I want to transfer my DC benefits to the new scheme. The old pension provider is sticking to the letter of the agreement and saying you have to transfer all or nothing (They are faced with a lot of people suddenly wanting to transfer benefits away from them). The new Worksave pension say they won't take a transfer from a DB scheme without seeing written advice from an independent financial advisor. I don't want to transfer it anyway let alone pay to get advice.

I currently have four pension pots, i'm just trying to amalgamate them into two. I have opted out SERPS funds in my old private pension which i'm trying to transfer out (the form appears to have been mysteriously lost in the post.):huh:

They are my pensions? Do I have any rights here?

xylophone

I've always been under the impression that my Final Salary and DC scheme were separate although with the same provider. It now appears that they were two schemes in one pot. When the original DC scheme was drawn up it appears that the wording wasn't nailed down that they were to be kept separate. The Company are doing their best to sort it out but it doesn't look good.

This seems rather odd - it looks as if you should have had a deferred final salary pension around which are some very specific rules.- was there a GMP?

You might wish to consult the Pensions Advisory Service for some guidance? http://www.pensionsadvisoryservice.org.uk/

mania112

Well the old scheme has elements of Final Salary and Money Purchase, that's fine - not too rare.

The new one meets the criteria of auto-enrolment.

Don't touch the old one, you don't want to lose any Defined Benefits.

Transfer your PP into the new AE, then you have your 2 schemes.